APPA issues statement on Clean Power Plan

The American Public Power Association (APPA) recently released a statement on the Clean Power Plan that was issued by the Environmental Protection Agency in August.

The APPA states that the plan does have positive aspects to it, as it allows states an extended amount of time to develop their compliance plans. APPA also supports the plan's renewable energy credits and guidance on interstate trading allow for flexibility among public power systems. As a result of this many states, including Florida, Arizona, Georgia, and Tennessee. have a strong chance of meeting compliance targets.

Other states are not as fortunate, the association said. Their reduction targets for carbon emissions have been raised by a significant amount and will likely result in more difficulties toward compliance and is also likely to be costly. States listed in this category include West Virginia, Nebraska, Kentucky, Wisconsin and Illinois.

“APPA supports the need to lower (carbon dioxide) emissions and address climate change, and the EPA has offered some improvements in this final rule,” Joe Nipper, APPA’s senior vice president of regulatory affairs and communications, said. “But for some states, the rule seeks to do too much too fast, which will adversely impact their electricity costs.”

APPA also raises concerns of the likelihood of states being forced to abandon coal-fired plants that have yet to be paid off or that have a significant portion of their life cycle remaining.