PHMSA withdrawal keeps registration fees steady for now
Imagine planning your budget for next year and suddenly learning your regulatory fees might increase by several hundreds of dollars. For many in the hazmat transportation industry, that possibility wasn’t just hypothetical, it was a looming reality. Back in May 2024 the Pipeline and Hazardous Materials Safety Administration (PHMSA) submitted a proposal to raise annual registration fees for companies that transport or offer certain hazardous materials. The changes would have meant higher costs for both small businesses and large operators.
Fast forward to November 2025 and the story has taken a different turn. PHMSA has officially withdrawn the proposal, citing a commitment to reducing unnecessary regulatory burdens and feedback from stakeholders worried about the economic impact. The decision means fees will stay at current levels for now.
What was proposed?
In May of 2024, PHMSA proposed a plan to change its hazmat registration program, which really hasn’t changed much in years. The biggest change was a fee increase:
- Small businesses and nonprofits would have seen their annual registration fee jump from $250 to $375, a $125 increase.
- Larger companies would have paid $3,000, up from $2,575, a $425 increase.
However, that wasn’t all. The proposal also included:
- Electronic-only payments for registration fees, eliminating paper checks.
- Clarified recordkeeping rules, allowing certificates of registration to be carried in either electronic or paper form and ensuring consistent language for presenting these certificates to enforcement personnel.
- Removal of outdated “sunrise dates” from the regulations, since those deadlines had already passed.
PHMSA said these changes were intended to modernize processes and ensure adequate funding for its grants program, which supports emergency response training and the Emergency Response Guidebook.
Why the reversal?
PHMSA says the decision reflects a broader push to reduce unnecessary regulatory burdens, in line with Executive Order 14192, “Unleashing Prosperity Through Deregulation.” Industry feedback also played a big role in the decision. Many stakeholders expressed concern about the timing and economic impact of higher fees, especially amid uncertainty in transportation markets. After reviewing its funding needs, PHMSA decided that current fees are enough to support critical programs, such as grants for emergency response training and the Emergency Response Guidebook, without adding extra costs.
What does this mean for you?
For carriers, shippers, and anyone that’s required to register, this is welcome news. Registration fees remain unchanged, helping companies maintain predictable compliance costs. This decision shows that PHMSA isn’t just focused on safety, it’s also paying attention to the financial realities that matter to the industry.
What's still changing?
While the fee increase is off the table, PHMSA isn’t standing still. Two related rulemakings are moving forward:
- Modernizing Payments (HM-268H): Updates to streamline electronic transactions.
- Reducing Recordkeeping (HM-268I): Simplified requirements for domestic carriers.
Both rulemakings are designed to make compliance easier without raising costs, and they’re already in the pipeline.
Key to remember: PHMSA is withdrawing its proposed rulemaking to increase hazmat registration fees. However, it’s still moving forward with electronic payment methods and recordkeeping requirements for hazmat registration.






























































