Legislation repealing Biden-era fees on methane emissions has passed the U.S. House, paving the way for a boon to the natural gas industry.
The Waste Emissions Charge, which Republicans say is the equivalent of a natural gas tax, was authorized by the 2022 Inflation Reduction Act and implemented by the Environmental Protection Agency in November of 2024.
Texas Republican Rep. August Pfluger’s resolution would rescind that regulation under the Congressional Review Act (CRA). The CRA legislation gives Congress the authority to repeal regulations issued in the final months of a previous administration.
“In the latest effort to reverse Biden’s disastrous energy policies, the House passed my bill to nullify the EPA’s rule implementing the ill-conceived natural gas tax,” Pfluger stated after the bill’s passage. “This tax raises costs on production, discourages investment, and increases energy prices across America. I am looking forward to working toward a full repeal of the underlying statute.”
In the 220-206-1 vote, Reps. Henry Cuellar, D-Texas, Jared Golden, D-Maine, Vicente Gonzalez, D-Texas, Adam Gray, D-Calif., Kristen McDonald Rivet, D-Mich., and Marie Gluesenkamp Perez, D-Wash., voted with nearly every Republican in favor of the measure.
Rep. Brian Fitzpatrick, R-Pa. was the only Republican who voted against it, and Rep. Joyce Beatty, D-Ohio, voted present.
The American Exploration and Production Council applauded the bill’s passage and urged the Senate to send it to President Donald Trump’s desk.
“While American oil and gas producers are laser focused on continuing to reduce emissions, it’s critical to undo these punitive implementing rules while we will continue to work with Congress to repeal the underlying statute for the tax that risks driving up energy costs,” AXPC CEO Anne Bradbury said in a statement.
Environmental groups argue that the legislation will increase energy costs and pollution.
“This is only the beginning of the process and we will continue to fight this at every step,” David Shadburn from the League of Conservation Voters stated. “These clean energy investments are benefitting both red and blue districts across our country – passing this resolution would set us on a path to increasing costs for hardworking families, halting the boom in manufacturing and jobs, and putting our health and safety at risk.”
An analysis by the Congressional Budget Office shows that “[c]harging for methane emissions leads to an increase in the price of natural gas and a decrease in the quantity of natural gas produced and consumed.”
