From: Energy Global | Hydrocarbon Engineering
Adapted from press release by Francesca Brindle
According to a new report commissioned by the American Council for Capital Formation (ACCF), the supposed benefits of the US Environmental Protection Agency’s (EPA) proposed rule for methane and volatile organic compounds emissions from the oil and gas sector, could be based on assumptions that are not reasonable and not sufficiently reviewed to be used to support regulatory policy making.
The study, conducted by NERA Economic Consulting, analysed the EPA’s use of the social cost of methane in its proposed changes to emissions standards for the oil and natural gas sector. The study found that under reasonable assumptions the EPA’s proposed methane rule could lead to net costs instead of net benefits.