An E.P.A. Plan to Kill a Major Climate Rule Is Worrying Business Leaders

The Environmental Protection Agency's (E.P.A.) proposal to repeal a major climate rule has raised concerns among business leaders, who fear that the move could lead to costly litigation and a patchwork of stricter regulations across individual states. The rule in question, which sets greenhouse gas emission standards for power plants and automobiles, has been a cornerstone of the Obama administration's efforts to combat climate change.According to sources, the E.P.A. is planning to argue that the rule, known as the Clean Power Plan, exceeded the agency's authority under the Clean Air Act. The plan's supporters, however, contend that the rule is well within the E.P.A.'s purview and that repealing it would not only undermine efforts to reduce carbon emissions but also create uncertainty and risk for businesses.Some car manufacturers and energy executives have expressed worries that the E.P.A.'s plan would trigger a wave of lawsuits from environmental groups and states opposed to the repeal. This could lead to years of costly and time-consuming litigation, which would create uncertainty and risk for businesses that have already invested heavily in complying with the rule.Moreover, business leaders are concerned that the E.P.A.'s move would prompt individual states to implement their own, stricter regulations to fill the regulatory gap left by the repeal of the Clean Power Plan. This could result in a patchwork of different rules across the country, creating compliance headaches and additional costs for companies operating in multiple states.The potential consequences of the E.P.A.'s plan have sparked a backlash from some business groups, which have urged the agency to reconsider its proposal. They argue that a stable and predictable regulatory framework is essential for making long-term investment decisions and that the Clean Power Plan has provided a critical foundation for the transition to a low-carbon economy.As the E.P.A. weighs its options, business leaders are anxiously waiting to see how the agency will proceed. While some have welcomed the prospect of reduced regulatory burdens, others are urging caution, warning that a repeal of the Clean Power Plan could have far-reaching and unintended consequences for the economy and the environment.