EPA and Its Role in Overseeing Oil and Gas Production in North Dakota

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Over the past decade, the United States has experienced considerable growth in oil and natural gas exploration, development, and production (E&P) activities. The US has comprehensive local, state and federal laws, rules and regulations relating to the use, development and responsibility associated with commercial activity, including domestic oil and gas production. The varied environmental implications of these E&P activities are a major area of focus for the U.S. Environmental Protection Agency (EPA). However, The Environmental Protection Agency (EPA) does not have a direct role in the regulation of oil and gas extraction, but it does have regulatory jurisdiction over the release, or threatened release, of hazardous and toxic substances, such that once a release or threatened release occurs, EPA has remedial enforcement powers under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (CERCLA).

Each state has its own regulations, and its agencies have the broad powers. The inclusion of independent reviewing bodies and reports provided a detailed, comprehensive assessment of state regulations.

These state regulations were typically found in state administrative code under environmental protection regulation or natural resource conservation regulation. Also, state regulations were often codified in dedicated oil and gas statutes. Naturally, regulations ultimately represent the most succinct and accurate depiction of a state program.

However, local government control over oil and gas production is generally not permitted by state law, except for local zoning input that in some states allows local government control over where and when oil and gas production activities can take place (to prevent, for example, residential neighborhoods from noise pollution, industrial traffic, or perceived health hazards).

But offshore oil and gas production operations in the Gulf of Mexico are regulated by several different federal agencies, including the: United States Coast Guard, Bureau of Safety and Environmental Enforcement and Bureau of Ocean Energy Management.

Therefore, state that I choose compare to research is North Dakota. It is the second crude oil production state in USA.

A number of initiatives have been implemented to address air, water, and land use impacts associated with oil and gas production nationally and in this state. These policies range from the implementation of mandatory emissions limits on oil and gas operations (e.g., under the Clean Air Act (CAA), Clean Water Act (CWA), and Safe Drinking Water Act (SDWA), state regulations, etc.), to other federal initiatives (e.g., Bureau of Land Management (BLM) activities in this region and nationally), to voluntary programs and actions. Some of these activities encompass best management practices (BMPs) used by industry to reduce environmental releases.

The following examples highlight just a few of the relevant environmental policy decisions and ongoing initiatives shaping oil and gas development in North Dakota and elsewhere:

  1. The 2004 Pennacos decision compelled Burea of Land Management (BLM) to revise Resource Management Plans (RMPs) to address cumulative environmental impacts stemming from new Coal Bed Methane (CBM) development proposals and other pending energy projects in the region.
  2. BLM and states have been working with western surface land owners to resolve differences tied to the stewardship of federal mineral rights (e.g., split estate issues).
  3. EPA is conducting a detailed review of the CBM extraction sector to determine if it would be appropriate for the agency to initiate a rulemaking to revise, as necessary, the effluent limitations guidelines for the Oil and Gas Extraction Point Source Category (CFR) to control pollutants discharged in CBM-produced water.
  4. EPA has reviewed and approved innovative CBM waste water treatment residual disposal options, creating better economic scenarios for creating cleaner water for surface discharge or aquifer storage.
  5. Several regional initiatives focusing mainly on air quality have been established in the past decade.

List of environmental laws: Green Gas Reporting program; National Emissions Standards for Hazardous Air Pollutants (NESHAP) (oil and natural gas production); Industrial Waste (crude oil and natural gas waste); Effluent Guidelines (oil and gas extraction – synthetic-based drilling fluid); Underground injection control (UIC) regulation.

There are a number of additional voluntary initiatives underway that can continue to grow or be used as models for developing collaborative environmental stewardship programs in North Dakota. A representative sample includes the following programs: EPAs Natural Gas STAR program; The Occupational Safety and Health Administrations (OSHA) Voluntary Protection Programs (VPP); The San Juan Voluntary Innovative Strategies for Todays Air Standards (VISTAS) program; The Four Corners Air Quality Task Force.

In spite of the many policy initiatives, program developments, and industry practices that are now addressing oil and gas environmental implications, significant environmental concerns persist. Such challenges wont be effectively resolved without enhanced communications and the active involvement of government (federal, state, and tribal), industry, and stakeholder representatives. Moreover, since production levels are expected to continue their rapid ascent in North Dakota, EPA continues to investigate and pursue a range of policy options in consultation with state partners, Tribal and industry representatives, and other key stakeholders. Although a specific actions and responses will continue to be investigated and pursued by EPA, partner agencies, industry leaders, and other stakeholder representatives, as appropriate.

EPA, state and other government agencies are challenged to keep pace with rapidly expanding oil and gas production as well as associated regulatory activities (e.g., rulemakings, permitting and inspections). In addition, the high volume of oil and gas projects poses unique technical and regulatory challenges for federal and state agencies alike. As such, effective regulatory oversight requires open communications, collaborative partnerships, and constant coordination. Improved environmental measurement, stakeholder involvement, and environmental management are integral to successful oil and gas production.

At a national and regional level, EPA is actively reaching out to oil and gas organizations to improve understanding, identify drivers and barriers, increase performance, and address the environmental implications of oil and gas production. In summary, EPA is well positioned to provide greater regulatory certainty and consistency in oil and gas oversight through enhanced data collection and analysis, improved information sharing and partnerships, and focused compliance assistance and enforcement.

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