EPA Will Propose Two Rules to Lower Power Plant Emissions

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Written by John Egan for Industrial Info Resources (Sugar Land, Texas)--The U.S. Environmental Protection Agency (EPA) (Washington, D.C.) late last week said the latest attempt to limit carbon dioxide (CO2) emissions from power plants is expected to be released in April. That draft rule will propose emission standards for existing coal-fired power plants and planned gas-fired generators. Proposed standards for future gas-fired plants will be issued separately.

Last May, the EPA issued a proposed rule that called for drastically curbing greenhouse gas emissions from three categories of power plants: existing coal plants, existing gas plants and new gas plants. For more on that, see May 12, 2023, article - EPA Issues Draft Rule Regulating Power Plant Emissions. The draft rule was sharply criticized by two constituencies: industry said the proposed standards could imperil electric reliability while environmental justice groups said it didn't go far enough to protect communities of color, who traditionally have borne the brunt of power plant emissions. For more on that, see August 11, 2023, article - Electricity Groups, Grid Operators and Unions Criticize EPA's Draft Rules on Greenhouse Gas Emissions.

The May 2023 draft rule was necessitated after the U.S. Supreme Court shot down the agency's reasoning in a prior rule for limiting those emissions. For more on that, see July 1, 2022, article - Supreme Court Kicks Clean Air Case Back to EPA. There are no CO2 emission standards for power plants; the Obama, Trump and Biden administrations have sought to establish a first-ever standard for those emissions.

Emissions of nitrogen oxides (NOx) and sulfur dioxide (SO2) from fossil-fueled power plants contribute to the formation of ground-level ozone and fine particulate matter (PM), the EPA said, which can lead to respiratory and cardiovascular problems.

Many power plants are located in or near lower-income areas that are disproportionately populated by people of color.

The draft rule expected to be issued next month will cover emissions for existing coal-fired generators and planned gas-fired power plants. In a separate proposal, the agency said it will propose emissions standards for the nation's currently operating gas-fired generators.

And EPA Administrator Michael Regan said the agency will be taking a different, and tougher, stance on emissions. In a statement issued last Thursday, he said, "As EPA works towards final standards to cut climate pollution ... the Agency is taking a new, comprehensive approach to cover the entire fleet of natural gas-fired turbines, as well as cover more pollutants including climate, toxic and criteria air pollution."

"This stronger, more durable approach will achieve greater emissions reductions than the current proposal," he continued. "EPA proposals on criteria pollutants and air toxics also will help address local air quality impacts to better protect vulnerable frontline communities."

"This comprehensive approach to reducing climate and air pollution also will consider flexibilities to support grid operators and will recognize that ongoing technological innovation offers a wide range of decarbonization options. EPA will immediately begin a robust stakeholder engagement process, working with workers, communities with environmental justice concerns, and all interested parties to help create a more durable, flexible, and affordable proposal that protects public health and the environment."

The agency said the rules "will protect public health, reduce harmful pollutants, and deliver billions of dollars in climate and public health benefits. These final rules will cover existing coal-fired power plants that continue to be among the largest source of greenhouse gas emissions from the power sector, while ensuring that new natural gas turbines are clean."

The EPA received more than 1.3 million comments on the forthcoming rule and had "extensive and productive discussions with many groups of stakeholders to develop effective and workable climate standards that follow the law and are based on available and cost-effective technologies."

The new approach was welcomed by the American Petroleum Institute (API) (Washington, D.C.), the largest oil and gas trade group. In a February 29 statement, Dustin Meyer, the group's senior vice president of policy, economics and regulatory affairs, welcomed the decision to treat operating gas-fired power plants separately from existing coal-fired and future gas-fired generators.

"API welcomes EPA's recognition of the critical role natural gas plays in maintaining electric grid reliability," he said. "The reported amendments to the proposed rule come at a time of rapid demand growth, with utilities and grid operators across the country reiterating the urgent need for reliable, dispatchable power supply."

"Natural gas is the backbone of U.S. electricity generation, complementing renewables and advancing innovations like carbon capture and hydrogen to further reduce greenhouse gas emissions," Meyer continued. "API will continue to work with EPA and other policymakers to ensure the outsized role of natural gas is recognized as part of commonsense policies that keep the lights on for American families and businesses."

API said that more than 40% of the nation's electricity is generated by natural gas. The coal-to-gas switching that has taken place over the last 15 years has been responsible for cleaning the air as well as backstopping intermittent generation from renewable resources such as solar and wind.

The group's statement referenced a long-term outlook from the North American Electric Reliability Corporation (NERC) (Atlanta, Georgia) that states power demand is growing at its fastest pace in 30 years, but that supply is failing to meet this record demand. Without policies to bring new resources online, like permitting reform for critical energy infrastructure, the U.S. power grid could face severe reliability issues and force operators into rolling blackouts.

API's members supply a lot of the gas used to generate electricity.

The EPA's February 29 decision also was praised from various environmental justice and elected officials, including Washington State Governor Jay Inslee (D), who said, "This is excellent news from Administrator Regan, and I commend him for his continued leadership. We cannot mitigate emissions and pollution from power plants by ignoring our country's largest source of electricity generation: existing gas plants. Washington state is eager to support EPA in undertaking this rulemaking as quickly as possible."

U.S. Senator Tammy Duckworth (D-Ill.), added this: "I applaud the Biden administration for once again prioritizing the inclusion of environmental justice communities into the rulemaking process. These ambitious GHG reductions will help benefit the communities that have been most impacted by toxic emissions."

Finally, Abigail Dillen, president of Earthjustice (San Francisco, California) had this to say: "Moving forward with standards for existing coal plants and new gas plants will address two burning priorities. Tackling dirty coal plants is one of the single most important moves the president and EPA can make to rein in climate pollution. As utilities propose new fossil gas plants, we absolutely have to get ahead of a big new pollution problem."

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