Rule2026-08386
Waste Prevention, Production Subject to Royalties, and Resource Conservation; Extension of Phase-In Requirements
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
April 30, 2026
Effective
February 13, 2026
Issuing agencies
Interior DepartmentLand Management Bureau
Abstract
Due to the receipt of significant adverse comments on the December 15, 2025, direct final rule (DFR) extending certain phase-in deadlines of the Bureau of Land Management's (BLM) Waste Prevention and Resource Conservation regulations, the Department of the Interior, through the BLM, is issuing a new final rule that responds to those comments.
Full Text
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<title>Federal Register, Volume 91 Issue 83 (Thursday, April 30, 2026)</title>
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[Federal Register Volume 91, Number 83 (Thursday, April 30, 2026)]
[Rules and Regulations]
[Pages 23170-23171]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-08386]
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DEPARTMENT OF THE INTERIOR
Bureau of Land Management
43 CFR Part 3700
[Docket No. BLM-2025-0268; A2407-014-004-065516, #O2509-014-004-125222]
RIN 1004-AF51
Waste Prevention, Production Subject to Royalties, and Resource
Conservation; Extension of Phase-In Requirements
AGENCY: Bureau of Land Management, Interior.
ACTION: Final rule; response to comments.
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SUMMARY: Due to the receipt of significant adverse comments on the
December 15, 2025, direct final rule (DFR) extending certain phase-in
deadlines of the Bureau of Land Management's (BLM) Waste Prevention and
Resource Conservation regulations, the Department of the Interior,
through the BLM, is issuing a new final rule that responds to those
comments.
DATES: The effective date of February 13, 2026, for the direct final
rule that published on December 15, 2025, (90 FR 57921) is confirmed.
This final rule is effective on June 1, 2026.
FOR FURTHER INFORMATION CONTACT: Amanda Fox, Petroleum Engineer,
Division of Fluid Minerals, phone 907-538-2300, email: <a href="/cdn-cgi/l/email-protection#7514131a0d351719185b121a03"><span class="__cf_email__" data-cfemail="ec8d8a8394ac8e8081c28b839a">[email protected]</span></a>.
Individuals in the United States who are deaf, deafblind, hard of
hearing, or have a speech disability may dial 711 (TTY, TDD, or
TeleBraille) to access telecommunications relay services. Individuals
outside the United States should use the relay services offered within
their country to make international calls to the point-of-contact in
the United States.
SUPPLEMENTARY INFORMATION: On December 15, 2025, the BLM published a
DFR extending the phase-in deadlines for the Leak Detection and Repair
(LDAR) and gas measurement requirements of 43 CFR subpart 3179. Those
requirements were added in 2024, when the Department, through the BLM,
promulgated a rule entitled, Waste Prevention, Production Subject to
Royalties, and Resource Conservation, 89 FR 25378 (April 10, 2024) (the
``2024 WPR''). The BLM stated in the DFR that if significant adverse
comments were received by January 14, 2026, the BLM would withdraw the
DFR or issue a new final rule that responds to the comments. The BLM
received nine public comments. Eight of these comments were unique and
responsive to the request and one was not germane. Of the eight, seven
provided substantive comments, four opposed to the rule and three were
in favor. After considering those comments, the BLM is electing to
issue this final rule without change and is responding to the
significant adverse comments by explaining why those comments do not
warrant withdrawal of or amendment to the extension of the compliance
deadlines provided for in the DFR.
One group of commenters contended that the DFR amends the 2024 WPR
in violation of the Administrative Procedure Act (APA) and the Mineral
Leasing Act. Another group makes essentially the same APA claim,
contending that an agency may only forego formal notice and comment
where such procedures ``are impracticable, unnecessary, or contrary to
the public interest.'' That group of commenters also described the
regulatory requirements that are being postponed as ``critical
pollution control regulations.'' We disagree with these contentions and
characterizations for the reasons explained below.
Regarding the assertion that the DFR did not comply with the APA,
the DFR itself provided an opportunity for the public to submit
comments about the BLM's decision to postpone two compliance deadlines
by 1 year each. The commenters availed themselves of that opportunity.
The BLM has now considered the comments and is responding to the
comments in this final
[[Page 23171]]
rule. This rulemaking process thus complies with the APA.
Regarding the contention that the regulatory requirements are
critical pollution-control regulations and the DFR should be withdrawn,
the DFR only postpones implementation of a requirement in 43 CFR
3179.71 that operators install certain gas measuring devices so that
flared gas volumes may be measured (rather than using estimations based
on pressure and duration, as is the current practice on many well
sites). The use of a measuring device is not a pollution-control
requirement. The presence of a meter does not change the volume of gas
that is flared. The volume flared is dictated by other operational
circumstances, such as pipeline capacity. While meters may affect the
precision with which flared volumes are determined, they do not serve
as pollution-control devices. The requirement is being postponed for 1
year because the BLM expects to propose revisions to the relevant
regulation, 43 CFR 3179.71, in a new proposed rule. It is
administratively expedient for the BLM to hold off on enforcing non-
statutory requirements in a provision that may change soon. This one-
year extension will reduce administrative costs for the BLM, as well as
operational costs for operators, while the BLM reconsiders and
potentially revises this provision.
Second, the DFR postpones implementation of a requirement that
operators develop LDAR programs, 43 CFR 3179.100, which is something
that commenters also characterize as critical pollution-control
measures. However, very little gas is lost through leaks (by the BLM's
2024 estimations, just 0.5 percent of all lost gas on Federal and
Indian leases is attributable to leaks, as further discussed below).
This small amount of potential gas loss does not justify imposing the
costly LDAR program requirements in Sec. 3179.100 at this time, when
the BLM expects to propose revising this requirement in a new proposed
rule. Importantly, operators are already incentivized to repair leaks
for worker safety, profitability, and compliance with State law in many
instances.
In the Regulatory Impact Analysis for the 2024 WPR (the ``RIA''),
the BLM explained that the rule was expected to generate additional
royalty income of $51.26 million because there would be royalty paid on
certain vented and flared gas that would otherwise be lost. 89 FR at
25422. These increased royalties were to be derived from two sources:
(i) the 2024 WPR's limits on royalty-free flaring (see 43 CFR 3179.70);
and (ii) LDAR (see 43 CFR 3179.100 through 102). As reflected in the
RIA, the vast majority of the benefits of this conserved natural gas,
specifically, 99.6 percent, was attributable to the first source--
limits on royalty-free flaring, rather than from the LDAR program
requirements. See RIA at 10 (Table 1.7). Only 0.4 percent of the
estimated increased royalties were attributable to the LDAR
requirements, id., yet the annual cost to operators of maintaining LDAR
programs was estimated in the RIA to be $9.2 million annually.
The BLM estimated in the RIA that the LDAR requirement would allow
for the annual capture of about 0.45 Bcf of gas, with an annual royalty
value of $220,000. See RIA at 62. Under the 2024 Rule, this small
increase in royalty revenue would be achieved at an expense of $9.2
million. Id. at 48. It would also come with an administrative cost to
BLM resources, including annual review and approval of LDAR plans.
Further, the volume of gas that the LDAR requirements were estimated to
capture (0.45 Bcf) represents a very small fraction of the ``lost gas''
problem. Total annual gas losses (from venting, flaring, and leaks)
were estimated at 86 Bcf from Federal and Indian mineral estates. Id.
at 6. The 2024 LDAR requirements were forecast to eliminate a mere 0.5
percent of these estimated losses. Id. at 6, 9 (Section 1.4.1
(reflecting total lost gas of 86 Bcf), Table 1.5 (reflecting lost gas
of 0.45 Bcf attributable to leaks)). Given this de minimis impact, the
fact that no statute requires LDAR, the excessive cost to operators and
the BLM, and the fact that the BLM will soon propose to revise the LDAR
requirement in a forthcoming rule, a 1-year extension is reasonable and
justified and need not be withdrawn.
Another commenter faulted the BLM for offering ``no analysis of
foregone royalties or lost benefits from delaying compliance, even
though those benefits were quantified in the 2024 [WPR].'' We note that
the DFR discussed and cited the 2024 WPR, which relied on the published
2024 RIA, see 89 FR 25379-80, including its examination of the benefits
and costs. Based on the discussion about royalty collection above, we
disagree with this criticism. The BLM has examined these
considerations, and they are available to the public.
In sum, the BLM's two 1-year postponements are reasonable and
administratively justified and need not be withdrawn, particularly
where the agency is considering changes to the requirements in
question, and where the costs of compliance and enforcement so greatly
outweigh the benefits. See <a href="http://Reginfo.gov">Reginfo.gov</a>, enter ``1004-AF33'' into the
Search Box. While there may be some minimal lost royalty and gas
leakage, the 1-year delay is still appropriate, given the cost of
compliance and the administrative costs for the BLM to implement the
two measures, while preparing proposed rule changes.
The BLM has determined that the comments we have described here do
not necessitate a change to the rule as published. Consequently, the
BLM is not withdrawing the December DFR.
Lanny E. Erdos,
Director, Office of Surface Mining, Reclamation and Enforcement
Exercising Authority of the Assistant Secretary--Land and Minerals
Management.
[FR Doc. 2026-08386 Filed 4-29-26; 8:45 am]
BILLING CODE 4331-29-P
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