A Performance-Based Approach to Allowance Allocation for Clean Power Plan Compliance

Posted by Reports on Feb 24, 2016 12:52:00 PM

Publish Date: February 24, 2016

Under the final Clean Power Plan (CPP), the U.S. Environmental Protection Agency (EPA) gives states flexibility to reduce emissions from existing power plants in a way that best suits their individual circumstances.
 
One key choice is whether to meet these targets through a mass-based or a rate-based plan. States can develop cost-effective plans under either approach, but optimal outcomes depend on a number of key decisions. For states choosing to comply using a mass-based approach, the question of how to allocate emission allowances looms larger than any other policy choice.
 

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Topics: Federal Policy

AEE Comments on the Proposed Federal Plan & Model Trading Rules

Posted by Reports on Jan 26, 2016 1:10:00 PM

Publish Date: January 26, 2016

AEE submitted comments on the Proposed Federal Plan and Model Trading Rules, which are intended to ensure that the Clean Power Plan sends a uniform market signal across the country and facilitates state planning.

AEE supports EPA’s use of market-based trading in both mass- and rate-based compliance plans. However, AEE believes that certain elements of each plan type as proposed will impede the deployment of cost-effective advanced energy measures.

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Topics: Federal Policy

AEE Comments on the Clean Energy Incentive Program

Posted by Reports on Jan 5, 2016 1:23:00 PM

Publish Date: January 5, 2016

AEE welcomes the concept of the Clean Energy Incentive Program as a tool to accelerate the deployment of advanced energy. 

If implemented to its full potential, the program would be a step toward modernizing the U.S. electric power system while expediting emission reductions and lowering the cost of compliance. 

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Topics: Federal Policy

AEE Motion to Intervene in Clean Power Plan Lawsuit

Posted by Reports on Oct 28, 2015 4:45:00 PM

Publish Date: October 28, 2015

On Oct. 26, 2015, AEE filed a motion in the D.C. Court of Appeals to intervene in lawsuits brought against EPA's Clean Power Plan.
 
In establishing AEE’s interest in the case, the filing asserted that “AEE and its member companies will benefit directly from the Clean Power Plan” as, it is anticipated, “states and regulated entities will increasingly employ advanced energy products and services to fulfill compliance obligations.” Utilization of these advanced energy technologies will yield lower energy costs, provide more consumer choice, and improve the reliability of our electricity system. 

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Topics: Federal Policy

Markets Drive Innovation: Why History Shows that the Clean Power Plan Will Stimulate a Robust Industry Response

Posted by Reports on Jul 6, 2015 1:31:00 PM

Publish Date: July 6, 2015

When EPA releases the final Clean Power Plan this summer, regulators and industry will move to consider compliance options in earnest. While opponents contend that these options will be limited and costly, the track record of EPA regulations allowing for market-based compliance suggests otherwise.

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Topics: Federal Policy, 21st Century Electricity System