A coalition consisting of the coal industry and other energy-related businesses released a study which claims the new Environmental Protection Agency (EPA) carbon regulations for power plants could cost, at minimum, $366 billion.
The Hill reported that the analysis, conducted by Nera Economic Consulting, revealed that 43 states would see double-digit percentage increases in their citizen’s electricity bills, with at least 20 percent increases in 14 states. In addition, researchers claimed the carbon dioxide reductions would only limit global warming by 0.02 degrees and sea level increases by 0.01 inch.
This analysis is further confirmation that it would be irresponsible for any state to implement EPA’s costly power plan,” Hal Quinn, president of the National Mining Association, said in a statement. “Asking Americans to pay more in return for less energy and fewer jobs is not a plan that provides them the economic security they deserve.”
The Nera report determined the carbon ruling would also cost businesses $41 billion or more a year, nearly five times the costs of all Clean Air Act rules for power plants prior to 2010. Nonetheless, the EPA stands behind the new litigation and feels that the benefits outweigh the burdens. “These benefits far outweigh the costs in terms of our health and our analysis shows that bills will decrease because we’ll be using energy more efficiently,” spokeswoman Liz Purchia said.
The EPA’s findings on the carbon regulation impact was drastically lower than what Nera Economic Consulting provided. The EPA’s analysis claims compliance with the new regulations would cost roughly $7.3 billion to $8.8 billion annually. The EPA also said rules would create between $55 billion and $93 billion in public health improvements.