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US repeals federal greenhouse-gas limits for coal and gas power plants

The Trump administration’s completed rollback shifts federal energy policy further toward coal and gas, with legal challenges and consequences for emissions, grid planning and allied climate diplomacy now looming.

The rollback takes effect

The United States Environmental Protection Agency has repealed federal rules limiting greenhouse-gas emissions from coal- and gas-fired power plants. Announced in Houston on September 14, the action replaces an earlier review process with a completed regulatory decision. The administration says removing the requirements will lower compliance costs, prevent premature plant closures and make it easier for utilities to meet rising electricity demand from households, manufacturing and data centres.

The repealed framework would have required many coal plants either to capture carbon emissions or close, while imposing separate restrictions on new gas generation. Al Jazeera reported that the EPA estimated the rollback could remove more than $300 billion in costs. That is the administration’s projection, not a settled measure of the policy’s net economic effect, because it excludes disputed health, climate and environmental costs cited by opponents.

A broader coal-first policy

The decision is consistent with measures already documented by the White House. A February executive order declared coal generation important to national defence and directed officials to pursue long-term power agreements supporting coal facilities. An April presidential determination similarly classified coal supply chains and baseload capacity as resources essential to national defence, linking them to military installations, industrial expansion and the electricity demands of artificial intelligence.

Environmental and public-health organisations are preparing litigation. Their likely arguments will centre on the EPA’s authority under the Clean Air Act and the administrative record supporting its treatment of power-sector greenhouse gases. The rollback follows the administration’s earlier reversal of the scientific finding used to regulate heat-trapping emissions, meaning courts may have to examine several connected regulatory steps rather than a single isolated rule.

What matters next

Utilities must now decide whether the regulatory change justifies extending ageing coal assets or building additional gas capacity. Those investments run for decades, so companies will weigh the present administration’s policy against possible court rulings and future reversals. The announcement also widens the gap between Washington and governments pursuing emissions reductions. Immediate indicators include lawsuits, requests for judicial stays, state-level replacement standards and concrete utility decisions on plants previously scheduled to close.