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ts 15 coalition associations

represent approximately 10,000 individuals and

companies engaged in the domestic on-shore crude oil

and natural gas exploration and production (E&P)

sector. This organization represents a majority of the

individuals and companies responsible for the current

renaissance in American oil and natural gas production.

In its fifth year of existence, DEPA is comprised of

independent oil and gas producers who drill more than

90 percent of the new oil and gas wells in the United

States each year. DEPA membership also includes

oilfield service companies and royalty owners.

Comments on Oil_and Gas NSPS Regulations

The New Source Performance Standard modifications

are published under the authority of Section

111(b) (1) (B) of the Clean Air Act (“CAA”), 42 U.S.C. §

7411(11) (1) (B), “to review and revise the [new source

performance standards (“NSPS”)] for the Crude Oil and

Natural Gas Production source category. These

regulatory modifications to the Quad 0 regulations were

developed as a result of the consent decree in the

court action of plaintiffs Wild Earth Guardians and San

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all sign one or a combination of the

following for the NSPS Subparts KIcK and LLL:

(a) a proposed rule containing revisions to the

NSPS [(in whole or in part) under CA] section

111(b) (1) (B)];

(b) a proposed determination not to revise the NSPS

[(in whole or in part) under CAA section

111(b) (1) (13);] and/or

(c) a proposed or final determination not to review

the NSPS [(in whole or in part) under CA.A section

111(b) (1) (B)].

The EPA chose to review and revise the NSPSregulations, but owing to the time constraints placed

upon them in the consent decree, these revisions were

developed in a rushed and haphazard fashion. In fact,

these rules hold the record for the longest time lapsed

from the signing by the administrator to final

publication in the Federal Register.

DEPA is concerned about the resources that are required

to comply with a rule that was developed in this

manner. DEPA’s members believe Quad 0 imposes aError! tn kiiow ii docil ment property mrn•
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cers, regulations like Quad

o pose a potentially, grave threat to the quest for

American energy independence.

DEPA’s members are fully supportive of measures

designed to protect the environment. Many of our

members are also farmers and ranchers and as such

represent the true environmentalists of our country.

But our country cannot continue to develop and impose

regulatory burdens on industry that require vast

expenditures but that do not render any real and

measurable benefit to the environment. The EPA’s

Regulatory Impact Analysis provides no scientific basis

for this rule and fails to quantify the asserted

environmental and public health benefits to be derived

from the claimed reduction in VOC emissions. The costs

of the rule — properly estimated -- far outweigh any

hypothetical benefits. When EPA does not take the time

to understand the industry it seeks to regulate and the

problem it seeks to remedy, the agency cannot hope to

promulgate intelligent and meaningful regulations. And

by hastily publishing poorly researched regulations

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doing their best to comply with the rule

s requirements

(even as EPA has gone back to the drawing board to

correct the hastily published first version of the

rule) . However, DEPA members’ efforts to comply with

Quad 0 have been complicated by confusion within state

regulatory agencies. In the absence of meaningfulstate guidance regarding this rule’s applicability,

regulatory uncertainty within the states will continue

to translate into regulatory uncertainty for DEPA’s

members.

In short, we urge the EPA to exercise greater caution

and discretion when promulgating any environmental

regulations, I order to ensure that the remedy does in

fact effect a cure; especially when the cost of the

remedies are so dear as those associated with the

modified NSPS rule.

DEPA appreciates the opportunity to appear here today

and looks forward to providing further input to EPA on

its concerns about the Quad 0 rule and its

implementation. Thank you.

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