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Oil Market Cap – Global Oil & Energy News, Data & Analysis
Home » EPA Moves to Eliminate Federal Greenhouse Gas Limits on Fossil Fuel Power Plants
ESG & Sustainability

EPA Moves to Eliminate Federal Greenhouse Gas Limits on Fossil Fuel Power Plants

omc_adminBy omc_adminMay 26, 2025No Comments3 Mins Read
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Regulatory reversal: The EPA plans to scrap federal limits on GHG emissions from coal and gas-fired power plants, marking a significant rollback of climate-related regulations.

Contradicts global consensus: The agency’s draft claims GHG emissions from fossil plants have minimal climate and health impacts—opposing data from the UN and scientific bodies.

Policy shift under Trump: The move aligns with broader efforts to dismantle green-energy subsidies and climate protections instituted under the Biden administration.

The U.S. Environmental Protection Agency is preparing a sweeping regulatory rollback that would eliminate all federal greenhouse gas (GHG) limits on coal and gas-fired power plants, according to a draft proposal first reported by The New York Times. The document is currently under interagency review and expected to be published in the coming weeks.

In its draft, the EPA argues that emissions from these plants “do not contribute significantly to dangerous pollution” or climate change because they represent a “small and declining share” of global emissions. The agency further asserts that eliminating such emissions would have “no meaningful effect on public health and welfare.”

These claims sharply diverge from global scientific consensus. The United Nations has stated unequivocally that fossil fuels account for more than 75% of global GHG emissions and nearly 90% of carbon dioxide emissions, making them the primary driver of climate change.

An EPA spokesperson confirmed the draft rule in a statement:

“Many have voiced concerns that the last administration’s replacement for that rule is similarly overreaching and an attempt to shut down affordable and reliable electricity generation in the United States, raising prices for American families, and increasing the country’s reliance on foreign forms of energy. As part of this reconsideration, EPA is developing a proposed rule.”

This regulatory retreat aligns with a broader policy agenda under President Donald Trump. His administration has moved to unwind nearly all federal climate action efforts, including key components of President Biden’s Inflation Reduction Act.

RELATED ARTICLE: Support builds for reversing Trump’s limits on ESG investing – ESG News

Last week, the U.S. House of Representatives advanced Trump’s extensive tax and spending package. The bill proposes rescinding grants aimed at reducing carbon emissions, ending incentives for renewable energy projects, and halting funding for electric heavy-duty vehicle procurement.

Trump has praised the bill, calling it

“One big beautiful bill.”

EPA Administrator Lee Zeldin, appointed by Trump, added:

“We continue to build on that progress now.”

The EPA submitted its draft to the White House for review on May 2. A public comment period is expected to follow the formal release, likely in June.

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