U.S. Senators John Barrasso and Shelley Moore Capito have sent a letter to the Federal Energy Regulatory Commission (FERC) urging the agency to address the threats to electric reliability posed by the Environmental Protection Agency's (EPA) proposed Clean Power Plan 2.0. In the letter, the senators highlight the need for more work to determine how the proposed rule could impair electric reliability.

"The record developed at the Technical Conference, and the actions taken by the Commission and by EPA after the Technical Conference, clearly show that a majority of Commissioners agreed...that more work is necessary to determine how EPA's proposed rule could impair electric reliability," the senators wrote.

The senators also emphasize the importance of collaboration between FERC and EPA to ensure that the final rule does not threaten reliability. They express concern that EPA does not have the expertise to determine the impact of its proposed rule on electric reliability and that the limited engagement between the two agencies has been inadequate.

Commissioners at the Technical Conference highlighted the pace of retirements driven by the Clean Power Plan 2.0 as a critical issue that EPA must address. Commissioner Christie noted that EPA has not performed any serious and credible analysis of how affected Electric Generating Units (EGUs) will be able to obtain financing for compliance costs. The senators find this unacceptable, stating that "timelines for compliance are utterly irrelevant if the affected EGU cannot obtain financing for the compliance costs."

The senators also request that FERC formally file the record in Docket No. AD23-9-000 in EPA Docket No. EPA-HQ-OAR-2023-0072-0007, including all comments to the Commission and the 2023 Long Term Reliability Assessment issued by the North American Electric Reliability Corporation (NERC). They emphasize the need for an adequate record on reliability issues relating to the proposed Clean Power Plan 2.0.

In conclusion, the senators urge FERC to remain engaged with EPA and keep them apprised of progress on these matters. They warn that if FERC does not bring its expertise and fact-based analysis to dissuade EPA from continuing on its current course, they will bear at least partial responsibility for any blackouts and brownouts that occur as a result of electric resource shortages attributable to compliance with a final rule resembling the Proposed Clean Power Plan 2.0.

The full letter can be read here: [link to the letter]

To learn more, click on this link: https://www.energy.senate.gov/2023/12/barrasso-capito-ferc-must-fix-epa-s-proposed-clean-power-plan-2-0