Pennsylvania Exits Climate Initiative in Budget deal, Forfeiting Potential Emissions Cuts
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The six-year battle over Pennsylvania’s attempt to curb climate pollution has ended with a few lines of legislation in the latest state budget.
Gov. Josh Shapiro and Democrats agreed to repeal the regulation that allows Pennsylvania to participate in the Regional Greenhouse Gas initiative (RGGI) to pass the overdue state budget.
Republican lawmakers have long been opposed to RGGI. They repeatedly voted on bills to overturn the program and took the issue to court.
Nothing will practically change in Pennsylvania as a result of the repeal, but RGGI supporters and observers said the state is giving up the potential for important climate action.
“the state has just lost the most immediate lever it could pull, and which woudl’ve done so in a significant, unprecedented way in Pennsylvania history to cut climate pollution, create jobs, and lower people’s electricity bills,” said Robert Routh, Pennsylvania policy lead for the natural Resources Defense Council.
The budget deal also leaves several questions about how and whether the state will address climate change and the legal avenues that are available.
Lost opportunity
RGGI is a collaborative effort between ten Northeastern and Mid-Atlantic states to reduce carbon dioxide emissions from the electricity sector. It requires power plants to pay for each ton of carbon dioxide they emit.
With an added cost to pollute under RGGI, burning fossil fuels becomes more expensive and sources with no emissions, such as wind and solar, are more competitive.
Pennsylvania is a major energy state. It’s the second-largest gas-producing state, the top electricity exporter, and emits the fourth-largest amount of carbon dioxide in the country. Pennsylvania’s RGGI rule marked the first time a large fossil fuel producer put a price on carbon.
Carbon dioxide traps heat in the atmosphere. Climate scientists agree emissions must be cut dramatically and quickly to avoid the worst effects of climate change,which include heat waves,increased precipitation,and flooding.
Many opponents to joining RGGI argued that the program would prematurely kill coal-fired power plants, cost the state jobs, stifle its energy economy, and raise electricity bills.
But plant closures and higher bills have come without RGGI participation, and the state hasn’t raised any additional money that could be used to ease those problems.
“Pennsylvania coal plants are going to shut down regardless of whether we enter RGGI or not,” said Akshaya Jha, an assistant professor of economics and public policy at Carnegie Mellon University.
Now, as projected power demands are growing because of a rise in data centers and other uses, Jha said the economics suggest more gas plants and renewable energy projects will be built.
Penn State professor Seth Blumsack, who has studied the impact of RGGI in Pennsylvania, said joining the program mattered a lot to people who care about climate emissions and local air quality.
“If you’re not going to join RGGI, what are you going to do?” he said.
Blumsack co-authored a study that found Pennsylvania could have reduced its carbon emissions by 30% by 2030 if it had fully participated in RGGI. He said the state now needs to find other ways to address climate change.
Pennsylvania DEP drops Appeal in carbon credit regulation case
The Pennsylvania Department of Environmental Protection (DEP) has filed to discontinue its appeal to the state Supreme Court regarding a regulation allowing companies to earn credits for projects that reduce carbon emissions. This move effectively ends the legal challenge to the rule, which had been on hold by a Commonwealth Court judge pending resolution of legal challenges. While the DEP seeks to end the litigation, environmental advocates express concern that key legal questions surrounding the program will remain unanswered.
Background of the Regulation and Legal Challenge
In 2022, the DEP finalized a regulation establishing a carbon credit program intended to incentivize projects that reduce greenhouse gas emissions. The program allowed companies to generate credits for initiatives like forest preservation and methane capture, which could then be sold to entities needing to offset their own emissions.
However, the regulation faced immediate legal challenges. Opponents argued the DEP exceeded its authority in creating the program and that it potentially undermined the state’s existing carbon reduction goals. A Commonwealth Court judge initially placed the regulation on hold while the legal challenges where considered.
in 2023, the Commonwealth Court ruled the regulation unconstitutional, finding that the DEP had acted without proper legislative authorization. the DEP afterward appealed this decision to the Pennsylvania Supreme Court, with oral arguments heard in May 2024.
DEP Discontinues appeal, Case May Be Declared Moot
On Thursday, November 14, 2024, the DEP filed an request with the Supreme Court to discontinue its appeal. This action suggests the department is no longer pursuing the legal defense of the original regulation. If the court grants the application, the case will likely be declared moot, meaning it is no longer a live legal dispute.
Concerns Remain Over Unresolved Legal Questions
While the DEP’s decision avoids a potentially unfavorable ruling from the Supreme Court, environmental advocates lament the loss of an opportunity to gain clarity on the legal boundaries of the DEP’s authority regarding environmental regulations.
“Regardless of which way the Supreme Court would have decided the case, it is highly valuable to have gotten clarity on the legal claims at issue here…to articulate further what the Supreme Court justices, how they view the Environmental Rights Amendment in the context of this regulation,” said David Routh, an attorney with the environmental Defense Fund, as reported by the Pittsburgh Post-Gazette. The Environmental Rights Amendment to the Pennsylvania Constitution guarantees residents the right to clean air and water, and its interpretation in relation to DEP regulations is a key concern for environmental groups.
What’s Next?
The future of carbon credit initiatives in Pennsylvania remains uncertain. The DEP may choose to pursue a revised regulation that addresses the constitutional concerns raised by the Commonwealth Court. However, without a definitive ruling from the Supreme Court, the scope of the DEP’s authority in this area will remain open to interpretation, potentially leading to further legal challenges in the future.
Key Takeaways:
* The Pennsylvania DEP has dropped its appeal of a court ruling that found its carbon credit regulation unconstitutional.
* The case is likely to be declared moot, ending the current legal battle.
* Environmental advocates are concerned that vital legal questions about the DEP’s authority and the Environmental Rights Amendment will remain unresolved.
* The future of carbon credit programs in Pennsylvania is uncertain,but the DEP may attempt to create a revised regulation.