Yesterday, June 1, 2016, the National Association of Clean Air Agencies (NACAA) released Implementing EPA’s Clean Power Plan: Model State Plans. The document provides a toolbox of implementation options and model regulatory language to support states and stakeholders with navigating the process of developing CPP implementation plans. The document acknowledges the judicial stay on the CPP, but recognizes that the tools provided “can be most helpful” to states that are continuing to plan for potential CPP implementation.
The document is divided into three parts. The first section, “An Overview of State Plan Requirements and Strategic Planning Decisions,” provides an overview of the power sector, power sector regulation, and the Clean Power Plan. It also discusses components that are required to be in state implementation plans and identifies the key decision points for state regulators.
The second section, “The Primary Plan Types and Example Plan Provisions,” provides greater technical detail and illustrative examples related to three potential compliance approaches: a rate-based approach, a mass-based approach, and a mass-based state measures approach. This section also includes sample rule language.
The third section, “Comprehensive Model State Plan Submittals,” provides full model initial and final state plan submittals. The model plans presented are based on a mass-based emission standard and incorporate an interstate trading platform and a “new source complement.” The new source complement integrates additional mass emissions from a state’s election to regulate new sources under state law.