EPA Proposes New CO2 Rules for Power Plants

by admin on June 2, 2014

The stage is set for a potential new round of battles between the EPA and the State of  Texas over the agencies new rules and their impact on the Texas energy market.    A new rule proposed Monday, June 2 by the Environmental Protection Agency had already prompted lobbyists to action from both sides of the coal industry and environmentalism debate. The new regulation proposed by the EPA would reduce carbon dioxide emissions from existing coal plants by up to 30 percent by the year 2030.

At the present, existing power plants account for 38 percent of the nation’s carbon dioxide emissions, making them the largest contributor to those emissions. A significant portion of those emissions come from older generation, coal-burning power plants. This plan will place a cap on the emissions a plant is legally authorized to release.

The EPA will finish its proposal in mid-2015 and will then give individual states one year’s time to decide how they will implement the plan in their states. Individual states will have multiple options for how to reduce emissions, including upgrading power plants to make them more efficient, switching from coal-burning to natural gas-fueled plants, and promoting renewable energy outside the power plant, in the state at large.  This way, states will have flexibility to build an implementation plan that meets the state’s needs. However, if states fail to build their own effective plan for implementation, the EPA can impose a plan.

 

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