EPA

EPA Finding Leads to Cost Doubts

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By Steven Johnson | ECT Staff Writer Published: April 24th, 2009

The Environmental Protection Agency’s finding that greenhouse gases contribute to climate change underscores the importance of spelling out how much consumers will have to pay to deal with the issue, NRECA CEO Glenn English said.

“The bottom line is costs,” English said. “We need a full accounting of the costs associated with the approaches to climate change to determine whether electric bills will continue to be affordable for our members.”

The finding, issued April 17, opened up the possibility that the agency could use its authority under the Clean Air Act to regulate carbon dioxide and other emissions, as opposed to implementing legislation enacted by Congress.

English said that distinction is critical in gauging the size of price spikes that any proposal will have on the price of fossil fuel-based electricity.

“This issue is going to be handled either through legislation or regulation,” he said. “We need to know from the standpoint of the electric bill what it will mean if it’s done under the Clean Air Act versus what it will mean if it’s done under legislation.”

The EPA finding was expected, and by itself, does not mean the agency will immediately regulate carbon dioxide emissions from sources such as power plants and industrial facilities. It plans to issue a final rule after a 60-day comment period.

The 130-page document drew on a 2007 Supreme Court decision that said EPA has the authority to regulate tailpipe emissions.

Scientific analysis of carbon dioxide, methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons and sulfur hexafluoride showed unprecedented levels of those gases “are very likely” the cause of global temperature increases, the agency said.

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