Proposed EPA rules could lead to coal plants going offline

Source: ICF International

Jun 03, 2011

ICF International has released its Integrated Energy Outlook for the first quarter 2011. The study highlights the near-term impacts of global economic recovery on U.S. energy markets and examines the implications of lower CO2 prices on the long-term energy outlook.

The Energy Outlook notes that the Environmental Protection Agency (EPA) has released proposals for the Clean Air Transport Rule (CATR), the Air Toxics Rule, coal combustion residuals, and cooling water intake structure standards. The combined environmental regulations could lead to more than 50 GW of coal plant retirements in the next 10 years.

Additionally, the study finds that U.S. coal exports could double by 2018, unless they are constrained by limited export capacity. The study also finds that rising renewable mandates in PJM and New England along with the loss of key federal incentives should boost renewable energy credit (REC) prices through the end of the decade.