Shale Law Weekly Review—Week of June 20, 2022

Air Quality: PA DEP Releases Rulemaking Proposal for VOC Emissions ⚡
On June 14, 2022, the Pennsylvania Department of Environmental Protection held a meeting and released a Final Rulemaking regarding volatile organic compound (VOC) emissions. It affects the following VOC sources, “storage vessels; natural gas-driven continuous bleed pneumatic controllers; natural gas-driven diaphragm pumps; reciprocating and centrifugal compressors; and fugitive emissions components.” In addition, the rulemaking includes EPA’s emission limits based on “reasonably available control technology,” otherwise known as RACT requirements. An executive summary can be found here. Next, the DEP will submit the rulemaking to the U.S. Environmental Protection Agency for approval.

Oil and Gas Regulations: DOE Issues Fourth Notice of Sale from Strategic Petroleum Reserve
On June 14, 2022, the U.S. Department of Energy issued its fourth Notice of Sale of 45 million barrels of crude oil from the Strategic Petroleum Reserve. According to the press release, the purpose of the sale is to improve oil supply and access which will in turn counteract rising energy costs.  Bids are due at 9:00am (ET) on June 28, 2022. Deliveries from this Notice of Sale will occur between August 16, 2022, and September 30, 2022.  The DOE also announced that barrels from contracts awarded for the previous Notice of Sale will be released between June 15, 2022, and July 31, 2022.

Oil & Gas Law & Policy Resources:

Sartain & Blakey, Royalty Obligations on Free-Use Gas Redux, (June 14, 2022)

John McFarland, Hlavinka v. HSC Pipeline Partnership – No Ordinary Condemnation Case, (June 15, 2022)

Romany Webb, ELECTRIC RESILIENCE TOOLKIT: A COMPILATION OF RESOURCES TO ENHANCE CLIMATE RESILIENCE PLANNING BY ELECTRIC UTILITIES, (June 16, 2022)

Sharon Cho, Oil Set for Weekly Loss as Traders Weigh Monetary Tightening, (June 17, 2022)

Follow us on Twitter @AgShaleLaw—Top #ShaleLaw HotLinks June 11, 2022-June 17, 2022:

Freeport LNG plant blast adds to strain on global supplies (Reuters)

US Firms Secure 19 Deals to Export Liquified Natural Gas, Driven in Part by the War in Ukraine (Inside Climate News)

High Oil and Gas Prices Test Drive a Global Carbon Tax (Wall Street Journal)

Pa. DEP splits up long-stalled oil and gas air pollution rule (Pittsburgh Post-Gazette)

Over 100 N.M. oil companies violated methane reporting rules (E&E News)

Connect with us on Facebook.  Every week we post the CASL Ledger detailing our publications and activities from the week. 

FEDERAL ACTIONS—EXECUTIVE & LEGISLATIVE

U.S. DEPARTMENT OF ENERGY

DOE Announces $39 Million for Research and Development to Turn Buildings into Carbon Storage Structures (June 13, 2022)

DOE Announces Contract Awards and Issues Fourth Emergency Sale of Crude Oil From the Strategic Petroleum Reserve (June 14, 2022)

FEDERAL EXECUTIVE AGENCIES (Federal Register June 12 – June 17, 2022):

Energy Department

87 FR 35925: Proposed Rule, Comments Period End 7/14/22: “Energy Conservation Program: Energy Conservation Standards for Miscellaneous Gas Products” (June 14, 2022).

Environmental Protection Agency

87 FR 35711: Proposed Rule, Comment Period Ends 7/28/22: “Renewable Fuel Standard (RFS) Program: Alternative RIN Retirement Schedule for Small Refineries” (June 13, 2022).

87 FR 36096: Proposed Rule: Comment Period Ends 7/15/2022: “Approval and Promulgation of Implementation Plans; New York; Oil and Natural Gas Control Measures” (June 15, 2022).

Other Agencies

87 FR 36654; Proposed Rule, Comments Period Ends 8/16/22: “Enhanced Disclosures by Certain Investment Advisers and Investment Companies About Environmental, Social, and Governance Investment Practices” (June 17, 2022).

87 FR 36376: Notice, Comments Period Ends 7/18/22: “Agency Information Collection Activity; Continue To Collect Information: Oil and Gas Industry Safety Data Program” (June 16, 2022).

87 FR 36201: Notice: “Hours of Service of Drivers: Pipe Line Contractors Association; Application for Exemption” (June 15, 2022).

U.S. HOUSE ENERGY AND COMMERCE COMMITTEE

H.R.8052 “Global Nuclear Energy Assessment and Cooperation Act” Referred to the Committee on Energy and Commerce, and in addition to the Committee on Foreign Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned. (June 14, 2022).

H.Res.1184 “Urging the use of the Defense Production Act of 1950 to expand short-term refinery capacity.” Referred to the Committee on Energy and Commerce, and in addition to the Committee on Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned. (June 16, 2022).

H.R. 575 “Promoting Cross-border Energy Infrastructure Act” Motion to Discharge Committee filed by Mr. Mullin. Petition No: 117-15. (Discharge petition text with signatures.) (June 14, 2022).

U.S. SENATE ENERGY AND NATURAL RESOURCES COMMITTEE

S.4420 “A bill to provide for advancements in carbon removal research, quantification, and commercialization, including by harnessing natural processes, and for other purposes.” Read twice and referred to the Committee on Energy and Natural Resources. (Sponsor introductory remarks on measure: CR S3004-3005). (June 16, 2022).

STATE ACTIONS—EXECUTIVE & LEGISLATIVE

PENNSYLVANIA DEPT. OF ENVIRONMENTAL PROTECTION PRESS RELEASES

Dept. of Environmental Protection: “DEP to Host Public Hearing Regarding Proposed Prompt Interim Response for Benner Township PFAS Investigation” (June 15, 2022).

PENNSYLVANIA EXECUTIVE AGENCIES (Pa. Bulletin Vol. 52, No. 25- June 18, 2022)

52 Pa.B 3567: “Environmental Assessment Approval for PENNVEST Funding Consideration” Clean Water and Drinking Water State Revolving Fund Projects for July 20, 2022, Pennsylvania Infrastructure Investment Authority (PENNVEST) Board meeting consideration (June 18, 2022).

PENNSYLVANIA LEGISLATURE

HB 2104: “Responsible Decommissioning of Solar/Wind Energy Facilities” Removed from table. (June 15, 2022)

HB 1161: “PA Local Solar Legislation (Prior HB 1970)” Third consideration and final passage, (June 14, 2022)

Written by:
Kendal Ashman, Research Assistant
Ethan Durand, Research Assistant
Jackie Schweichler, Staff Attorney