WASHINGTON, DC — Today, Congressman August Pfluger (TX-11) announced the introduction of the Show the Data Act of 2024. This legislation aims to protect the Permian Basin from regulations imposed by the Environmental Protection Agency (EPA) based on data from out-of-state monitors. The bill builds on the Energy & Commerce Committee's National Ambient Air Quality Standards (NAAQS) reform legislation by requiring that any non-attainment redesignation by the EPA must be based on air quality monitor data from within the state of the area or counties being redesignated.
"The EPA has relied too heavily on modeling and data from behind closed doors to attempt to redesignate areas like the Permian Basin without sufficient and direct evidence from monitors in that state," said Congressman Pfluger. "This bill ensures that decisions impacting our communities and energy security are based on transparent, local data rather than distant estimates and models."
In the summer of 2022, the EPA released a regulatory agenda that included consideration of redesignation of ozone attainment in the Permian Basin. This action, if finalized, would impose new regulatory burdens on the U.S. oil and natural gas industry, exacerbating inflationary pressures and increasing energy prices for consumers. The environmental group WildEarth Guardians formally petitioned the EPA for non-attainment designation in March 2021 and later warned of its intent to sue to force action. The action was listed as “nonsignificant,” meaning it would not be subject to Office of Management and Budget (OMB) review.
The EPA has based this potential redesignation on data from monitors in New Mexico, as there are no monitors on the Texas side of the Permian Basin.
A non-attainment area is an area considered to have air quality that does not meet the 2015 ozone NAAQS under the Clean Air Act. In 2015, the EPA revised primary 8-hour NAAQS for ground-level ozone from 0.075 parts per million (ppm) to 0.070 ppm. The EPA also revised secondary NAAQS for ozone to match primary standards. Recently, EPA announced reconsideration of a 2020 decision to retain 2015 standards.
Clean Air Act section 107(d)(3) outlines processes for redesignation from attainment to nonattainment, starting with notification to state governors and allowing affected states feedback opportunities before finalizing no sooner than 240 days post-notification letter(s). Any potential redesignation effort includes public comment opportunities.
After a final ruling, Texas Commission on Environmental Quality (TCEQ) would have three years to develop plans for lowering ozone levels which could include preventing new industrial facilities from worsening air quality and ensuring existing sites deploy detecting technology.
TCEQ prepared a report in 2017 after San Antonio was identified as being in non-attainment for ground-level ozone in 2015. The report projected costs across San Antonio metropolitan area between $3 billion (low estimate) and $36 billion (high estimate), largely due to manufacturing expansion or relocation inability among other economic impacts.
A non-attainment redesignation will have significant negative local impacts including high-paying job losses in rural America’s energy industry which drives Texas and New Mexico economies contributing over $20 billion annually towards public education funding among other services.
The Permian Basin is noted for its environmental record with producers leading emissions reduction innovations while increasing energy production; methane emissions intensity dropped nearly 70% between 2011-2020 despite oil/natural gas production rising over 320%. Nationwide air quality improvements include decreased ozone concentrations by 25% since1990 alongside reduced emissions precursors like volatile organic compounds/nitrogen oxides dropping by47%/65% respectively.
Congressman Pfluger's actions include letters/calls/hearings regarding non-attainment issues culminating into introducing ShowtheDataActof2024 ensuring regulatory decisions impacting Texas/energy sector grounded accurately/transparently