TECH TALK
Industry Impacts : Implications of the EPA ’ s New Rule
In 2021 , the Environmental Protection Agency ( EPA ) proposed a rule in response to President Joe Biden ’ s Executive Order , aiming to revise emissions regulations in the oil and natural gas sector . This initiative sought to reduce methane and volatile organic compound ( VOC ) emissions by reassessing the New Source Performance Standards ( NSPS ) and proposing new regulations for both new and existing operations in exploration , production , transmission , processing , and storage , with a target completion date of September 2021 . 1
By Foster Voelker II , Director of Engineering – Williams Valves
EPA Releases New Requirements
Subsequently , the EPA ’ s final rule , released on December 2 , 2023 , focuses on significantly reducing methane emissions , volatile organic compounds ( VOCs ), and hazardous air pollutants ( HAPs ) from U . S . oil and natural gas operations . This rule updates standards for new , modified , and reconstructed sources , and provides guidelines for existing sources . It incorporates the new source performance standards ( NSPS ) and Emission Guidelines ( EG ) as mandated by the executive order . Key measures include phasing out routine flaring , mandating regular leak monitoring , and encouraging the use of innovative technologies . The EPA estimates that this rule will prevent 58 million tons of methane emissions from 2024 to 2038 , in addition to substantial reductions in VOCs and toxic air pollutants . The rule is reported to reflect comprehensive industry and public input , offering flexible yet rigorous standards for emissions control . 2
Overview of New Rule
The final NSPS OOOOb and EG OOOOc standards are expected to significantly reduce emissions in the oil and gas sector . Between 2024 and 2038 , these standards aim to cut approximately 58 million tons of methane emissions ( equivalent to around 1.5 billion tons of CO 2
), 16 million tons of VOC emissions , and 590 thousand tons of HAP emissions . While the estimated average annual regulatory compliance cost over the 2024-2038 period is approximately $ 1.5 billion , related to the implementation and maintenance of required emissions control technologies , the EPA contends that these costs are offset by the environmental and health benefits of reduced emissions . Equipment requirements include :
• Zero-Emitting Controllers : The rule mandates the use of zero-emitting controllers for specific equipment , indicating a shift towards more environmentally friendly technologies .
• Open-Ended Valves or Lines : These must be equipped with a closure device to prevent unintended emissions .
• Monitoring and Control Devices : Regular monitoring of CVS using Optical Gas Imaging ( OGI ) or EPA Method 21 is required to minimize emissions .
• Pressure Relief Devices : These devices must be monitored within 5 days after a pressure release to ensure proper functioning .
• Definition of Repaired Equipment : The rule specifies that repaired equipment must be adjusted or replaced to eliminate leaks and re-monitored to verify emission reduction .
• Use of Low-E Equipment : Repairs may include the use of Low-E valves or materials , but complete replacement with low-E equipment is not mandated , allowing flexibility in repair methods .
• Specifications and Guarantees of Low- E Equipment : Low-E equipment must meet API 622 or API 624 standards and typically includes a manufacturer ’ s warranty or performance guarantee .
The NSPS OOOOb and EG OOOOc standards target a 79 % reduction in methane emissions from covered sources between 2024 and 2038 . This significant reduction is expected to yield substantial climate , environmental , and health benefits , marking a major advancement in mitigating emissions from a key U . S . industrial methane source .
Impacts on the Valve Industry
The impact of the new EPA rule on the valve industry is substantial , particularly in the context of reducing emissions . Valves are critical components in the control and management of gas flow , and the new regulations necessitate significant changes . This includes the development and implementation of low-emission ( Low-E ) valves and materials . The requirements for Low-E technology in the context of the EPA ’ s new rule are focused on :
• Use of Low-E Technology for Repairs :
When a leak is detected in a valve , the operator must either repack the existing valve with Low-E packing , replace it with a Low- E valve , or perform a drill-and-tap repair using Low-E injectable packing . The rule allows exemptions if technically infeasible . Operators are not required to use Low-E valves or packing if they can demonstrate
8 Valve World Americas | April 2024 • www . valve-world-americas . net