Written by Daniel Harper.
On March 17, 2025, President Donald Trump put pen to paper, striking down a Biden-administration policy that had saddled the natural gas industry with a methane emissions fee. For energy producers across the United States, this moment wasn’t just a procedural win—it was a lifeline. The repealed measure, enacted late in 2024, had stirred frustration among companies already navigating a maze of operational challenges. Now, with the fee gone, the focus shifts to what this means for an industry that powers homes and businesses nationwide.
How the methane fee came and went
The Waste Emissions Charge emerged from the 2022 Inflation Reduction Act, a sprawling legislative package that handed the Environmental Protection Agency authority to impose costs on methane emissions starting in November 2024. Critics, particularly Republicans, branded it a stealth tax on natural gas—a resource that fuels nearly 40% of America’s electricity grid. Under the Congressional Review Act, Congress can undo regulations rolled out in the waning months of a prior administration, and that’s exactly what happened here. Trump’s signature sealed the reversal, erasing a policy that had barely taken root.
Consider a mid-level operator in Oklahoma: under the fee, they faced an extra $80,000 annually just to comply—money that could have hired two more workers or upgraded a compressor. Scrapping the charge frees up those resources, a tangible boost for firms large and small. It’s a straightforward outcome that explains why the repeal landed with such force.
Voices from the top weigh in
House Energy and Commerce Committee Chairman Brett Guthrie didn’t mince words, calling the repeal a triumph for American families and businesses hammered by the prior administration’s rules. He framed it as a step toward reclaiming energy independence, arguing that natural gas production—unshackled from extra costs—strengthens the grid that keeps lights on and factories humming. His point lands hard when you consider that energy prices spiked under Biden, with household utility costs jumping 20% in three years, a burden felt by anyone paying bills.
The American Exploration and Production Council echoed that sentiment. CEO Anne Bradbury thanked Trump and congressional allies for dismantling what she called a flawed EPA rule. She stressed that producers aren’t ignoring methane emissions—voluntary efforts have already made strides—but insisted the fee was a blunt instrument that risked stalling progress. Data backs her up: industry-led initiatives have trimmed methane output by 14% since 2015, suggesting innovation outpaces regulation in this arena.
The Congressional Budget Office adds another layer, projecting that ditching the fee will nudge natural gas prices down and production up. That’s no small matter for a country where energy costs ripple through groceries, manufacturing, and more. For a single parent juggling rent and utilities, even a modest drop in bills could mean keeping the heat on a bit longer this winter.
The environmental pushback and bigger picture
Not everyone’s cheering. A coalition of nearly 80 environmental groups fired off a letter to Congress, pleading to keep the methane fee intact. Their argument hinges on science: methane traps heat at a rate far exceeding carbon dioxide, making it a climate heavyweight. They warn that scrapping the charge could unleash more emissions, driving up long-term costs—think flooded coastlines or pricier imports if global markets penalize unchecked polluters. It’s a sobering counterpoint to the industry’s victory lap.
But the debate isn’t black-and-white. Yes, methane matters—leaks from aging pipelines aren’t trivial—but the fee’s actual impact remains murky. No hard numbers show it curbed emissions in its brief lifespan. Meanwhile, companies like a New Mexico driller using drones to spot leaks have slashed their footprint without a federal stick. That tension—regulation versus ingenuity—defines the stakes here, and it’s why the repeal’s ripple effects merit close watching.
Our take
Trump’s repeal of the methane fee hands the natural gas industry a pragmatic win, peeling back a layer of financial strain that hit producers hard. It’s a move that could steady an sector employing over 600,000 Americans and pumping out more gas than any nation on Earth. For consumers, the promise of lower prices offers a breather after years of inflation-pinched budgets. That’s the upside, and it’s real.
Still, the environmental angle gnaws at the edges. Methane’s role in warming isn’t a theory—it’s a fact—and without a clear substitute for the fee, accountability feels shaky. Industry says it’s got this, pointing to tech-driven emissions cuts, but self-policing only works if the commitment holds. The repeal bets on that, trading immediate gains for a future that’s tougher to predict. Time will tell if it’s a masterstroke or a misstep.
