Biden’s Methane Fee Takes Aim at Oil Industry Pollution
- Congress mandated charge on methane waste in 2022 climate law
- Plugged wells and lower-emitting sites would be exempted
The Environmental Protection Agency estimates its proposal would have marginal effects on energy production and prices.
Photographer: Patrick Hamilton/BloombergThis article is for subscribers only.
The Biden administration on Friday unveiled its plan for a new fee on methane emissions from the oil and gas industry it says will prod companies to move more rapidly to stifle leaks of the potent greenhouse gas.
The fee — as much as $1,500 per metric ton in 2026 — was mandated by Congress as part of the 2022 Inflation Reduction Act, but lawmakers left key details up to the EPA, including how charges will be calculated and what companies can do to win exemptions.