The roadmap is not inclusive of all potential requirements but is a good starting point for LNG operators seeking to permit a new liquefaction plant or identify potential compliance requirements. For this reason, not all LNG projects apply for the same permits or are subject to the same requirements.” As a result, it is challenging for operators to know exactly what their compliance requirements are. LNG facility operators in the U.S., however, are subject to a complex web of federal, state, and local regulations and compliance obligations related to emissions. LNG with their percentage of total exports include The Netherlands (14%), France (11%), United Kingdom (10%), Japan (7%), and South Korea (6%). As regulatory scrutiny intensifies, especially concerning methane and greenhouse gases, LNG operators must navigate a complex web of federal, state, and local requirements while maintaining safe, efficient operations. Elevate compliance with state and federal energy mandates using our financial grade benchmarking software.
Given the complexity of the regulatory landscape, seeking expert advisory is highly recommended to ensure full compliance. This gives operators the ability to identify issues before they become violations. We understand the operational and regulatory demands of the energy sector and leverage that expertise to develop and execute effective permitting strategies for even the most complex projects. Encino helps operators move from reactive compliance to proactive emissions management and performance.
NRECA said the rules violate the law, exceed EPA’s authority and mandate “the widespread adoption of technologies that are promising, but not ready for prime time.” Timelines are also unrealistic, the group said. While it allows an additional two years for power plants to comply with emissions restrictions, the final rule also contains changes to which plants are required to comply. For new natural gas plants, the final rule expands the definition of baseload plants to those operating above a 40% capacity factor, as opposed to the 50% initially proposed. To learn more about the regulations and guidelines for each industry, just click on the links below.
- These targets cover utilities of all types, sizes, and geographies, and the commitments range from achieving a 100% renewable energy supply by 2025 to reaching net-zero GHG emissions by 2050.
- It also ensures the integrity of your ESG reporting automation outputs.
- In April, the US Environmental Protection Agency released four regulations on pollution from fossil fuel–fired power plants.
- EPA Assistant Administrator for Air and Radiation, Joseph Goffman, argued that the rule governing greenhouse gas emissions aligns with West Virginia v. EPA.
- The impact of the change was immediate; the PSC and stakeholders referenced the new, expanded mandate in cases and hearings, even before the legislation came into effect in March 2019.
Common Compliance Challenges and Risks in Utilities Compliance
Maryland has a pending bill that follows the DC model, and includes a new provision to ensure a fair labor transition. EPA proposed an update last year under Section 111(b) that also includes standards for new natural gas–fired power plants; the agency has been meeting with stakeholders regarding these changes for more than two and a half years. Whether these mandates are already operational in your locale or poised for future enactment, our guide ensures your business is informed, prepared, and proactive in its environmental responsibilities. It centralizes policy lifecycles, tracks evolving energy efficiency standards, and ensures contractors meet audit-ready documentation and mitigation protocols. On April 25, 2024, EPA used its Clean Water Act authority and issued a final rule implementing stricter wastewater discharge standards, known as Effluent Limitation Guidelines (ELGs), for coal-fired power plants.
These requirements protect consumers, promote safety, and ensure reliable service delivery. Download our E360 Business Solutions Guide to learn how your business can transform its operations for better energy, operational efficiency, and indoor air quality. This law sets forth new standards to reduce greenhouse gas emissions by adopting LEED certification requirements for building and renovation projects carried out by state agencies.
Whether you’re preparing for new methane rules, upgrading monitoring systems, or navigating permitting, Encino can help you build a smarter, more resilient compliance strategy. With the right systems in place, compliance becomes a driver of performance, not a constraint. The EUMR is an evolving issue, and we expect further clarification from regulators as the effective date approaches.
The final rule abandons the proposal to provide an alternative compliance route through co-firing with hydrogen or other low GHG-emitting fuels. Thus, the final rule applies NSPS only to new and modified or reconstructed gas-fired combustion turbine EGUs. At a high level, the final rule requires reduction of GHG emissions through efficiency requirements for new and modified gas-fired combustion turbines, the phase-out of coal-fired plants, and capture and storage of 90% of carbon dioxide emissions from base load EGUs. The final rule, commonly referred to as the Greenhouse Gas Standards and Guidelines for Power Plants, will become effective 60 days after publication in the Federal Register. Clients should work closely with their state and regulators to incorporate all regulatory flexibilities when implementing the requirements of the rule.
The needed clarity will not come until the rules are revised to address the realities of the US natural gas value chain.” Will Jordan, EQT’s chief legal and policy officer told S&P Global “The rules as currently designed make it impossible for any US operator, even ones like EQT, to have confidence that they will qualify. Their experts work directly with your team to ensure full alignment between operations and regulatory requirements.
- Coal-fired plants that will cease operation by 2032 are exempt from the final rule.
- She also noted that EPA’s final rules are not the end point for considering environmental justice, as the states are required to engage with stakeholders who may prioritize these issues.
- Non-compliance with these standards exposes utilities to cyber intrusions, operational failures, and consequent grid outages.
- At a high level, the final rule requires reduction of GHG emissions through efficiency requirements for new and modified gas-fired combustion turbines, the phase-out of coal-fired plants, and capture and storage of 90% of carbon dioxide emissions from base load EGUs.
- As states look for mechanisms to deliver on the growing wave of carbon and renewable energy commitments, altering the PUC mandate is a lesser-known but highly effective, no cost, and immediate solution.
- Preparation starts 3-6 months in advance via gap analysis, documentation updates, and staff training to ensure readiness.
EPA announced its long-awaited final rule amending the coal combustion residuals (CCR) regulations to address inactive surface impoundments (aka coal-ash ponds) at inactive coal-fired power plants, referred to as “legacy CCR surface impoundments” (the Legacy CCR Rule). For electricity networks, scope 1 typically includes emissions from owned power generation activities, such as burning fossil fuels like coal, natural gas, or oil to generate electricity. Climate change is not just altering our ecosystems, it is transforming consumer behavior, policy trends, and global markets.
New natural gas–fired power plants are subject to different specific standards under 111(b) depending on their capacity factor (i.e., how often they run). In brief, Section 111(d) mandates that existing coal plants will cease operations by either 2032 or 2039 (if the power plant co-fires with natural gas), unless the facility manages to reduce carbon dioxide emissions by 90 percent, likely through carbon capture and sequestration. As RFF’s newly appointed President and CEO Billy Pizer noted, “111(d) is the big enchilada here.” The 111(d) provision refers to the new standards for existing coal- and natural gas–fired power plants under the Clean Air Act, Section 111(d). To help unpack these rules, Resources for the Future (RFF) held a recent webinar that highlighted input and insights https://neuralooms.com/articles/climate-change-current-status-future-prospects/ from various scholars and regulators who have been tracking the developments.
Cleartace’s platform has already been working to answer these challenges, which can enable your teams to focus on what’s critical. Note, the current proposed rule language does include Scope 3 requirements. In Spring 2024, the SEC is poised to release its long-awaited final rules requiring climate-focused disclosures. Reporting requirements for local regulations https://scivast.com/articles/analysis-energy-storage-systems/ like New York’s Local Law 97 and Boston’s Building Emissions Reduction Ordinance (BERDO) are also coming up quickly and Seattle passed similar legislation through the new Building Emissions Performance Standard (BEPS). If your company is required to report greenhouse gas emissions or chooses to analyze its carbon footprint, you may need information about natural gas delivered by Upper Michigan Energy Resources.