Additional EPA Rule on Reporting of Greenhouse Gas Emissions

The US Environmetnal Protection Agency (EPA) proposed on March 22, 2010 additional rules on the reporting of greenhouse gas emissions.  The EPA proposal modifies the Mandatory Greenhouse Gas Reporting Rule (MRR) to extend the data gathering and reporting requirements to oil and gas installations and equipment not previously covered.  Onshore and offshore petroleum and natural gas production, onshore natural gas processing plants, onshore natural gas transmission compression and underground storage, natural gas distribution and liquefied natural gas storage will be subject to the reporting requirements.  This means that any facility that emits 25,000 metric tons of CO2 equivalent must gather data as prescribed in the rules and submit reports to the EPA.  If the rules become final, the first reporting period would be calendar year 2011, with the report due March 31, 2012.  Significantly, the EPA proposes that all facilites that inject and sequester CO2 become subject to the reporting requirements.  All businesses that inject CO2 must report irrespective of the amount of CO2 involved.  The facilities affected by the proposed rules must collect data starting on January 1, 2011, if the EPA adopts the proposed rules.

Leave a comment