Whitfield Amendment Shields Consumers from High Costs of EPA Rules

Press Release

U.S. Rep. Ed Whitfield, (KY-01), Chairman of the House Subcommittee on Energy and Power, today successfully offered an amendment that would shield consumers from increased energy costs while assuring protection of public health and the environment.

Whitfield's amendment was accepted to H.R. 2401, the Transparency in Regulatory Analysis of Impacts on the Nation (TRAIN) Act of 2011. H.R.2401 would require a cumulative economic analysis of specific EPA rules. The amendment offered by Whitfield strengthens H.R. 2401 and also sets emission reductions from power plants on a path that is achievable and workable. Whitfield's amendment is two-fold.

* First, Whitfield's amendment holds in place the Clean Air Interstate Rule (CAIR). The EPA and several environmental groups have argued in favor of the CAIR rule because it was widely recognized to be a highly successful program. According to the Environmental Protection Agency (EPA), by 2015, the CAIR Rule will reduce sulfur dioxide emissions by 57 percent from 2003 levels and will reduce power plant nitrogen oxide emissions by 61 percent from 2003 levels. By keeping the CAIR rule in place, Whitfield's amendment would strike EPA's proposed Cross State Air Pollution Rule (CSAPR), which would, if implemented, cost $1.4 billion in 2012 and threaten as many as 1 million jobs.

* Second, Whitfield's amendment would require EPA's Utility MACT Rule, when reissued, to have standards that are actually achievable and give time for regulated entities to make the required investments and equipment adjustments on a timetable that will not unduly raise electricity rates.

Under the proposed Utility MACT and CSAPR rules, 1,000 power plants are expected to be affected by the new rules and consumers could see their annual electricity bills increase in many parts of the country anywhere from 12 to 24 percent.

"Under these proposed EPA rules, Kentucky residents would see their power costs increase by as much as $275 per year and the average small business could see an increase as high as $500 per year, "said Whitfield. "These proposed EPA rules would have a devastating effect on customers as electricity producers are forced to modify power plants across the nation and pass the costs for compliance on to consumers. These rules would have a major impact on Kentucky since 92 percent of our electricity comes from coal."

"The TRAIN Act would require that the cost of many of EPA's proposed rules be studied while also requiring the two most expensive rules ever issued by EPA to be achievable in practice. These delays would allow for any consequences on the economy and jobs to be fully understood. Consumers are already struggling to make ends meet and being saddled with higher energy costs because electricity producers may be forced to implement standards on artificially tight timelines that have nominal impact on public health and the environment makes no sense, "added Whitfield. "At a time when we need every job possible and to help consumers meet their energy bills, this bill and my amendments would ensure that we fully understand the costs of these new rules."

Whitfield's amendment was accepted by the House by a vote of 234-188. The full bill, with Whitfield's Amendment passed the full U.S. House by a vote of 249-169 and now goes to the Senate for consideration.

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