Assessing the Impact of Proposed New Carbon Regulations in the US
June 25, 2014
The Environmental Protection Agency (EPA) is proposing new regulations on carbon emissions from the power plants of today and tomorrow. In order to evaluate these new regulations, all Americans should understand the effect they will have on consumers, our economy, and on carbon emissions.
Prior to release of EPA’s rule, the Energy institute undertook this analysis Our report, "Assessing the Impact of Potential New Carbon Regulations in the United States." The report illustrates the impacts associated with an EPA regime modeled on the Obama Administration's stated emissions reductions goal and a plan from the Natural Resource Defense Council. To obtain the most accurate modeling and analysis possible for the report, we commissioned the respected global energy and economics firm IHS. The conclusions of the report are our own.
While EPA’s actual proposed rule varies in some respects from the scenario in which we modeled, important lessons can still be learned from the report. Furthermore, in many states EPA’s targets approach those that were modeled in the report, so the impacts could be similar. The Energy Institute is working to further study the Administration’s proposed rule and will be regularly providing updated analysis.