Blogs

APGA Responds to EPA’s Waste Emissions Charge

By Sydney Freed posted 13 days ago

  
On March 26, APGA and the American Gas Association (AGA) submitted joint written comments to the Environmental Protection Agency (EPA) responding to their Waste Emissions Charge for Petroleum and Natural Gas Systems (WEC) proposed rule. 
 
APGA expressed concerns about the impact of the charge, if implemented. While APGA members would not be directly subject to WEC, they may be indirectly impacted if operators' upstream suppliers pass any new costs associated with the WEC along to local distribution companies (LDCs). The rule proposes that WEC would be calculated based on methane emissions reported by certain segments of the oil and natural gas sector. Upstream pipeline operators will ultimately have a choice: invest in emission mitigation strategies or pay waste emission charges. Regardless of the choice these pipeline operators make, it can be assumed that the cost of service on these pipelines will increase. 
 
APGA and AGA wrote to EPA stressing that LDCs should not be financially responsible for these costs.  
 
The comments also highlight that AGPA members have consistently supported methane reduction measures. Specifically, many public gas utilities are a part of the Methane Challenge Program, which has supported reducing U.S. natural gas distribution systems’ methane emissions by 70 percent from 1990-2021. 
 
To view the full comments, click here. 
 
APGA will continue to work on this issue and will inform members of any future actions by EPA. For questions on this article, please contact Sydney Freed of APGA staff by phone at 202-464-0834 or by email at sfreed@apga.org.

Permalink