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API: BLM’s new rules could stifle energy developments

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Hydrocarbon Engineering,

According to the API, The Bureau of Land Management’s (BLM) new proposed rules for venting and flaring could stifle energy development on federal lands with few benefits.

“We share the desire to reduce emissions and are leading efforts because capturing more natural gas helps us deliver more affordable energy to consumers,” said API Director of Upstream and Industry Operations, Erik Milito. “The incentive is built-in, and existing BLM guidelines already require conservation. Another duplicative rule at a time when methane emissions are falling and on top of an onslaught of other new BLM and EPA regulations could drive more energy production off federal lands. That means less federal revenue, fewer jobs, higher costs for consumers, and less energy security.

“The goal is to prevent emissions, not impede US energy production. The BLM should focus on fixing permitting, infrastructure and pipeline delays that slow our ability to capture more natural gas and get it to consumers.

“Federal data show crude oil production remained flat between 2009 and 2014 on federally controlled land while natural gas production declined 35%. By contrast, on private and state lands, where development does not need permission from the federal government, production increased 88% for crude and 43% for natural gas. These dramatically different trend lines are in large part a function of failed energy policy, not geology.

“We also encourage the administration and Congress to re-examine the avalanche of new regulations now under consideration or court review. America’s energy revolution has created valuable economic opportunities for millions of US workers and consumers at the same time we’ve cut carbon emissions to near 20 year lows. We call it the US model, and we should build on that progress, not stifle it with unnecessary new regulations.

“API will continue to work with BLM to show how industry leadership is already reducing emissions without new regulations.”

Adapted from press release by Francesca Brindle

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