Policy & Legislation: What's Happening Now!

EPA Excludes Ethanol from Mandatory GHG Reporting Program

September 29, 2009

NEW YORK (DTN) -- The U.S. Environmental Protection Agency has finalized its rule which will require greenhouse gas emitters to collect data and report emissions levels on an annual basis, but has decided not to include ethanol producers on its initial list of emitters.

EPA spokeswoman Cathy Milbourn told Telvent DTN that the rule on mandatory greenhouse gas reporting was finalized and signed by EPA Administrator Lisa Jackson on Sept. 22.

For the first time, the government will require large emitters of heat-trapping emissions to collect greenhouse gas or GHG data under a new reporting system.

The new program will cover approximately 85 percent of the nation's GHG emissions and apply to roughly 10,000 facilities. This program is not part of the Renewable Fuel Standard or RFS2 rulemaking, which is still ongoing.

The mandatory GHG reporting program takes effect Jan. 1, 2010, when emitters will start collecting the data, but the first annual reports for the largest emitting facilities, covering calendar year 2010, will be submitted to EPA in 2011.

"This is a major step forward in our effort to address the greenhouse gases polluting our skies," the EPA said in a news release. "For the first time, we begin collecting data from the largest facilities in this country, ones that account for approximately 85 percent of the total U.S. emissions."

EPA said its new reporting system will provide better understanding of where GHGs are coming from and will guide development of best possible policies and programs to reduce emissions.

The data will also allow businesses to track their own emissions, compare them to similar facilities, and provide assistance in identifying cost effective ways to reduce emissions in the future.

"This comprehensive, nationwide emissions data will help in the fight against climate change," the statement added.

While ethanol companies have been excluded, the new rule signed by Jackson last week will apply to oil and gas companies, suppliers of coal, food processors, car and engine manufacturers and other various industries.