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Think energy is unaffordable now?

The facts remain: Pennsylvania is the nation’s second-largest producer of natural gas, and the tri-state region is the world’s fourth largest producer. Both small “conventional” wells and large “unconventional” shale wells supply the state affordable and reliable energy.

That could change drastically for tens of thousands of families in 2029 if the Department of Environmental Protection implements a federal methane reduction rule known as Subpart OOOOc in a rigid manner.

Subpart OOOOc imposes sweeping new monitoring, reporting, and equipment mandates to reduce oil and gas methane emissions, but it does so by treating conventional wells similarly to shale wells, despite vast differences in production levels, emissions profiles, operating margins, and infrastructure.

Pennsylvania has roughly 100,000 conventional wells, some more productive than others. Individually, these wells are small in total volume of energy produced. Taken collectively, however, they feed gas distribution systems serving Pennsylvania’s rural areas and provide a steady supply of energy during periods of peak demand.

These wells also account for less than 1% of U. S. greenhouse gas emissions, by most estimates. Applying a “one-size-fits-all” methane rule for these wells would be completely unaligned with emissions values, production levels, and economic reality.

EPA estimates that the monitoring and compliance obligations under Subpart OOOOc can cost thousands of dollars per site annually, regardless of output, resulting in the potential that operators of small, conventional wells will be forced to comply at a financial loss or shut in production. This could in turn force wells to close prematurely, weakening Pennsylvania’s energy infrastructure and driving up energy costs.

Pennsylvania’s oil and natural gas sector has already delivered substantial emissions reductions, particularly with the huge transition from the use of coal for electricity generation. That progress was achieved through pragmatic and coordinated federal and state policies that paired strong environmental standards with economic viability and lower energy costs. DEP’s approach to Subpart OOOOc would do the exact opposite of those common sense approaches.

Importantly, the federal rule includes provisions allowing states to tailor regulatory requirements for economically disadvantaged facilities. States can conduct economic analyses to permit facilities to use already existing and effective methane monitoring and capture techniques, rather than follow the costly mandates of Subpart OOOOc.

The Shapiro administration has so far refused to consider “right-sizing” Subpart OOOOc into more effective and manageable requirements for Pennsylvania’s industry and its citizens. Without question, this refusal will lead to environmental and economic hardships well beyond reducing a tiny amount of methane emissions.

This is an argument for smarter energy policy, not skirting reasonable regulations or accountability. Pennsylvania has balanced energy production and environmental protection before. Treating oil and natural gas as liabilities rather than assets risks higher costs and greater price volatility. Without action by the Governor and DEP to soften Subpart OOOOc’s impact, energy will become less reliable and less affordable for Pennsylvanians.

Daniel J Weaver is president and executive director of Pennsylvania Independent Oil & Gas Association.

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