API: BLM adds to regulatory onslaught with unnecessary new rules

WASHINGTON, January 22, 2016 – The Bureau of Land Management’s (BLM) unnecessary proposed rules for venting and flaring could stifle energy development on federal lands with few benefits, according to API. 

“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 U.S. 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 percent. By contrast, on private and state lands, where development does not need permission from the federal government, production increased 88 percent for crude and 43 percent 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 reexamine the avalanche of new regulations now under consideration or court review. America’s energy revolution has created valuable economic opportunities for millions of U.S. workers and consumers at the same time we’ve cut carbon emissions to near 20-year lows. We call it the U.S. 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.”

API is the only national trade association representing all facets of the oil and natural gas industry, which supports 9.8 million U.S. jobs and 8 percent of the U.S. economy. API’s more than 650 members include large integrated companies, as well as exploration and production, refining, marketing, pipeline, and marine businesses, and service and supply firms. They provide most of the nation’s energy and are backed by a growing grassroots movement of more than 30 million Americans.