EPA sets new standard for USA power plant emissions

• 12 years ago (2012-03-28)
• David Flin

North America 1021

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The US Environmental Protection Agency (EPA) has proposed the first limits on greenhouse gas emissions from US power plants. The new rules will permit emissions from new power plants at 1000 pounds of CO2 per MWh, about the level for a modern natural gas plant. Commentators say that this limit will effectively preclude construction of new coal-fired plants.

The average coal plant emits 2250 pounds of CO2 per MWh, compared with 1135 pounds for a natural gas plant, according to figures from the EPA. Lisa Jackson, Administrator at the EPA, said: “We build on where the industry is going and lock that trend in, which we believe is an important signal for investors.”

The rule will only apply to new construction, and Jackson said that the EPA has no plans to issue rules that would affect existing plants. The proposal would also exempt 15 plants with pending construction permits, and provides leeway for new coal plants to phase in carbon capture technology over 30 years.

The proposed national standard is the first of its kind issued by the EPA for CO2.

Steve Miller, CEO of the lobby group American Coalition for Clean Coal Electricity, said: “This is another in a series of new regulations written by the EPA to deliberately prevent the USA from taking advantage of our vast coal resources that are responsible for providing affordable electricity for America’s families and businesses.”

However, experts say that the initial impact of the EPA rule would be minimal, as utilities are closing, not building, coal plants because natural gas prices are at 10-year lows. The share of coal in electricity generation dropped below 40 percent at the end of 2011, the lowest since 1978, according to figures from the US Energy Information Administration.