Final Methane Regulations for the Oil and Gas Sector-The Litigation Has Begun - How Will Companies and States Implement the Rules and What's the Litigation Outlook?
October 12, 2016
12:00 PM - 1:30 PM ET
The Obama administration finalized the first ever methane regulations for the oil and gas sector in May of 2016. The regulations issued by the U.S. Environmental Protection Agency primarily target emissions from new and modified oil and gas wells. Lawsuits have been filed challenging the regulations. The regulations have become even more important with the stay of the Clean Power Plan and the administration's desire to seek out additional greenhouse gas emission reductions to contribute to the U.S. commitment under the Paris Agreement. Attend this webinar to learn the latest on the regulations, their implementation, and the litigation.
50 State Survey –A Complimentary Supplement to Chapter 11: The State Response to Climate Change, GLOBAL CLIMATE CHANGE AND U.S. LAW, 2ND (Michael B. Gerrard and Jody Freeman, eds)
This comprehensive 602 page survey has been prepared by Kelly Nishikawa, Benjamin Lowenthal and other students at Pace Law School’s Global Center for Environmental Legal Studies, under the oversight of the Associate Director of Environmental Law Programs, Laura Jensen. This very valuable reference document accompanies Global Climate Change and U.S. Law, Second Edition (Michael B. Gerrard and Jody Freeman, eds, 2014), available online at the ABA webstore. It compiles state legislation, rules and executive orders that specifically address climate change as of the end of April 2014. It also includes a wide variety of state activities that may have an impact on greenhouse gases including legislation related to energy efficiency and renewable energy. The focus of this material is to provide readers with an understanding of the range of state activity that may contribute to greenhouse gas reduction and climate change. Some types of energy efficiency, alternative fuels and renewable energy legislation (such as tax credits for hybrid vehicles) are very similar from state to state; some laws have a short duration and therefore may not be codified (such as temporary tax credits); energy legislation is being enacted at an increasing pace. As a result, not all energy efficiency, alternative fuels and renewable energy legislation and other activity in every state are included in this compilation.
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The Air Quality Committee provides a valuable forum and practical resources for lawyers interested in air-related issues to: (1) keep up to date on new developments, through extensive communications such as newsletters, satellite conferences and seminars; (2) exchange ideas and best practices with other practitioners around the country; and (3) stay involved with the environmental lawyer community by contributing to various Section publications and participating in Section events.
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Welcome to the Air Quality Committee webpage!
Our committee keeps up with the always-evolving world of air quality regulation and serves as an information exchange for air lawyers and regulators, industry, NGOs, other SEER committees, and all those interested in air quality. We strive to make our members aware of the latest legal developments through timely and informative communications, and we work with other SEER committees to develop coordinated content that highlights the importance of air quality issues. We encourage you to participate in this exchange by submitting articles for the Committee newsletter; suggesting topics for conferences or webinars; sending us key agency and court decisions, policy documents, or briefs on air quality issues; and posting and commenting on our social media pages.
This year, we are focusing on broad-ranging and significant air quality topics such as greenhouse gas regulation, PSD/NSR permitting and enforcement, mobile source emissions, risk management plans, and Next Generation compliance. Please check this webpage regularly, as we will highlight significant case developments and regulatory notices. And let us know if you have ideas for programs or publications – we’d love to hear from you! All of 2016-2017 Committee vice-chairs are listed under the Committee Leadership link on the right side of this webpage. Feel free to reach out to us or the appropriate vice-chair if you have any suggestions, questions, or information to share.
Thank you for your membership. We look forward to a great year!
Elizabeth & Lauran
Supreme Court Stays U.S. EPA’s Clean Power Plan
On February 9, 2016, the U.S. Supreme Court stayed U.S. EPA’s implementation of its Clean Power Plan regulation pending disposition of petitioners’ lawsuit in the U.S. Court of Appeals for the D.C. Circuit and, if sought, any petition for a writ of certiorari filed with the U.S. Supreme Court. If a writ of certiorari is sought and the Supreme Court denies the petition, the orders will terminate automatically. If the Court grants any petition for a writ of certiorari, its orders shall terminate when the Court enters its judgment in the case. The Court’s orders can be accessed here:
D.C. Circuit Denies Challenge to SO2 Nonattainment Designation
On November 3, 2015, the U.S. Court of Appels for the D.C. Circuit denied review of petitions challenging U.S. EPA's final rule designating two areas as nonattainment for sulfur dioxide (SO2). A copy of the decision can be accessed here: https://www.cadc.uscourts.gov/internet/opinions.nsf/
EPA Lowers Ozone NAAQS
On October 1, 2015, EPA lowered the National Ambient Air Quality Standards (NAAQS) for ground-level ozone to 70 parts per billion (ppb). The new NAAQS will replace the 2008 standard of 75 ppb, which EPA found inadequate to protect public health with an adequate margin of safety. The Final Rule and supporting information is available here: http://www3.epa.gov/ozonepollution/actions.html#sep2015
U.S. EPA Proposes To Regulate Methane Emissions From Oil and Natural Gas Sector
On August 18, 2015, the U.S. EPA proposed its first ever regulation of methane emissions from new and modified sources for the oil and natural gas sector. The proposed regulation would amend the agency’s existing new source performance standards (NSPS) for the oil and natural gas source category by setting standards for both methane and volatile organic compounds (VOC) for specific equipment, processes and activities, including hydraulically fractured natural gas and oil wells. The proposed rule can be accessed here: https://www.federalregister.gov/articles/2015/09/18/2015-21023/oil-and-natural-gas-sector-emission-standards-for-new-and-modified-sources
EPA’s fact sheet can be accessed here: http://www3.epa.gov/airquality/oilandgas/pdfs/og_fs_081815.pdf
D.C. Circuit Upholds EPA Gas Emissions Rule
On July 14, 2015, the U.S. Court of Appeals for the D.C. Circuit, denied a petition from biofuel producers challenging U.S. EPA’s regulation regarding test fuels, finding that it is reasonable for the agency to require that test fuels be “commercially available” before they can be approved. A copy of the opinion can be accessed here.
D.C. Circuit Preserves Transport Rule
On July 28, 2015, the U.S. Court of Appeals for the D.C. Circuit largely upheld EPA’s plan to control cross-state air pollution under its Cross-State Air Pollution Rule (the Transport Rule), but ordered the agency to reconsider its 2014 emissions budgets for “upwind” states. While the D.C. Circuit remanded the Transport Rule to EPA to reconsider such emissions budgets, it rejected all of petitioners’ other challenges to the Transport Rule, including all facial challenges to the rule. A copy of the opinion can be accessed here.
D.C. Circuit Denies Petitions Challenging EPA’s Proposed Clean Power Plan
On June 9, 2015, the U.S. Court of Appeals for the D.C. Circuit denied both petitions for review and the petition for a writ of prohibition challenging EPA’s proposed Clean Power Plan, because the “complained-of agency action is not final.” Judge Henderson filed a separate opinion concurring in the judgment, but she would find that there is jurisdiction under the All Writs Act, but still would deny relief to the petitioners.
The decisions can be accessed here and here.
EPA Publishes Rule For Implementation of the 2008 Ozone NAAQS SIP Requirements
On March 6, 2015, EPA published its final State Implementation Plan (SIP) requirements rule implementing the 2008 ozone NAAQS and addressing a range of nonattainment area SIP requirements for the 2008 ozone NAAQS, including requirements pertaining to attainment demonstrations, reasonable further progress (RFP), reasonably available control technology (RACT), reasonably available control measures (RACM), major new source review (NSR), emission inventories, and the timing of SIP submissions and of compliance with emission control measures in the SIP. The rule also addresses the revocation of the 1997 ozone NAAQS and anti-backsliding requirements that apply when the 1997 ozone NAAQS are revoked.
A link to the rule can be accessed here: http://www.gpo.gov/fdsys/pkg/FR-2015-03-06/pdf/2015-04012.pdf. A link to the EPA fact sheet can be accessed here: http://www.epa.gov/airquality/ozonepollution/pdfs/20150213fs.pdf.
EPA Announces Proposal To Update Ozone NAAQS
On November 25, 2014, the U.S. EPA announced its proposal to update National Ambient Air Quality Standards (NAAQS) for ground-level ozone. The EPA is proposing to revise both the primary and the secondary standards to a level within the range of 65 ppb to 70 ppb. (The current primary and secondary ozone standards are 75 ppb.) EPA will also accept public comment on retaining the current 75 ppb ozone standard or lowering the standard to 60 ppb. EPA will take comment on the proposal for 90 days after it is published in the Federal Register and will hold three public hearings. It plans to adopt a final rule by October 1, 2015. EPA's proposal, fact sheets, information on estimated benefits and costs, maps and tables, and other pertinent information may be found here.
Fifth Circuit Holds Clean Air Act NOVs Are Not Final Agency Action
On July 3, 2014, the Fifth Circuit Court of Appeals held that Notices of Violation (NOV) issued by U.S. EPA under Section 7413(a) of the federal Clean Air Act do not constitute a final agency action and are not subject to judicial review. The Fifth Circuit’s opinion can be accessed here.
Ninth Circuit Vacates EPA’s PSD Permit for Avenal Power Plant
On August 12, 2014, the U.S. Court of Appeals for the Ninth Circuit vacated U.S. EPA’s PSD permit issued for the Avenal Power natural gas-fired power plant in California that "grandfathered" the facility from having to meet greenhouse gas (GHG) and stricter conventional pollutant limits finalized during the permitting process. A three-judge panel found that the federal Clean Air Act requires EPA to ensure that proposed industrial projects comply with regulations in effect at the time of issuing a permit, not those when the permit application was first filed. The 9th Circuit’s Opinion can be accessed here.
SCOTUS Invalidates EPA’s Tailoring Rule; Upholds GHG BACT For "Anyway" Sources
On June 23, 2014, the U.S. Supreme Court rendered its decision in the Clean Air Act greenhouse gas (GHG) Prevention of Significant Deterioration (PSD) cases. The Supreme Court held that: (1) The Act neither compels nor permits U.S. EPA to adopt an interpretation of the Act requiring a source to obtain a PSD or federal Title V permit on the sole basis of its potential GHG emissions; and (2) U.S. EPA reasonably interpreted the Act to require sources that would need permits based on their emission of conventional pollutants to comply with the Best Available Control Technology (BACT) for GHG emissions. The opinion can be accessed here.
EPA Releases Proposed GHG Emission Standards For Existing Power Plants
On June 2, 2014, U.S. EPA announced the release of its highly anticipated proposed greenhouse gas (GHG) emission standards for existing power plants. The proposed rule will require existing power plants to reduce GHG emissions by an average of 30 percent from 2005 levels by 2030. Emission reduction targets will be set on a state-by-state basis taken into account reductions states have already made. The rule is expected to be completed by June 2015 and will give states up to one year to develop and submit implementation plans to EPA. In addition, states will have the ability to request extensions of up to two additional years to complete their plans. There will be a 120-day public comment period beginning on the date of publication in the Federal Register. There will be four public hearings across the country during the week of July 28, 2014. EPA’s proposed rule and associated Fact Sheets can be accessed here.
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