TAB Files Federal Challenge To Clean Power Plan

Hammond: “Plan is too costly and has no measurable environmental impact.”

The Texas Association of Business joined the Pennsylvania Chamber of Business and Industry and the Ohio Chamber of Commerce in filing a joint amicus brief in support of a lawsuit by states and industry to overturn EPA’s Clean Power Plan.

One hundred sixty six Chambers of Commerce and business groups from 40 states joined in the brief.

EPA’s greenhouse gas regulations, which were finalized in August of 2015, seek to reduce greenhouse gas emissions from the electricity sector as a whole. The brief outlines the significant detrimental impacts the rule will have on communities throughout the nation.  While the Supreme Court recently recognized the validity of these concerns by imposing a stay in the implementation of the plan, a final ruling on the legality of the regulations still needs to occur to provide certainty to all stakeholders.

“The debate about whether we truly understand the scientific basis of climate change should continue – hopefully based on actual facts, valid scientific evidence and objective analysis,“ said Bill Hammond, Texas Association of Business CEO.  “What cannot be debated is that the Clean Power Plan is not only far outside of EPA’s legal authority, it will affect a miniscule percentage of global emissions and have virtually no measurable effect on sea levels or temperatures, while significantly increasing electric bills for consumers. Even the EPA cannot dispute that. While we applaud the move by the US Supreme Court to stay the rule, we look forward to the opportunity through the legal process to expose this rule for what it is – an illegal attempt at assuming federal control of each state’s electric power system and energy economy.”

The brief explains that states have a long history of making “sustained environmental progress without causing economic harm,” in large part due to their “sensitivity to the unique circumstances of individual businesses and communities.”  The business groups argue that the Clean Power Plan instead adopts a “blunderbuss approach” that “compels states, utilities, and suppliers to adopt EPA’s preferred sources of power and fuel and to redesign their electricity infrastructure.” This rushed redesign of the electricity sector “will raise the cost of operations for countless businesses … drive jobs overseas and force businesses to close,” while disproportionately impacting poor and rural communities. As such, the groups assert, “the Rule’s massive economic costs far outweigh its limited environmental benefits.”

EPA has admitted that the plan will increase energy prices nationwide, while doing little to lower overall greenhouse gas emissions.  An independent analysis by NERA Economic Consulting projected the plan will increase energy prices nationwide with prices in Texas skyrocketing up by 16-21 percent. These projected increased energy costs will create an economic ripple effect on both the state and national levels. 

As the state chamber of commerce, the Texas Association of Business is the most influential and dominant voice for public policy issues affecting business in Texas.   Through proven results-oriented advocacy and member services, TAB develops a climate in Texas which enables more than 4,000 business members and their 600,000+ employees to operate efficiently and profitably, thus creating new jobs.  TAB is proud to be the official state partner of the National Association of Manufacturers.