Repealing harmful rules supports grid reliability and Kentucky’s economic future
by Corey Elder – Acting Director, Dependable Power First Kentucky
The current U.S. Environmental Protection Agency (EPA) proposal to repeal two costly and disruptive power plant regulations — the so-called Clean Power Plan 2.0 (Carbon Rule) and the 2024 Mercury and Air Toxics Standards (MATS) Rule — is a critical course correction for Kentucky and the nation.
Both rules, issued just last year, would have forced the retirement of reliable coal plants and restricted new natural gas generation. The Carbon Rule, for example, would have shut down much of Kentucky’s coal fleet, despite the fact that coal still supplies nearly 67% of Kentucky’s electricity. In addition, the climate change benefits of shutting down Kentucky’s coal fleet would be next to nil since the fleet represents a meaningless fraction — less than a tenth of a percent — of global emissions.
Meanwhile, the 2024 MATS Rule is an unwarranted update of a stringent 2012 rule, which Kentucky’s ratepayers spent more than $40 million to comply with. The updated rule would cost nearly $1 billion nationwide and offer no practical environmental or health benefits beyond what Kentucky utilities have already achieved through more than $5.4 billion in air quality investments since 2001.
These rules threatened electric reliability at the worst possible time. America’s electricity demand is surging, driven by electric vehicles, manufacturing expansion, and the explosive growth of data centers and AI. According to the U.S. Energy Information Administration, national electricity demand is projected to rise nearly 5% over the next five years, far faster than earlier estimates. Yet power companies are being forced to retire dispatchable power plants faster than they can replace them. Grid experts from the North American Electric Reliability Corporation (NERC) and regional transmission organization PJM have warned that such premature retirements put large swaths of the country at risk of power shortages, especially during extreme weather.
Repealing the Carbon and MATS rules keep essential generation online and avoids unnecessary electricity price increases. Dependable Power First Kentucky applauds the EPA’s move. It’s a smart, responsible step that helps restore balance, preserve affordable and reliable power, and ensure the grid can meet growing demand without threatening economic growth or public safety.
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Corey Elder serves as Acting Director for Dependable Power First Kentucky, a statewide nonprofit organization working to promote a reliable, resilient, and affordable electricity supply for all Kentuckians.