Gloves Are Off in EPA vs. Grid Operators Brawl

There’s a war brewing. I’m not referring to Lebanon or Gaza or Ukraine. I mean right here in the United States. And the consequences could be significant for Americans for many years to come.

This conflict is between the EPA and electric grid operators. Those operators represent some 156 million customers in 30 states.

They disagree about the EPA’s new emissions regulations. The rules apply to existing fossil fuel-fired coal and new natural gas power plants. Grid operators filed a legal brief to stop the rules from becoming law.

The EPA believes strict regulations will protect communities from pollution. And improve public health. Grid operators believe the rules will hurt Americans. By jeopardizing their ability to secure enough power.  

EPA Insists on 90% Emissions Cut

The EPA demands that plants cut 90% of their carbon emissions by 2032. If they want to stay open past 2039.

They want plants to use carbon capture and sequestration (CCS) technology. They claim it is the “best system of emissions reduction.”

The EPA says its new regulations won’t harm long-term power reliability. They insist the rules will improve public health. Without disrupting the delivery of reliable electricity.

The agency also states this about the new rules. They “will significantly reduce climate, air, water, and land pollution. From the power sector.”

And they will deliver on the Biden-Harris Administration’s commitment. To protect public health. And advance environmental justice and confront the climate crisis.

Grid Operators Call Rules ‘Not Workable’

In their legal brief, the grid operators disputed the EPA’s claims. In fact, they argued the exact opposite. They called the rules “not workable.” And said they “are destined to trigger an acceleration. In the pace of premature retirement of electric generation units.”

The operators predict damage to electrical reliability. “At the very time when such generation is needed. To support ever-increasing electricity demand.”

That demand is due to the growth of the digital economy. And the need to ensure adequate backup generation. To support an increasing amount of intermittent renewable generation.

The grid operators wrote this. “Such inevitable and foreseeable premature retirement decisions resulting from the rules’ timelines will substantially strain (their) ability to maintain the reliability of the electric power grid.”

In other words, the rules will make it impossible for grid operators to do this. “Meet the needs of the citizenry and the country’s economy.”

Required Tech Called Too Expensive & Unproven

The grid operators represent the following. The Midcontinent Independent System Operator of Carmel, Indiana. And PJM Interconnection based in Norristown, Pennsylvania.

As well as Southwest Power Pool in Little Rock, Arkansas. And the Electric Reliability Council of Texas.

These operators claim that CCS technology is too expensive and unproven. And that it is unrealistic to expect cuts by the deadline.

They question the EPA’s claim that CCS is the best system. And say the deadlines “are based on overly ambitious and inadequately supported assumptions. As to target dates for commercialization of CCS.”

Electric Grid Reliability Threatened?

Grid operators also say the rules mean premature retirements of generation sources. Which will threaten the reliability of the electric grid. Even before the compliance date.

They say the rules will undermine power reliability. At a time when electricity demands are increasing. Due to hotter temperatures. Plus electric vehicle mandates and the rise of artificial intelligence.

Mark Christie is the commissioner of the Federal Energy Regulatory Commission. He has raised concerns. About the possibility of a power crisis hitting the country soon.

Mostly due to the increase in power demand. Without enough reliable power capacity coming online to offset power plant retirements.

Regulations Labeled ‘Unrealistic’

CountOnCoal.org says the EPA is “gambling with the grid.” And that the EPA has failed to listen to utilities operators.

It adds that the EPA’s rule is “a thinly veiled plan to close plants that are desperately needed.”  

The organization states that the EPA’s demands are unrealistic. And that “there isn’t a commercial power plant in the world achieving a 90% capture rate.”

Christie said that a 90% capture rate is neither technically nor commercially workable.

He said, “I am not aware of any generating units that are commercially successful in energy or capacity markets today that have met such an unrealistic standard.”

Battle Is Also Raging in the States

That’s the national picture. Individual states such as New York are also at odds with grid operators. New York has been a leader in green energy. The result has been a battle with the New York Independent System Operator (NYISO).

The group’s report from several months ago gave a warning. That Governor Kathy Hochul’s electrification agenda is harmful. And will push the state’s grid toward blackout conditions.

It also says fossil fuel-fired power generation facilities are being retired too quickly. At a rate exceeding new green generation coming online to replace lost capacity.

New York aims to have its power grid reach net-zero emissions by 2040. NYISO says that could result in statewide power deficiencies as early as 2027.

Whether national or local, it looks like the courts will decide how strict EPA rules will be. And how they will affect our vulnerable electric grids going forward.