Debate begins over tougher U.S. air quality regulations

Energy companies, businesses and environmental groups are getting ready for some discussions at both the federal and state levels over tougher air quality regulations to be implemented by the U.S. Environmental Protection Agency.
President Barack Obama said in June that the EPA will develop regulatory proposals by June 2014 that will reduce carbon dioxide gases by 17% between 2005 and 2020. CO2 gases trap heat in the atmosphere and are blamed for global warming.
After a public comment period, final regulations will be ready by June 2015. States will have until the summer of 2016 to develop their own regulatory implementation plans that will allow for some local flexibility.
Obama also called for increased renewable energy production on federal lands, higher energy efficiency standards, and a ban on public financing of coal-fired plants overseas with limited exceptions. The government also plans to help prepare communities to deal with higher expected temperatures and rising sea levels.
The White House said in a statement that the cost of U.S. weather disasters in 2012 exceeded USD110 billion and that climate change will only increase the frequency and intensity of these events.
While the Michigan Chamber of Commerce praised the president for his comments on the economic value of natural gas production, Jason Geer, director of energy and environmental policy, said Obama’s speech could mean the end of U.S. coal production.
“He is really going after coal and the coal industry,” said Geer. “This is very negative for Michigan and the Midwest. We are very coal dependent because it is cheap and affordable.”
Utility executives at DTE Energy and Consumers Energy said they are reserving judgment on the president’s plan until they see the new regulations.
Skyles Boyd, DTE’s vice president of environmental management and resources, said electric utilities understand and support the importance of addressing climate change.
But Boyd said any policy changes to reduce carbon dioxide from existing power plants should “minimize the financial impact on customers.”
Regulations also should not hinder the industry’s effort to achieve a balanced energy production approach that includes coal, natural gas, nuclear power and renewable energy, he said.
(July 22, 2013)