In the News

Republicans seek quick death of IRA methane fee

Lawmakers will introduce Congressional Review Act resolutions to undo administration rulemaking.

By Nico Portuondo
AS SEEN IN E&E NEWS

Reps. August Pfluger (R-Texas) and Jodey Arrington (R-Texas) at the Capitol in December. They are leading an effort to strike down EPA's rule implementing the Inflation Reduction Act methane fee. Francis Chung/POLITICO

ENERGYWIRE - Hill Republicans are seeking to roll back a key Inflation Reduction Act program regulating methane emissions from domestic natural gas producers.

GOP lawmakers say they'll introduce companion resolutions Tuesday in the House and Senate targeting EPA's rule requiringenergy producers to report methane emissions. As part of the program that originated in Democrats' 2022 climate law, producers could be subject to possible fees if their methane numbers don't meet federal standards.

"As part of his war on energy, former President Biden took radical steps to end fossil fuels during his administration which hurt the hardworking energy producers in my district who have worked diligently to increase production while fueling our allies abroad," said Rep. August Pfluger (R-Texas), who is leading the House CRA effort with Rep. Jodey Arrington (R-Texas).

The methane rule is a part of a suite of regulatory actions finalized by the Biden administration to address climate change and limit emissions of a greenhouse gas that is considered by many scientists to be a "super polluter."

The rule's finalization in November means it's vulnerable to being eliminated under the Congressional Review Act, which allows Congress to undo recent regulations under a fast-track process.

The fee would initially charge companies $900 for every excess ton of methane released. But even if the GOP targeted the EPA rule under the CRA, they would still need to enact separate legislation to repeal it fully. They may use the budget reconciliation process to do so.

Hill Republicans, and many fossil fuel groups, are particularly motivated to get rid of the fee. They have argued that the program amounts to an unfair tax on natural gas producers and that the fossil fuel industry already goes to great lengths to limit methane emissions.

“The Waste Emissions Charge is just another unnecessary and wasteful regulation levied by the Biden EPA to go after oil and gas — the lifeblood of our economy," said Arrington, chair of the House Budget Committee.

The Permian Basin Petroleum Association and Independent Petroleum Association of America have endorsed the measures, which were originally introduced last year.

Republican leaders are still sorting out which rules to target in the coming weeks. They killed more than a dozen during President Donald Trump's first term.

Several House Energy and Commerce Committee lawmakers are throwing their support behind the effort, including Republican Reps. Troy Balderson of Ohio, Gabe Evans of Colorado, Mike Carey of Ohio, Gary Palmer of Alabama, Dan Crenshaw of Texas, Dave Joyce of Ohio, Randy Weber of Texas and Nick Langworthy of New York.

Sen. Jon Hoeven (R-N.D.) is sponsoring the Senate version of the CRA.