Client Alert

EPA Proposes Additional Greenhouse Gas Reporting Requirements

April 19, 2010

  • Print
About Site Tools
Under a new Mandatory Greenhouse Gas Reporting Rule issued by Environmental Protection Agency (“EPA”) on October 30, 2009, beginning January 1, 2010, industries are required to begin annual reporting of greenhouse gas (GHG) emissions from large sources and fuel suppliers in the United States. The annual reporting requirement is intended to collect accurate and timely emission data to inform future policy decisions.
 
Under the Rule, suppliers of fossil fuels or industrial greenhouse gases, manufacturers of vehicles and engines, and facilities that emit 25,000 metric tons or more per year of GHG emissions are required to submit annual reports to EPA. The Rule became effective December 29, 2009. This action included reporting requirements for 31 categories of emission sources.
 
EPA's GHG reporting system will provide a better understanding of where GHGs are coming from and will guide development of the best possible policies and programs to reduce emissions. This comprehensive, nationwide emissions data will help in the fight against climate change.
 
On March 22, 2010, EPA issued four new proposed Rules that amend the Mandatory Greenhouse Gas Reporting Rule. These proposals will require reporting of emissions data from the following industries which are in bold:
  • Reporting of vented and fugitive methane (CH4) and carbon dioxide (CO2) emissions from petroleum and natural gas industry facilities emitting 25,000 metric tons or more of carbon dioxide equivalent per year.
  • Industries that emit fluorinated greenhouse gases, which include hydrofluorocarbons (HFCs), nitrogen trifluoride NF3), perfluorocarbons (PFCs), and sulfur hexafluoride (SF6). These industries include electronics manufacturing (including manufacture of semiconductors, photovoltaic cells, liquid crystal displays, and micro-electro-mechanical systems), fluorinated gas production, use of electric transmission and distribution equipment, imports and exports of equipment pre-charged with fluorinated GHGs or containing fluorinated GHGs in closed-cell foams, manufacture of electric transmission and distribution equipment.
  • Facilities that inject and store carbon dioxide (CO2) underground for the purposes of geologic sequestration or enhanced oil and gas recovery.
In addition, EPA has proposed to add new reporting requirements to the General Provisions (Subpart A) of the Rule. EPA plans to finalize all four of these proposals this year.
 
If you have any questions regarding this Client Alert, please contact Jimmy Kirkland via email (jkirkland@wcsr.com) or via telephone at (404) 879-2460 or the Womble Carlyle attorney with whom you work.
 
For a printer friendly version of this alert please click here.

Womble Carlyle client alerts are intended to provide general information about significant legal developments and should not be construed as legal advice on any specific facts and circumstances, nor should they be construed as advertisements for legal services.

IRS CIRCULAR 230 NOTICE: To ensure compliance with requirements imposed by the IRS, we inform you that any U.S. tax advice within this client alert is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transaction or matter addressed in a client alert.