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July 31, 2013 

Meeting with the 

Office of Management and Budget 

Regarding GHG NSPS 

Topics 

 ACCCE position 

 Policy issues (2012 proposal) 

 Legal issues (2012 proposal) 

 ACCCE emissions analysis 

 Resources 

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ACCCE position 

 ACCCE is opposed to regulating greenhouse 

gas emissions under the Clean Air Act 

 However, we recognize the President has 

directed EPA to develop CO2 standards for 

power plants 

 In response, we have developed 

recommendations for achievable standards 

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Three Basic Recommendations 

 Set different CO2 standards for new coal-fired 

and gas-fired EGUs. 

 Standards for coal should not be based on CCS 

because CCS is not commercially available. 

 NSPS should set achievable emission rates for 

subcategories of new coal-fired EGUs. 

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Policy Concerns (2012 Proposal) 

 The proposal takes away the flexibility to build new 

coal plants and makes natural gas the only fossil fuel 

available for baseload power generation. 

 E P A ’ s a n a l y s i s i s b a s e d o n l o w n a t u r a l g a s p r i c e s a n d a 

“carbon adder” which lead to the conclusion the 

proposed NSPS will not impose any new costs. 

 The proposal could increase electricity prices in certain 

regions of the U.S. if coal becomes the more economic 

option in the future. 

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Legal Issues (2012 Proposal) 

Proposed NSPS is a dramatic departure from past EPA 

practice because it -

 Combines two existing NSPS source categories into one 

new source category for the regulation of only CO 2 

 Sets a CO 2 performance standard based on a control 

technology that is available for only one segment of the 

new combined source category 

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Legal Issues (cont.) 

Legal flaws with EPA’s approach include -

 Proposed NSPS is based on a technology that is not 

“adequately demonstrated” and not “achievable” for 

all sources within the source category 

 Proposed NSPS effectively mandates a particular 

technology, NGCC. 

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Achievable Emission Rates for 

New Coal Units 

Subcategory CO2 Emissions Rate 

Supercritical 

(bituminous and subbituminous) 

~1,915 lb/MWh 

Supercritical (lignite) ~2,150 lb/MWh 

Ultra-Supercritical 

[Emissions rate subject to change] [~1,900 lb/MWh ] 

IGCC ~1,915 lb/MWh 

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Emissions Analysis 

 Evaluated CO 2 emissions data from 22 of the newest 

pulverized coal-fired EGUs 

 Emissions data from EPA and EIA 

 Used EPA statistical methodology 

 Derived achievable emission rates for subcategories of 

new coal units 

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Ultra-Supercritical Units 

Country Units MW 

China 72 59,000 

Japan 22 18,000 

Europe 

(operating) 6 5,000 

Europe 

(on order) 15 13,000 

U.S. 1 600 

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In summary ... 

ACCCE’s recommendations are based on sound technical 

analysis, which was updated recently. We are in the 

process of developing more data on USC units. 

Our recommendations maintain the option to build new 

high efficiency coal units when new coal units are 

economical. 

ACCCE’s recommendations are legally defensible. 

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Resources 

 ACCCE comments on the 2012 GHG NSPS proposal (June 2012) 

 Analysis of EPA’s Proposed GHG New Source Performance Standard for 

Electric Generating Units (NERA) (June 2012) 

 Legal Arguments for Setting a Separate CO 2 NSPS Limit for Coal-Fueled 

Electric Generating Units (Van Ness Feldman) (February 2013) 

 An Assessment of the Process for Setting a Numeric NSPS Limit for CO 2 

Emissions from Coal-Fueled Electric Generating Units (Van Ness 

Feldman) (February 2013) 

 Evaluation of EPA’s Determination of Coal-Fired Electric Generating 

Unit (EGU) CO 2 Emissions Standard (Cichanowicz and Hein) (June 

2013) 

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Questions? 

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