Update on EPA’s Clean Power Plan Model Rules

Janet McCabe Janet McCabe

By: Janet McCabe

States, cities, businesses, tribes, and other organizations across the country are taking important steps to cut carbon pollution from power plants. In fact, power plant carbon emissions in 2015 were almost 25 percent below 2005 levels. Our extensive public engagement highlighted this continued progress and helped us ensure that the Clean Power Plan (CPP) was in line with the transition that is under way in the electricity sector. Our outreach also made it clear that states were looking to the agency to continue providing support and tools, including the Model Rules, that would help them in developing or expanding programs and strategies to cut carbon pollution.

EPA proposed the Model Rules in August 2015 when we issued the final CPP.  The proposed Model Rules highlighted straightforward pathways to adopting a trading system, making it easy for states and power plants to use emissions trading to reduce carbon pollution. Today, we are withdrawing the draft Model Rules and accompanying draft documents from interagency review and are making working drafts of them available to the public. While these drafts are not final and we are not required to release them at this time, making them available now allows us to share our work to date and to respond to the states that have requested information prior to the end of the Administration. In a letter issued today, we have notified those 14 states about the information we are making available.

We believe that the work we have done so far may be useful at this time to the states, stakeholders and members of the public who are considering or are already implementing policies and programs that would cut carbon pollution from the power sector. These drafts may be especially helpful to states considering the use of emissions trading programs or the expansion of existing trading programs, since one of the chief areas of focus of the draft Model Rules is emissions trading.  Similarly, states interested in using or expanding energy efficiency programs might find the material presented in the Evaluation, Measurement & Verification document useful as well.

The documents we are posting today are still working drafts. They are not final documents, they are not signed by the Administrator and they will not be published in the Federal Register. EPA’s docket will remain open, with the potential for completing the agency’s work on these materials and finalizing them at a later date.

Editor's Note: The views expressed here are intended to explain EPA policy. They do not change anyone's rights or obligations. You may share this post. However, please do not change the title or the content, or remove EPA’s identity as the author. If you do make substantive changes, please do not attribute the edited title or content to EPA or the author.

EPA's official web site is www.epa.gov. Some links on this page may redirect users from the EPA website to specific content on a non-EPA, third-party site. In doing so, EPA is directing you only to the specific content referenced at the time of publication, not to any other content that may appear on the same webpage or elsewhere on the third-party site, or be added at a later date.

EPA is providing this link for informational purposes only. EPA cannot attest to the accuracy of non-EPA information provided by any third-party sites or any other linked site. EPA does not endorse any non-government websites, companies, internet applications or any policies or information expressed therein.

One Year Later: Climate Action and the Clean Power Plan

Gina McCarthy Gina McCarthy

By Administrator Gina McCarthy

2016 is on pace to be the hottest year ever recorded – by a significant margin – while 2015 currently holds the title, and 2014 before that. The facts and the trends are clear, and the threat is real.

Just yesterday, the latest climate indicators report confirmed that the impacts of climate change are getting stronger and stronger—average temperatures and sea levels keep rising, coastal flooding is getting worse, and Arctic sea ice is melting at alarming rates.

As President Obama has made very clear, we are the first generation to feel the effects of climate change, and we may be the last generation who can do something about it.

That’s why in 2013, President Obama announced his Climate Action Plan, a bold and achievable plan that does everything in our power to combat climate change – from reducing emissions in nearly every sector of our economy, to increasing energy efficiency, to investing in renewable energy. And taking action here at home has allowed the United States to lead the world in getting a historic international agreement in Paris last year an agreement that reduces greenhouse gas emissions and limits global warming to two degrees Celsius.

One of the centerpieces in U.S. efforts to limit the effects of climate change and lead the world on this issue was reducing dangerous carbon pollution from power plants. One year ago today, I signed the Clean Power Plan, which set the first-ever national standards on reducing carbon pollution from existing power plants. EPA’s charge from the President was clear: to exercise our statutory authority to lay out steady, responsible steps to cut carbon pollution under the Clean Air Act. And that’s what we did – by setting limits that reflected the growing momentum in the power sector to provide the American public with cleaner sources of energy.

The trend toward investment in renewables and energy efficiency is unfolding all around us:

  • Electricity generated from renewables is expected to grow by 9% in 2016 alone;
  • Utilities are investing $8 billion a year in energy efficiency, a four-fold increase from just eight years ago, and more companies than ever are leveraging EPA’s ENERGY STAR platform;
  • States are leading the way—29 states have adopted mandatory renewable portfolio standards, and an additional eight states have voluntary renewable goals.  Twenty-three states have mandatory energy efficiency provisions and 10 states have implemented market-based trading programs to reduce greenhouse gas emissions; and
  • The private sector is also stepping up.  Google, Apple, Goldman Sachs, Walmart, and Unilever – and other large U.S. companies are choosing to cut emissions and committing hundreds of billions of dollars to finance clean energy innovation.

It’s not an accident that the Clean Power Plan mirrors this trend. It is by design and it’s the result of our unprecedented outreach and engagement with states, utilities, energy regulators, environmental groups, communities, tribes and the public. Through this process we committed to listen and learn. We did. We committed to put the states in the driver’s seat. We did. We committed to cutting carbon pollution in a way that is in line with where the power sector is headed. We did. We committed to lead on climate action. And that’s exactly what we did.

Sometimes our efforts to protect public health and environment face opposition and/or litigation. The Clean Power Plan is no different and was stayed by the Supreme Court until the litigation is resolved. However, it will see its day in court and EPA remains fully confident in its legal merits. The Plan rests on a strong legal and technical foundation and is consistent with Supreme Court decisions, EPA’s statutory authority, and air pollution standards that have been put in place to tackle other pollution problems.  While the courts review the plan, and during the stay, no state is required to comply with it. However, many states and tribes have indicated they plan to move forward voluntarily to reduce carbon pollution from power plants. They have asked the agency to continue to develop tools to support them in their voluntary efforts. We are doing just that.

As we look to the future, let’s take stock of what we’ve done—we ’ve taken action to cut carbon pollution from power plants,extended tax credits for renewable energy, enabled the production of a new generation of clean cars and trucks, reduced methane emissions from the oil and gas sector, fostered a global climate change agreement, and so much more. These actions are rooted in science, codified in our laws, and broadly supported by our citizens. And they will make a difference! I’m excited for what the future holds. At EPA we remain ready to take advantage of smart and effective opportunities to safeguard public health and the environment for this generation and those that follow.

Editor's Note: The views expressed here are intended to explain EPA policy. They do not change anyone's rights or obligations. You may share this post. However, please do not change the title or the content, or remove EPA’s identity as the author. If you do make substantive changes, please do not attribute the edited title or content to EPA or the author.

EPA's official web site is www.epa.gov. Some links on this page may redirect users from the EPA website to specific content on a non-EPA, third-party site. In doing so, EPA is directing you only to the specific content referenced at the time of publication, not to any other content that may appear on the same webpage or elsewhere on the third-party site, or be added at a later date.

EPA is providing this link for informational purposes only. EPA cannot attest to the accuracy of non-EPA information provided by any third-party sites or any other linked site. EPA does not endorse any non-government websites, companies, internet applications or any policies or information expressed therein.

In 2016, We’re Hitting the Ground Running

Gina McCarthy Gina McCarthy

By Gina McCarthy

Heading into 2016, EPA is building on a monumental year for climate action—and we’re not slowing down in the year ahead. Last August, President Obama announced the final Clean Power Plan, EPA’s historic rule to cut carbon pollution from power plants, our nation’s largest driver of climate change. Then in Paris last month, nearly 200 countries came together for the first time ever to announce a universal agreement to act on climate.

So we’re hitting the ground running. Under the Paris Agreement, countries pledge to limit global warming to two degrees Celsius at most, and pursue efforts to keep it below 1.5 degrees Celsius. Science tells us these levels will help prevent some of the most devastating impacts of climate change, including more frequent and extreme droughts, storms, fires, and floods, as well as catastrophic sea level rise. This agreement applies to all countries, sets meaningful accountability and reporting requirements, and brings countries back to the table every five years to grow their commitments as markets change and technologies improve. It also provides financing mechanisms so developing economies can move forward using clean energy.

This year, we’ll build on these successes to ensure lasting climate action that protects Americans’ health, economic opportunity, and national security. EPA staff will provide their technical leadership to ensure consistent, transparent greenhouse gas reporting and inventory requirements under the Paris Agreement. Our domestic expertise in air quality monitoring and greenhouse gas inventories will help countries make sure they’re meeting their greenhouse gas reduction goals. Similarly, we’ll use our expertise to identify and evaluate substitutes in the U.S. to reduce hydrofluorocarbons (HFCs), another potent climate pollutant. This work domestically will help us lead global efforts to finalize a requirement in 2016 for countries to reduce production and use of HFCs under the Montreal Protocol.

We will finalize a proposal to improve fuel economy and cut carbon pollution from heavy-duty vehicles, which could avoid a billion metric tons of carbon pollution and save 75 billion gallons of fuel by 2027. We’ll also finalize rules to limit methane leaks from oil and gas operations—which could avoid up to 400,000 metric tons of a climate pollutant 25 times more potent than carbon dioxide by 2025. Meanwhile, we’re doubling the distance our cars go on a gallon of gas by 2025.

In 2016, EPA will defend and implement the Clean Power Plan by working closely with states and stakeholders to help them create strong plans to reduce their carbon pollution. We wrote this plan with unprecedented stakeholder input, including hundreds of meetings across the country and 4.3 million public comments. The result is a rule that’s ambitious but achievable, and falls squarely within the four corners of the Clean Air Act, a statute we have been successfully implementing for 45 years. We’re confident the Clean Power Plan will stand the test of time—the Supreme Court has ruled three times that EPA has not only the authority but the obligation to limit harmful carbon pollution under the Clean Air Act.

Just as importantly, the Paris Agreement and the Clean Power Plan are helping mobilize private capital all over the world toward low-carbon investments. The U.S. has sent a clear signal that a low-carbon future is inevitable, and that the market will reward those who develop low-carbon technologies and make their assets resistant to climate impacts. That’s why 154 of the largest U.S. companies, representing 11 million jobs and more than seven trillion dollars in market capitalization, have signed the White House American Business Act on Climate Pledge. Companies like Walmart, AT&T, Facebook, and Coca-Cola recognize that climate impacts threaten their operations, while investing in a low-carbon future is an unprecedented business opportunity.

Americans know climate action is critical—they’re seeing its impacts with their own eyes. Hurricanes, droughts, wildfires, and storms are growing more frequent and extreme. Streets in cities like Miami now flood on sunny days due to sea level rise. Climate change is a moral issue, a health issue, and a jobs issue—and that’s why the strong majority of Americans want the federal government to do something about it, and support the strong outcome in Paris.

We’ve got a lot more work to do, and we’re not slowing down. Over the past year, we’ve seen remarkable climate achievements that once seemed impossible—and that’s thanks to President Obama’s leadership. His climate legacy is already impressive, but we will build on it in 2016 by continuing to protect health and opportunity for all Americans. At EPA, we’ve got our sleeves rolled up.

Editor's Note: The views expressed here are intended to explain EPA policy. They do not change anyone's rights or obligations. You may share this post. However, please do not change the title or the content, or remove EPA’s identity as the author. If you do make substantive changes, please do not attribute the edited title or content to EPA or the author.

EPA's official web site is www.epa.gov. Some links on this page may redirect users from the EPA website to specific content on a non-EPA, third-party site. In doing so, EPA is directing you only to the specific content referenced at the time of publication, not to any other content that may appear on the same webpage or elsewhere on the third-party site, or be added at a later date.

EPA is providing this link for informational purposes only. EPA cannot attest to the accuracy of non-EPA information provided by any third-party sites or any other linked site. EPA does not endorse any non-government websites, companies, internet applications or any policies or information expressed therein.

Global Climate Action at COP-21

Gina McCarthy Gina McCarthy

By EPA Administrator Gina McCarthy

This week, I’m proud to be in Paris, where the United States and countries around the world are working toward an ambitious global climate agreement at the 21st Conference of the Parties, also known as COP-21.

Since day one in office, President Obama has recognized that climate change is not just an environmental concern. It’s an urgent matter of public health, our economy, and our security.

And we were reminded by Pope Francis earlier this year that acting on climate isn’t just the smart thing to do, it’s our moral responsibility—for the sake of the world’s poor and vulnerable, and on behalf of our kids and grandkids.

That’s why the work going on here Paris—where hundreds of the world’s nations are coming together and collaborating on a path forward—is so important. The global community has never before been so close to consensus on this issue. A historic agreement is at our fingertips.

Today at the State Department’s U.S. Center at COP-21, I spoke about the U.S. Environmental Protection Agency’s (EPA’s) role in this international effort, and how EPA is delivering on President Obama’s climate agenda.

Over the past 7 years, The U.S. has taken a series of ambitious actions to cut the carbon pollution driving climate change, and demonstrate that the U.S. is fulfilling our responsibility to act. All told, the steps we’ve taken under President Obama’s leadership will help the United States reach our national goal of cutting carbon pollution 26-28 percent below 2005 levels by 2025.

Whether it’s the Department of Agriculture’s “Climate Smart Agriculture” initiative to cut carbon pollution by over 120 million metric tons of CO2 equivalent by 2025, or the several dozen utility-scale renewable energy projects that the Department of Interior has permitted on public lands, or NASA’s cutting-edge scientific efforts to monitor Earth-system changes. The list goes on and on.

A centerpiece of U.S. efforts is EPA’s Clean Power Plan, our historic rule to cut carbon pollution from the power sector, the largest source in the U.S. economy. Our plan puts the United States on track to slash carbon pollution 32 percent below 2005 levels by 2030. And the cuts to smog and soot that come along with these reductions will lead to major health benefits for kids and families.

And EPA is taking a host of additional steps to push our progress even further. We’re doubling the distance our nation’s cars go on a gallon of gas by 2025. We’ve taken four separate actions to curb methane emissions from the oil and gas sector. We’re acting on climate-damaging Hydrofluorocarbons (HFCs), domestically, internationally, and through voluntary programs with industry. We set standards for medium-and heavy-duty vehicles and are now going even further with a proposal that will reduce 1 billion tons of emissions.

I’m confident these actions will stand the test of time. Why? Because EPA has a 45-year legacy of finding lasting solutions to difficult environmental problems. In that time, we’ve cut air pollution by 70 percent while our nation’s economy has tripled.
In the U.S., we’re already seeing clean-energy innovations being rewarded. Today, the U.S. uses 3 times more wind power, and 20 times more solar than when President Obama first took office. Jobs in the solar industry are growing faster than in any other sector of our economy—good-paying jobs that grow opportunity in the communities that need it most. Our actions under President Obama’s leadership build on that trajectory.

And we’ve seen time and again the American people are ready to act on climate now. We heard from millions of people on our initial proposal for the Clean Power Plan. We heard from states, utility companies, environmental organizations, and communities across our country. What we heard is that people want to stop talking and start doing. In poll after poll, a majority of Americans say they want climate action. That’s how we know our actions will endure.

But we also know that no country can solve this challenge alone.

That’s why I’m so encouraged by the ambitious commitments we’re seeing from nations around the world. Heading into the COP-21, 180 countries, representing more than 90 percent of greenhouse gas emissions already submitted national plans to reduce their emissions. That’s big.

Here in Paris, our collective efforts are finally aligning. Now is our time.

For the sake of our children and grandchildren, it’s time to come together and do what’s necessary to protect our common home.

Stay up-to-date on U.S. Center events here, and follow my trip on Twitter @GinaEPA.

Editor's Note: The views expressed here are intended to explain EPA policy. They do not change anyone's rights or obligations. You may share this post. However, please do not change the title or the content, or remove EPA’s identity as the author. If you do make substantive changes, please do not attribute the edited title or content to EPA or the author.

EPA's official web site is www.epa.gov. Some links on this page may redirect users from the EPA website to specific content on a non-EPA, third-party site. In doing so, EPA is directing you only to the specific content referenced at the time of publication, not to any other content that may appear on the same webpage or elsewhere on the third-party site, or be added at a later date.

EPA is providing this link for informational purposes only. EPA cannot attest to the accuracy of non-EPA information provided by any third-party sites or any other linked site. EPA does not endorse any non-government websites, companies, internet applications or any policies or information expressed therein.

The Role of Biomass in Achieving Clean Power Plan Goals – A 2016 Workshop to Foster a Constructive Discussion

Janet McCabe Janet McCabe

By Janet McCabe

Since issuing the Clean Power Plan (CPP), states and stakeholders have shown a strong interest in the role biomass can play in state plans to reduce carbon emissions under the rule. Many states are seeking to better understand how maintaining and building on their existing approaches to sound carbon- and greenhouse gas (GHG)-beneficial forestry and land management practices can yield biomass resources that will help them meet their CPP goals, and how to craft plans that will be federally approvable under the final CPP guidelines. To respond to this interest and to support state and stakeholder efforts to incorporate bioenergy in their CPP plans, we will be holding a public workshop in early 2016 for stakeholders to share their successes, experiences and approaches to deploying biomass in ways that have been, and can be, carbon beneficial.

The president’s Climate Action Plan and a range of the administration’s policies recognize that America’s forests and other lands must continue to play an essential role in mitigating the effects of carbon pollution. Biomass derived from land that is managed under programs that ensure the long-term maintenance of healthy forests can serve as an integral part of a broader forestry-based climate strategy, so the CPP expressly includes bioenergy as an option for states and utilities in CPP compliance.  It reflects the fact that, in many cases, biomass and bioenergy products in the power system can be an integral part of state programs and foster responsible land management and renewable energy.

State flexibility is a key component of the CPP. It recognizes the unique circumstances of each state’s energy mix and approaches to energy efficiency and renewable energy.  Many states already have extensive expertise in sound carbon- and GHG-beneficial forestry and land management practices, and the CPP’s flexibility will give states the ability to build in approaches to biomass and bioenergy unique to their forests and land management programs and policies.  It recognizes the importance of forests and other lands for climate resilience – in addition to the carbon benefits of biomass – fostered by a variety of land use policies, renewable energy incentives and standards, and GHG strategies. Working with stakeholders, these states promote viable forestry and agricultural product markets, which help protect and preserve healthy and productive lands and contribute to the continued and improved management of these lands.

That is why the CPP creates a pathway for states to use biomass as part of their plans to meet their emission reduction guidelines, and we expect many states to include biomass as a component in their state plans. We look forward to reviewing plans that incorporate well-developed forestry and other land management programs producing biomass that can qualify under the guidelines laid out in the CPP, and we are confident that the CPP offers sufficient lead time and flexibility for states to develop approvable programs.

So a key goal of the workshop we’ll be holding is to provide an opportunity for states with well-developed forestry and land management practices to share their experiences.  Another is to foster a constructive dialogue about how states can best include biomass in their compliance plans if that is a path they choose to follow.  The workshop will showcase the constructive compliance approaches many states are already implementing or developing.  And to prepare for the workshop, our first step is to reach out to key stakeholders to get ideas on the agenda.

We look forward to working with states and stakeholders to ensure that biomass continues to play an important role in accomplishing our climate change goals. Open lines of communication and sharing information helped shape the final Clean Power Plan, and continued constructive engagement will be vital for us to achieve significant climate and health benefits as we implement the CPP.

Editor's Note: The views expressed here are intended to explain EPA policy. They do not change anyone's rights or obligations. You may share this post. However, please do not change the title or the content, or remove EPA’s identity as the author. If you do make substantive changes, please do not attribute the edited title or content to EPA or the author.

EPA's official web site is www.epa.gov. Some links on this page may redirect users from the EPA website to specific content on a non-EPA, third-party site. In doing so, EPA is directing you only to the specific content referenced at the time of publication, not to any other content that may appear on the same webpage or elsewhere on the third-party site, or be added at a later date.

EPA is providing this link for informational purposes only. EPA cannot attest to the accuracy of non-EPA information provided by any third-party sites or any other linked site. EPA does not endorse any non-government websites, companies, internet applications or any policies or information expressed therein.

Working Together to Implement the Clean Power Plan

Gina McCarthy Gina McCarthy

By Gina McCarthy

This summer, EPA issued our historic Clean Power Plan, one of the largest steps America has ever taken to combat climate change and protect future generations. The Plan puts the U.S. on track to significantly cut carbon pollution from power plants – our nation’s biggest single contributor to climate change.

Because greenhouse gas pollution threatens public health and welfare, EPA is using its authority under the Clean Air Act to regulate sources of these pollutants, including in the power sector. Along with the many other actions we’re taking under President Obama’s leadership, the Clean Power Plan will translate to major health benefits and cost savings for American families.

The Clean Power Plan is grounded firmly in science and the law. Science clearly shows that carbon dioxide fuels a changing climate, which in turn poses threats to our health and to the environment that sustains us all. The Plan is fully consistent with the Clean Air Act, and relies on the same time-tested state-federal partnership that, since 1970, has reduced harmful air pollution by 70 percent, while the U.S. economy has tripled.

What makes the Plan so effective is that it reflects the voices of those who are closest to the issues on the ground. Extensive input from states, industry representatives, energy regulators, health and environmental groups, and individual members of the public helped us get to a plan that we know works for everyone.  In fact, we considered over 4.3 million comments received in response to our initial proposal.

And we listened.

It was feedback from utilities that made sure our plan mirrors how electricity moves around the grid, so that we could open up opportunities. It was input from states that made sure we set fair and consistent standards across the country. And it was comments from many folks that told us that we needed to extend the timeframe for mandatory cuts by two years, until 2022. States and utilities told us they needed more time, and we listened.

As a result of this unprecedented amount of outreach, the Plan is fair, flexible, affordable, and designed to reflect the fast-growing trend toward cleaner American energy.

With strong but achievable standards for power plants, and customized goals for states to cut the carbon pollution that is driving climate change, the Clean Power Plan provides national consistency, accountability, and a level playing field while reflecting each state’s energy mix.

But our engagement hasn’t stopped with the signing of the rule. Since issuing the Clean Power Plan in August, we’ve reached out to all 50 states, making sure every state has multiple opportunities to hear from us and to ask questions.

We’ve also held dozens in-person meetings and calls with states, tribes, communities, industry representatives, and elected officials, and we’ve held or participated in a number of widely-attended conferences about the Plan.

Staff at each of EPA’s 10 regional offices and our headquarters have responded to hundreds of questions about the final rule, and questions continue to come in through meetings, our website, and other venues.

We’ve seen firsthand that when diverse voices are brought to the table, environmental protection works. For nearly 45 years, our interactions and engagement with states and stakeholders has resulted in tremendous progress to cut down air pollution and protect Americans’ health – including tangible benefits for communities, families, and kids.

We are committed to helping everyone better understand the Clean Power Plan and have been impressed – but certainly not surprised – by the remarkable level of constructive engagement across the board. Conversations are happening across the country. And we’re encouraged to see that many states are beginning their own planning processes because that means they’re preparing to take action.

We have every interest in helping states succeed, and every confidence that the Clean Power Plan provides states the options, time and flexibility to develop plans that meet their unique needs and goals.

We look forward to continuing our work with states, the energy sector, and many other groups to follow the science, implement the law, and build a healthy future for our kids and grandkids – together.

Editor's Note: The views expressed here are intended to explain EPA policy. They do not change anyone's rights or obligations. You may share this post. However, please do not change the title or the content, or remove EPA’s identity as the author. If you do make substantive changes, please do not attribute the edited title or content to EPA or the author.

EPA's official web site is www.epa.gov. Some links on this page may redirect users from the EPA website to specific content on a non-EPA, third-party site. In doing so, EPA is directing you only to the specific content referenced at the time of publication, not to any other content that may appear on the same webpage or elsewhere on the third-party site, or be added at a later date.

EPA is providing this link for informational purposes only. EPA cannot attest to the accuracy of non-EPA information provided by any third-party sites or any other linked site. EPA does not endorse any non-government websites, companies, internet applications or any policies or information expressed therein.

Unleashing Innovation for a Clean Energy Economy

Gina McCarthy Gina McCarthy

By Gina McCarthy

One of America’s greatest assets is the ingenuity of its people. President Obama has been driving that theme home since the beginning of his Administration. At EPA, we’ve seen time and again that by unleashing homegrown American innovation, we can bring about big wins for both the environment and the economy.

Just look at renewable energy – today the U.S. generates three times as much wind power, and 20 times as much solar power as we did in 2008. And since the beginning of 2010, the average cost of a solar electric system in the U.S. has dropped by half. At the same time, the U.S. solar industry is creating jobs 10 times faster than the rest of the U.S. economy.

Photo of windmills with a blue sky.

And look at the auto industry – we’ve set historic fuel efficiency standards that promise to send our cars twice as far on a gallon of gas by the middle of the next decade—a move that will reduce pollution and save families money at the pump at the same time. Today, every major U.S. automaker offers electric vehicles. And since 2009, the American auto industry added more than 250,000 jobs.

These are wins all around. That’s why states, communities, and leading private sector companies are investing in clean energy innovation. Because it’s is good for the environment and it’s good for business. There are countless state-based projects already underway to reduce energy waste, boost efficiencies, and vastly increase the amount of energy solar panels can produce from the sun.

We’re already seeing tremendous progress across the country – including the development of smart, low-cost technologies that help households save on their energy bills. On this front, the state of Illinois is moving ahead at full speed.

Photograph of Administrator Gina McCarthy speaking at a podium.

Just last week, I was proud to join officials from the City of Chicago, utility companies, citizen groups, and two energy-technology companies – Nest and Ecobee – as they announced a major new initiative to get one million “smart” thermostats into northern Illinois homes by the year 2020.

The innovative partnership offers rebates that will nearly halve the cost of thermostats that allow residents to control the temperature of their homes via mobile device. And the technology is “smart” because it adapts to user behaviors over time. The new program is bringing together utilities, environmental organizations, consumer groups, private companies, and the state commerce chamber – all working together toward an ambitious energy efficiency goal.

The one-million smart thermostats effort is a prime example of the power of innovation and partnerships in solving tough problems. Because when we bring diverse skills, perspectives, and expertise to the table, we get creative solutions. The Illinois program will bring efficiencies that move the needle against climate change and it will help consumers’ savings on their energy bills at the same time. That’s a win-win.

And it’s precisely the kind innovative thinking that states across the country are using to help meet the requirements laid out in EPA’s Clean Power Plan, which launched this past summer.

The Plan puts the U.S. on track to slash carbon pollution from the power sector 32 percent below 2005 levels by 2030. And when we cut carbon pollution, we also cut harmful smog- and soot-forming pollutants that come along with it.

We’ll start seeing health benefits in the near term, and by 2030, we’ll avoid thousands of premature deaths and hospital admissions, tens of thousands of asthma attacks, and hundreds of thousands of missed school and work days.  In that same year, the average American family will see $85 a year in savings on their utility bills. That’s another win-win.

The bottom line is— America knows how to innovate, and solutions are already here. Technology and innovation are turning what used to be daunting challenges into real, profitable opportunities. The kinds of innovative thinking we’re seeing in Illinois and elsewhere are our best shot at seizing them.

Editor's Note: The views expressed here are intended to explain EPA policy. They do not change anyone's rights or obligations. You may share this post. However, please do not change the title or the content, or remove EPA’s identity as the author. If you do make substantive changes, please do not attribute the edited title or content to EPA or the author.

EPA's official web site is www.epa.gov. Some links on this page may redirect users from the EPA website to specific content on a non-EPA, third-party site. In doing so, EPA is directing you only to the specific content referenced at the time of publication, not to any other content that may appear on the same webpage or elsewhere on the third-party site, or be added at a later date.

EPA is providing this link for informational purposes only. EPA cannot attest to the accuracy of non-EPA information provided by any third-party sites or any other linked site. EPA does not endorse any non-government websites, companies, internet applications or any policies or information expressed therein.

EPA’s Clean Power Plan Protects Low-Income and Minority Communities

Tom Reynolds Tom Reynolds

When President Obama announced the final Clean Power Plan earlier this month, he predicted that some cynical critics would claim the plan harms minority and low-income communities. Then he chuckled and shook his head, because the truth is, failing to act on climate is what stands to hurt vulnerable Americans the most.

Just as the President predicted, in the weeks since the announcement, we’re seeing the usual cast of special interest critics roll out the usual tired, worn out, and frankly, false arguments. Put simply, the Clean Power Plan will not impact affordable, reliable power. It will protect vulnerable communities. And it will save consumers money.

This week marks the 10th anniversary of Hurricane Katrina—a powerful reminder that low-income and minority communities are the most vulnerable to climate-related impacts like stronger storms, floods, fires, and droughts, and the least able to rebuild after a disaster. And the carbon pollution driving climate change comes packaged with other dangerous soot- and smog-forming pollutants that can lead to lung and heart disease. Low-income and minority Americans are more likely to live in the shadow of polluting industries like power plants, and more likely to be exposed to higher levels of pollution.

When we cut carbon pollution, we also reduce other dangerous pollutants and protect public health. Under the Clean Power Plan, in 2030 alone, the U.S. will avoid up to 90,000 asthma attacks in children and 300,000 missed days of school and work due to respiratory symptoms—saving families the costs of medical treatment and hospital visits.

Martin Luther King III, son of the civil rights icon Rev. Dr. Martin Luther King Jr., recently said “The poor and disenfranchised—too often those in communities of color—still disproportionately bear society’s harms through no fault of their own. That truth has compelled the fight for social justice across the spectrum: labor rights, women’s rights—and yes—environmental rights. Because no matter who we are or where we come from, we’re all entitled to the basic human rights of clean air to breathe, clean water to drink, and healthy land to call home. Make no mistake, the injustice of climate change and the pollution that fuels it are among this century’s most debilitating engines of inequality.”

Through its Clean Power Plan, EPA is striving to protect low-income and minority Americans. We received more than 4.3 million public comments on our draft rule, and hosted hundreds of meetings with stakeholders, including vulnerable communities. We heard loud and clear that we needed to make sure our rule didn’t disproportionately impact low-income Americans—and we worked with the Department of Energy and the Federal Energy Regulatory Commission to ensure that’s the case.

By 2030, the average family will save $85 a year on electricity, thanks to increased energy efficiency measures. In the interim, any small, short-term increase in electricity bills would be well within normal price fluctuations—roughly the cost of a gallon of milk per month. For each dollar spent on the Clean Power Plan, families will see 4 dollars in health benefits alone. And in all, we’ll see $45 billion a year in net benefits thanks to EPA’s plan.

Climate action is an incredible economic opportunity, and to make sure its benefits extend to every community, we’re creating a Clean Energy Incentive Program that will help states transition to clean energy faster. It’s a voluntary matching fund program states can use to encourage early investment in wind or solar power projects, as well as energy efficiency projects in low-income communities.

EPA is also requiring states to demonstrate how they are engaging with communities as they craft customized state plans to meet their carbon pollution reduction goals.

The real threat to affordable, reliable electricity is climate change. More extreme heat and cold cause utility bills to skyrocket, which hurts low-income families the most. And storms, floods, fires, and drought can knock out the power for days or weeks, threatening public health.  That’s why we need to act.

The cynics’ claims are nothing new. We heard the same tired arguments back in the 1990s, when some critics opposed EPA’s limits on acid rain-causing pollution from power plants. They warned electricity bills would go up, and the lights would go off. But they were wrong. Instead of the economic doomsday some predicted, we slashed acid rain by 60 percent—while prices stayed stable, and the lights stayed on. EPA has been limiting harmful pollution from power plants for 45 years, and we have a proven track record of keeping energy affordable and reliable.

We still have work to do to protect vulnerable communities from pollution, but EPA’s Clean Power Plan is a historic step in the right direction. In his announcement, President Obama spoke about our moral obligation to vulnerable communities, to our children, and to future generations to act on climate. The Clean Power Plan will help build a safer, brighter future for all Americans.

Editor's Note: The views expressed here are intended to explain EPA policy. They do not change anyone's rights or obligations. You may share this post. However, please do not change the title or the content, or remove EPA’s identity as the author. If you do make substantive changes, please do not attribute the edited title or content to EPA or the author.

EPA's official web site is www.epa.gov. Some links on this page may redirect users from the EPA website to specific content on a non-EPA, third-party site. In doing so, EPA is directing you only to the specific content referenced at the time of publication, not to any other content that may appear on the same webpage or elsewhere on the third-party site, or be added at a later date.

EPA is providing this link for informational purposes only. EPA cannot attest to the accuracy of non-EPA information provided by any third-party sites or any other linked site. EPA does not endorse any non-government websites, companies, internet applications or any policies or information expressed therein.

Energy Efficiency and the Clean Power Plan

Janet McCabe Janet McCabe

The Clean Power Plan is a historic and important step in reducing carbon pollution from power plants that puts energy efficiency front and center as an important strategy for meeting state goals.  For years, energy efficiency strategies have been widely used by states because they can substantially and cost-effectively lower energy demand and carbon dioxide emissions from the power sector. The Clean Power Plan will not only expand these practices – it offers flexible compliance options, providing states a wide array of ways to use energy efficiency to meet their state goals, regardless of the state plan approach chosen.

Energy efficiency programs make perfect sense for states; they have low costs and large potential.  Our analysis projects that, in every state, demand-side energy efficiency programs will be a significant component of state compliance plans under the Clean Power Plan.  Because energy efficiency is not assumed as part of each state’s goal, it can serve as kind of a “bonus” strategy for compliance – as many comments suggested.

And the energy savings achieved by these programs will not only help cut emissions, they will save consumers money on their electric bills.  We project that the Clean Power Plan will spur a 7 percent reduction in electricity demand, reducing electricity bills by, on average, $7 per month for American families and businesses in 2030. The way we’ll get there is through energy efficiency.

Here are ten ways that the Clean Power Plan encourages energy efficiency:

  1. The Clean Power Plan encourages states to select energy efficiency as a compliance path to meet their goals, leading to cost savings for consumers.
  1. With the final Clean Power Plan, EPA also proposed model rule text describing how states could credit energy efficiency.
  1. Draft Evaluation, Measurement and Verification (EM&V) Guidance is available to help states effectively credit demand-side energy efficiency.
  1. The final Clean Power Plan simplifies interstate accounting for energy efficiency compared to the proposal.
  1. The Clean Power Plan’s Trading-Ready concept facilitates interstate trading of Emissions Reductions Credits (ERCs) – including those issued for energy efficiency – without requiring formal agreements between states.
  2. Under a mass-based approach, energy efficiency automatically “counts” toward compliance and states can use an unlimited amount to help achieve their state goals.
  1. Under a rate-based approach, the final Clean Power Plan enables states to get credit for all eligible energy efficiency projects installed after 2012, a longer time frame than what was proposed.
  1. Under a state measures approach, the Clean Power Plan allows state energy efficiency policies and programs to be used to meet the emissions guidelines, without requiring the state measures to be federally enforceable.
  2. The Clean Energy Incentive Program (CEIP) provides additional incentives for early investment in demand-side energy efficiency in low-income communities.
  3. The Clean Power Plan Toolbox offers resources to help states implement proven, cost-effective energy efficiency strategies.

A more detailed explanation of each item on this list can be found on our Energy Efficiency Fact Sheet.

Editor's Note: The views expressed here are intended to explain EPA policy. They do not change anyone's rights or obligations. You may share this post. However, please do not change the title or the content, or remove EPA’s identity as the author. If you do make substantive changes, please do not attribute the edited title or content to EPA or the author.

EPA's official web site is www.epa.gov. Some links on this page may redirect users from the EPA website to specific content on a non-EPA, third-party site. In doing so, EPA is directing you only to the specific content referenced at the time of publication, not to any other content that may appear on the same webpage or elsewhere on the third-party site, or be added at a later date.

EPA is providing this link for informational purposes only. EPA cannot attest to the accuracy of non-EPA information provided by any third-party sites or any other linked site. EPA does not endorse any non-government websites, companies, internet applications or any policies or information expressed therein.

What’s Next for the Clean Power Plan?

Janet McCabe Janet McCabe

On Monday, President Obama announced a huge step to fight climate change and protect our kids’ health: EPA’s Clean Power Plan. By 2030, the plan will drastically cut carbon pollution from power plants – our nation’s biggest driver of climate change – as well as the other harmful air pollutants that come along with it.

The release of the final Clean Power Plan is a historic step forward for our country, and with its launch, we begin a new chapter as we take action against climate change.

Among the many commenters, states provided critical feedback to help EPA build a final Clean Power Plan that works for everyone. And starting now, states are in the driver’s seat of putting the plan into action.

The Clean Power Plan sets uniform emissions rates for power plants across the country. They’re the same in every state for similar types of fossil fuel plants, ensuring fairness and consistency across the board. Using these rates, EPA’s plan then sets state-specific goals for cutting carbon pollution based on each state’s unique energy mix.

That’s where flexibility and a host of options come in. States can decide how best to achieve pollution reductions from power plants. The Clean Power Plan explains the state options, and EPA has also proposed a Federal Plan and Model Rule that states can adopt as a ready-made, cost-effective path forward. But states don’t have to use the EPA’s approach; they can pursue a range of other approaches. And compliance strategies are wide open, too. Utilities can improve plant efficiency, run cleaner plants more, shift toward cleaner fuels, use renewables, and take advantage of energy efficiency and interstate trading.

So, what’s next? Here are a few important milestones to look for.

2016: States have until September 6, 2016, to build and submit their customized plans for cutting       carbon pollution and meeting their goals. They’ll send those plans to EPA for review. If a year isn’t enough time, states can request an extension.

2022: This is the first year that states are required to start meeting interim goals for carbon pollution reduction. But investments and plans underway now can help states get closer to their goals even sooner, and to help them, we’ve created a Clean Energy Incentive Program to help states get a head start on reducing carbon emissions as soon as 2020.

2022 – 2029: Because we know pollution reductions won’t happen overnight, EPA is providing a path to help states make a smooth transition to clean energy future. State pollution reductions can be achieved gradually, over an interim step-down period between 2022 and 2029, before states are required to meet their final goals.

2030: This is the year that states are required to meet their full carbon pollution reduction goals under the Clean Power Plan—and the year we’ll see its full benefits to our health and our pocketbooks. In 2030, when states meet their goals, carbon pollution from the power sector will be 32 percent below 2005 levels. That’s 870 million fewer tons of carbon pollution, with even less over time. And because of reductions to other harmful air pollutants that come packaged with carbon pollution, we’ll avoid thousands of premature deaths and have thousands fewer asthma cases and hospitalizations in 2030 alone. What’s more, 2030 is the year the nation will see up to $45 billion in net benefits from the clean power plan, and the average American family will see up to $85 a year in savings on their utility bills.

The good news is, we don’t have to wait until 2030 to start seeing the Clean Power Plan’s benefits. Communities will start seeing tangible health and cost benefits as states make progress toward cutting carbon pollution and increasing efficiency.

Starting now, state planning will begin in earnest. And we hope you will get engaged. The Clean Power Plan requires states to work with communities and stakeholders to make sure the plans they build reflect your needs. And EPA will be looking to see how states are taking stakeholder input into account.

We urge you to be part of the process, get informed, and get involved. EPA received more than 4.3 million public comments on its initial proposed Plan, and we listened to your concerns. The final Clean Power Plan is stronger, more flexible, and more achievable because of your feedback. Here are some upcoming ways to get involved:

August 20, 2015: Join us for a webinar designed to provide communities with an overview of what is in the Clean Power Plan and how to participate. More details available soon HERE.

Fall 2015: EPA will hold public hearings around the country for the proposed Federal Plan and Model Rules. More details will be posted on www.epa.gov/cleanpowerplan soon.

As Administrator McCarthy has said, “climate change is personal.” It affects you no matter who you are or where you come from. That’s why we need you to be involved and have your voice heard.

Learn more about how the Clean Power Plan affects your state HERE.

Editor's Note: The views expressed here are intended to explain EPA policy. They do not change anyone's rights or obligations. You may share this post. However, please do not change the title or the content, or remove EPA’s identity as the author. If you do make substantive changes, please do not attribute the edited title or content to EPA or the author.

EPA's official web site is www.epa.gov. Some links on this page may redirect users from the EPA website to specific content on a non-EPA, third-party site. In doing so, EPA is directing you only to the specific content referenced at the time of publication, not to any other content that may appear on the same webpage or elsewhere on the third-party site, or be added at a later date.

EPA is providing this link for informational purposes only. EPA cannot attest to the accuracy of non-EPA information provided by any third-party sites or any other linked site. EPA does not endorse any non-government websites, companies, internet applications or any policies or information expressed therein.