Midstream

Biden EPA Announces Finalized Methane Tax as Trump moves to staff incoming administration

The Biden administration announced final rules for the Methane Waste Emission Charge during the United Nation’s climate conference in Baku, Azerbaijan.

While the association continues to review how the agency responded to comments, the fact remains that beneficial uses of methane in midstream operations are still penalized as waste and the “off ramp” intended in the law for good actors that comply with other air regulations does not exist.

The final rule was published in the Federal Register on Nov. 18, 2024 with an effective date of Jan. 17, 2025.

The GPA Midstream Environmental Committee actively engaged as this process played out, including drafting comments for the proposed rule submitted in March, meeting with the Environmental Protection Agency while final rules were drafted, and meeting with the Office of Management and Budget in October to discuss the enormous costs and flaws in the submitted rule.

The rule will be subject to the look back window for the Congressional Review Act with the incoming Congress, and the sections of the law establishing the Waste Emissions Charge, from the Inflation Reduction Act — which passed under a single-party budget reconciliation vote — should be ripe for repeal with a simple majority vote in the Senate in 2025.

Trump Administration Nominates Key Agency Appointments

The Trump administration is assembling an incoming cabinet with Lee Zeldin nominated to lead EPA, Doug Burgum to lead the Department of the Interior, and Chris Wright to lead the Department of Energy.

Burgum will also oversee the newly formed National Energy Council in the White House, tasked with cutting unnecessary regulations, spurring energy innovation and overseeing a policy to support U.S. energy dominance and diplomacy.

North Dakota Governor Doug Burgum has been nominated to lead the Trump administration's Department of Interior and the White House's newly formed National Energy Council.

As nominees go through the confirmation process, GPA Midstream members will hear what actions they will take to promote U.S. energy production and necessary midstream activities.  

As these nominees and other appointees come into federal service, GPA’s advocacy efforts will include educating regulators on the unique challenges midstream operators face, as GPA Midstream remains the only organization exclusively dedicated to representing midstream issues.