Compliance & Policy

EPA moves to strip its own greenhouse gas authority over power plants

EPA has begun a procedural move to strip its own authority to limit greenhouse gas emissions from power plants, Envirotech Online reports — a step that puts its endangerment finding on the docket for rescission.

Waypoints

  1. EPA has launched a procedural move to strip its own authority to limit power plant greenhouse gas emissions.

  2. Power generation is the largest stationary source of greenhouse gases in the U.S. economy.

  3. EPA's authority rests on the agency's endangerment finding that greenhouse gases threaten public health and welfare.

  4. The change requires formal notice-and-comment rulemaking and faces expected judicial review.

  5. The next milestone is a proposed rule publication in the Federal Register.

The U.S. Environmental Protection Agency has launched a procedural move to remove its own authority to limit greenhouse gas emissions from power plants, Envirotech Online reported. The action, led from inside the agency rather than by Congress or the courts, puts EPA's greenhouse gas program over the stationary power sector on the docket for rescission or curtailment.

What EPA is proposing to change

The Clean Air Act pathway at issue covers New Source Performance Standards for new generating units, emissions guidelines for modified or existing units, and the permitting and reporting obligations that flow from those standards. By initiating the move from inside the agency, EPA is signaling it intends to unwind at least part of this framework rather than let it stand on appeal, in court, or through congressional inaction.

Why power plants sit at the center

Power generation is the largest stationary source of greenhouse gas emissions in the U.S. economy. Standards for new and existing power plants have been the primary vehicle through which EPA has applied its greenhouse gas authority to the stationary sector, and the rulemakings that emerged from those standards have set the compliance floor for utilities, independent power producers, and state permitting agencies.

How the legal chain fits together

EPA's greenhouse gas authority over power plants rests on the agency's endangerment determination — its finding that greenhouse gases threaten public health and welfare. That determination is the legal hinge for subsequent greenhouse gas standards for power plants. Narrowing or rescinding it would unwind the standards that depend on it, which is why the action requires formal notice-and-comment rulemaking and almost certain judicial review by environmental groups, states, and industry petitioners on both sides of the question.

What's downstream of a successful rollback

A successful rollback would not stop at the smokestack. Other EPA programs that cross-reference the same endangerment determination face the same legal exposure. That includes emissions standards for other large stationary sources EPA built on the same foundation, putting a wider set of industrial and waste-sector permits into regulatory question and raising questions about the legal status of permits already issued under the prior framework.

What changes in the near term

In the short run, EPA can't simply stop applying its existing greenhouse gas standards — they remain in force until formally rescinded or enjoined by a court.

Utilities and developers with projects in the pre-construction or permit-review pipeline should expect continued compliance obligations, even as EPA signals its intent to pull back.

State air agencies that have delegated authority under the existing standards also keep operating under the current framework until the rulemakings and any court orders land.

What to watch next

The next milestone is publication of any proposed rule in the Federal Register. That filing opens the comment clock and starts the clock on judicial review.

From there, the calendar turns on the length of the comment period, EPA's response to comments, any state or industry petitions for review, and the first court filing challenging the action.

Each of those dates resets the clock on the next one, and the eventual litigation will likely run for years before any final judicial decision lands.

The takeaway: the next Federal Register notice and the first court filing are now the two dates the power sector, adjacent industrial sectors, and state air agencies will track — because both filings reset the regulatory clock on every downstream program tied to the same endangerment finding.

via Google News: Environmental compliance and EPA (Source)

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Daniel Okafor

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Correspondent covering companies, deals and strategy in Circular economy and the environmental industry at Circular Wire.

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