The EPA's new rule requiring oil and gas companies to pay for their emissions may face opposition from the Trump administration.

Rep. Dan Newhouse, R-Wash, claims that the Biden administration is determined to undermine traditional energy sources before leaving office.

The EPA's new rule requiring oil and gas companies to pay for their emissions may face opposition from the Trump administration.
The EPA's new rule requiring oil and gas companies to pay for their emissions may face opposition from the Trump administration.

The Biden administration plans to impose a new fee on oil and gas companies for methane emissions, but critics argue that the rule may not endure under a future Republican administration.

The Environmental Protection Agency (EPA) announced on Tuesday that it plans to "encourage" the oil and gas industry to decrease methane emissions by implementing a Waste Emissions Charge, as permitted by the Inflation Reduction Act.

The Biden administration has introduced a new rule that will charge oil and gas facilities $900 per metric ton of "wasteful" emissions in CY 2024, $1,200 for CY 2025, and $1,500 for CY 2026.

According to the EPA, the charge would be applied to high-emitting facilities that emit "more than 25,000 metric tons of carbon dioxide equivalent per year to the Greenhouse Gas Reporting Program."

A flag with the EPA logo
A flag with the Environmental Protection Agency logo flies at its headquarters in Washington, D.C. (Robert Alexander)

Plans are being made by opponents to prevent the implementation of the proposed methane fee.

The American Petroleum Institute released a policy road map for the incoming Trump administration and criticized the EPA's final rule in a press release on Tuesday.

The Trump administration planned to abolish the EPA's methane fee, which was not aligned with Congress's intent and did not effectively reduce emissions.

Pumpjacks operate in the Belridge oil field near McKittrick, California, on Nov. 3, 2021.
Pumpjacks operate in the Belridge oil field near McKittrick, California, on Nov. 3, 2021. (Mario Tama)

The Western Caucus rejected the accusation, but emphasized that the new administration will modify the existing EPA's plan.

"Rep. Dan Newhouse, R-Wash, stated that the Biden Administration, in its final days, will do everything possible to undermine traditional energy sources. The EPA's Waste Emissions Charge rule will increase energy costs by imposing a tax on America's oil and gas industry, which will be passed on to consumers. However, Newhouse expressed optimism that this administration's time is limited, and he looks forward to working with a unified Republican government to reduce energy costs in rural and Western America."

Trump has appointed former New York Rep. Lee Zeldin to lead the EPA in his administration, which may hinder Biden's energy policies.

former New York Rep. Lee Zeldin
President-elect Trump selected former New York Rep. Lee Zeldin to head his administration's Environmental Protection Agency. (Al Drago)

The Waste Emissions Charge, according to the EPA, will enhance the essential industry.

EPA Administrator Michael S. Regan stated that the final Waste Emissions Charge is the latest action under President Biden's methane strategy to enhance efficiency in the oil and gas sector, safeguard American jobs, preserve clean air, and maintain U.S. leadership on the global stage.

Maggie Coulter, a lawyer at the Center for Biological Diversity, commended the rule, stating that "although we anticipate the next administration to recklessly greenlight fossil fuel extraction, it's heartening to see this effort to make polluters pay for their leakage of the super climate pollutant methane."

by Aubrie Spady

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