The Environmental Protection Agency has quietly announced its “final rule to protect Eastern U.S. from Smog” — regulatory actions intended to reduce emissions of nitrogen oxides by 28 percent, or 1.1 millions tons annually.
The plan will affect 138 million Americans living in 22 states. The hope of the EPA is that these rules will bring about compliance with new public health smog standards set by President Clinton through executive memorandum July 16, 1997.
In that memo, Clinton wrote, “In order for the implementation of these standards to proceed in accordance with the goals I have established, I hereby direct you, (EPA) in consultation with all affected agencies and
parties, to undertake the steps, appropriate under law, to carry out the attached plan and to complete all necessary guidance and rulemaking no later than December 31, 1998.”
The new EPA plan, which is based in part on recommendations from a group known as the Ozone Transport Assessment Group, calls on states to provide compliance plans to the federal government no later than September 1999.
Wanting to remain as “cost effective as possible,” the EPA has developed what is called a “market-based emissions-trading system,” also known as “cap and trade.”
EPA documents explain the program this way: “The trading program would allow each state to establish a cap on Nox emissions; within this cap, power plants and other sources that reduce these emissions in greater amounts than required can sell this excess as credits. Other facilities — that cannot reduce emissions as quickly or as cost effectively — can use these credits to meet their clean air requirements.”
The EPA announced two other options the same day: 1) “A federal implementation plan to be used as an insurance policy only if the state reductions are not achieved.” This would mean that the EPA would exercise regulatory authority over the states if the levels outlined in Clinton’s memo are not met. 2) Federal government would provide guidelines listing specific sources of “nitrogen oxides” for the states to target for enforcement. Examples of what “sources” may be included in this list were not given.
This regulatory action is currently within a “60-day public comment period” that started September 24, 1988.