View Rule

On November 15, 2021, the EPA published a proposed rule to mitigate climate-destabilizing pollution and protect human health by reducing greenhouse gas and VOC emissions from the Crude Oil and Natural Gas source category (86 FR 63110). This action was in response to the January 20, 2021, Executive Order titled "Protecting Public Health and the Environment and Restoring Science to Tackle the Climate Crisis.” In the November 2021 Proposal, pursuant to CAA section 111 the EPA proposed new standards of performance for greenhouse gases (in the form of methane limitations) and volatile organic compounds emissions and Emission Guidelines for greenhouse gas emissions (in the form of methane limitations) from existing sources. The EPA also proposed several related actions stemming from the joint resolution of Congress, adopted on June 30, 2021, under the Congressional Review Act disapproving the EPA’s final rule titled, Oil and Natural Gas Sector: "Emission Standards for New, Reconstructed, and Modified Sources Review,” September 14, 2020 (2020 Policy Rule). Lastly, in the November 2021 Proposal the EPA proposed a protocol under the general provisions for OGI. 

On December 6, 2022, the EPA published a supplemental proposed rule that was composed of two main actions (87 FR 74702). First, the EPA updated, strengthened, and expanded on the NSPS proposed in November 2021 under CAA section 111(b) for greenhouse gases (in the form of methane limitations) and volatile organic compounds emissions from new, modified, and reconstructed facilities. Second, the EPA updated, strengthened, and expanded the presumptive standards proposed for the Emission Guidelines in the November 2021 Proposal as part of the CAA section 111(d) EG for greenhouse gas emissions (in the form of methane limitations) from designated facilities. For purposes of the Emission Guidelines, the EPA also proposed the implementation requirements for states to limit greenhouse gas pollution (in the form of methane limitations) from designated facilities in the Crude Oil and Natural Gas source category under CAA section 111(d). The Agency expects to issue a final rule later in 2023. 

Statement of Need:

The final actions stem from the EPA’s authority and obligation under CAA section 111 to directly regulate categories of new stationary sources that cause or contribute to endangerment from air pollution and promulgate EG for states to follow in regulating existing sources (designated facilities) in the source category.

Summary of the Legal Basis:

Clean Air Act section 111(b) provides the legal framework for establishing greenhouse gas emission standards (in the form of limitations on methane) and volatile organic compounds for new oil and natural gas sources. Clean Air Act section 111(d) provides the legal framework for establishing greenhouse gas emission standards (in the form of limitations on methane) for existing oil and natural gas sources.

Alternatives:

The EPA has evaluated several options for new and existing sources and will propose and solicit comment on those options.

Anticipated Costs and Benefits:

The EPA’s regulatory impact analyses for the December 2022 supplemental notice of proposed rulemaking can be found at document number EPA-HQ-OAR-2021-0317-1566 of the public docket (https://www.regulations.gov/document/EPA-HQ-OAR-2021-0317-1566).

Risks:

The EPA’s regulatory impact analyses for the December 2022 supplemental notice of proposed rulemaking can be found at document number EPA-HQ-OAR-2021-0317-1566 of the public docket (https://www.regulations.gov/document/EPA-HQ-OAR-2021-0317-1566).