Energy & Environment

New Methane Emission Rules Could Cost Oil Sector $1 Billion

The effort forms part the Obama Administration’s climate change strategy.

Earlier this week, the EPA circulated a series of white papers on potentially significant sources of methane emissions in the oil and gas sector. It’s the latest step in a strategy to address climate change mapped out by the White House last month.

Congressman Gene Green, D-TX, says he’s concerned the agency isn’t taking enough time to determine how to measure emission reductions.

“The EPA estimated it would cost about $738 million for industry to be able to comply with it. The problem is that’s based on capturing and resale of that gas. In some of our areas in South Texas, we haven’t found customers for it, and the infrastructure, even if we have customers there, is not available to that, so that would end up costing industry almost $1 billion.”

Under the current timetable, the EPA would have to decide by December whether to develop new rules to limit methane emissions, and finalize any such rules by 2016.

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Andrew Schneider

Andrew Schneider

Politics and Government Reporter

Andrew heads Houston Public Media’s coverage of national, state, and local elections. He also reports on major policy issues before the Texas Legislature and county and city governments across Greater Houston. Before taking up his current post, Andrew spent five years as Houston Public Media’s business reporter, covering the oil...

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