An EPA analysis finds that the recent repeal of stronger hazardous air pollutant standards for the coal-fired power sector will do nothing to lower electricity rates or stem the sector’s continuing long-term decline.
Those status quo conclusions contrast sharply with expansive statements from EPA leaders, industry groups and congressional Republicans suggesting that the rollback would buoy the coal industry and keep electricity prices down.
Last week, EPA repealed air pollution standards to allow power plants that burn lignite — a low-grade type of coal — to continue releasing mercury at a rate more than three times that of other coal-fueled generating operations. The move affects about 10 plants, mainly concentrated in North Dakota and Texas. The regulatory change — along with others included in the rollback — is expected to save power companies hundreds of millions of dollars in the coming years.
But that will not impact retail power prices or boost the amount of electricity expected to be generated from coal-fueled generating plants, EPA staff concluded in a regulatory impact analysis accompanying the rule change.