Supreme Court Rejects Emergency Challenge to EPA Greenhouse Gas Standards for Power Plants

On October 16, the U.S. Supreme Court declined an emergency request to halt the EPA’s new greenhouse gas (GHG) emissions rule for power plants, which mandates emission reductions for coal-fired plants operating past 2039. The ruling followed a similar rejection from the D.C. Circuit Court in July. The latest EPA standard requires plants to meet emissions benchmarks by 2032 or, if they cannot meet those standards, to shut down by 2039. Despite the Court’s decision, three justices signaled reservations about the legality of the rule, with Justice Clarence Thomas stating he would have approved the stay request and Justices Brett Kavanaugh and Neil Gorsuch indicating the challengers might succeed in proving some aspects of the EPA’s rule are unlawful.

In support of the rule, the EPA argued that compliance deadlines set for as early as 2030 reduce the immediate risk of harm to the industry, an important factor in the Court’s stay denial. Additionally, the EPA defended the rule’s alignment with its authority under the Clean Air Act, noting that the D.C. Circuit has expedited its review of the industry and state-led challenges. Critics of the rule, including coal industry groups and certain states, argue the EPA is covertly using emission standards to phase out fossil fuels without explicit Congressional approval, raising questions about regulatory overreach.

The D.C. Circuit Court is set to evaluate the challengers’ arguments in full before compliance actions are required. Should the circuit court uphold the EPA rule, opponents may bring the issue back to the Supreme Court for further review, leaving the final resolution open for now.