Today the EPA will announce its plan to implement national standards for methane emissions from oil and gas operations. It is expected that the Agency will seek to cut methane emissions from 2012 level by up to 45% by the year 2025.
With oil and gas operators already suffering from low commodity prices, there can be a legitimate concern about the impact of additional regulations – regulations that undoubtedly will increase operational costs – on oil and gas operators already operating at the margins. With the current economic conditions for operators, additional regulations could profoundly impact the industry and the economy as a whole.
Policy makers should be cognizant of these impacts, and be aware that additional regulations, now more than ever, can be a significant weapon by some whose objective is the cessation of any oil and gas drilling.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
