On March 12, 2025, the U.S. Environmental Protection Agency (EPA), under Administrator Lee Zeldin, announced a series of deregulatory actions aimed at reducing regulatory burdens and promoting economic growth. This initiative, described by Zeldin as the “most consequential day of deregulation in American history,” encompasses 31 measures targeting various environmental regulations. Below are a few of the “key” deregulation actions.
Key Deregulatory Actions:
- Power Plant Emissions: The EPA plans to reconsider the Clean Power Plan 2.0, which sets stringent emission standards for power plants. This move aims to alleviate constraints on the energy sector, particularly benefiting coal-fired power plants.
- Vehicle Emission Standards: The agency intends to reevaluate regulations on light-duty, medium-duty, and heavy-duty vehicles that were foundational to the previous administration’s electric vehicle mandate. This reconsideration seeks to protect consumer choice and reduce compliance costs for manufacturers.
- Mercury and Air Toxics Standards (MATS): The EPA is set to reassess the MATS rule, which limits mercury and other hazardous emissions from power plants. The agency argues that the current standards impose unnecessary financial burdens on the energy industry.
- Greenhouse Gas Reporting Program: The mandatory Greenhouse Gas Reporting Program is being reconsidered, to reduce the reporting obligations that the EPA deems costly for the American energy supply.
- Endangerment Finding: The EPA plans to revisit the 2009 Endangerment Finding, which classified greenhouse gases as harmful to public health. This foundational document has been the basis for numerous climate-related regulations.
- Oil and Gas Industry Regulations: The EPA intends to reconsider regulations affecting the oil and gas sector, specifically targeting the New Source Performance Standards (NSPS) for methane emissions. This move aims to alleviate operational constraints and reduce compliance costs for the industry.
- National Ambient Air Quality Standards (NAAQS): The agency plans to reassess the NAAQS for pollutants such as ozone and particulate matter, which could lead to relaxed air quality standards and impact public health protections.
- Coal Combustion Residuals (CCR) Rule: The EPA is set to reevaluate the regulations governing the disposal of coal ash from power plants, potentially altering requirements for liners, groundwater monitoring, and cleanup standards.
- Effluent Limitation Guidelines (ELGs): The agency plans to revisit the ELGs for the steam electric power generating industry, which set limits on pollutants discharged into water bodies, potentially affecting water quality standards.
- Social Cost of Carbon (SCC): The EPA aims to overhaul the SCC metric, which estimates the economic damages associated with carbon dioxide emissions, potentially influencing the cost-benefit analyses of future regulations.
Rationale Behind the Actions:
Administrator Zeldin emphasized that these deregulatory measures are designed to lower living costs for American families, revitalize domestic industries, and restore state authority in environmental governance. He stated that the previous regulatory framework imposed significant costs on various sectors, including energy and automotive industries, thereby affecting consumer prices and economic growth.
Administrator Zeldin emphasized that these deregulatory measures are designed to lower living costs for American families, revitalize domestic industries, and restore state authority in environmental governance.
Reactions and Implications:
The deregulatory agenda has elicited mixed reactions:
- Industry Response: Organizations such as the National Grocers Association (NGA) have expressed support, highlighting that reducing regulatory burdens can help small businesses by lowering operational costs and allowing them to focus on improving services and pricing.
- Environmental and Public Health Concerns: Environmental advocates have criticized the rollbacks, arguing that they could lead to increased pollution and adverse health outcomes. They emphasize that regulations like the MATS and greenhouse gas reporting are crucial for protecting air quality and mitigating climate change.
- Legal and Procedural Challenges: Experts anticipate that many of these actions will face legal challenges and require extensive rulemaking processes before implementation. Given its foundational role in climate policy, the potential revocation of the Endangerment Finding is expected to encounter significant opposition.
Environmental advocates have criticized the rollbacks, arguing that they could lead to increased pollution and adverse health outcomes.
What Does this Mean?
The EPA’s March 12, 2025, announcement marks a significant shift in U.S. environmental policy, reflecting the administration’s commitment to deregulation and economic stimulation. As these proposals undergo the requisite rulemaking procedures, debates will likely continue regarding balancing economic interests and environmental and public health protections.
Zeldin’s full, official news release from the EPA can be found here.
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