Fossil Fuels in the Era of Greenhouse Gas Permits

The document details the early application of EPA greenhouse gas (GHG) regulations for stationary sources, focusing on the role of state regulators in issuing pre-construction permits. It describes the Best Available Control Technology (BACT) analysis process, the EPA's case-by-case guidance, and the specific three-year deferral of CO2 permitting for biogenic sources. Case studies from Louisiana, Utah, and Michigan illustrate varying levels of state compliance and interpretation of EPA guidelines, while noting ongoing legal and legislative challenges to the EPA's authority.

• Since January 2011, over 100 projects across 28 states, two territories, and the Outer Continental Shelf have submitted air permit applications to comply with EPA regulations, though only 30-40 percent of PSD permit applications include a GHG component.
• Under the PSD program, applicants must use a five-step Best Available Control Technology (BACT) analysis to identify and rank GHG control technologies by effectiveness, considering energy, environmental, and economic impacts to set numeric emission limits.
• The EPA has implemented a three-year deferral, starting July 1, 2011, for GHG permitting requirements regarding CO2 emissions from biomass-fired and other biogenic sources to further study the science of biogenic CO2 emissions.
• State regulators exercise varying degrees of discretion and cooperation with the EPA; for example, Texas refused to incorporate the rules, leading the EPA to take over its GHG air permit program.
• Case studies show divergent state approaches: Louisiana issued a permit for the Nucor iron foundry despite EPA's request for an independent evaluation; Utah adopted a numerical limit of 950 pounds of CO2e per megawatt-hour after EPA rejected its design standard; and Michigan received favorable EPA comments for a coal- and biomass-fired plant with a limit of 2.1 pounds of CO2e per kilowatt-hour.
• The EPA intends to reduce state discretion by proposing New Source Performance Standards for power plants and oil refineries by November 2012, which will establish baseline emission limits.

APA

Gershman, D., & Johnson, M. (2011). Fossil Fuels in the Era of Greenhouse Gas Permits. Environmental and Energy Study Institute. https://www.eesi.org/files/ghg_permits_brief_081811.pdf

Chicago

Gershman, Dave, and Matthew Johnson. Fossil Fuels in the Era of Greenhouse Gas Permits. Environmental and Energy Study Institute, 2011. https://www.eesi.org/files/ghg_permits_brief_081811.pdf.

Wikipedia

{{cite report |last1=Gershman |first1=Dave |last2=Johnson |first2=Matthew |title=Fossil Fuels in the Era of Greenhouse Gas Permits |publisher=Environmental and Energy Study Institute |date=August 2011 |url=https://www.eesi.org/files/ghg_permits_brief_081811.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{gershman2011fossil, author = {Gershman, Dave and Johnson, Matthew}, title = {{Fossil Fuels in the Era of Greenhouse Gas Permits}}, institution = {Environmental and Energy Study Institute}, year = {2011}, month = aug, url = {https://www.eesi.org/files/ghg_permits_brief_081811.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }