West Virginia v. EPA
Facts
Section 111(d) of the Clean Air Act requires EPA to determine the "best system of emission reduction" for certain existing sources and then set emissions limits reflecting the degree of reduction achievable through applying that system. In the 2015 Clean Power Plan, EPA determined that the BSER for existing coal-fired power plants included not only plant-level heat-rate improvements, but also generation shifting from coal to natural gas and renewables. EPA translated that approach into emissions limits so strict that no existing coal plant could meet them without reducing its own generation, investing in cleaner generation, or purchasing allowances or credits. The D.C. Circuit later vacated EPA's repeal of that rule, and petitioners argued that Section 111(d) did not authorize EPA to adopt such generation-shifting caps.
Issue
Whether Section 111(d) of the Clean Air Act authorized EPA to determine that the "best system of emission reduction" for existing power plants was a generation-shifting approach that would effectively force a nationwide shift in electricity production from coal to natural gas and renewables. Also, whether the case remained justiciable despite EPA's representation that it did not currently intend to enforce the Clean Power Plan.
Rule
In extraordinary cases involving assertions of agency power of great economic and political significance, courts hesitate before concluding Congress conferred such authority and require the agency to point to clear congressional authorization. A vague statutory term like "system" in Section 111(d) is not enough to authorize EPA to impose emissions caps based on generation shifting that would substantially restructure the Nation's electricity market.
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