The Environmental Protection Agency finalized the repeal of federal greenhouse gas restrictions on coal- and natural gas-fired power plants Monday, saying the rollback will remove more than $300 billion in industry costs as electricity demand climbs nationwide.
By yourNEWS Media Newsroom.
The Environmental Protection Agency eliminated Biden-era greenhouse gas limits on fossil-fuel power plants Monday, removing requirements that would have forced major changes at coal-fired and newly constructed natural gas facilities as the Trump administration pushes to expand domestic electricity production.
EPA officials estimate repealing the regulation will save the power industry more than $300 billion in compliance costs, according to the Associated Press. The agency said utilities will have greater flexibility to determine how long plants operate and what technologies they use rather than making those decisions around federal carbon requirements.
The action reverses a major component of former President Joe Biden’s climate agenda. EPA adopted the previous standards in April 2024 under Section 111 of the Clean Air Act, targeting carbon dioxide emissions from existing coal plants and certain new natural gas generating units.
Under that framework, coal plants intending to operate well into the 2030s faced stringent emissions reductions based largely on carbon capture and sequestration technology. The Trump administration proposed eliminating those requirements in June 2025 before moving to finalize the repeal.
EPA Assistant Administrator Aaron Szabo said the rollback will allow utilities to “make the best decision for the ratepayers based on cost and cost savings, instead of being required to shut down facilities.”
The change comes as electricity demand is rising after years of relatively modest growth, driven in part by the rapid construction of data centers supporting artificial intelligence and cloud computing, expanded manufacturing and other power-intensive industries.
Those domestic pressures have coincided with major disruptions in global energy markets stemming from wars in the Middle East and Eastern Europe, increasing concerns about energy prices and the reliability of fuel supplies.
The Trump administration has made greater production of coal, natural gas, oil and other domestic energy sources a central part of its energy policy. EPA Administrator Lee Zeldin said Monday that the administration had acted “to protect American energy and to make sure you can afford to keep the lights on.”
Coal producers and power-sector groups have argued that the Biden requirements threatened grid reliability by encouraging the retirement of generating plants at the same time electricity consumption is accelerating. America’s Power CEO Michelle Bloodworth said eliminating the regulation would help protect electricity supplies and consumers as demand increases from data centers, artificial intelligence and advanced manufacturing.
Environmental organizations sharply oppose the rollback and are expected to challenge it in court.
Vickie Patton, general counsel for the Environmental Defense Fund, said eliminating nationwide carbon restrictions on power plants would carry consequences for public health and the environment, arguing that cleaner generating technologies are already available.
Coal-, oil- and natural gas-fired power plants account for roughly one-quarter of U.S. greenhouse gas emissions, making the electricity sector one of the country’s largest sources of carbon pollution.
EPA is also pursuing a separate regulatory action intended to make it more difficult for future administrations to impose greenhouse gas restrictions on power plants. That proposal follows the agency’s February rescission of the 2009 greenhouse gas endangerment finding as it applied to vehicle regulations, another major reversal of previous federal climate policy.
The power plant repeal is expected to take effect shortly after publication in the Federal Register, although anticipated litigation could determine how long the new policy remains in force.
For the administration, the action represents a broader effort to prioritize generating capacity and lower regulatory costs at a time when the U.S. power system is being asked to supply rapidly growing electricity needs. For opponents, it removes one of Washington’s primary tools for reducing carbon emissions from the nation’s power sector.
The legal battle over those competing priorities is likely to become the next stage of the fight after EPA’s decision Monday to formally dismantle the 2024 power plant carbon rules.
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