PHMSA Streamlines Regulations for Energy Products
Summary
The Pipeline and Hazardous Materials Safety Administration (PHMSA) is issuing new rules and an enforcement policy to lower energy costs and enhance safety, expected to generate over $600 million in annualized cost savings. The changes modernize pipeline regulations and amend hazardous materials rules for fuel transportation.
What changed
The Pipeline and Hazardous Materials Safety Administration (PHMSA), under U.S. Transportation Secretary Sean P. Duffy, has issued new rules and an enforcement policy aimed at reducing energy costs and improving safety, projecting over $600 million in annualized savings. The first rule modernizes gas transmission line regulations by updating class location requirements to incorporate technological advancements and risk-based Integrity Management practices, expected to save over $461 million annually. The second rule amends Hazardous Materials Regulations (HMR) for fuel transportation, including allowing new inspection technologies and restoring a placarding exemption, projected to save $145.3 million annually.
These changes require energy companies and fuel transporters to review and adapt to updated pipeline safety and hazardous materials regulations. While the rules are designed to reduce compliance burdens and costs, operators must ensure their practices align with the modernized class location requirements and amended HMR. An enforcement policy also offers potential deferrals for compliance activities in areas affected by a national energy emergency. Regulated entities should consult the specific rules and policy to understand their obligations and potential benefits.
What to do next
- Review updated PHMSA class location regulations for gas transmission lines.
- Assess compliance with amended Hazardous Materials Regulations for fuel transportation.
- Determine eligibility for compliance deferrals under the new enforcement policy if operating in an affected emergency area.
Source document (simplified)
In This Section
Related Links
- Hazardous Materials: Eliminating Unnecessary Regulatory Burdens on Fuel Transpo…
- Pipeline Safety: Class Location Change Requirements Federal Register Notice
Contact Us
Office of Governmental, International, and Public Affairs U.S. Department of Transportation, Pipeline and Hazardous Materials Safety Administration
1200 New Jersey Avenue, SE
Washington, DC 20590
United States
Email:
phmsa.publicaffairs@dot.gov
Phone: 202-366-4831
Fax: 202-366-7431
If you are deaf, hard of hearing, or have a speech disability, please dial 7-1-1 to access telecommunications relay services.
Trump’s Transportation Secretary Sean P. Duffy Streamlines Regulations to Make Energy Products More Affordable for American Families
Monday, January 12, 2026 PHMSA 02-26
Contact: PHMSA Public Affairs
PHMSAPublicAffairs@dot.gov
Moves will generate over $600 million in savings while enhancing safety
WASHINGTON, D.C. – U.S. Transportation Secretary Sean P. Duffy today announced the Pipeline and Hazardous Materials Safety Administration (PHMSA) is issuing new rules and introducing a new enforcement policy that will lower energy costs and provide relief to American families. Together, these changes will enhance safety and generate over $600 million in annualized cost savings.
“Under President Trump’s leadership, we’re driving down energy costs by encouraging innovation and cutting unnecessary red tape. These commonsense changes will make day to day life more affordable for American families while continuing to maintain the highest levels of safety,” said U.S. Transportation Secretary Sean P. Duffy.
The first rule modernizes PHMSA’s class location regulations for gas transmission lines to account for more than five decades of advancements in technology and safety practices. These changes, modeled on PHMSA’s highly successful class location special permit program, will allow operators to avoid unnecessary pipeline replacements and pressure reductions by implementing modern, risk-based Integrity Management (IM) practices. PHMSA’s rulemaking is expected to save more than $461 million per year and reduce maintenance-related emissions by 1.3 billion cubic feet per year.
The second rule amends PHMSA’s Hazardous Materials Regulations (HMR) and will lower compliance costs associated with transporting fuel via cargo tank. From allowing new technologies to perform cargo tank inspections to restoring a longstanding exemption in the placarding requirements for shipment of certain fuels, these commonsense changes will generate $145.3 million in annualized cost savings.
Finally, PHMSA issued a new enforcement policy to provide relief to consumers in areas affected by the national energy emergency declared by President Trump, particularly the West Coast, Northeast, and Alaska. The policy allows regulated entities to apply for special permits to defer the performance of compliance activities that could contribute to the national energy emergency in these areas, if they can do so safely.
“Demand for American energy is growing, and today’s actions will reduce the cost of transporting it to consumers while prioritizing safety,” said PHMSA Administrator Paul Roberti.
Both final rules were sent to the Federal Register for publication today. The changes to class location requirements will become effective 60 days from publication, while the changes to the HMR will become effective 30 days from publication.
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