EPA Releases Proposed Rule on New Source Performance Standards

The Environmental Protection Agency announced a new rulemaking last week that proposes comprehensive standards of performance for greenhouse gas (GHG) emissions in the form of methane and Volatile Organic Compound (VOC) emissions for new, modified, and reconstructed sources in the Crude Oil and Natural Gas source category, including the production, processing, transmission and storage segments. The new proposed rulemaking comes as a response to the President’s January 20, 2021, Executive Order (E.O.) 13990, “Protecting Public Health and the Environment and Restoring Science to Tackle the Climate Crisis,” which directed the EPA to consider taking action under the Clean Air Act (CAA) to significantly reduce emissions of greenhouse gases and other harmful air pollutants.
 
The three-part proposed rule includes:
 

• Revisions to the new source performance standards (NSPS) for GHGs and VOCs for the Crude Oil and Natural Gas source category under the CAA to reflect the Agency’s most recent review of the feasibility and cost of reducing emissions from these sources.
• New emissions guidelines (EG) under the CAA for states to follow in developing, submitting, and implementing state plans to establish performance standards to limit GHGs from existing sources (designated facilities) in the Crude Oil and Natural Gas source category.
• Several revised actions stemming from the joint resolution of Congress, adopted on June 30, 2021, disapproving the EPA’s final rule, titled, “Oil and Natural Gas Sector: Emission Standards for New, Reconstructed, and Modified Sources Review.”  

Comments to the EPA must be received on or before January 14, 2022. The EPA will hold virtual public hearings on November 30, 2021 and December 1, 2021 it from 11:00 a.m. to 9:00 p.m. ET each day. The EPA will announce further details at https://www.epa.gov/controlling-air-pollution-oil-and-natural-gas-industry.
 
To read the Federal Register notice on this proposed rule, visit:  https://www.federalregister.gov/documents/2021/11/15/2021-24202/standards-of-performance-for-new-reconstructed-and-modified-sources-and-emissions-guidelines-for.