Alex Mills
By Alex Mills
The Environmental Protection Agency announced on Aug. 3 its final regulations on greenhouse gas emissions from power plants in each state. Called the Clean Power Plan, EPA, once again, has issued far reaching regulations that are impossible to achieve in the real world.
This is not the first time EPA has issued unreasonable regulations. Just several weeks ago, EPA issued its “Waters of the U.S.” (WOTUS) regulations, which are just as complicated and confusing as its Clean Power Plan.
Both regulations have been met with strong opposition from industry and state officials. Lt. Gov. Dan Patrick, speaking at a conference in Houston on Aug. 4, said that the new regulation should be ignored and to let the courts decide its legality.
The Texas Commission on Environmental Quality said concerns remain over legal and practical aspects of the Clean Power Plan, while the state has questions on issues regarding EPA usurping their authority.
The Electric Reliability Council of Texas, the state’s main grid operator, has said that EPA regulations, including the Clean Power Plan, could lead to the retirement of thousands of megawatts of coal-fired generation plants, raise the price of electricity, and impact reliability of electric generation.
The Clean Power Plan sets ambitious limits on greenhouse gas emissions in each state. It also creates additional incentives for nuclear plants to stay online and bolsters prospect for renewable energy. Once thought to be a boost for natural gas usage, the revised plan is not as gas-friendly as the original plan. The new regulation creates a program to incentivize deployment of renewables and energy efficiency programs in 2020 and 2021.
Many experts have questioned the reliability of EPA’s Clean Power Plan. The Federal Energy Regulatory Commission questioned EPA’s original plan regarding reliability of service. EPA “solved” that problem by simply requiring states to show that they considered reliability in drafting their future plans.
EPA took a similar position when it approved its regulation on WOTUS. The final rule is so massive and complicated that industry experts are still trying to figure out when people need to apply for a permit, what should be included in a review of a facility, and how will EPA enforce and manage regulation of all the new facilities.
Even though the WOTUS regulations become effective Aug. 28, no one knows what they need to do to be in compliance.
Meanwhile, expect more lawsuits to be filed.
Alex Mills is President of the Texas Alliance of Energy Producers. The opinions expressed are solely of the author.
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