EPA Unit Rule's Impact Hinges On State Implementation

Law360, New York (July 25, 2014, 11:04 AM EDT) -- On June 18, 2014, the U.S. Environmental Protection Agency proposed two new rules that have the potential to significantly limit carbon dioxide emissions from fossil fuel-fired electric generating units. While the EPA takes a more traditional approach in the first such rule by proposing standards for modified and reconstructed units, it aims for more significant reductions in the second by proposing changes that do not rest on firm statutory authority and that affect utilization rather than emissions. In addition, the EPA seems to overstate the benefits of the second rule while underestimating the logistical hurdles to its implementation.

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