The American Petroleum Institute has sued the US Environmental Protection Agency, challenging the agency’s final rule that imposes emissions limits for new, reconstructed, and modified oil and gas sources. The Aug. 2 petition to the US Appeals Court for the District of Columbia seeks a judicial review for regulations the agency issued on June 3, alleging that EPA failed to adhere to specific Clean Air Act limitations on how the agency can develop regulations.
API Managing Counsel John Wagner said, “Even as oil and gas production has risen dramatically, carbon emissions have fallen, thanks to industry leadership and investment in new technologies. Consumers and businesses are seeing significant savings through lower energy costs largely driven by the revolution in US shale energy production.”
API said other industry groups and a coalition of 14 states also have sued EPA, calling on the federal court to assess the agency’s rule on the grounds that it has exceeded its statutory authority.
API’s filing came the same day that the Independent Petroleum Association, American Exploration & Production Council, and 47 other upstream independents’ groups recommended that EPA use its recent information collection request to learn more about the industry because of problems they saw in the agency’s recent emissions limits rule (OGJ Online, Aug. 3, 2016). The GPA Midstream Association, the former Gas Processors Association, also raised concerns in comments that it submitted.
It said it does not believe EPA should regulate methane emissions from existing sources, and offered a series of constructive comments on the proposed ICR, which the association said would clarify, improve, and streamline the request, if EPA and the White House Office of Management and Budget elect to proceed with the information gathering effort.
“GPA Midstream has a long history of working collaboratively with EPA, and will work with them on this particular issue to lessen the regulatory burdens and minimize the costs this will have on the midstream industry,” said Mark Sutton, president of the Tulsa-based organization.