Methane Pollution Accountability Act

The Methane Pollution Accountability Act changes royalty payment rules for federal oil and gas leases and sets specific enforcement and rulemaking requirements for the Bureau of Land Management (BLM). It requires energy companies to pay royalties on gas lost or consumed during operations on new federal leases and locks in specific federal regulations aimed at reducing natural gas waste.

* **Oil and gas operators** holding new federal onshore or outer Continental Shelf gas leases issued after the bill becomes law. * **The Bureau of Land Management (BLM)** and its Director, who must enforce existing waste prevention rules and adhere to restrictions on future rulemaking.

* **Royalty Obligations on Lost Gas:** On all federal onshore and outer Continental Shelf gas leases issued after enactment, leaseholders must pay royalties on all gas produced. This explicitly includes gas that is used, vented, flared, or lost due to negligent equipment releases during production. * **Mandatory Enforcement of BLM Rules:** The Director of the BLM is required to enforce the final rule titled *"Waste Prevention, Production Subject to Royalties, and Resource Conservation"* published on April 10, 2024. * **Restrictions on New Rules:** The BLM Director is prohibited from finalizing a proposed rule from June 24, 2026, titled *"Royalty for Oil and Gas Lost From Onshore Federal and Indian Leases."* Furthermore, the Director cannot revise the April 10, 2024 rule unless specific criteria are met.

The bill expands the scope of gas subject to royalty payments collected by the federal government from future leaseholders by including gas that is vented, flared, or lost to equipment negligence. The text provided does not specify direct funding, appropriations, or exact financial figures.

* **Applicability Limit:** The new royalty requirements apply only to leases issued *after* the bill is enacted, not to existing leases. * **Exceptions to Royalty Payments:** Leaseholders do not have to pay royalties on lost or consumed gas if: * The gas is vented or flared for 48 hours or less during an emergency that poses a danger to human health, safety, or the environment. * The gas is consumed on-site for the direct benefit of that specific lease, unit, or operational area. * The gas is unavoidably lost. * **Rulemaking Exception:** The BLM Director may only revise the April 10, 2024 waste prevention rule if the Director formally certifies that the proposed changes will further reduce natural gas waste on BLM leases or improve air quality and public health.

This bill forces companies with new federal gas leases to pay royalties on gas lost to flaring, venting, or equipment neglect, mandates the enforcement of a 2024 BLM waste prevention rule, and blocks the BLM from altering waste regulations unless the changes further reduce gas waste or improve public health and air quality.