Sec. 30114. Methane emissions reduction program
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/bill/117/hr/5376/eh/section-30114·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
The Clean Air Act is amended by inserting after section 135 of such Act, as added by section 30108 of this Act, the following: In addition to amounts otherwise available, there is appropriated to the Administrator for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $775,000,000, to remain available until September 30, 2028— for grants, rebates, contracts, loans, and other activities of the Environmental Protection Agency for the purposes of providing financial and technical assistance to owners and operators of applicable facilities to prepare and submit greenhouse gas reports under subpart W of part 98 of title 40, Code of Federal Regulations (or any successor regulations); for grants, rebates, contracts, loans, and other activities of the Environmental Protection Agency authorized under subsections
(a)through
(c)of section 103 for methane emissions monitoring; for grants, rebates, contracts, loans, and other activities of the Environmental Protection Agency for the purposes of providing financial and technical assistance to reduce methane and other greenhouse gas emissions from petroleum and natural gas systems, mitigate legacy air pollution from petroleum and natural gas systems, and provide support for communities, including funding for— improving climate resiliency of communities and petroleum and natural gas systems; improving and deploying industrial equipment and processes that reduce methane and other greenhouse gas emissions and waste; supporting innovation in reducing methane and other greenhouse gas emissions and waste from petroleum and natural gas systems; mitigating health effects of methane and other greenhouse gas emissions, and legacy air pollution from petroleum and natural gas systems in low-income and disadvantaged communities; and supporting environmental restoration; and to cover all direct and indirect costs required to administer this section, including the costs of implementing the waste emissions charge under subsection (b), preparing inventories, gathering empirical data, and tracking emissions. The Administrator shall impose and collect a charge on methane emissions that exceed an applicable waste emissions threshold under subsection
(e)from an owner or operator of an applicable facility that is required to report methane emissions pursuant to subpart W of part 98 of title 40, Code of Federal Regulations (or any successor regulations). For purposes of this section, the term applicable facility means a facility within the following industry segments, as defined in subpart W of part 98 of title 40, Code of Federal Regulations (or any successor regulations): Offshore petroleum and natural gas production. Onshore petroleum and natural gas production. Onshore natural gas processing, Onshore natural gas transmission compression. Underground natural gas storage. Liquefied natural gas storage. Liquefied natural gas import and export equipment. Onshore petroleum and natural gas gathering and boosting. Onshore natural gas transmission pipeline. The amount of a charge under subsection
(b)for an applicable facility shall be equal to the product obtained by multiplying— the number of tons of methane emissions reported pursuant to subpart W of part 98 of title 40, Code of Federal Regulations (or any successor regulations) for the applicable facility that exceed the applicable annual waste emissions threshold listed in subsection
(e)during the previous reporting period; and $900 for emissions reported for calendar year 2023; $1200 for emissions reported for calendar year 2024; or $1500 for emissions reported for calendar year 2025 and each year thereafter. With respect to imposing and collecting the charge under subsection
(b)for an applicable facility in an industry segment listed in paragraph
(1)or
(2)of subsection (c), the Administrator shall impose and collect the charge on the reported tons of methane emissions that exceed— 0.20 percent of the natural gas sent to sale from such facility; or 10 metric tons of methane per million barrels of oil sent to sale from such facility, if such facility sent no natural gas to sale. With respect to imposing and collecting the charge under subsection
(b)for an applicable facility in an industry segment listed in paragraph (3), (6), (7), or
(8)of subsection (c), the Administrator shall impose and collect the charge on the reported tons of methane emissions that exceed 0.05 percent of the natural gas sent to sale from such facility. With respect to imposing and collecting the charge under subsection
(b)for an applicable facility in an industry segment listed in paragraph (4), (5), or
(9)of subsection (c), the Administrator shall impose and collect the charge on the reported tons of methane emissions that exceed 0.11 percent of the natural gas sent to sale from such facility. Charges shall not be imposed pursuant to paragraph
(1)on emissions that exceed the waste emissions threshold specified in such paragraph if such emissions are caused by unreasonable delay in environmental permitting of gathering infrastructure. The charge under subsection
(b)shall be imposed and collected beginning with respect to emissions reported for calendar year 2023 and for each year thereafter. In addition to other authorities in this Act addressing air pollution from the oil and natural gas sectors, the Administrator may issue guidance or regulations as necessary to carry out this section. Not later than 2 years after the date of enactment of this section, and as necessary thereafter, the Administrator shall revise the requirements of subpart W of part 98 of title 40, Code of Federal Regulations— to reduce the facility emissions threshold for reporting under such subpart and for paying the charge imposed under this section to 10,000 metric tons of carbon dioxide equivalent of greenhouse gases emitted per year; and to ensure the reporting under such subpart, and calculation of charges under subsections
(d)and
(e)of this section, are based on empirical data and accurately reflect the total methane emissions and waste emissions from the applicable facilities. A facility owner or operator’s liability for payment of the charge under subsection
(b)is not affected in any way by emission standards, permit fees, penalties, or other requirements under this Act or any other legal authorities. .