Reps. Estes, Arrington, Hern Introduce Bill to Protect Small Energy Producers
Washington, October 19, 2021 | Roman Rodriguez (316-262-8992)
WASHINGTON – Today, Rep. Ron Estes (R-Kansas) introduced the Marginal Well Protection Act that prevents the EPA from levying excessive methane emission fees for wells that produce less than 15 barrels of oil and less than 90 Mcf (90,000 cubic feet) of natural gas per day.
"Kansas has a rich history in powering our world, and independent oil and gas producers fuel economic growth and innovation in our state," said Rep. Estes. "This common sense legislation protects small producers from burdensome fees that harm workers and Kansas families."
"I'm thankful for Rep. Estes' leadership in our region and for introducing this critical legislation that protects local producers from overbearing federal fees," said Ed Cross, President, Kansas Independent Oil and Gas Association. "It just makes sense that marginal wells should not be subject to the same excessive EPA fees that are imposed on large producers."
"After months of uncertainty because of President Biden's energy retreat, our oil and gas producers now face hostile policies contained in the Democrat's tax and spend package," said Rep. Jodey Arrington (R-Texas). "I applaud Congressman Estes for his introduction of the Marginal Well Protection Act, which will prohibit the EPA Administrator from imposing a punitive methane fee on wells that produce less than 15 barrels a day. This legislation will protect our independent producers from the Democrats' assault on the American oil and gas industry. Ultimately, their policies will only impede our global competitiveness, energy independence, and as we have already seen—the price will be borne by American families with higher energy prices."
"Domestic oil producers are struggling while energy costs continue to rise. Biden is begging our foreign adversaries to produce more oil but actively preventing domestic companies from doing the same," said Rep. Kevin Hern (R-Oklahoma). "We need to protect our small oil and gas producers here in Oklahoma and around the country from Biden's harmful policies. I'm proud to join my colleague Ron Estes on this bill to ensure American companies are powering American communities and homes."
Marginal wells are small, often family-owned wells with around 15 employees or fewer. Marginal wells produce almost 7.5% of entire U.S. oil production, and about 90% of wells in Kansas are defined as marginal.