EPA Announces Major Clean Air Act Proposal

The EPA today announced proposed transport rules to replace the Clean Air Interstate Rule (CAIR) a federal circuit court ruled unacceptable in 2008. Twenty-eight states, including Wisconsin, will be required to reduce both annual SO2 and NOx emissions in 2012, with additional SO2 emission reductions occurring in 2014. These emission reductions are projected to help downwind states attain air quality standards, specifically the 24-hour PM2.5 standards established in 2006 and the 1997 annual PM 2.5 standards.

The EPA is proposing federal implementation plans for each of the states covered by the rule, however, each state may choose to develop a state plan to achieve the required reductions, replacing its federal plan, and may choose which types of sources to control. The end result is larger emission reductions, in a short time frame, than CAIR required. The EPA estimates annual compliance costs at $3.7 billion in 2012 and $2.8 billion in 2014, in 2006 dollars.

You may follow this rule as it progresses on the Hamilton Consulting Regulatory Watch website.

(This post was authored by Hamilton Consulting Group’s summer intern, Emily Kiddoo, a third year student at the University of Wisconsin Law School).