GHG Mitigation under the Clean Air Act
GHG Mitigation under the Inflation Reduction Act
Note: More information on EPA’s climate-related spending programs under the Inflation Reduction Act (IRA) is available at IRATracker.org.
Methane Emissions Reduction Program
Section 60113 of the Inflation Reduction Act (IRA) amended the Clean Air Act to add a new section 136 on “methane emissions and waste reduction incentive program for petroleum and natural gas systems.” Among other things, the new provision requires EPA to collect a charge from oil and gas producers for methane emissions that exceed specified thresholds beginning with emissions from 2024. The methane emissions charge starts at $900 per metric ton of methane emitted above the set threshold in 2024 and rises to $1,200 in 2026. Facilities will not be required to pay the charge if they are in compliance with regulations adopted pursuant to section 111(b) and (d) of the Clean Air Act and EPA determines that compliance with those regulations will result in equivalent or greater emissions reductions as would have been achieved if emissions controls proposed by EPA in November 2021 had been finalized and implemented.
On May 19, 2025, EPA withdrew its November 18, 2024 rule on implementing and facilitating compliance with the Waste Emissions Charge in the Clean Air Act's (CAA) Methane Emissions Reduction Program. President Trump recently signed into law a joint resolution of disapproval of the November 2024 Final Rule. In accordance with the Congressional Review Act, EPA withdrew the rule.
Second Trump Administration (2025-2028)
On May 19, 2025, EPA withdrew its November 18, 2024 rule on implementing and facilitating compliance with the Waste Emissions Charge in the Clean Air Act's (CAA) Methane Emissions Reduction Program. President Trump recently signed into law a joint resolution of disapproval of the November 2024 Final Rule. In accordance with the Congressional Review Act, EPA withdrew the rule.
On February 27, 2025, Congress passed H.J. Res. 35, a joint resolution of disapproval under the Congressional Review Act to void EPA's final rule on methane waste emissions, which it issued pursuant to section 60113 of the Inflation Reduction Act (IRA). 89 Fed. Reg. 91,094 (Nov. 18, 2024). President Trump signed it into law on March 14, 2025.
Biden Administration (2021-2024)
On November 18, 2024, EPA published a final rule to implement the IRA’s methane emissions charge. 89 Fed. Reg. 91,094 (Nov. 18, 2024). The proposed Waste Emissions Charge follows the IRA’s directive to incentivize the adoption of industry best practices that reduce pollution. It also discusses how the charge will be implemented, from the calculation of the charge to the application of exemptions.
- Final Rule, 89 Fed. Reg. 91,094 (Nov. 18, 2024
- Proposed Rule, 89 Fed. Reg. 5,318 (Jan. 26, 2024)