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Monday, December 23, 2024

House committee seeks answers from FERC on EPA’s Clean Power Plan impacts

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Cathy McMorris Rodgers - Chair of the House Energy and Commerce Committee | Official U.S. House headshot

Cathy McMorris Rodgers - Chair of the House Energy and Commerce Committee | Official U.S. House headshot

Washington D.C. — House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA) and Subcommittee on Energy, Climate, and Grid Security Chair Jeff Duncan (R-SC) have sent a letter to Federal Energy Regulatory Commission (FERC) Chairman Willie Phillips and the FERC Commissioners. The letter demands information on how FERC is preparing for the potential impacts of the EPA’s Clean Power Plan 2.0 (CPP2.0) on the electric grid.

The letter states: "In addition to impermissibly infringing upon state responsibilities over electric generation, the EPA’s final rule imposes unrealistic standards with unproven compliance strategies on existing coal-fired power plants and new natural gas units. Despite widespread warnings from stakeholders over the reliability catastrophe that could ensue from the rule, the EPA failed to address these concerns in the final rule and did not amend the rule to reflect the formal input of the Federal Energy Regulatory Commission (FERC) and North American Electric Reliability Corporation (NERC).”

It continues: “FERC is unique among federal regulators in having a mandate to ensure the reliability and affordability of the grid pursuant to the Federal Power Act. As Commissioners of FERC, you have the responsibility to carry out that mandate. As a result of this rule, FERC could be forced to intervene using available measures to prevent additional closures of dispatchable generators to prevent reliability and resource adequacy crises. How and when those measures are utilized could make the difference between maintaining an affordable and reliable electric grid or a future of rolling blackouts and unaffordable electric rates.”

The Clean Power Plan 2.0 mandates strict standards on both new and existing natural gas generators as well as remaining coal generators. The Energy and Commerce Committee held hearings on June 6, 2023, and November 14, 2023, discussing CPP2.0's impact on energy security and grid reliability.

Chair Rodgers led several letters addressing concerns about CPP2.0:

- On June 6, 2023, she led a letter from all Energy and Commerce Republicans to EPA.

- On July 31, 2023, she co-authored a letter with former Subcommittee Chair Bill Johnson (R-OH), calling for an extension of CPP2.0's comment period.

- On November 7, 2023, she sent another letter with Duncan regarding CPP2.0's detrimental effects.

- On November 14, 2023, Rodgers sent a letter urging EPA Administrator Michael Regan to withdraw CPP2.0.

Rodgers requested Chairman Phillips respond by July 30, 2024:

1. Provide communications between FERC staff with EPA regarding CPP2.0.

2. Confirm if any generators use carbon capture technology at a sustained rate or utilize carbon dioxide pipelines.

3. Detail FERC’s participation in interagency reviews concerning CPP2.0.

4. Outline plans with stakeholders to prevent grid disruptions due to CPP2.0.

5a-d: Address Section 202(c) emergency measures under Federal Power Act for preventing blackouts/brownouts.

6-8: Discuss market impacts assessment of CPP2.0 rules.

The full letter can be read online along with exclusive coverage from Washington Examiner.

For further information:

Main: (202) 225-3641

Press: (202) 226-4972

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