EPA reveals power plant emissions proposals

• 10 years ago (2014-06-04)
• Junior Isles

North America 1021

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The US Environmental Protection Agency (EPA) has finally unveiled its proposals for new federal regulation of the power sector, with a target that carbon dioxide emissions from power generation must be cut by 30 per cent on 2005 levels by 2030.

Under the plans the US’ 1000 power plants, accounting for nearly 40 per cent of US carbon emissions, will face limits on their carbon pollution for the first time.

The new proposals form the centrepiece of the Obama administration's domestic climate change strategy and will likely call for substantial transformation of a power sector still reliant on coal for almost 38 per cent of its generation – if they can get past Republican lawmakers and the Supreme Court.

"The flexibility of our Clean Power Plan affords states the choices that lead them to a healthier future. Choices that level the playing field, and keep options on the table, not off," said Gina McCarthy, EPA administrator, announcing the proposals.

Under the plans, individual states have several options to achieve their emission targets and the targets themselves are weaker than some business groups feared, largely thanks to the 2005 baseline and the subsequent shale-gas driven decline in US emissions since then.

Opposition to the EPA is already entrenched, with barely a day passing before Republican Senate Minority Leader Mitch McConnell’s introduction of a bill that would block the new regulations if their guarantees could not be given that the regulations would not threaten electric reliability, raise electricity prices or cost any jobs.

The EPA’s proposal will undergo at least four months of public comments and States must submit their emissions reduction plans to the EPA by June 2016.

While business groups, industry and the politicians of coal-reliant states have largely come out against the plans, the power generation and utilities industries have been more equivocal, reflecting on their divided members who encompass both fossil fuels and renewables.

“While the 2030 reduction target is ambitious, it appears that utilities may be allowed to take advantage of some of their early actions,” the Edison Electric Institute said.