Carbon CreditsU.S. EPA’s $2.4 Billion Deregulation Plan: How Ending Greenhouse Gas Reporting Could...

U.S. EPA’s $2.4 Billion Deregulation Plan: How Ending Greenhouse Gas Reporting Could Affect America’s Climate Future

The U.S. Environmental Protection Agency (EPA) has proposed ending the Greenhouse Gas Reporting Program (GHGRP). The agency says this move could save businesses up to $2.4 billion in compliance costs over the next ten years.

If approved, about 8,000 large facilities would no longer be required to report their greenhouse gas emissions. These businesses currently have to share data if their emissions exceed 25,000 tons of CO₂ equivalent each year.

This proposal follows President Trump’s executive orders on his first day in office, which focus on cutting regulations and promoting energy production.

EPA Administrator Lee Zeldin explained that,

“Alongside President Trump, EPA continues to live up to the promise of unleashing energy dominance that powers the American Dream. The Greenhouse Gas Reporting Program is nothing more than bureaucratic red tape that does nothing to improve air quality. Instead, it costs American businesses and manufacturing billions of dollars, driving up the cost of living, jeopardizing our nation’s prosperity, and hurting American communities. With this proposal, we show once again that fulfilling EPA’s statutory obligations and Powering the Great American Comeback is not a binary choice.”

Turning Point for America’s Climate: EPA’s Bold Move to Scrap Greenhouse Gas Reporting

The EPA argues that the GHGRP creates “burdensome red tape” without helping improve human health or protect the environment. The agency says this data doesn’t directly lead to rules that regulate emissions or enforce climate action.

The proposed rule would remove reporting requirements for facilities across many industries—power plants, refineries, steel mills, cement factories, and landfills. The public would no longer have access to self-reported emissions data from these sources.

Reporting for petroleum and natural gas companies would also be suspended until 2034. This aligns with recent law changes that delayed methane fee collections. Only small parts of the petroleum sector would still be required to report emissions for future adjustments.

According to the EPA, this change would save between $2 billion and $2.4 billion over ten years. The agency believes that by reducing regulatory costs, companies can focus on real environmental improvements instead of filling out reports.

Background on the Greenhouse Gas Reporting Program

The GHGRP was created by Congress in 2008 and started collecting data in 2010. It requires 47 categories of sources to report their emissions each year. The goal was to improve transparency and track trends in pollution.

The Waste Emissions Charge (WEC) was added to the Clean Air Act in 2022. It imposed fees on methane emissions from petroleum and natural gas systems that exceeded certain limits. However, the “One Big Beautiful Bill Act” signed in 2025 delayed this charge until 2034, meaning those companies won’t report until then.

Earlier in 2025, the EPA announced it would reconsider the GHGRP as part of a wider effort to cut regulations and boost American energy.

However, Zeldin said that rolling back GHGRP would still meet the agency’s legal obligations under the Clean Air Act (CAA).

What the Proposal Means

If the proposal is approved:

  • Nearly all large polluters, like power plants, refineries, steel and cement makers, landfills, and others, will no longer report their emissions.
  • Only small parts of the petroleum and natural gas sector will report, and even that is postponed until 2034.
  • This means that nearly all U.S. greenhouse gas reporting would stop, making it harder for the government to track emissions.

Industry’s Reaction: Mixed Support, Strong Worries

Many scientists, economists, and environmental groups worry that this move will make it much harder to fight climate change. Environmental organizations argue it can significantly weaken efforts to hold polluters accountable.

Even some business groups that support deregulation warn that without reliable data, companies and investors won’t be able to manage climate risks.

  • Loss of Transparency: The GHGRP is one of the country’s biggest sources of emissions data. Without it, governments, investors, and communities won’t know where pollution is coming from.
  • Risk of “Blind Spots”: Policymakers will have fewer tools to track pollution and design solutions. This could slow down efforts to reduce emissions.
  • Higher Long-Term Costs: Studies show that mandatory reporting has helped lower emissions by 20% since 2009. Without data, companies may pollute more, leading to greater health risks and economic costs later on.
  • Weakening Climate Agreements: The U.S. shares emissions data with other countries. Without this reporting, global trust in U.S. climate commitments could fall.

Economists warn that while companies save money in the short term, the risks from extreme weather, regulatory uncertainty, and damaged public trust could lead to bigger problems down the line.

On the other hand, some industry groups support the rollback. They say reporting rules are expensive and outdated. Cutting them would free up money for more direct investments in cleaner technology.

They believe this proposal is part of a wider effort to reduce regulations, paperwork and encourage energy production. It will create jobs, boost the economy, and let businesses invest more in real environmental solutions.

Next Steps

The EPA will open a public comment period where citizens, businesses, and experts can share their views. Instructions will be available in the Federal Register and on the EPA website. Many expect fierce debate, and legal challenges are likely if the rule moves forward.

A Critical Choice for America’s Climate Future

The EPA’s plan to end the Greenhouse Gas Reporting Program is a major shift in U.S. climate policy. While it could lower costs for businesses, it also creates serious risks by making it harder to track pollution and protect the environment. As the public voices its opinions, this debate will help determine how the country balances short-term savings with long-term climate goals.

U.S. Emissions Set to Rise in 2025?

The EIA projects that U.S. energy-related carbon dioxide (CO₂) emissions will rise by 1.5% in 2025, before declining by 0.5% in 2026. The increase in 2025 is driven by higher emissions from coal, natural gas, and petroleum products. Significantly, coal will be contributing the most to the growth.

However, the decline in 2026 will also be primarily attributed to reduced emissions from coal.

us emissions
Source: EIA

Overall, this deregulation decision could affect the U.S. globally. Other nations depend on American emissions data to measure progress and coordinate efforts. Without this information, the U.S. risks losing trust and influence in international climate discussions. In the end, it’s not just about cutting regulations. Ensuring accountability, leadership, and a cleaner future for all should also matter.


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