How new EPA ruling could affect Co-ops

Access to dependable energy is essential for every home. Robust energy sources significantly contribute to economic growth by generating employment opportunities, fueling local enterprises, and enhancing healthcare and education.

However, on April 17, 2024, the EPA released a burdensome rule that could potentially disrupt our domestic energy security. If implemented, this rule could force the premature shutdown of critical power plants and make the construction of new plants difficult, thereby jeopardizing our energy future.

In early May, NRECA requested a motion to stop the implementation of new EPA power plant rules until lawsuits opposing the rules are resolved. The rules require significant reductions in carbon emissions from existing coal-fired power plants and new natural gas plants. The proposed change will result in earlier retirements, decrease reliability nationwide, and impose substantial compliance costs.

NRECA has filed a lawsuit against the EPA, claiming that the rules are unlawful, unreasonable, and unachievable. The EPA’s overreach poses immediate and irreparable harm to the American electric grid and the economy. According to the EPA’s new rule, coal-fired units planning to operate beyond 2039 must start co-firing with natural gas at a 40% rate beginning in 2030.

NRECA CEO Jim Matheson said, “Reliable electricity is the foundation of the American economy. EPA’s rule recklessly undermines that foundation by forcing the premature closure of power plants that are critical to keeping the lights on, especially as America increasingly relies on electricity. EPA’s power plant rules are unlawful, unreasonable, and unachievable. It exceeds EPA’s authority and poses an immediate threat to the American electric grid.”

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Bret Orme | CEO
Kiamichi Electric Cooperative