Friday, October 23, 2009

Information on Final Mandatory Reporting of Greenhouse Gases Rule

In response to the FY2008 Consolidated Appropriations Act (H.R. 2764; Public Law 110–161), the United States Environmental Protection Agency (EPA) has issued the Final Mandatory Reporting of Greenhouse Gases Rule.

The rule requires reporting of greenhouse gas (GHG) emissions from large direct emitters, fossil fuel suppliers and industrial gas suppliers in the United States, and is intended to collect accurate and timely emissions data to inform future policy decisions.

The rule requires that reporters begin collecting data on January 1, 2010 with the first annual reports due to EPA on March 31, 2011.

A copy of the final rule, fact sheets and other information can be found at: www.epa.gov/climatechange/emissions/ghgrulemaking.html.

Please note:
1. Subpart W — Oil and Natural Gas Systems is not included in the final rule referenced above. EPA received many comments in regard to subpart W in the Proposed Rule released for comment on April 10, 2009. In order to carefully consider and respond to these comments, EPA did not include subpart W in the final greenhouse gas reporting rule.
2. EPA will issue a proposed rule for public comment as it pertains to oil and natural gas systems. The goal is to have this proposed rule finalized such that data collection can begin on January 1, 2011.
3. Due to this delay, oil and natural gas sector companies will not be required to submit mandatory reports for fugitive and vented methane emissions covering calendar year 2010. The oil and natural gas industry must, however, comply with all other applicable subparts as published in the final greenhouse gas reporting rule.
4. EPA will host a number of in-person and Web-based training sessions for people involved with reporting under the Mandatory Reporting of Greenhouse Gases Rule. Individuals interested in attending any of the sessions must register in
advance as space is limited. Please visit www.epa.gov/climatechange/emissions/training.html for more information and to register.
5. The Natural Gas STAR Program has included a 90 minute session on oil and natural gas-specific issues related to the Final Mandatory Reporting of Greenhouse Gases Rule at the Natural Gas STAR Annual Implementation Workshop. Key EPA staff will present an overview of the Mandatory Reporting of Greenhouse Gases Rule and will be available to answer questions.

For registration and additional workshop information, please visit the Natural Gas STAR Web site at: http://epa.gov/gasstar/workshops/annualimplementation/2009.h

EPA Issues Greenhouse Gas Rule

The federal EPA has issued its final rule that mandates annual reporting of greenhouse gas (GHG) emissions from several sectors of US industry.

Effective Jan. 1, 2010, many US industrial facilities will have to start tracking their greenhouse gas emissions. The gas emissions that will have to be tracked include carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons, sulfur hexafluoride (SF6) and others.

The EPA estimates that about 13,000 industrial facilities nationwide will be regulated under this new rule. Specific industries that will be required to track and report GHG emissions include electric power generation, cement manufacturing, glass makers, iron/steel/ferroalloy producers, lime producers, oil refiners, petrochemical processors, pulp and paper, most suppliers of industrial gases and others.

In addition, large stationary fuel combustion sources like industrial boilers, furnaces and ovens will be affected regardless of the industry in which they are used. This requirement falls only on facilities with aggregate stationary fuel combustion sources that have a total rated capacity of 30 million BTU/hr or greater and that have the potential to emit over 25,000 MTs of CO2 equivalent (CO2e) per year.

However, the rule applies regardless of fuel type (coal, natural gas, propane, heating oil, residual fuel, bio-fuels, etc.). Affected facilities will have to submit their first reports to the EPA for the calendar year 2010 by March 31, 2011 and annually thereafter. These facilities will have to come up with estimates of their GHG emissions and most will have to speciate their emissions (i.e., they cannot just group all GHGs together).

EPA is expected to develop some estimating tools but these are not yet available except for certain industries. EPA is offering a series of webinars on the Rule and how to comply with it.

For complete details go to: www.epa.gov/climatechange/emissions/ghgrulemaking.html