Posted on March 31, 2010 by Kelly Becker

Proposed EPA Rules Would Subject Oil and Gas Sources to Mandatory Reporting of Greenhouse Gas Emissions

By Stepehen Wiegand

In October 2009, EPA promulgated the Mandatory Reporting of Greenhouse Gases Rule. This rule required reporting of greenhouse gas emissions from a number of large sources including suppliers of fossil fuels or industrial greenhouse gases, manufacturers of vehicles and engines, and certain facilities that emit 25,000 metric tons or more per year of greenhouse gas emissions.

On March 22, 2010, EPA announced proposed rules to amend the Mandatory Reporting of Greenhouse Gases Rule to cover additional sources including petroleum and natural gas facilities emitting 25,000 metric tons or more of greenhouse gas emissions. Covered facilities would include onshore petroleum and natural gas production, offshore petroleum and natural gas production, onshore natural gas processing, natural gas transmission, underground natural gas storage, liquefied natural gas storage, liquefied natural gas import and export facilities, and natural gas distribution facilities. The proposed rules would require the reporting of fugitive and vented methane and carbon dioxide emissions, including carbon dioxide, methane, and nitrous oxide combustion emissions from flares.

In addition to the oil and natural gas sector, EPA is also proposing to collect emissions data from industries that emit fluorinated gases and from facilities that inject and store carbon dioxide underground for the purpose of geological sequestration or enhanced oil and natural gas recovery.

Under the proposed rules, the newly covered sources are required to begin collecting emissions data on January 1, 2011 and are required to submit the first annual reports to EPA on March 31, 2012.

The public comment period on the proposed rules will extend for 60 days after EPA’s publication of the proposed rules in the Federal Register. Additionally, two public hearings are currently scheduled on the proposed rules – April 19, 2010 in Arlington, Va. and April 20, 2010 in Washington, D.C.

For more information on the proposed rules, see:www.epa.gov/climatechange/emissions/proposedrule.html

 

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Posted on March 31, 2010 by Kelly Becker

Federal Judge Grants Motions to Dismiss Terrebonne Assessor's Ad Valorem Tax Suits

By Kelly Becker

Federal Judge Ginger Berrigan issued a comprehensive Order and Reasons addressing and granting a series of motions to dismiss filed by oil and gas company defendants, and individual executive officer defendants, all of which were pending in the consolidated federal court Bonvillain Terrebonne Parish ad valorem tax suits. The Court gave Assessor Bonvillain ten days to file amended complaints to cure, if he can, the number of deficiencies pointed out in the opinion. As to all defendants, the majority of whom were represented by Liskow & Lewis, the Court examined and ruled on three primary issues: (1) finding that the Assessor lacks state law standing to assert claims to recover tax amounts allegedly due the Parish of Terrebonne/tax fraud claims; (2) finding that the Assessor lacks RICO standing; and (3) finding that the Assessor failed to meet the requirement to plead fraud claims with particularity. The Court also dismissed several individual defendants named in the suits based upon lack of personal jurisdiction over the individual. Bonvillain has until Thursday, April 8, 2010 to file any amended complaint. If Bonvillain fails to do so, the order of dismissal becomes automatically effective. Thereupon, Bonvillain can appeal the Court’s rulings to the United States Fifth Circuit Court of Appeal.

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Posted on March 30, 2010 by Kelly Becker

Office of Conservation Publishes Proposed Amendments to Statewide Order 29-B

In early 2010, the Louisiana Office of Conservation published in the Louisiana Register a Notice of Intent to amend Statewide Order 29-B, the regulation governing the storage, treatment, and disposal of exploration and production waste at oilfield sites. The proposed amendments provide specific procedures for the evaluation and remediation of groundwater conditions and potential sources that may have contributed to those conditions at oil and gas exploration and production sites. Specifically, the amendments provide that agency submissions made pursuant to Statewide Order 29-B must demonstrate compliance with the conditions set forth in the Louisiana Department of Natural Resources Exploration and Production Site Evaluation and Remediation Procedures Manual (SERP Manual). The SERP Manual, which will become effective upon final promulgation of the amendments, will include site evaluation and remediation protocol and procedures established in conformance with the latest revision of the Louisiana Department of Environmental Quality’s Risk Evaluation/Corrective Action Program (RECAP) document.

The public hearing for the proposed amendments will take place on April 5, 2010 at 9:00 a.m. in Baton Rouge, Louisiana. Written comments will be accepted until 4:30 p.m. on April 12, 2010.

To view the proposed amendments, go to:
http://www.doa.louisiana.gov/osr/reg/1002/1002.pdf
 

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