Biden's EPA Targets Power Plant Emissions in Proposal Likely to Bring Electricity Shortages

According to reports, the Biden administration is finalizing a proposal to significantly reduce emissions from fossil fuel-fired power plants or mandate them to use costly carbon capture technology. The proposal, which is expected to be released by the Environmental Protection Agency (EPA) soon, would require coal and natural gas-fired power plants to cut or capture the majority of their carbon dioxide emissions by 2040, marking the first-ever federal action to curb power plant emissions.

Although the EPA declined to comment, a spokesperson reiterated the agency’s commitment to addressing air pollution and protecting future generations. The EPA is expected to issue a proposed rule in the spring of 2023 and promulgate a final rule by the summer of 2024, according to an Office of Management and Budget filing from late last year. Currently, no EPA regulations limit emissions from existing electric generating units.

The electric power sector is responsible for about 25% of total U.S. emissions, according to EPA data. Fossil fuel power plants have been targeted by environmentalists and Democratic lawmakers due to their significant emissions, as they push for a reduction to combat climate change. President Biden has committed to a 52% total emission reduction by 2030 and a carbon pollution-free power sector by 2035. The Natural Resources Defense Council, a prominent environmental group, has urged the EPA to set affordable power plant carbon standards under the Clean Air Act and finalize them by early next year.

However, the fossil fuel industry has voiced concerns over the proposal, stating that the U.S. power grid remains heavily dependent on coal, natural gas, and petroleum. Michelle Bloodworth, the president and CEO of America’s Power, a coal power trade group, criticized the regulation as the latest step in President Biden’s anti-fossil fuels agenda, arguing it could lead to electricity shortages.

The proposal will affect the 3,393 fossil fuel-fired power plants nationwide, mostly natural gas, which generate over 60% of the country’s electricity. Wind and solar projects generate approximately 14% of the nation’s power supply. The proposed rule would require significant reductions in emissions from existing power plants, either by implementing carbon capture technology or by transitioning to cleaner sources of energy, such as wind and solar power.

The proposal comes after the U.S. Supreme Court deemed an Obama-era rule limiting power plant emissions under the Clean Air Act unconstitutional, as Congress never explicitly granted the EPA the authority to issue such regulations. However, the Inflation Reduction Act, passed two months later, allows the EPA to regulate greenhouse gas emissions. The proposed rule is expected to be challenged by the fossil fuel industry and could face legal hurdles, similar to the Obama-era rule.

The proposed rule has significant implications for the U.S. power sector, which is heavily dependent on fossil fuels. The shift towards cleaner sources of energy will require significant investments in renewable energy infrastructure, such as wind and solar power, and the development of carbon capture technology. The proposal is likely to face opposition from the fossil fuel industry, which could challenge the rule in court. However, the proposal is consistent with President Biden’s climate change agenda, which aims to reduce emissions and transition towards cleaner sources of energy.

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