In a move that could delay construction of a number of proposed coal-fired power plants, a federal appeals court has ordered the immediate implementation of its decision last month to throw out the Bush administration’s mercury cap-and-trade program and restore 2000 Clinton-era rules that require much more stringent mercury controls.
 
In a brief order issued March 14, a three-judge panel of the U.S. Court of Appeals for the District of Columbia Circuit granted a motion by environmentalists, public health advocates, and Indian tribes to issue the legal “mandate” of the court’s February 8 decision on the Bush administration’s Clean Air Mercury Rule. Environmentalists challenged the Bush administration action, and with the February 8 and March 14 orders, the Clinton EPA finding now becomes the law of the land, unless the utility industry wins a possible appeal to the Supreme Court.
 
The latest ruling has immediate implications for coal plants still in the planning stage or working their way through the permitting process. Plants that have not yet received their permits almost certainly will have to re-write their permit applications to reflect the best level of control in place today—likely at least a 90% mercury removal rate.
 
Plants that have received permits but not yet begun construction may also have to seek new permits to reflect the best mercury control rate possible. Plants with permits that are already under construction may be able to argue that the control levels in their permits should remain in place, but environmentalists may challenge these permits if they do not specify at least a 90% removal rate.

Source: Access Intelligence staff