Climate change policy update: power plants, fossil fuel and water ... - Lexology

Climate change policy update: power plants, fossil fuel and water conservation - Commentary - Lexology

Supreme Court rolls back EPA power to enforce Clean Water Act EPA rule forces power plants to cut pollution Carper reveals draft of permitting overhaul for environmental review of climate projects Biden backs Manchin's fossil fuel plan Carbon border adjustment mechanism is gaining support Colorado River states reach historic deal with Biden to conserve water Interior reveals proposed oil and gas regulation EPA issues finalised standards to improve oil spill responses New California budget includes significant funding cut Lawmakers tasked with cap-and-trade funding distribution Experts comment on Colorado River rising levels New York lawmakers make final push for Heat Act Study warns that heat wave combined with blackout could cause death and illness

This article outlines pertinent legal and policy climate change developments in the United States during the past week (for the previous update please see " Climate change policy update: power plant pollution, gas ban and climate action").

Supreme Court rolls back EPA power to enforce Clean Water Act

In a five-to-four decision, the Supreme Court ruled that the Environmental Protection Agency's (EPA's) interpretation of the Clean Water Act to regulate US wetlands and waterways must be rolled back.

EPA rule forces power plants to cut pollution

The EPA released its highly anticipated proposed rule that would need most fossil fuel power plants to either reduce their greenhouse gas pollution by 90% between 2035 and 2040 or shut down. The draft rule relies on carbon capture efforts to abate emissions, although no power plants presently utilise the technology. The EPA's power plant draft rule is expected to provoke legal challenges.

Utility providers are concerned that the EPA's power plant draft rule threatens to compromise the power network's reliability as it will push their older, dirtier coal and gas plants into retirement even faster than they are closing now.

Carper reveals draft of permitting overhaul for environmental review of climate projects

Senator Tom Carper unveiled a discussion draft of a permitting overhaul seeking to establish a two-year timeline for the environmental review of projects relating to climate mitigation and resilience.

Biden backs Manchin's fossil fuel plan

The White House approved Senator Joe Manchin's plan to speed up the approval of some fossil fuel projects to hasten the construction of new transmission lines that are critical for meeting President Biden's climate goals.

Carbon border adjustment mechanism is gaining support

Senate Democrats expressed interest in drafting a "CHIPS and Science Act 2.0" alongside Republicans to, in part, include language to institute a carbon border adjustment mechanism. This is an emissions reduction concept that is gaining support across the political spectrum.

Colorado River states reach historic deal with Biden to conserve water

The three Colorado River Lower Basin states – California, Arizona and Nevada – reached a historic agreement with the Biden administration to conserve an unprecedented portion of their water supply in exchange for approximately $1 billion in federal funding.

Interior reveals proposed oil and gas regulation

The Department of Interior recently held private listening sessions comprising environmental activists and oil companies to reveal its proposed oil and gas regulations that could be some of the White House's most lasting measures on public lands to help address climate change.

EPA issues finalised standards to improve oil spill responses

The EPA issued its finalised standards to boost "response efforts to oil spills and hazardous substance releases into waters of the United States and adjoining shorelines under the federal government's National Contingency Plan".

New California budget includes significant funding cut

Governor Gavin Newsom's revised 2023-2024 state budget maintains the previously proposed $6 billion in cuts to climate spending. This rollback will result in significant hits to funding that was previously pledged to:

- speed up California's transition to non-polluting cars;
- clean up the water supply;
- decarbonise buildings; and
- protect residents against the increasingly negative effects of extreme heat.

Lawmakers tasked with cap-and-trade funding distribution

Washington state's lawmakers are tasked with distributing unprecedented funding from its cap-and-trade programme.

Experts comment on Colorado River rising levels

Despite the Colorado River reservoir's rising levels, experts have detailed that it would take almost a decade of wet years to refill Lake Powell.

New York lawmakers make final push for Heat Act

New York legislators are making a final push on the New York Heat Act, which not only would incorporate the state's climate goals into the state's public service law but would also provide boosted oversight of gas utilities as the state attempts to meet its climate goals.

Study warns that heat wave combined with blackout could cause death and illness

As climate change exacerbates the frequency, length and intensity of heat waves, an environmental science and technology study projects that related deaths and illnesses will increase. The study revealed that if a multiday blackout in Phoenix happened to coincide with a heat wave it would result in almost half the city's population needing emergency care for heat-related illnesses.

For further information on this topic please contact Kenneth J Markowitz, Stacey H Mitchell, Dario J Frommer or Christopher A Treanor at Akin Gump Strauss Hauer & Feld LLP by telephone (+1 202 887 4000) or email ( www.akingump.com.

Leila Fleming, public policy specialist, assisted with the preparation of this article.