A Complete Guide to Emissions Compliance in the Permian Basin (2025 Regulatory Breakdown)

If you operate in the Permian Basin, emissions compliance is no longer a “nice to have”—it’s a core part of staying permitted, protecting your reputation, and keeping production online.

The basin sits on top of overlapping federal, Texas, and New Mexico rules that are tightening around methane, volatile organic compounds (VOCs), and waste from venting and flaring. In 2025, operators are navigating new federal methane standards, updated waste-prevention rules on federal and tribal lands, and some of the strictest state-level air regulations in the country.

This guide walks through the major emissions rules that affect Permian operators in 2025 and breaks them down into practical priorities you can act on. It’s written for production, facilities, and ESG teams who want a clear picture of the landscape—and a path to compliance that still supports operations and economics.

Note: This article is for general information only and is not legal advice. For official requirements, always consult the regulations and your legal/compliance team.

1. Why Emissions Compliance in the Permian Basin Looks Different in 2025

The Permian Basin spans West Texas and southeast New Mexico, across a patchwork of private, state, federal, and tribal leases. That means:

  • Federal rules from EPA and the Bureau of Land Management (BLM) apply to many operations

  • Texas rules are implemented primarily through the Railroad Commission of Texas (RRC) and the Texas Commission on Environmental Quality (TCEQ)

  • New Mexico rules are enforced by the New Mexico Environment Department (NMED) and the Oil Conservation Division (OCD)

At the same time, federal EPA rules for methane from the oil and gas sector are now finalized and moving into implementation, including requirements for both new and existing sources. EPA On federal and Indian leases, BLM’s 2024 Waste Prevention Rule is now in effect, modernizing venting, flaring, and leak management requirements. Federal Register

For Permian operators, the result is a multi-layer compliance environment where:

  • Tank vapors, flaring, pneumatics, and leaks are all under scrutiny

  • Recordkeeping and reporting expectations have increased

  • Regulators expect operators to actively capture and control gas, not simply dispose of it

2. Federal Rules: EPA Methane Standards and BLM Waste Prevention

2.1 EPA Methane Rule (NSPS OOOOb and EG OOOOc)

In March 2024, EPA published its final rule to reduce methane and other harmful pollutants from oil and natural gas operations under the Clean Air Act. EPA The rule:

  • Establishes New Source Performance Standards (NSPS) OOOOb for new, modified, and reconstructed facilities

  • Sets Emissions Guidelines OOOOc for states to regulate methane from existing facilities

Requirements are outlined in EPA’s Final Rule to Reduce Methane and Other Harmful Pollution from Oil and Natural Gas Operations.

2.2 BLM Waste Prevention Rule on Federal and Indian Leases

If you operate on federal or Indian leases in the Permian, BLM’s 2024 Waste Prevention, Production Subject to Royalties, and Resource Conservation Rule is critical. Federal Register

The rule:

  • Aims to reduce waste of natural gas from venting, flaring, and leaks

  • Requires operators to take “reasonable precautions” to prevent waste and to pay royalties when gas is wasted

  • Includes provisions on:

    • Flare and vent limits and reporting

    • Requirements for oil storage tank vapors (Section 3179.90)

    • Leak Detection and Repair (LDAR) programs (Sections 3179.100–3179.102) Federal Register

Waste Prevention, Production Subject to Royalties, and Resource Conservation

3. Texas Side of the Permian: RRC and TCEQ Requirements

In Texas, the regulatory roles are divided:

  • RRC regulates oil and gas production, including venting and flaring practices

  • TCEQ regulates air emissions and air permits, including VOC controls from storage tanks and other equipment

3.1 Venting and Flaring – RRC Statewide Rule 32

RRC’s Statewide Rule 32 establishes the baseline: gas from wells and gas-handling equipment must be used or sold whenever possible. Venting and flaring are restricted to limited circumstances.

Key points:

  • Operators can generally flare gas while drilling and for up to 10 days after completion for testing

  • Beyond that, they must obtain an exception to Statewide Rule 32 to flare gas in specific situations

  • Longer-duration releases typically must be flared rather than vented, where feasible and safe

Flaring Regulation FAQs – The Railroad Commission of Texas

Statewide Rule 32 – Venting and Flaring of Gas

3.2 Air Permits and VOC Controls – TCEQ

TCEQ requires many oil and gas facilities to obtain air authorization under Title 30 TAC Chapter 116 before construction, based on their potential to emit air contaminants.

Oil and Gas Facilities: Air Compliance Information

For storage tanks, TCEQ maintains rules in Chapter 115 to control VOC emissions as part of its State Implementation Plan for ozone

Controlling VOC Emissions from Storage Tanks

4. New Mexico Side of the Permian: Nation-Leading Emissions Rules

New Mexico has adopted some of the most stringent oil and gas emissions rules in the U.S., and they directly affect the Permian counties on the New Mexico side.

4.1 NMED Ozone Precursor Rule – 20.2.50 NMAC

The New Mexico Environment Department’s Ozone Precursor Rule (20.2.50 NMAC) targets ozone-forming pollutants from the oil and gas sector—specifically VOCs and NOx. The rule was filed July 6, 2022, published July 26, and became effective August 5, 2022.

Ozone Precursor Rulemaking – Oil and Gas Sector – Ozone Precursor Pollutants (20.2.50 NMAC)

The rule itself (20.2.50 NMAC) covers:

  • Storage tanks and tank batteries

  • Pneumatic controllers and pumps

  • Compressors

  • LDAR requirements

  • Controls for various process equipment emitting ozone precursors

4.2 OCD Waste Rule – 19.15.27 NMAC (Venting and Flaring)

New Mexico’s Oil Conservation Division adopted waste-prevention rules that generally prohibit venting and flaring of natural gas that constitutes waste, requiring operators to maximize recovery and minimize waste.

9.15.27 NMAC – Venting and Flaring of Natural Gas

Cornell’s summary: “N.M. Admin. Code § 19.15.27.8 – Venting and Flaring of Natural Gas”

The rule emphasizes:

  • Venting or flaring that constitutes waste is prohibited

  • Flaring is preferred over venting where combustion is feasible and safe

  • Operators must submit reports and comply with strict conditions for any venting or flaring

5. Practical 2025 Compliance Priorities for Permian Operators

Between EPA, BLM, Texas, and New Mexico, compliance can feel overwhelming. But most requirements cluster around a few core emission sources.

5.1 Storage Tanks and Tank Batteries

Across the board, regulators are focused on tank vapors:

  • EPA’s methane rule includes storage vessels as covered sources, with control requirements for tanks above certain emission thresholds. EPA

  • BLM’s Waste Prevention Rule has specific provisions for oil storage tank vapors on federal and Indian leases. Federal Register

  • TCEQ’s Chapter 115 rules target VOC emissions from storage tanks as part of its ozone plan. TCEQ

  • New Mexico’s Ozone Precursor Rule includes tank-related controls and emission standards. New Mexico Environment Department

Practical steps:

  • Verify that tanks are properly tied into control devices (e.g., VRUs, enclosed combustors, flares) and that lines and seals are maintained

  • Confirm that design and sizing reflect realistic flash gas and working/breathing losses

  • Ensure your emission calculations and control assumptions match EPA, BLM, TCEQ, and NMED methodologies where applicable

This is where Altara’s VRU & gas lift compression solutions and stabilization systems can help operators both reduce emissions and recover saleable product.

5.2 Pneumatic Controllers and Pumps

High-bleed pneumatics are a major methane source. Regulations in both federal and New Mexico frameworks are pushing operators toward low-bleed or non-emitting devices:

  • EPA’s methane rule addresses pneumatic controllers and pumps as covered sources with specific control requirements.

  • New Mexico’s 20.2.50 NMAC defines and regulates pneumatic controllers and pumps in detail, including high-bleed and low-bleed thresholds.

Compliance focus:

  • Inventory all pneumatics in the field

  • Prioritize replacement of high-bleed devices with low-bleed or zero-emitting alternatives

  • Route pneumatic exhaust to a control device where required and feasible

5.3 Flaring, Venting, and Waste Prevention

Flaring and venting sit at the intersection of waste prevention, air quality, and safety.

  • In Texas, RRC Statewide Rule 32 limits routine flaring and requires exceptions beyond short periods after completion.

  • In New Mexico, the OCD Waste Rule generally prohibits wasteful venting and flaring, requiring operators to maximize gas recovery and operate flares according to strict conditions.

  • On federal and Indian leases, BLM’s Waste Prevention Rule treats avoidable venting/flaring as waste and may subject it to royalties and enforcement.

Practical priorities:

  • Review your flaring and venting events by lease type (Texas private/state, Texas federal, New Mexico state, New Mexico federal/tribal)

  • Confirm you have documented authorizations or exceptions where required

  • Ensure flares and enclosed combustors are designed, monitored, and maintained to meet performance standards (e.g., combustion efficiency, pilot and ignition requirements)

Pairing robust flare systems with vapor recovery and emissions control services allows operators to reduce the volume of gas that needs to be burned in the first place.

5.4 Leak Detection and Repair (LDAR)

Federal and state regulators are increasingly explicit about LDAR:

Operators should:

  • Standardize LDAR routes and frequencies by jurisdiction

  • Document inspection results, repair timelines, and verification of fixes

  • Integrate LDAR with VRU, stabilization, and compression upgrades, so leaks feed into productive systems rather than flares

5.5 Reporting and Recordkeeping

Paperwork is now a critical part of emissions compliance:

  • BLM requires detailed reporting of vented and flared volumes and LDAR activities under Subpart 3179, including specific recordkeeping provisions for flaring and tank vapors.

  • New Mexico requires C-115B venting and flaring reports and detailed records under 19.15.27 and 19.15.28 NMAC.

  • TCEQ and EPA expect permit records, calculation methods, and supporting data to be maintained and available for inspection.

Building a basin-wide data system that can separate Texas vs. New Mexico vs. federal lease requirements is becoming as important as the physical control equipment itself.

6. Building a Basin-Wide Compliance Strategy

For Permian operators, the most successful compliance programs in 2025 share a few traits:

  1. Map your assets by jurisdiction

    • Tag each well, battery, and facility by state (TX/NM) and lease type (private/state/federal/tribal)

  2. Overlay applicable rules

    • Use your asset map to determine which EPA, BLM, RRC, TCEQ, NMED, and OCD requirements apply at each site

  3. Prioritize high-impact sources

    • Tanks, pneumatics, flaring/venting, and known leak-prone equipment

    • Focus first where emissions and enforcement risk are highest

  4. Standardize designs and practices

    • Where possible, adopt basin-wide standards:

      • VRU sizing philosophies

      • Flare and combustor specifications

      • LDAR frequencies and technologies

      • Data collection and reporting formats

  5. Make compliance part of economics

7. How Altara Supports Emissions Compliance in the Permian

Regulatory frameworks will continue to evolve, but the fundamentals of good emissions control are consistent:

  • Capture tank vapors instead of venting or flaring

  • Stabilize production streams to reduce volatility and flash losses

  • Compress low-pressure gas into sales or fuel lines

  • Monitor and maintain equipment to minimize leaks and waste

Altara designs and delivers field-proven vapor recovery, stabilization, and gas compression solutions that help operators meet EPA, BLM, RRC, TCEQ, NMED, and OCD expectations while improving project economics.

By partnering with Altara on your Permian Basin projects, you can:

  • Reduce methane and VOC emissions

  • Support ESG and regulatory reporting

  • Increase the volume of gas sold instead of wasted

  • Build a repeatable, defensible compliance strategy across multiple assets

8. Next Steps

If you’re reviewing your emissions compliance plan for the Permian in 2025, consider:

  • Benchmarking your current tank vapor and flaring profile against federal and state expectations

  • Identifying sites where VRUs, stabilization, or gas lift compression could materially reduce emissions and waste

  • Aligning LDAR, reporting, and engineering upgrades into a single basin-wide roadmap

To explore how Altara’s emissions control services and VRU & gas lift compression solutions can support your compliance and revenue goals:

Start a conversation with our team today.

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