March 10, 2009
EPA Issues Proposed Mandatory Greenhouse Gas Reporting Rule
The Environmental Protection Agency, on March 10, 2009, issued a proposed rule for a mandatory federal greenhouse gas reporting program. The new reporting requirements would apply to suppliers of fossil fuels and industrial chemicals, manufacturers of motor vehicles and engines, as well as direct emitters of greenhouse gases with emissions equal to or greater than a threshold of 25,000 metric tons per year. The EPA estimates that approximately 13,000 facilities would be covered under the reporting program.
EPA indicated that in developing the program they considered work underway in many states and regional initiatives as well as voluntary programs. Seventeen states have developed, or are developing, mandatory GHG reporting rules. Reporting requirements have taken effect in 12 states as of 2009, the remaining are set to begin in 2010 or 2011. However, the proposed rule includes manufacturers of mobile sources and engines as required to report emissions from the vehicles and engines they produce, generally in terms of an emission rate, which is not typical in the reporting schemes considered by the agency.
The gases covered by the proposed rule are carbon dioxide (CO2), Methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFC), perfluorocarbons (PFC), sulfur hexaflouride (SF6), and other fluorinated gases including nitrogen trifluoride (NF3) and hydrofluorinated ethers (HFE). The public has 60 days to comment on the proposed rule after it is published in the federal register. Comments are likely to address the mobile source requirement, the cost associated with the frequency and verification of reports included in the proposal and the thresholds for reporting.
For more information on EPA's proposed rule on the mandatory reporting of greenhouse gases, please contact Kristina M. Tridico, a partner in Ice Miller's environmental and business groups, and chair of the Green Industries Initiative, at Kristina.Tridico@icemiller.com or (317) 236-2266.
This publication is intended for general information purposes only and does not and is not intended to constitute legal advice. The reader must consult with legal counsel to determine how laws or decisions discussed herein apply to the reader's specific circumstances. |