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On April 5, the U.S. Court of Appeals for the D.C. Circuit vacated a Trump-era rule that would have prevented the Environmental Protection Agency (EPA) from setting greenhouse gas (GHG) emissions standards for almost any class of stationary sources, except for fossil fuel-fired electric generating units. The court’s decision, issued at the request of the new Biden EPA, clears the way for new sector-by-sector GHG regulations should the new administration seek to set new GHG standards under Section 111 of the Clean Air Act (CAA).
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Continue Reading Rule Limiting EPA Regulation of GHG Emissions Vacated by D.C. Circuit

On the heels of multiple recent indications that it plans to increase its focus on environmental, social, and governance-related (ESG) corporate disclosures, the Securities and Exchange Commission (SEC or Commission) has solicited help from the public on developing a framework for climate change disclosures. Acting Chair Allison Herren Lee released a statement on March 15, calling for input from investors, registrants, and other market participants “in light of demand for climate change information and questions about whether current disclosures accurately inform investors.”
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Continue Reading SEC Seeks Public Comment on Framework for Corporate Climate Change Disclosures

The Securities and Exchange Commission (SEC) announced the creation of a new task force on March 4 to address violations of environmental, social, and governance-related (ESG) disclosure requirements. The Climate and ESG Task Force will be located in the SEC’s Division of Enforcement and led by Acting Deputy Director of Enforcement Kelly Gibson, who will oversee a 22-member team drawn from across the SEC. The task force will focus initially on material gaps or misstatements in disclosure of climate risk under existing rules. The task force will use “sophisticated data analysis to mine and assess information … to identify potential violations” and will also pursue tips, referrals, and whistleblower complaints on ESG-related issues.
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Continue Reading SEC Announces Task Force to Enforce ESG Disclosure Requirements

The EPA’s “Secret Science” rule establishing new standards for consideration of certain “pivotal” scientific studies, which was slated to go into effect on January 6, 2021, has been vacated and remanded by the U.S. District Court for the District of Montana. The decision follows one from a few days prior in which the court rejected…

A California state legislator has introduced a bill that would require large corporations doing business in the state to publicly disclose their greenhouse gas emissions (GHGs). The bill, titled the Climate Corporate Responsibility Act, covers publicly traded domestic and foreign corporations with annual revenues in excess of $1 billion. According to state Senator Scott Weiner, who introduced the bill, it could affect up to 5,000 companies. The bill is not limited to any industry sector and would thus impact not only companies typically associated with GHG emissions, like oil and gas producers or power plants, but also would extend to other sectors, including the tech industry, for example.
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Continue Reading Mandatory GHG Corporate Disclosure Bill Introduced in California

On January 19, the last full day of the Trump administration, a three-judge panel of the D.C. Circuit Court of Appeals vacated the Affordable Clean Energy (ACE) rule, the Trump EPA’s replacement rule for the Clean Power Plan. The Clean Power Plan was a cornerstone of the Obama EPA’s efforts to address climate change and would have required electric utilities to shift generation from fossil fuels to renewable resources. That aggressive rule was halted by an unprecedented stay of the rule by the Supreme Court, but a decision on the merits has never been issued because the Trump administration took office and put the litigation on hold. In its January 20 opinion, the D.C. Circuit has now issued the first decision on the merits of the legal issues underlying both ACE and the Clean Power Plan.
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Continue Reading Affordable Clean Energy (ACE) Rule Vacated, But Appeal Still Possible

On January 20, newly inaugurated President Joe Biden signed an executive order titled, “Protecting Public Health and the Environment and Restoring Science to Tackle the Climate Crisis,” initiating review of nearly 50 environmental rules and regulations, including 20 air-related regulations that the new administration views as insufficient or unsupported by the data.
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Continue Reading Biden EPA Hits the Ground Running with Reviews of Trump Air-Related Rules

Just before the inauguration of President Biden, the Trump administration surprised many by failing to revise the stringent CO2 standard for new coal-fired power plants. That standard, adopted by the Obama administration, is based on the use of carbon capture and sequestration — a technology only installed once in the U.S. at a facility that has now been mothballed. When the Trump administration proposed to repeal and replace that standard in 2018, the chance of it surviving in its current form seemed slim. However, as the clock ran out, the Trump EPA failed to finalize its 2018 proposal and instead issued a “significant contribution finding” that attempts to limit regulation of greenhouse gases from new sources to electric utilities alone. While likely to be reversed quickly by the Biden EPA, that determination erects one more barrier to broad regulation of greenhouse gas emissions under the Clean Air Act (Act).
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Continue Reading Trump EPA’s Last-Minute Surprise on Climate Standards for New Coal-Fired Utilities Intended to Block Similar Standards for Other Sectors

Update: The District Court of Montana vacated the “Secret Science” rule on February 1, 2021. An update including analysis of that decision is available here.

The U.S. Environmental Protection Agency (EPA) issued a final rule establishing new standards for consideration of certain “pivotal” scientific studies, requiring that EPA give greater consideration to studies relying on dose-response data that has been made “available in a manner sufficient for independent validation.” Commonly known as the “Secret Science” rule, this measure was published in its final form under the title “Strengthening Transparency in Pivotal Science Underlying Significant Regulatory Actions and Influential Scientific Information.” The rule went into effect upon publication on January 6, 2021.

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Continue Reading EPA Issues “Secret Science” Rule to Promote Transparency through Public Access to Dose-Response Data

The U.S. Environmental Protection Agency (EPA) has announced its decision to retain the current National Ambient Air Quality Standards (NAAQS) for fine particulate matter (PM2.5) and ozone (O3) under the Clean Air Act. However, the new Biden EPA is all but certain to reevaluate the standards and likely to reach different conclusions.

PM2.5 is a mixture of small liquid or solid particles found in the air that are less than 2.5 micrometers (μm) in aerodynamic diameter. O3 is a reactive gas that is formed through chemical reactions of nitrogen oxides and volatile organic compounds in the atmosphere. Under the CAA, EPA must ensure the ambient standards for both pollutants are established at a level “requisite to protect the public health” with “an adequate margin of safety,” and EPA must review the NAAQS every five years to determine whether the standards should be retained or revised.
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Continue Reading EPA Declines to Revise Air Quality Standards for Particulate Matter and Ozone