Twenty-Three States Challenge EPA Methane Tax

A coalition of 23 Republican-led states, spearheaded by Texas, has filed a lawsuit against the Environmental Protection Agency (EPA) to challenge a newly implemented methane emissions fee established under the Inflation Reduction Act. This regulation imposes penalties on the oil and gas industry for exceeding methane emission limits, with initial fees starting at $900 per metric ton. Critics, including Texas Attorney General Ken Paxton, argue that the EPA's rule oversteps its authority and is arbitrary and capricious. The lawsuit comes just days before President-elect Donald Trump is set to take office, with Paxton expressing confidence that the Biden administration's regulatory measures will be overturned. The EPA estimates that this program could reduce methane emissions significantly, equating to the environmental impact of removing nearly 8 million gasoline cars from the roads. The legal challenge highlights ongoing tensions between state and federal efforts to address climate change through regulation.