Removing it from commercially produced soaps is insane if commercial farming isn't also prohibited from using it.
http://www.eci.ox.ac.uk/research/energy/downloads/methaneuk/...
http://www.greenpeace.org/usa/global-warming/climate-deniers...
They push the standard Koch agenda- impugn government so that the rich can pay lower taxes, and so corporations don't have to spend money to protect the climate. So this article is standard fare for this type of organization.
As you say it's too bad the article overlooks how much better toilets are today. The article also misses how fuel efficiency regulations failed, and how a high gas tax in 1970 would have been a great way to reduce American petroleum dependence. That example of regulatory failure doesn't often get mentioned by Koch allied organizations, however, because they never want to say taxes are good -- the very wealthy really want to avoid paying tax.
I stopped reading there. This guy clearly has an agenda to push. Reminds me of a similar BS article a couple years ago bemoaning the lack of phosphates or something in soap, and calling out "government overreach" every other sentence.
If there is a scientific case to make for these supposed household woes (which I don't think there is), it can be made without appeal to a political ideal.
EDIT: Oh shit, I forced myself to keep reading and he got around to phosphates. It's probably the same guy.