Citing costs, EPA moves to unwind Biden-era rules By EPN Staff The Environmental Protection Agency recently proposed rescinding certain Biden-era regulations on emissions from fossil fuel-fired power plants. The proposals, which aim to eliminate greenhouse gas standards under Clean Air Act Section 111 and repeal updates to the 2024 Mercury and Air Toxics Standards (MATS), are projected to combine for $1.3 billion in annual regulatory cost savings beginning in 2026. Why it matters The effort to roll back these regulations is intended to: Reduce compliance costs. Promote grid reliability. Lower energy prices. The Trump administration has pointed out these specific regulations undermine reliability and affordability goals and are unnecessary, given the industry’s success in lowering emissions and pollutants. For example, emissions of mercury from coal-fired power plants declined by 90 percent between 2012 and 2021, while other pollutants, such as nickel, arsenic and lead had been reduced by more than 80 percent. The Biden-era regulations served primarily to add costs and accelerate the retirement of baseload electricity generation that remains critically important to meeting existing and projected power demands. The bigger picture In its bid to unwind two key regulatory frameworks – the 2015 Clean Power Plan and the more recent 2024 greenhouse gas emissions standards – the EPA has pointed to the Supreme Court’s 2022 ruling in West Virginia v. EPA. In that case, the high court limited executive agency authority to impose wide-reaching rules shaping electricity generation without clear congressional direction. The EPA also pointed out that a strict reading of the Clean Air Act precludes the agency from enforcing regulation of greenhouse gas emissions on power plants. “Unlike other air pollutants with a regional or local impact, the targeted emissions are global in nature,” the EPA reported. The agency added that “greenhouse gas emissions from fossil fuel-fired power plants do not contribute significantly to dangerous air pollution within the meaning of the statute.” Additional details EPA Administrator Lee Zeldin stated that the revised interpretation reflects a need to realign environmental regulations with economic and energy security goals. The agency projects the repeal will save utilities approximately $1.2 billion annually, largely by eliminating requirements to install costly pollution control systems or implement carbon capture. These changes, the EPA argues, will reduce energy costs and improve operational flexibility for power producers. The proposal would also repeal specific New Source Performance Standards and carbon pollution rules affecting new or modified coal and gas units. Overall, the agency frames the action as part of a broader effort to prioritize domestic energy reliability and affordability.
