US EPA repeals carbon emission limits for coal and gas power plants

Federal rollback in Houston

The Environmental Protection Agency finalized a rule on Monday repealing carbon emission limits for coal- and gas-fired power plants across the United States. EPA Administrator Lee Zeldin presented the decision on the sidelines of the G20 energy ministers meeting in Houston, a gathering running through Wednesday where organizers framed discussions around expanding baseload power and regulatory efficiency. The announcement formalizes a proposal first introduced in June 2025 to dismantle 2024 regulations established under former President Joe Biden. The Biden-era standards were projected to reduce power sector greenhouse gas emissions by 1 billion metric tons by 2047. Electricity generation accounts for nearly a quarter of total US carbon emissions, representing the second-largest domestic source after transportation.

Regulatory arguments and economic claims

The EPA stated that the 2024 standards exceeded statutory authority under the Clean Air Act by requiring carbon capture systems that are not adequately demonstrated or commercially cost-effective at scale. Agency officials argued that the previous rules forced utility operators to retire fossil fuel facilities rather than meet achievable standards. According to the EPA, repealing the 2024 requirements will save the energy industry $310 billion, while an adjacent proposal to block future carbon standards will eliminate another $370 million in direct compliance costs. Zeldin stated that removing the regulations will lower costs across heating, transportation, farming, and manufacturing.

The reality is that America produces energy better and cleaner than anywhere else in the world, and our power plants should not be unfairly targeted,

Health warnings and legal opposition

Environmental and public health advocates challenged the repeal, emphasizing that the 2024 regulations were projected to prevent 4,500 premature deaths each year. Dominique Browning, director and co-founder of Moms Clean Air Force, stated that deregulation shifts costs to families through increased medical expenses for asthma, heatstroke, and storm damage. Maggie Coulter, an attorney at the Center for Biological Diversity Climate Law Institute, warned that the rule will increase severe weather risks.

Denying the existence of a quarter of the country's climate pollution is utterly reckless. It will lead to more lost lives and suffering from intense heatwaves, drastic storms and destructive wildfires, just like those we've seen this summer,

Natural Resources Defense Council attorney David Doniger criticized the agency's rationale that emissions from the electricity sector are outside federal authority.

So the two biggest slices of the U.S. carbon emissions are, together, still too small to matter? That's crazy. Like saying that over half of a super large pizza has no calories,

Grid demand and ongoing litigation

The repeal arrives as US power demand climbs, reversing a trend of largely flat electricity consumption between the mid-2000s and early 2020s. Growth in artificial intelligence data centers, electric vehicles, and domestic manufacturing has increased utility load requirements. The power plant rollback follows the administration's action in February that overturned the Clean Air Act endangerment finding for motor vehicles. White House regulatory officials completed review of the power plant repeal on Friday, September 11. Environmental legal organizations confirmed they will challenge the new power sector rule in court, joining ongoing legal proceedings against the February vehicle endangerment repeal.