EPA Finalizes Affordable Clean Energy Rule

Yesterday, the U.S. Environmental Protection Agency (EPA) issued the final affordable Clean Energy (ACE) rule – replacing the prior administration’s overreaching Clean Power Plan (CPP) with a rule that restores the rule of law and empowers states to continue to reduce emissions while providing affordable and reliable energy for all Americans.

“Today, we are delivering on one of President Trump’s core priorities: ensuring the American public has access to affordable, reliable energy in a manner that continues our nation’s environmental progress,” said EPA Administrator Andrew Wheeler. “Unlike the Clean Power Plan, ACE adheres to the Clean Air Act and gives states the regulatory certainty they need to continue to reduce emissions and provide a dependable, diverse supply of electricity that all Americans can afford. When ACE is fully implemented, we expect to see U.S. power sector CO2 emissions fall by as much as 35 percent below 2005 levels.”

The ACE rule establishes emissions guidelines for states to use when developing plans to limit carbon dioxide (CO2) at their coal-fired power plants. Specifically, ACE identifies heat rate improvements as the best system of emission reduction (BSER) for CO2 from coal-fired power plants, and these improvements can be made at individual facilities. States will have 3 years to submit plans, which is in line with other planning timelines under the Clean Air Act.

EPA projects that ACE will result in annual net benefits of $120 million to $730 million, including costs, domestic climate benefits, and health co-benefits.