Respondents Brief — West Virginia, et al., Petitioners v. Environmental Protection Agency, et al.
Supreme Court briefJan 18, 2022
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Nos. 20-1530, 20-1531, 20-1778 and 20-1780
In the
Supreme Court of the United States
WEST VIRGINIA, et al.,
Petitioners,
v.
Environmental Protection Agency, et al.,
Respondents.
THE NORTH AMERICAN COAL CORPORATION,
Petitioner,
v.
Environmental Protection Agency, et al.,
Respondents.
(For Continuation of Caption See Inside Cover)
On Writs of Certiorari to the United States Court of
A ppeals for the District of Columbia Circuit
Brief of Non-Governmental
Organization and Trade
Association Respondents
Sean H. Donahue
Counsel of Record
David T. Goldberg
Donahue, Goldberg & Littleton
1008 Pennsylvania Avenue, SE
Washington, DC 20003
(202) 277-7085
sean@donahuegoldberg.com
Counsel for Respondents
Additional Counsel listed at end of Brief
310103
WESTMORELAND MINING HOLDINGS LLC,
Petitioner,
v.
Environmental Protection Agency, et al.,
Respondents.
NORTH DAKOTA,
Petitioner,
v.
Environmental Protection Agency, et al.,
Respondents.
i
QUESTIONS PRESENTED
1. Whether this dispute remains a justiciable case or
controversy under Article III of the Constitution.
2. Assuming jurisdiction, whether Section 7411 of
the Clean Air Act restricts the “best system of
emission
reduction”
that
is
“adequately
demonstrated” to measures applied “to and at” each
individual source.
ii
RULE 29.6 STATEMENT
American Lung Association; American Public
Health Association; Appalachian Mountain Club;
Center for Biological Diversity; Chesapeake Bay
Foundation, Inc.; Clean Air Council; Clean Wisconsin;
Conservation Law Foundation; Environmental
Defense Fund; Environmental Law & Policy Center;
Minnesota Center for Environmental Advocacy;
Natural Resources Defense Council; and Sierra Club,
all of which were petitioners and respondentintervenors in the court of appeals, are non-profit
public health and environmental organizations.
Advanced Energy Economy, American Clean Power
Association (successor of the American Wind Energy
Association),
and
Solar
Energy
Industries
Association, all of which were petitioners in the court
of appeals, are nonprofit trade associations. None of
these entities has any corporate parent, and no
publicly held corporation owns an interest in any of
them.
iii
TABLE OF CONTENTS
QUESTIONS PRESENTED ........................................ i
RULE 29.6 STATEMENT .......................................... ii
TABLE OF CONTENTS ........................................... iii
TABLE OF AUTHORITIES........................................ v
INTRODUCTION ........................................................ 1
JURISDICTION .......................................................... 3
STATEMENT OF THE CASE .................................... 4
A. Congress Enacted the Clean Air Act To
Ensure Effective Control of Air Pollution
Over Time ............................................................... 4
B. Section 7411 of the Act Ensures “No Gaps”
in the Control of Stationary Source
Pollution ................................................................. 6
C. EPA’s Authority Includes Regulation of
Greenhouse Gas Pollution from Power
Plants......................................................................9
D. EPA Promulgates the Clean Power Plan ............ 12
E. EPA Repeals the Clean Power Plan, and
Replaces It with the ACE Rule, Based
Solely on a Newly Constrained Legal
Interpretation....................................................... 15
F. The Court of Appeals Reviews, and Rejects,
EPA’s Sole Ground for the Repeal ....................... 19
SUMMARY OF ARGUMENT ................................... 21
iv
ARGUMENT ............................................................. 23
I. These Cases Are Not Justiciable ......................... 23
II. Section 7411 Does Not Contain the
Restriction That Was EPA’s Sole Basis for
Repealing the Clean Power Plan ......................... 32
III.Reliance on Major Questions Principles Is
Misplaced ............................................................. 42
IV. North Dakota’s Arguments Are Meritless .......... 49
CONCLUSION .......................................................... 53
v
TABLE OF AUTHORITIES
Cases
Ala. Ass’n of Realtors v. HHS,
141 S. Ct. 2485 (2021)............................................ 44
Alvarez v. Smith,
558 U.S. 87 (2009).................................................. 30
Am. Elec. Power Co. v. Connecticut,
564 U.S. 410 (2011)........................................ passim
Arizonans for Off. Eng. v. Arizona,
520 U.S. 43 (1997)............................................ 24, 29
Bethune-Hill v. Va. State Bd. Of Elections,
137 S. Ct. 788 (2017).............................................. 50
Bostock v. Clayton Cnty.,
140 S. Ct. 1731 (2020)............................................ 47
California v. Texas,
141 S. Ct. 2104 (2021)............................................ 27
Camreta v. Greene,
563 U.S. 692 (2011)................................................ 29
Clapper v. Amnesty Int’l USA,
568 U.S. 398 (2013)................................................ 32
County of Maui v. Hawaii Wildlife Fund,
140 S. Ct. 1462 (2020)............................................ 37
DaimlerChrysler Corp. v. Cuno,
547 U.S. 332 (2006).......................................... 23, 32
vi
Dep’t of Homeland Sec. v. Regents of the
Univ. of Cal.,
140 S. Ct. 1891 (2020)............................................ 33
Diamond v. Charles,
476 U.S. 54 (1986).................................................. 24
EPA v. Brown,
431 U.S. 99 (1977).................................................. 30
EPA v. EME Homer City Gen., L.P.,
572 U.S. 489 (2014)................................................ 36
FERC v. Elec. Power Supply Ass’n,
577 U.S. 260 (2016)................................................ 45
Gundy v. United States,
139 S. Ct. 2116 (2019)............................................ 48
Hall v. Beals,
396 U.S. 45 (1969).................................................. 24
Hodel v. Va. Surface Min. & Reclamation Ass’n,
452 U.S. 264 (1981)................................................ 50
Hollingsworth v. Perry,
570 U.S. 693 (2013).................................... 23, 27, 32
In re Murray Energy Corp.,
788 F.3d 330 (D.C. Cir. 2015) .......................... 31, 32
Lewis v. Cont’l Bank Corp.,
494 U.S. 472 (1990)................................................ 29
Massachusetts v. EPA,
549 U.S. 497 (2007)........................................ 5, 9, 47
vii
Nat’l Fed’n of Indep. Bus. v. OSHA,
595 U.S. __ (2022) .................................................. 43
Nat’l Lime Ass’n v. EPA,
627 F.2d 416 (D.C. Cir. 1980) ................................ 48
Nat’l Park Hosp. Ass’n v. Dep’t of Interior,
538 U.S. 803 (2003)................................................ 31
New York v. Reilly,
969 F.2d 1147 (D.C. Cir. 1992) .............................. 48
Ohio Forestry Ass’n, Inc. v. Sierra Club,
523 U.S. 726 (1998)................................................ 31
Pac. Gas & Elec. Co. v. State Energy Res.
Conservation & Dev. Comm’n,
461 U.S. 190 (1983)................................................ 30
Romag Fasteners, Inc v. Fossil, Inc.,
140 S. Ct. 1492 (2020)............................................ 36
SEC v. Chenery Corp.,
332 U.S. 194 (1947).......................................... 33, 50
State Farm Fire & Cas. Co. v. U.S. ex rel. Rigsby,
137 S. Ct. 436 (2016).............................................. 35
Town of Chester, N.Y. v. Laroe Estates, Inc.,
137 S. Ct. 1645 (2017)............................................ 25
Train v. Nat. Res. Def. Council,
421 U.S. 60 (1975)........................................ 4, 50, 53
TransUnion LLC v. Ramirez,
141 S. Ct. 2190 (2021)............................................ 26
viii
Trump v. New York,
141 S. Ct. 530 (2020).................................. 24, 30, 31
Union Elec. Co. v. EPA,
427 U.S. 246 (1976)............................................ 4, 45
Util. Air Regulatory Grp. v. EPA,
573 U.S. 302 (2014).................................... 42, 43, 44
Va. House of Delegates v. Bethune-Hill,
139 S. Ct. 1945 (2019)................................ 24, 25, 27
West Virginia v. EPA,
577 U.S. 1126 (2016).............................................. 14
Whitman v. Am. Trucking Ass’ns,
531 U.S. 457 (2001)............................................ 3, 48
Wittman v. Personhuballah,
578 U.S. 539 (2016).................................... 25, 26, 29
Zivotofsky v. Clinton,
566 U.S. 189 (2012)................................................ 50
Statutes
15 U.S.C. §§ 2921-2961 ............................................. 11
28 U.S.C. § 1254 .......................................................... 3
42 U.S.C. § 7408 .......................................................... 6
42 U.S.C. § 7409 .......................................................... 6
42 U.S.C. § 7410 .................................................... 6, 40
42 U.S.C. § 7411 ................................................ passim
42 U.S.C. § 7412 .................................................... 6, 35
ix
42 U.S.C. § 7479 ........................................................ 35
42 U.S.C. § 7491 ........................................................ 35
42 U.S.C. § 7602 .................................................... 5, 38
42 U.S.C. § 7607 ...................................... 31, 33, 40, 45
42 U.S.C. § 7651f ....................................................... 35
Pub. L. No. 101-549, 104 Stat. 2399 (1990) .............. 36
Pub. L. No. 117-23, 135 Stat. 295 (2021) .................. 47
Pub. L. No. 95-95, 91 Stat. 685 (1977) ...................... 36
Other Authorities
A. Scalia & B. Garner, READING LAW: THE
INTERPRETATION OF LEGAL TEXTS (2012) .............. 34
EPA, Our Nation’s Air 2020........................................ 6
EPA, Regulatory Impact Analysis for the
Repeal of the Clean Power Plan and the
Emission Guidelines for Greenhouse Gas
Emissions from Existing Electric Utility
Generating Units (June 2019) ......................... 18, 27
EPA, Regulatory Impact Analysis for the Clean
Power Plan Final Rule (Aug. 2015) ...................... 46
EPA, The Benefits and Costs of the Clean Air Act
from 1990 to 2020 (Mar. 2011) ................................6
H.R. Rep. No. 117-64 (2021)...................................... 47
Hearing on the Nomination of Michael S. Regan
to be Administrator of the Environmental
x
Protection Agency Before the S. Comm. on Envt.
& Pub. Works, 117th Cong. 42-43 (2021) .............. 20
Jason Price et al., The Benefits and Costs of
U.S. Air Pollution Regulations, Industrial
Economics, Inc. (May 2020) .....................................5
Lee Logan, Facing Risks, EPA’s Counsel
Defends ‘Bold’ ACE Rule Legal Interpretation,
INSIDE EPA (Aug. 2, 2019) ..................................... 15
National Oceanic and Atmospheric Administration,
U.S. saw its 4th-warmest year on record, fueled
by a record-warm December (Jan. 10, 2022) ......... 11
Robert R. Nordhaus and Ilan W. Gutherz,
Regulation of CO2 Emissions From Existing
Power Plants Under §111(d) of the Clean Air Act:
Program Design and Statutory Authority,
44 ENVTL. L. REP. 10,366 (2014)..............................9
S. Rep. No. 91-1196 (1970) .......................................... 6
U.S. Energy Information Administration,
Today in Energy (June 9, 2021) ............................ 17
U.S. Energy Information Administration,
Today in Energy (May 9, 2016) ............................. 13
U.S. Global Change Research Program,
Fourth National Climate Assessment,
Volume II: Impacts, Risks, and Adaptation
in the United States (2018) .................................... 11
Rules
40 Fed. Reg. 53,340 (Nov. 17, 1975) ......................... 51
xi
60 Fed. Reg. 65,387 (Dec. 19, 1995) .......................... 16
70 Fed. Reg. 28,606 (May 18, 2005) .......................... 16
74 Fed. Reg. 66,496 (Dec. 15, 2009) .......................... 10
80 Fed. Reg. 64,662 (Oct. 23, 2015) .......................... 12
84 Fed. Reg. 32,520 (July 8, 2019) ............................ 15
Regulations
40 C.F.R. § 60.22 ......................................................... 7
40 C.F.R. § 60.23 ......................................................... 7
40 C.F.R. § 60.24 ....................................................... 52
40 C.F.R. § 60.24a ........................................... 9, 51, 52
1
INTRODUCTION
This dispute involves the 2019 repeal of an
Environmental Protection Agency (EPA) rule—the
2015 Clean Power Plan (CPP)—that has never been,
and will never be, in effect. The agency has made clear
that it will not reinstate either the CPP or the 2019
Affordable Clean Energy (ACE) Rule that replaced it,
and instead will promulgate a new rule for power
plant emissions of carbon dioxide (CO2) on a clean
slate.
For all the sensational assertions in the
petitioner-side briefing, the only truly dramatic
feature of this proceeding is a conspicuous absence of
Article III jurisdiction. The court below vacated the
ACE Rule and ordered that the CPP Repeal remain in
place until EPA completes its new rulemaking. Thus,
no power plant is currently subject to regulation
under either rule and no power companies petitioned
this Court for review. Nor can any petitioning state or
coal company show harm from the disposition below.
There is no serious possibility that the CPP will take
effect, and even if it did, market-driven trends in the
electric power sector have rendered its emissionreduction targets immaterial. Indeed, when EPA
repealed the CPP in 2019, it projected that the repeal
would result in no cost savings for anyone. Petitioners
themselves term the CPP a “legal nullity” (N.D. Br. 32
n.2) and a “relic” (N. Am. Coal Pet. 18). And their only
standing proffers to date are the coal companies’
declarations asserting injury from the ACE Rule,
2
which they now claim was wrongly vacated by the
court of appeals. Petitioners thus have not established
their standing to invoke this Court’s jurisdiction to
review the decision below.
Petitioners’ primary complaints, then, are about
how EPA might exercise its authority in a future
rulemaking. But such anticipatory claims are unripe.
Litigants must await the result of EPA’s new
rulemaking, which will both define the issues for
judicial review and avoid entangling the Court in an
unnecessary advisory exercise over an abstract and
technical policy dispute. In the absence of any extant
regulation (or evidence of a concrete injury), there is
no case or controversy for this Court to adjudicate.
If the dispute were justiciable, petitioners’ claims
would fail. This Court has already determined that
Section 7411, a core provision of the Clean Air Act,
“speaks directly” to power plants’ emissions of CO2;
gives EPA authority to decide “whether and how” to
regulate those emissions; and assigns EPA the
“complex balancing” task required to determine the
best pollution-control systems in the context of a
technical and complex record for particular industrial
categories. Am. Elec. Power Co. v. Connecticut (AEP),
564 U.S. 410, 424-27 (2011).
The CPP Repeal, not the CPP itself, was before
the lower court and is before this Court now. EPA
based that repeal on the contention that the Clean Air
Act unambiguously bars the agency, in identifying the
“best system of emission reduction” under Section
3
7411(a)(1), from considering any emission-reduction
systems that do not apply “to and at” each source. This
novel “fenceline” restriction—which contradicts past
EPA rules—lacks any support in the statute’s text. It
also goes far beyond disapproving the CPP, instead
categorically and unreasonably prohibiting EPA from
considering
proven
emission-reductions
tools
including economic incentives such as emissions
averaging or trading among sources, which can be
cost-effective means of reducing pollution.
Nor is this novel restriction justified by major
questions (or nondelegation) principles. The Court has
never applied those principles to a defunct rule that
would impose no meaningful compliance costs even if
reinstated. “Were it not for the hundreds of pages of
briefing” that petitioners present on the issue,
Whitman v. Am. Trucking Ass’ns, 531 U.S. 457, 465
(2001), the major questions cases’ inapplicability in
such circumstances would be beyond dispute.
Regardless, those cases still would not affect the
outcome here, particularly in light of AEP’s holding
(which petitioners simply ignore) that Section 7411
assigned the decision how to regulate power plants’
CO2 emissions to EPA’s “expert determination.” 564
U.S. at 426.
JURISDICTION
The D.C. Circuit entered judgment on January 19,
2021. The petitions for certiorari were timely. This
Court’s jurisdiction is invoked under 28 U.S.C.
§ 1254(1). As explained in Part I, infra, no justiciable
4
case or controversy is presented under Article III of
the Constitution.
STATEMENT OF THE CASE
A. Congress Enacted the Clean Air Act To
Ensure Effective Control of Air Pollution
Over Time
The Clean Air Act of 1970 established the modern
federal regulatory framework governing control of air
pollution. 42 U.S.C. §§ 7401 et seq. Rejecting the
nation’s prior approaches to air pollution control, in
which the federal government had little authority
beyond encouraging state action, see Train v. Nat. Res.
Def. Council, 421 U.S. 60, 63-64 (1975), the 1970 Act
was a “remedy to what was perceived as a serious and
otherwise uncheckable problem of air pollution,”
Union Elec. Co. v. EPA, 427 U.S. 246, 256 (1976).
Congress established a comprehensive regulatory
framework to address not only the dangerous air
pollutants identified at that time, but also to equip
EPA and states with tools to address new air pollution
dangers and to embrace evolving pollution control
techniques. See, e.g., 116 CONG. REC. 32,901-02 (1970)
(statement of Sen. Muskie). For this purpose,
Congress built in provisions to ensure the statute’s
continued effectiveness over decades, including
technology-forcing mechanisms to spur innovation,
requirements for EPA to periodically review and
update standards, and the duty to list and regulate
5
additional pollutants when their dangers became
apparent.
The Act’s architects were aware of—and
concerned about—the potential for air pollution to
cause climate change. See, e.g., 42 U.S.C. § 7602(h)
(defining “effects on welfare” as including “effects on
. . . weather . . . and climate”); 116 CONG. REC. 32,914
(1970) (statement of Sen. Boggs) (“Air pollution alters
climate and may produce global changes in
temperature” (quoting Council on Envtl. Quality,
First Annual Report 71 (1970)). Congress thus gave
EPA tools to address climate-altering air pollution
and, indeed, required EPA to do so upon finding that
it endangers public health or welfare. Massachusetts
v. EPA, 549 U.S. 497, 528-34 (2007).
In short, the Clean Air Act, by design, has enabled
EPA to adapt to “changing circumstances and
scientific developments” in tackling major air
pollution problems, including those not yet fully
understood at the time of enactment. Id. at 532; see
also Whitman, 531 U.S. at 462-63 (describing EPA’s
statutory duty to review and revise air quality
standards). And it has been remarkably effective: the
Act has saved hundreds of thousands of lives every
year,1 while the U.S. economy nearly tripled in value
Jason Price et al., The Benefits and Costs of U.S. Air
Pollution Regulations, Industrial Economics, Inc. (May 2020),
https://www.nrdc.org/sites/default/files/iec-benefits-costs-us-airpollution-regulations-report.pdf; see also EPA, The Benefits and
1
6
over the Act’s 50-year history.2 Key American
industries, from automobiles to manufacturing to
electric power generation, are more productive than in
1970—and vastly cleaner thanks to this law.
B. Section 7411 of the Act Ensures “No
Gaps” in the Control of Stationary
Source Pollution
Congress established a trio of Clean Air Act
programs to ensure “no gaps in control activities
pertaining to stationary source emissions that pose
any significant danger to public health or welfare.” S.
Rep. No. 91-1196, at 20 (1970). Under Sections 7408
and 7409, EPA sets national ambient air quality
standards for “criteria” air pollutants emitted from
numerous and diverse stationary and mobile sources.
States then adopt implementation plans under
Section 7410, subject to EPA approval, to attain or
maintain these standards.
Under Section 7412, EPA sets emissions
standards for controlling “hazardous” (i.e., especially
toxic) air pollutants from categories of new and
existing industrial sources. These federal standards
apply directly to the applicable sources, although EPA
may delegate enforcement to states.
Costs of the Clean Air Act from 1990 to 2020 (Mar. 2011),
https://www.epa.gov/sites/default/files/201507/documents/summaryreport.pdf.
2
EPA,
Our
Nation’s
Air
(2020),
https://gispub.epa.gov/air/trendsreport/2020/#air_trends.
7
Rounding out the trio is Section 7411, which
serves to limit other harmful emissions from
stationary sources. As the Court has explained:
Section [7411] of the Act directs the EPA
Administrator to list “categories of
stationary sources” that “in [her]
judgment . . . caus[e], or contribut[e]
significantly to, air pollution which may
reasonably be anticipated to endanger
public health or welfare.” § 7411(b)(1)(A).
Once EPA lists a category, the Agency
must establish standards of performance
for emission of pollutants from new or
modified sources within that category. §
7411(b)(1)(B); see also § 7411(a)(2). And,
most relevant here, § 7411(d) then
requires regulation of existing sources
within the same category. For existing
sources,
EPA
issues
emissions
guidelines, see 40 CFR §§ 60.22, 60.23
(2009); in compliance with those
guidelines and subject to federal
oversight, the States then issue
performance standards for stationary
sources within their jurisdiction,
§ 7411(d)(1).
AEP, 564 U.S. at 424. Section 7411(d) applies only to
existing sources’ emissions of dangerous pollutants
that are not listed as criteria or hazardous
8
pollutants—that is, not covered by Sections 7408-7410
or 7412.
A “standard of performance” is:
a standard for emissions of air pollutants
which reflects the degree of emission
limitation achievable through the
application of the best system of
emission reduction which (taking into
account the cost of achieving such
reduction and any nonair quality health
and environmental impact and energy
requirements)
the
Administrator
determines
has
been
adequately
demonstrated.
42 U.S.C. § 7411(a)(1).
In developing emissions guidelines, EPA: (1)
identifies all “system[s] of emission reduction” that
are “adequately demonstrated” for the source category
in question; (2) identifies the “best” of those systems,
considering emission-reducing efficacy, costs, and
other factors; and (3) identifies “the degree of emission
limitation achievable through the application” of that
system. Id. In other words, EPA sets an emission limit
for the source category, which is incorporated into the
guideline. The guideline provides procedures for
states to submit plans establishing a standard for
each existing source that is “no less stringent” than
the guidelines’ emission limit, acknowledges states’
authority to consider source-specific factors including
“remaining useful life,” and establishes parameters
9
for EPA to approve or disapprove the plans. 42 U.S.C.
§ 7411(d)(1); 40 C.F.R. § 60.24a(c). If a state “fails to
submit a satisfactory plan,” or simply chooses not to
submit one, EPA must step in to prescribe a federal
plan that imposes emission performance standards
directly on the state’s existing sources. 42 U.S.C.
§ 7411(d)(2). EPA has issued regulations under
Section 7411(d) in 13 instances for source categories
ranging from municipal waste combustors to landfills
to aluminum plants, based on a variety of systems
tailored to the category and pollutant.3
C. EPA’s Authority Includes Regulation of
Greenhouse Gas Pollution from Power
Plants
In Massachusetts, this Court held that the Clean
Air Act’s “definition of ‘air pollutant’” unambiguously
encompasses greenhouse gases—compounds like CO 2
that “act[] like the ceiling of a greenhouse, trapping
solar energy and retarding the escape of reflected
heat.” 549 U.S. at 505, 528-29. The Court held that
EPA must regulate these air pollutants if the agency
concluded their emissions “cause, or contribute to, air
pollution which may reasonably be anticipated to
endanger public health or welfare.” Id. at 528 (quoting
42 U.S.C. § 7521(a)(1)).
3 Robert R. Nordhaus & Ilan W. Gutherz, Regulation of CO2
Emissions From Existing Power Plants Under §111(d) of the
Clean Air Act: Program Design and Statutory Authority, 44
ENVTL. L. REP. 10,366 (2014).
10
Two years later, EPA issued an “endangerment
determination” for CO2 and other greenhouse gases
after completing a comprehensive assessment of the
scientific evidence. 74 Fed. Reg. 66,496 (Dec. 15,
2009). EPA determined that the risks from
greenhouse gas pollution include intensified heat
waves, worsened air quality, greater frequency and
intensity of storms and droughts, rising sea levels,
and increased spread of food- and water-borne
pathogens, among many other effects. Id. at 66,497,
66,524-36. EPA concluded that emissions of
greenhouse gases, including CO2, endanger the public
health and welfare of current and future generations
and thus require Clean Air Act regulation. Id. at
66,516-36.
Years before Massachusetts, states and land
trusts brought federal common law nuisance suits
against five electric power companies, seeking
injunctive relief to limit the companies’ CO2
emissions. AEP, 564 U.S. at 418-19. This Court held
in 2011 that the plaintiffs’ federal common law claims
were superseded by the Clean Air Act, explaining:
“Massachusetts made plain that emissions of carbon
dioxide qualify as air pollution subject to regulation
under the Act. . . . And we think it equally plain that
the Act ‘speaks directly’ to emissions of carbon dioxide
from [fossil fuel-fired power] plants.” Id. at 424. The
Court found it “altogether fitting that Congress
designated an expert agency, here, EPA, as best
suited to serve as primary regulator of greenhouse gas
emissions” from power plants under Section 7411(d).
11
Id. at 428. To that end, Congress directed the agency
to perform the “complex balancing” of “the
environmental benefit potentially achievable, our
Nation’s energy needs and the possibility of economic
disruption.” Id. at 427.
In the decade since AEP, the impacts of climate
change have become more evident and severe. The
2018 Fourth National Climate Assessment—a
Congressionally-mandated report by 13 federal
agencies—concluded that “the evidence of humancaused climate change is overwhelming and continues
to strengthen, that the impacts of climate change are
intensifying across the country, and that climaterelated threats to Americans’ physical, social, and
economic well-being are rising.”4 In 2021 “the U.S.
experienced 20 separate billion-dollar weather and
climate disasters that killed at least 688 people—the
most disaster-related fatalities for the contiguous U.S.
since 2011.”5
4 U.S. Global Change Research Program, Fourth National
Climate Assessment, Volume II: Impacts, Risks, and Adaptation
in
the
United
States
36
(2018),
https://www.globalchange.gov/nca4; see also Global Change
Research Act of 1990, 15 U.S.C. §§ 2921-2961.
5 National Oceanic and Atmospheric Administration, U.S.
saw its 4th-warmest year on record, fueled by a record-warm
December (Jan. 10, 2022), https://www.noaa.gov/news/us-sawits-4th-warmest-year-on-record-fueled-by-record-warmdecember.
12
D. EPA Promulgates the Clean Power Plan
In 2015, EPA promulgated the CPP to address
existing power plants’ CO2 emissions. 80 Fed. Reg.
64,662 (Oct. 23, 2015), JA273. The CPP established
emissions guidelines under Section 7411(d) for the
fossil fuel-fired power plant source category, including
steam electric generators (primarily coal-fired plants)
and combustion turbines (primarily gas-fired plants).
JA483-90.
The CPP based its “best system of emission
reduction” on the primary techniques already used by
states and power companies to curtail CO2 emissions
from existing power plants. Relying on extensive
stakeholder input, EPA determined the “best system”
was a combination of three “building blocks”: (1)
improving efficiency (heat rate) at coal-fired plants;
(2) substituting electricity generation from loweremitting gas plants for generation from higheremitting coal plants; and (3) substituting generation
from new zero-emitting renewable energy sources for
generation from coal- and gas-fired plants. JA298-99.
EPA found that these measures, at the selected level
of stringency, were widely employed in practice,
achieved emission reductions cost-effectively, and
would not adversely affect the reliable supply of
electricity. JA654-90. The agency identified other
technologies, such as carbon capture and co-firing
natural gas with coal, that were “technically feasible
and within price ranges that the EPA has found to be
cost effective,” but determined that the three
13
“building block” measures in combination were less
expensive. JA578.
EPA applied the “best system” to quantify the
degree of CO2 emission limitation achievable by
covered sources. The agency set limits in the form of
two uniform emission rates for coal and gas plants
respectively, to be phased in from 2022 to full
implementation in 2030. JA301. EPA determined that
each plant could achieve the applicable limit at a
reasonable cost by reducing its own emissions and by
acquiring “emission rate credits” from expanded
lower-emitting or new zero-emitting generation, thus
reducing its adjusted CO2 emission rate to meet the
limit. JA690-92, 969-71. EPA also provided states
with considerable flexibility in developing their plans,
giving states the option to apply the uniform rates to
individual sources within the state, or to adopt
trading programs or other compliance strategies to
meet equivalent state goals. JA1063-88.
In 2015 EPA projected that, upon full
implementation of the CPP, power sector CO 2
emissions in 2030 would be 32 percent below 2005
levels.6 JA354. The agency estimated that the CPP’s
climate and health benefits (projected at $19 to $29
billion in 2025 and $32 to $48 billion in 2030) would
vastly outweigh its compliance costs (projected at $1.0
In 2015, power sector CO2 emissions were already 12
percent below 2005 levels. U.S. Energy Information
Administration,
Today
in
Energy
(May
9,
2016),
https://www.eia.gov/todayinenergy/detail.php?id=26152.
6
14
to $3.0 billion in 2025 and $5.1 to $8.4 billion in 2030).
JA354-56. As discussed infra pp. 16-17, EPA in 2015
greatly overestimated the CPP’s effect and costs, as
the CPP’s emission-reduction projections were
achieved more than a decade ahead of schedule, and
with no Section 7411(d) regulation at all.
States and industry parties challenged the CPP in
the D.C. Circuit. Asserting that the rule would be
extremely costly and would prompt immediate largescale coal retirements,7 the petitioners sought an
emergency stay of the CPP, which was denied by the
D.C. Circuit, Order, West Virginia v. EPA, No. 151363 (D.C. Cir. Jan. 21, 2016), ECF No. 1594951, but
granted by this Court in February 2016, West Virginia
v. EPA, 577 U.S. 1126 (2016). These challenges to the
CPP were held in abeyance following a change of
administration, and ultimately dismissed as moot
after the new administration’s repeal and
replacement rule took effect. Order, West Virginia v.
EPA, No. 15-1363, (D.C. Cir. Sept. 17, 2019), ECF No.
1806952.
See, e.g., Coal Indus. Appl. for Immediate Stay at 4,
Murray Energy Corp. v. EPA, No. 15A778 (U.S. Jan. 27, 2016)
(citing Seth Schwartz, Evaluation of the Immediate Impact of the
Clean Power Plan Rule on the Coal Industry, Energy Ventures
Analysis (Oct. 2015)); States Appl. for Immediate Stay at 46,
West Virginia v. EPA, No. 15A773 (U.S. Jan. 26, 2016) (citing
same).
7
15
E. EPA Repeals the Clean Power Plan, and
Replaces It with the ACE Rule, Based
Solely on a Newly Constrained Legal
Interpretation
In July 2019, EPA finalized the rulemaking at
issue here, which repealed the CPP and replaced it
with the ACE Rule. 84 Fed. Reg. 32,520 (July 8, 2019),
JA1725. EPA based its CPP repeal on a single ground:
a new interpretation of the Act, under which Section
7411 unambiguously limits the best system of
emission reduction to emission controls applied “to
and at the level of the individual source.” JA1731,
1769. EPA’s General Counsel explained at the time:
“We have not chosen to ask the Court to defer to our
policy judgment. We are asking the court to rule on
the face of the statute. It’s a bold move.”8
The consequence of EPA’s new “to and at”
limitation was not only to prohibit any reliance on
shifting generation between fossil-fueled power plants
and renewable energy facilities that were outside the
designated Section 7411 source category. It reached
even further to also bar the agency—and states and
industry—from any use of economic incentives such
as emissions averaging and trading, even among
fossil-fueled power plants in the same source category,
Lee Logan, Facing Risks, EPA’s Counsel Defends ‘Bold’
ACE Rule Legal Interpretation, INSIDE EPA (Aug. 2, 2019),
https://insideepa.com/daily-news/facing-risks-epa-s-counseldefends-bold-ace-rule-legal-interpretation.
8
16
when establishing and complying with standards. 9
Prohibiting any averaging or trading tools conflicted
with past EPA actions under Section 7411(d),
including regulations for nitrogen oxide emissions
from municipal waste combustors, 60 Fed. Reg.
65,387, 65,402 (Dec. 19, 1995), and for mercury
emissions from coal-fired power plants, 70 Fed. Reg.
28,606, 28,620 (May 18, 2005), vacated on other
grounds, New Jersey v. EPA, 517 F.3d 574 (D.C. Cir.
2008). See Power Cos. Br. 38-41.
In the 2019 rules, EPA also acknowledged
“significant changes in the electric sector” that had
occurred since EPA finalized the CPP in 2015.
JA1675. These changes included “large-scale market
trends” that were “anticipated to result in the
continued decline of coal-fired generation and
capacity,” and an expectation that renewable energy
sources would “account for a significant portion of all
new capacity into the future.” JA1675, 1679. Power
sector CO2 emissions were also declining accordingly:
EPA observed that, “[e]ven after the CPP was stayed,”
sources in 2018 were “30 percent below 2005 levels,”
on the verge of meeting the CPP’s 2030 projections.
9 See, e.g., JA1896 (“In this final action, the EPA determines
that: Neither (1) averaging across designated facilities located at
a single plant; nor (2) averaging or trading between designated
facilities located at different plants are permissible measures for
a state to employ in establishing standards of performance for
existing sources or for sources to employ to meet those
standards.”); see also JA1903 ("Accordingly, trading is not
permissible under CAA Section [74]11.").
17
JA1690-91. As a result—and in contrast to the CPP
challengers’ earlier claims of substantial harm—EPA
concluded that repealing the CPP was “not
anticipated to have a meaningful effect on emissions
of CO2 or other pollutants or regulatory compliance
costs.” JA1719-20. In fact, 2019 power sector
emissions were 32 percent below 2005 levels,
achieving the CPP’s 2030 projections more than a
decade ahead of schedule.10
The ACE Rule, which EPA promulgated to replace
the CPP, reflected EPA’s new limited view of its
authority under Section 7411. For existing coal-fired
power plants, EPA determined that the best system of
emission reduction could include only minor
improvements to plants’ operational efficiency.
JA1787. The ACE Rule did not specify any minimum
emission limitation for performance standards in
state plans, instead providing only an advisory list of
seven “candidate technologies” to improve plant
efficiency. JA1808. EPA directed states to “evaluate
the applicability” of these “candidate technologies” to
each source in the state, and then derive an individual
standard for each unit. JA1870. However, EPA did not
mandate any minimum level of efficiency
improvement, and indeed confirmed that standards
need not reflect any efficiency or emissions
improvement at all. JA1808-09, 1887.
U.S. Energy Information Administration, Today in
Energy (June 9, 2021), https://www.eia.gov/todayinenergy/
detail.php?id=48296.
10
18
EPA rejected other available measures that would
have offered far greater emission reductions while
still comporting with the ACE Rule’s newly
constrained statutory interpretation. See, e.g.,
JA1839-44 (rejecting co-firing with natural gas);
JA1853-58 (rejecting carbon capture). According to
EPA’s own analysis, the ACE Rule’s minimal “best
system of emission reduction” would achieve little, if
any, emission reduction. EPA’s one modeled scenario
projected that the Rule would reduce CO2 emissions
from coal plants by approximately one percent
relative to business as usual, and would reduce overall
power-sector emissions by considerably less than one
percent.11
Even though EPA continued to include existing
gas-fired power plants in the listed category of
sources, it did not identify any best system of emission
reduction for them under the ACE Rule and thus left
those sources unregulated. JA1791-92.
11 See EPA, Regulatory Impact Analysis for the Repeal of the
Clean Power Plan and the Emission Guidelines for Greenhouse
Gas Emissions from Existing Electric Utility Generating Units,
at 3-11, tbls. 3-3 & 3-15, tbl. 3-8 (June 2019) [hereinafter ACE
RIA] https://www.epa.gov/sites/default/files/2019-06/documents/
utilities_ria_final_cpp_repeal_and_ace_2019-06.pdf.
19
F. The Court of Appeals Reviews, and
Rejects, EPA’s Sole Ground for the
Repeal
State and local governments, power companies,
environmental and public health groups, and clean
energy trade associations petitioned the D.C. Circuit
for review of the CPP Repeal and the ACE Rule. The
court of appeals majority confined its review to the
“sole ground” EPA asserted for the repeal—i.e., that
Section 7411’s text unambiguously constrains EPA to
determine a best system of emission reduction using
only improvements “at and to existing sources.”
JA103. The court granted the petitions for review,
concluding that “nothing in the text, structure,
history, or purpose of Section 7411 . . . compels the
reading the EPA adopted.” JA131.
The court also explained that the dispute did not
“fit the major-question mold of prior cases.” JA139. It
noted that EPA had “not just the authority, but a
statutory duty” to regulate greenhouse gas emissions
from power plants, and the Act already “contains its
own limits on regulation, like mandating that the
EPA take into account such factors as available
technology and the cost of compliance.” JA138-39. The
court concluded that “each critical element of the
Agency’s regulatory authority on this very subject has
long been recognized by Congress and judicial
precedent.” JA136.
Because EPA defended the CPP Repeal and ACE
Rule solely on an erroneous legal interpretation, the
20
court did not decide whether the ACE Rule approach
was “permissible . . . as a matter of agency discretion.”
JA102-03. Nor did it address numerous record
challenges to that rule. Likewise, the court did not
consider the legality of the CPP itself, which was no
longer before it.
The dissent below would have held that EPA
lacked authority to promulgate either the CPP or the
ACE Rule because power plants’ emissions of mercury
and other hazardous air pollutants are regulated
under Section 7412. JA217.
Shortly after the D.C. Circuit’s ruling, the
incoming Administrator announced that, under his
leadership, EPA would undertake a new rulemaking
to address power plant CO2 emissions, starting from
a “clean slate.”12 EPA moved for a partial stay of the
court’s mandate, explaining that the agency did not
intend to implement either the CPP or the ACE Rule
and stating that “no Section 7411(d) rule should go
into effect until [a new rulemaking] is completed.”
JA258. The agency explained that the CPP’s initial
compliance deadlines had “long since passed” and that
“ongoing changes in electricity generation” mean that
the CPP’s 2030 emission-reduction projection has
“already been achieved by the power sector.” JA265.
Granting EPA’s unopposed motion, the D.C. Circuit
ordered that the CPP Repeal remain in effect “until
Hearing on the Nomination of Michael S. Regan to be
Administrator of the Environmental Protection Agency Before the
S. Comm. on Envt. & Pub. Works, 117th Cong. 42-43 (2021).
12
21
the EPA responds to the court’s remand in a new
rulemaking action.” JA271. Thus, with the ACE Rule
vacated and the CPP Repeal still in place, JA272, no
Section 7411(d) regulation for CO2 emissions from
existing power plants is in effect: states face no
planning deadlines, and regulated entities face no
compliance obligations.
SUMMARY OF ARGUMENT
The CPP is not, and has never been, in effect. The
lower court ordered that it remain inoperative until
EPA completes a new rulemaking. Thus, neither
petitioners nor any other parties are subject to any
obligations under the CPP (or under the ACE Rule
that replaced it). The CPP’s deadlines for submitting
state plans passed more than three years ago, and its
emission-reduction goals have been rendered
immaterial, even in the absence of regulation.
Petitioners have therefore failed to satisfy their
burden to establish standing to invoke this Court’s
jurisdiction. No petitioner is, has been, or will be
injured by the inoperative CPP. Nor has any
petitioner demonstrated that it will be reinstated;
that any reinstatement, should it somehow occur,
would harm them; or that the vacatur of the ACE Rule
injures them either. The parties’ disputes about the
CPP Repeal have been overtaken by events and no
longer present a live case or controversy.
Similarly
non-justiciable
are
petitioners’
hypotheticals about regulations that EPA might adopt
22
in the future. The court of appeals’ decision did not
pass upon such regulations or bless any particular
regulatory design. Review of forthcoming regulations
must await their final promulgation and the
availability of a new administrative record.
Even if this dispute were justiciable, petitioners’
claims are meritless. The court of appeals properly
confined its review to the sole ground asserted in the
CPP Repeal—i.e., that Section 7411 unambiguously
precludes EPA from considering any emissionreduction systems that do not apply “to and at” a
source. Section 7411 does not contain the unwritten
“to and at” restriction the CPP Repeal posited. When
Congress wished to add any such restriction in the
Act, it did so expressly, by using words like “retrofit”
or “technology.” Petitioners’ labored efforts to insert
such a restriction into Section 7411 lack support in the
statute. And they would unreasonably preclude not
just the CPP, but any kind of emissions averaging and
trading among sources—prohibiting common and
cost-effective measures that have long been used
throughout the power industry and that EPA used in
multiple prior rules.
Unable to locate their preferred restriction in the
statute, petitioners resort to invoking major questions
principles. But such principles have never applied in
a situation resembling the one here—a dispute about
the repeal of a never-implemented rule that EPA
found would impose “no costs” even if implemented. In
any event, the major questions cases do not change
23
the outcome. This Court has already held that Section
7411 “speaks directly” to power plants’ emissions of
CO2 and assigns to EPA the decisions “whether and
how” to regulate them. AEP, 564 U.S. at 424, 426
(emphasis added). Petitioners simply ignore those
prior holdings.
Finally, North Dakota alone contends that the
CPP was unlawful because it established binding
emission limits in its guidelines. This Court should
not consider the claim, which EPA did not assert as a
basis for the CPP Repeal and which the court of
appeals therefore did not address. The claim is wrong,
in any event. Congress modeled Section 7411(d) on the
cooperative federalism framework that appears
elsewhere in the Act. North Dakota would upend that
archetypical framework, however, and invite the
pollution problems that Congress designed the
modern Clean Air Act to address.
ARGUMENT
I.
These Cases Are Not Justiciable
These petitions should be dismissed because they
do not present a justiciable case or controversy.
“Article III demands that an ‘actual controversy’
persist throughout all stages of litigation.”
Hollingsworth v. Perry, 570 U.S. 693, 705 (2013)
(quoting Already, LLC v. Nike, Inc., 568 U.S. 85, 91
(2013)); see also DaimlerChrysler Corp. v. Cuno, 547
U.S. 332, 340 (2006) (the Court has an “obligation” to
assure itself of Article III jurisdiction). This means
24
both that standing must be shown to invoke this
Court’s jurisdiction, and that a case must be
dismissed if it becomes moot. Arizonans for Off. Eng.
v. Arizona, 520 U.S. 43, 64-73 (1997). And when an
underlying cognizable injury dissipates during
litigation, parties cannot substitute an alternative
theory of injury premised on contingent future actions
that have not yet taken shape. Trump v. New York,
141 S. Ct. 530, 533-35 (2020) (per curiam). Here,
petitioners identify no redressable injury caused by
the disposition below; recent events and ongoing
changes in the industry have mooted the parties’
dispute over the CPP Repeal; and any complaints
about future EPA rulemakings are unripe. The cases
have therefore each “lost [their] character as a
present, live controversy of the kind that must exist if
[the Court is] to avoid advisory opinions.” Hall v.
Beals, 396 U.S. 45, 48 (1969) (per curiam).
1. No petitioner has satisfied its burden to
“explain how the elements essential to standing are
met.” Va. House of Delegates v. Bethune-Hill, 139 S.
Ct. 1945, 1951 (2019). Although most standing cases
consider whether a plaintiff met those elements when
initiating suit, Article III also requires that a party
have standing when invoking an appellate court’s
jurisdiction to review a judgment below. Id.;
Hollingsworth, 570 U.S. at 705. And parties that do
not seek such review cannot supply the requisite
standing. See Diamond v. Charles, 476 U.S. 54, 63-64
(1986). This Court has thus “repeatedly recognized”
that when an intervenor below asks this Court to
25
reverse a judgment that the primary party did not
challenge, Bethune-Hill, 139 S. Ct. at 1951, the
intervenor must show that it “independently ‘fulfills
the requirements of Article III’”—i.e., that it has been
injured by the disposition below, and that a favorable
ruling from this Court would redress the injury,
Wittman v. Personhuballah, 578 U.S. 539, 543-44
(2016) (quoting Arizonans for Off. Eng., 520 U.S. at
65). The petitioning party also “bears the burden” of
establishing a non-obvious redressable injury in this
Court through “record evidence.” Id. at 545.
Petitioners here have failed to do so.
a. Consider, first, the petitioning coal companies
in Nos. 20-1531 and 20-1778. Below, these companies
argued primarily that coal-fired power plants were
exempt from regulation under Section 7411(d). See
JA176-98. This Court declined to grant review of that
question, however, 142 S. Ct. 418 (limiting Case No.
20-1778 to Question 2), and neither company
identifies any injury that would be redressed by a
favorable decision on the remaining questions
presented. See Town of Chester, N.Y. v. Laroe Estates,
Inc., 137 S. Ct. 1645, 1650 (2017) (“standing is not
dispensed in gross”).
The companies cite no evidence, for example, that
the court of appeals’ disposition of the CPP Repeal will
result in any decreased consumption of their coal. The
CPP is not—and never has been—in effect. Nor do the
companies show any “serious likelihood” that the CPP
will take effect in the future. TransUnion LLC v.
26
Ramirez, 141 S. Ct. 2190, 2212 (2021). EPA does not
intend to resurrect the CPP, Fed. Resps. Br. in Opp’n
16-17, and the D.C. Circuit ordered that EPA’s repeal
remain in effect until it completes a superseding
rulemaking, JA270-71. One of the companies itself
describes the CPP as a “relic” that is “years out of
date” and “unlikely” ever to be reinstated. N. Am. Coal
Pet. 18. And even if the CPP were somehow to take
effect, the coal companies “have not identified record
evidence” that it would injure them. Wittman, 578
U.S. at 545. To the contrary, the record before this
Court indicates that the CPP’s emission-reduction
targets are now immaterial, JA269, such that, as EPA
put it in 2019, there would likely be “no difference
between a world where the CPP is implemented and
one where it is not,” JA1921.
Petitioner North American Coal contends that its
case is nonetheless justiciable because the Court could
reinstate the ACE Rule, the vacatur of which
purportedly “harms Petitioner.” N. Am. Coal Cert.
Reply 1, 3. But the company appeared below only as a
petitioner challenging the ACE Rule. And its present
contention is contrary to the only evidence submitted
in support of its standing: a declaration asserting that
the ACE Rule harmed the company, and that “[t]hese
harms will be alleviated if the Rule is vacated.” Coal
Indus. Pet’rs Opening Br. at ADD3, Am. Lung Ass’n v.
EPA, No. 19-1140 (D.C. Cir. Apr. 17, 2020), ECF No.
1838666. Petitioner Westmoreland Mining Holdings
(which, unlike North American Coal, also intervened
to defend the CPP Repeal) submitted a similar
27
declaration below, id. at ADD4-ADD6, and continued
to base its standing before this Court on harms to the
company from the ACE Rule, Westmoreland Cert.
Reply 11. Neither company can thus now argue—nor
has either company attempted to show—that it would
benefit from reinstatement of the ACE Rule, which
EPA projected would decrease coal production
through 2035. ACE RIA at 3-25 to 3-26.
b. The petitioning states in Nos. 20-1530 and 201780 have likewise failed to “independently
demonstrate standing” before this Court. BethuneHill, 139 S. Ct. at 1951. These states did not submit
evidence or present argument in support of their
standing below. It may not have been incumbent on
them to do so as intervenors then, but the “situation
changed” when they invoked this Court’s jurisdiction
as petitioners. Id. And yet the states still marshal no
evidence supporting their standing to challenge the
disposition below, which does not require them “to do
or refrain from doing anything.” Hollingsworth, 570
U.S. at 705.
The only evidence here that arguably bears on the
states’ standing is now years out of date and not
traceable to the judgment below. See California v.
Texas, 141 S. Ct. 2104, 2118 (2021) (evidence of harm
from a materially different time period insufficient to
establish states’ standing). North Dakota has cited
evidence from its 2016 stay application, for example,
asserting that the CPP would have injured the state
had it taken effect on its original timeline. N.D. Pet.
17-18. Other states that sought a stay six years ago
28
also complained at that time about the burden of
preparing state plans to comply with the CPP. See,
e.g., States Appl. for Immediate Stay, 41-46, West
Virginia v. EPA, No. 15A773 (U.S. Jan. 26, 2016). But
no petitioning state identifies comparable evidence of
actual or imminent harm that it faces from the CPP
now, particularly following the lower court order
(which the states did not oppose, and which they do
not challenge here) that leaves the CPP’s repeal in
place until EPA completes a new rulemaking.
Even if the defunct CPP could somehow spring to
life, it is doubtful that it would still harm the
petitioner states, given “significant changes” in the
electric power sector and the fact that the “deadline
for state plan submittals in 2018 has already passed.”
JA1675, 1694. EPA projected in 2019 that, if the CPP
had taken effect then, it already would have been
“non-binding” in more than half the states, including
ten of those petitioning here, because emissions had
already fallen below the CPP’s targets. JA1673, 171719. EPA further explained that this projection was
conservative, as it did not account for recent market
developments, implementation delays, or interstate
trading, which were likely to eliminate any remaining
emission-reduction requirements in other states and
to render a reinstated CPP “non-binding entirely.”
JA1674-1719. Ongoing market trends and the
passage of time have made this outcome all the more
likely. Thus, irrespective of whether the petitioning
states had standing when they first intervened below,
they have not proffered the requisite evidence that
29
they “possess standing now.” Wittman, 578 U.S. at
544.13
2. For similar reasons, the parties’ dispute as to
the CPP Repeal has been overtaken by events and is
now moot. See Arizonans for Off. Eng., 520 U.S. at 6667 (distinguishing between an intervenor’s standing
to seek appellate review, and whether an originating
plaintiff’s claim has become moot). It is “not enough”
for purposes of Article III that a live controversy
existed “when suit was filed, or when review was
obtained in the Court of Appeals.” Lewis v. Cont’l
Bank Corp., 494 U.S. 472, 477-78 (1990). Rather, to
support this Court’s jurisdiction, a claim must remain
live “at all stages of review.” Arizonans for Off. Eng.,
520 U.S. at 67. And here, for the reasons described
above, the parties’ dispute about the CPP Repeal has
“lost the essential elements of a justiciable
controversy.” Id. at 48. Reinstatement of the CPP now
cannot “reasonably be expected” to occur. Camreta v.
Greene, 563 U.S. 692, 711 (2011); see also N.D. Br. 33
n.2 (describing the CPP as a “legal nullity”). Nor
would that occurrence likely result in decreased
13 Alone among the states, North Dakota asserts standing to
seek reinstatement of the ACE Rule, N.D. Cert. Reply 1-11, but
it never explains how vacatur of that rule caused it any concrete
injury, nor how it would benefit from reinstatement. At most,
North Dakota vaguely suggests the rule’s vacatur somehow
harmed its sovereign authority to regulate emissions from coal
plants in the state. Id. at 3, 10. North Dakota identifies no state
regulation that it cannot adopt now, however, in the absence of
an EPA rule.
30
emissions in any event, given the ongoing changes and
trends in the power sector. Thus, although the parties
“continue to dispute the lawfulness” of the CPP
Repeal, those disputes are now “abstracted from any
concrete actual or threatened harm” and “fall[]
outside the scope” of Article III. Alvarez v. Smith, 558
U.S. 87, 93 (2009).
3. Because power plants are presently subject to
no regulation under Section 7411(d), several
petitioners instead press unripe complaints about
hypothetical future regulations that, they claim, the
judgment below authorizes. See, e.g., W. Va. Br. 19-26;
N. Am. Coal Br. 22-32. These petitioners misconstrue
the D.C. Circuit’s holding: that court did not “bless”
even the CPP, much less give EPA “unfettered”
authority in future Section 7411(d) rulemakings. See
supra pp. 18-20. Regardless, any prediction about
what regulations will result from EPA’s inchoate
rulemaking is “‘no more than conjecture’ at this time.”
Trump, 141 S. Ct. at 535 (quoting Los Angeles v.
Lyons, 461 U.S. 95, 108 (1983)). Petitioners make bold
assertions about what they expect EPA will do, but
the truth is they “cannot know” what regulations will
materialize. Pac. Gas & Elec. Co. v. State Energy Res.
Conservation & Dev. Comm’n, 461 U.S. 190, 203
(1983). It would be “wholly novel,” and “amount to the
rendering of an advisory opinion,” for this Court to
pass upon regulations “not yet promulgated.” EPA v.
Brown, 431 U.S. 99, 104 (1977).
31
Instead, consistent with regular practice, the new
rulemaking process must first “run its course”—both
to sharpen the questions for the Court, Trump, 141 S.
Ct. at 536, and to shield it from unnecessary
entanglement in policy disputes until the agency’s
decision “has been formalized and its effects felt in a
concrete way,” Ohio Forestry Ass’n, Inc. v. Sierra Club,
523 U.S. 726, 732-33 (1998) (quoting Abbott Labs. v.
Gardner, 387 U.S. 136, 148-49 (1967)). In the
meantime, petitioners will suffer no concrete harm, as
neither any extant rule nor the disposition below
requires them “to do anything or to refrain from doing
anything.” Id. at 733. If EPA’s new rule implicates any
of petitioners’ present concerns, petitioners can
challenge that rule in a new suit, 42 U.S.C.
§ 7607(b)(1)—including by seeking a stay, if
warranted. But contrary to petitioners’ contentions,
e.g., N. Am. Coal Cert. Reply 9, W. Va. Cert. Reply 6,
neither the costs of such further litigation, nor any
legal uncertainty that may exist in the interim,
suffices to “justify review in a case that would
otherwise be unripe.” Ohio Forestry, 523 U.S. at 735;
see also Nat’l Park Hosp. Ass’n v. Dep’t of Interior, 538
U.S. 803, 811 (2003).
Petitioners would prefer this Court’s review now,
of course, and some parties might feel that they need
to take steps in the meantime to prepare for “what
they think is likely to come in the form of new
regulations.” In re Murray Energy Corp., 788 F.3d
330, 335 (D.C. Cir. 2015). But such anticipatory costs
have “never been a justification” for courts to review
32
the scope of an agency’s statutory authority in the
midst of an ongoing rulemaking. Id. Instead, Article
III requires that courts “put aside” any impulse to
settle the merits of an important dispute “for the sake
of convenience and efficiency.” Hollingsworth, 570
U.S. at 704-05. Allowing parties to obtain judicial
review based on “hypothetical” future actions that
may not occur as anticipated, or that might not occur
at all, would “water[] down the fundamental
requirements of Article III.” Clapper v. Amnesty Int’l
USA, 568 U.S. 398, 416 (2013).
In short, for reasons of standing, mootness, and
ripeness, these petitions do not present a “proper case
or controversy,” DaimlerChrysler, 547 U.S. at 341,
352, and therefore must be dismissed.
II. Section 7411 Does Not Contain the
Restriction That Was EPA’s Sole Basis for
Repealing the Clean Power Plan
EPA premised its repeal of the CPP on a novel
construction that Section 7411 restricts the “best
system of emission reduction” to measures applied “to
and at” the source. That restriction finds no support
in the statute. Instead, the Act calls on EPA to
evaluate emission-reduction measures used in
particular source categories, subject to express
constraints that do not include the Repeal’s atextual
invention. Petitioners’ attempts to find such a
“fenceline” restriction in various and sundry cues fall
short. Moreover, this restriction would unreasonably
bar commonplace, cost-effective trading and
33
averaging measures among regulated sources, forcing
EPA (and states and industry) to rely on emissionreduction techniques that are both more expensive
and less effective. This Court should reject the
restriction, just as the court of appeals correctly did
below.
1. Assuming these cases are justiciable, the only
actions under review are those EPA took in 2019—the
CPP Repeal and the replacement ACE Rule. It is a
“foundational principle of administrative law” that
courts must limit their review of agency action to the
“grounds that the agency invoked when it took the
action.” Dep’t of Homeland Sec. v. Regents of the Univ.
of Cal., 140 S. Ct. 1891, 1907 (2020) (quoting Michigan
v. EPA, 576 U.S. 743, 578 (2015)); see SEC v. Chenery
Corp., 332 U.S. 194, 196 (1947). The actions at issue
here relied on a single statutory ground: that Section
7411 “unambiguously limits the [best system of
emission reduction] to those systems that can be put
into operation at a building, structure, facility or
installation.” JA1746; see also JA1787, 1796, 1893 (“at
and to”); JA1769, 1893 (“to and at”); JA1836 (“at or
to”); JA1758 n.65 (“to or at”). The court of appeals
properly confined its review to this asserted ground,
and therefore did not consider (let alone resolve)
whether EPA could have repealed the CPP for other
reasons, or whether the CPP itself was arbitrary,
capricious, or otherwise contrary to law. 42 U.S.C.
§ 7607(d)(9)(A). Litigation raising such claims was
previously dismissed as moot. Supra p. 14. And here,
the court of appeals correctly concluded that Section
34
7411 does not contain the atextual “to and at”
restriction that EPA invoked in the CPP Repeal.
2. Section 7411 assigns to EPA, as the “expert
agency,” the “complex balancing” of considerations,
AEP, 564 U.S. at 427-29, that goes into determining
the “best system of emission reduction” for designated
categories of stationary sources. 42 U.S.C.
§ 7411(a)(1). Congress knew that Section 7411 would
apply to a wide array of different source categories
and pollutants, from sewage sludge incinerators to
grain elevators to magnetic tape coating facilities, and
scores more. See, e.g., 40 C.F.R. Pt 60, Subparts CbUUUUa. In that context, Congress sensibly declined
to spell out particular pollution-reduction techniques
for each of these many industrial categories and
pollutants. Instead, by using the term “system,”
Congress directed EPA to examine means of reducing
emissions across a diverse, evolving range of
categories. A. Scalia & B. Garner, READING LAW: THE
INTERPRETATION OF LEGAL TEXTS 32-33 (2012)
(“general terms… are adopted to cover a multitude of
situations that cannot practicably be spelled out in
detail or ever foreseen”). It assigned to EPA’s expert
judgment the technical and record-dependent
questions concerning which pollution-reduction
techniques are “adequately demonstrated,” taking
account of cost and other specified factors. 42 U.S.C.
§ 7411(a)(1). As the court of appeals recognized, these
statutory criteria Congress enacted “simply do not
include” a limitation that the system be contained
35
within the physical confines of a single regulated
source. JA106.
Section 7411’s text, structure, and function thus
make it highly improbable that Congress would have
impliedly restricted the range of adequately
demonstrated systems of emission reduction that EPA
may consider in seeking the “best” one. And that is
particularly so given that Congress clearly “knew how
to draft the kind of statutory language” that the CPP
Repeal “seeks to read into” Section 7411. State Farm
Fire & Cas. Co. v. U.S. ex rel. Rigsby, 137 S. Ct. 436,
444 (2016). In multiple provisions of the Clean Air Act,
Congress expressly limited pollution-control measures
to those integrated into the physical design or
processes of a source. For instance, another provision
applicable to stationary sources directs EPA to
predicate standards upon the “best available retrofit
technology.” 42 U.S.C. § 7491(b)(2)(A), (d)(2)
(emphasis added). A different section of the Act
requires EPA to consider “the retrofit application of
the best system of continuous emission reduction,
taking into account available technology.” Id.
§ 7651f(b)(2). And yet another provision requires EPA
to identify the “best available control technology” at
the source level. Id. § 7479(3); see also id. § 7412(g)(2)
(requiring source-specific “maximum achievable
control technology” for hazardous air pollutants with
36
comparatively localized health effects); Power Cos. Br.
32-35.14
These other provisions of the Act make the
“absence” of any comparable textual limitation in
Section 7411(a)(1) “all the more telling.” Romag
Fasteners, Inc. v. Fossil Grp., Inc., 140 S. Ct. 1492,
1495 (2020). This Court generally does not assume
that Congress “omitted from its adopted text
requirements that it nonetheless intends to apply,”
especially when, as here, “Congress has shown
elsewhere in the same statute that it knows how to
make such a requirement manifest.” EPA v. EME
Homer City Gen., L.P., 572 U.S. 489, 510 (2014)
(quoting Jama v. ICE, 543 U.S. 335, 341 (2005)).
3. Particularly against this statutory backdrop,
petitioners’ various arguments for why the “best
system of emission reduction” can include only
“measures implemented at the source level,” W. Va.
Br. 13; see N.D. Br. 47-48; N.A. Coal. Br. 33-40, are
14 Even within Section 7411, Congress has paid particularly
close attention to the contours of the best system. In 1977
Congress inserted a modifier—the “best technological
system…”—but solely for new sources. Pub. L. No. 95-95,
§ 109(c)(1)(A), 91 Stat. 685, 700 (1977) (emphasis added). In
1990, Congress removed the word “technological” for new sources
and reverted to the original formulation for both new and
existing sources. Pub. L. No. 101-549, § 403(a), 104 Stat. 2399,
2631 (1990). The current version of Section 7411 also retains
requirements concerning “technological system[s] of continuous
emission reduction” for certain applications not at issue in this
case. 42 U.S.C. § 7411(a)(7); see, e.g., id. § 7411(b)(5), (j)(1).
37
unavailing. As explained in greater detail in
Respondent States and Municipalities’ brief (at Sec.
I.A.1.b), the scattered words and phrases at which
petitioners grasp would be a “surprisingly indirect
route” for Congress to have conveyed such an
“important and easily expressed message.” Cnty. of
Maui v. Hawaii Wildlife Fund, 140 S. Ct. 1462, 1474
(2020) (quoting Landgraf v. USI Film Prods., 511 U.S.
244, 262 (1994)).
First, the court of appeals properly rejected the
convoluted contention, cf. W. Va. Br. 37-38, that the
term “application” in Section 7411(a)(1) implies the
indirect object “any existing source” in Section
7411(d)(1). JA110-116. As the court explained, even
assuming (wrongly) that an indirect object must be
found, petitioners’ candidate (“any existing source”) is
not a plausible referent. Id.; see also States & Muns.
Br. Sec. I.A.1.b.
Second, the terms “achievable” and “adequately
demonstrated” (see W. Va. Br. 34-35; N.D. Br. 48)
likewise do not limit a permissible “system of emission
reduction” to measures implemented “to and at” each
source. Systems based on emissions trading, for
example, manifestly can yield “achievable” emission
limits and are, in fact, already “adequately
demonstrated” for the source category. See Power Cos.
Br. Sec II.B.; see also supra pp. 15-16 (noting that EPA
had relied on such commonplace and cost-effective
trading and averaging measures in prior Section 7411
rules).
38
Third, contrary to petitioners’ suggestion
otherwise, W. Va. Br. 33-34; N. Am. Coal Br. 34-35;
Westmoreland Br. 35-36, neither the phrase
“standard of performance” nor “existing source”
requires EPA to guarantee that sources maintain
historical levels of output (nor does either phrase in
any way support petitioners’ claimed “to or at”
requirement). “Existing” merely distinguishes
between new and modified sources, subject to direct
federal regulation under Section 7411(b), and alreadybuilt sources, which are regulated through state plans
issued under Section 7411(d)(1). “Performance” in this
context plainly refers to a source’s quantitative
emissions performance, not its production or output
levels. See 42 U.S.C. § 7411(a)(1) (“standard of
performance” means a “standard for emissions”
(emphasis added)); see also id. § 7602(k) (defining
“emission standard” as a “requirement . . . which
limits the quantity, rate or concentration of
emissions”). A source may comply with the emission
limit specified in a standard of performance through
any means that reduces emissions. 15 And even
standards based on inside-the-fenceline measures,
such as end-of-stack pollution controls, would violate
15 In this respect, Section 7411 distinguishes standards of
performance from “design, equipment, work practice, or
operational standard[s],” which must be met in the specific
manner prescribed by regulation. 42 U.S.C. § 7411(h)(1), (2).
EPA is permitted to set design standards only when performance
standards cannot be issued because it is not practicable to
confine or measure sources’ emissions. Id.
39
petitioners’ output-maintenance conception, as such
standards commonly affect how much plant operators
choose to run their plants, or even whether they
continue to operate at all. Power Cos. Br. Sec. II.B.;
see also Westmoreland Br. 33-34 (acknowledging
onsite controls’ “incidental impacts on generation”).
Fourth, petitioners wrongly assert that various
terms in Section 7411(d)(1) govern the scope of the
“best system of emission reduction” that EPA must
identify under Section 7411(a)(1). See, e.g., N. Am.
Coal Br. 34-35 (“for”); W. Va. Br. 34-35 (“source”). But
there is “no basis—grammatical, contextual, or
otherwise”—to read the language of Section 7411(d)
“upstream” in that way. JA106; see States & Muns.
Br. Sec. I.A.1.b. And even if there were, the terms still
do not establish the limitations petitioners are
seeking. That Section 7411(d)(1) requires standards of
performance for any existing source “in the singular,”
N. Am. Coal Br. 33-34, for example, does not dictate
how the “best system” must be determined in Section
7411(a)(1). It simply means that performance
standards must cover each such existing source
within the state, not leaving any unregulated.
It is also telling that Congress used the less
restrictive preposition “for an existing source” in
Section 7411(d)(1), which does not import a “fenceline”
limit, in contrast to the prepositions “to” or “at” that
petitioners try to smuggle into the statute. A
performance standard that permits a source to comply
through use of marketable emission credits, for
40
example, is plainly a standard “for” that source. See
JA107. And Section 7411(d) notably cross-references
Section 7410, which expressly authorizes the use of
“economic incentives such as fees, marketable
permits, and auctions of emissions rights,” 42 U.S.C.
§ 7410(a)(2). A blanket ban on using such tools in
Section 7411(d)—which is the consequence of the CPP
Repeal’s
interpretation—would
contravene
Congress’s decision to allow EPA and states to carry
out that provision using the same kinds of emissionreduction measures that are available under Section
7410. That result would needlessly and unreasonably
raise the cost and reduce the effectiveness of
regulation.
4. For all these reasons, the court of appeals
correctly concluded that the CPP Repeal’s
interpretation of Section 7411 was “simply not
supported by the text, let alone plainly and
unambiguously required by it.” JA117-18. As a result,
the court held the rule invalid and remanded it to the
agency.
The absence of a “to and at” restriction in the
statute does not leave EPA’s determination of the best
system unconfined, however. In addition to the
express limitations in Section 7411(a)(1) mentioned
above, EPA’s choice must meet the tests of reasoned
decisionmaking and be adequately supported by the
record. 42 U.S.C. § 7607(d)(9). These constraints are
real and substantial. See infra Sec. III.b.
41
Moreover, rejecting the CPP Repeal’s atextual
and unreasonably rigid restriction does not require
resolving the legality of the CPP or any of its
constituent elements. Petitioners complain that the
CPP’s “best system” went beyond prior applications of
emissions averaging and trading by predicating its
standards for coal plants in part on emissionreduction credits made available by new renewable
generating facilities, which are not “stationary
sources” of air pollution, see 42 U.S.C. § 7411(a)(3),
and thus are not in the EPA-designated category of
fossil-fueled power plants. This particular aspect of
the CPP is the target of petitioners’ repeated claim
that the CPP unlawfully required coal plants to
purchase credits from new, non-emitting power
generators. E.g., W. Va. Br. 1, 7, 8, 25; N. Am. Coal Br.
24; N.D. Br. 9.
The CPP, however, was not before the lower court.
Consequently, the court of appeals did not consider
whether that rule’s reliance on new renewable
electricity generation—or, for that matter, any other
aspect of that rule—exceeded EPA’s authority or was
arbitrary and capricious. Supra pp. 18-20. Rather, it
properly confined its review to the grounds that EPA
asserted in the CPP Repeal. Should EPA, in a future
rulemaking, adopt any measures that resemble
features of the CPP, its action will be subject to
judicial review. But this Court should reject
petitioners’ invitation to pass judgment now on the
legality of a hypothetical future rule.
42
III. Reliance on Major Questions Principles Is
Misplaced
Unable to locate their preferred reading of Section
7411 in the statute, petitioners contend that either
the CPP or some future EPA rule would run afoul of
the Court’s major questions cases. This contention
confuses what rule is before the Court, misconstrues
the Court’s relevant cases, and would not provide a
basis for upholding the EPA actions at issue in any
event.
1. The agency actions before this Court are the
CPP Repeal and the ACE Rule—not the CPP itself, or
any future rule that EPA might adopt. And contrary
to petitioners’ heavy reliance on major questions
cases, the record before this Court—which is the
agency’s record at the time it took the repeal action
under review—indicates that the CPP would not have
had any “vast ‘economic or political significance.’”
Util. Air Regulatory Grp. v. EPA (UARG), 573 U.S.
302, 324 (2014) (quoting FDA v. Brown & Williamson
Tobacco Corp., 529 U.S. 120, 159 (2000)). In fact, that
record shows that EPA’s initial projections of the
CPP’s impact were vastly overstated. And it also
shows that petitioners’ claims, made originally in
support of the 2016 stay but repeated here, were even
far more exaggerated. Supra pp. 16-18. EPA thus
concluded in 2019 that there was likely “no difference
between a world where the CPP is implemented and
one where it is not,” JA1921, and that repealing the
CPP would “not . . . have a meaningful effect on
43
emissions of CO2 or other pollutants or regulatory
compliance costs.” JA1719-20.
This Court has never applied major questions
principles to an agency rule that is defunct, not under
review, and that would have no meaningful impact
even if it were reinstated. Nor has the Court ever
applied such principles to a hypothetical future rule
whose impacts are not yet knowable. See Power Cos.
Br. Sec. I.A. Regardless, even if the Court did consider
those principles here, they still would not affect the
outcome.
2. Petitioners invoke the Court’s expectation that
Congress will “speak clearly” when assigning to an
agency certain highly significant “decisions.” UARG,
573 U.S. at 324. But this Court held in AEP, over ten
years ago, that Section 7411 “speaks directly” to
power plant CO2 emissions; and further, that
Congress assigned to EPA the “decisions” both
“whether and how” to regulate them. 564 U.S. at 424,
426 (emphasis added). Petitioners conspicuously
ignore these key holdings.
The major questions cases are thus simply
inapposite here. Particularly in light of AEP, this
dispute does not resemble the types of category errors
at issue in those cases, each of which involved agency
actions that would “significantly expand [an agency’s]
regulatory authority” into new areas that “fall[]
outside of [its] sphere of expertise.” Nat’l Fed’n of
Indep. Bus. v. OSHA, 595 U.S. __ , slip op. at 6-7
(2022) (per curiam) (rejecting emergency vaccination
44
standard where agency had authority to promulgate
“workplace safety standards, not broad public health
measures”); see also, e.g., Ala. Ass’n of Realtors v.
HHS, 141 S. Ct. 2485, 2488 (2021) (per curiam) (public
health agency’s eviction moratorium would “intrude”
in landlord-tenant relationships in a way “markedly
different” from other authorized regulatory
measures); UARG, 573 U.S. at 324 (EPA
interpretation would cause an “enormous and
transformative expansion” of regulatory authority by
applying a permitting program intended for a few
hundred large sources to millions of smaller ones).
Here, by contrast, power plants have long been
one of the most intensively regulated sources of air
pollution under the Clean Air Act. Indeed, regulating
those sources’ emissions, under several different
provisions of the Act, is one of EPA’s core functions.
E.g., 42 U.S.C. §§ 7410-12, 7470-79, 7491-92, 7501a et
seq., 7651-51o. And this Court has further recognized
that Section 7411 assigns the decision of “how to
regulate” power plants’ CO2 emissions, specifically, to
EPA’s “expert determination.” AEP, 564 U.S. at 426.
a. EPA’s determination of the “best system of
emission reduction” for power plant CO2 emissions
thus “does not fit the major-question mold of prior
cases.” JA138. Petitioners nonetheless claim that the
CPP was so “significant” that Congress needed to preapprove the specific system that EPA chose. But
absent the kind of category error described above,
nothing within the grab-bag of various, imprecise
45
factors petitioners invoke—such as compliance costs,
the age of the statute, or the degree of subsequent
congressional attention, e.g., W. Va. Br. 20,
Westmoreland Br. 30—can justify such an onerous
and unprecedented requirement.16
First, Congress knew that Clean Air Act
regulations could impose significant costs on
polluters, cf. Union Elec., 427 U.S. at 256-57, and it
specifically directed EPA to consider “cost” when
establishing emission limits based on the best system
of emission reduction. See 42 U.S.C. § 7411(a)(1).
Compliance costs might therefore be relevant in
determining whether a Section 7411 rule is arbitrary
and capricious, id. § 7607(d)(9)(A), but they cannot be
a principled threshold barrier to agency rulemaking
altogether. See States & Muns. Br. Sec. II.A.2. Indeed,
this case highlights why cost would be an
unpredictable basis for imposing such a barrier: As
noted above, projections about the CPP’s effect proved
grossly overstated. Contrary to petitioners’ claims
16 Nor can any such requirement be justified by federalism
principles. See W. Va. Br. 26-31. Pollution limits for regulated
sources may affect private sector decisions on power plants’
dispatch order or resource mix, but those effects do not usurp
other state authority or require additional authorization from
Congress. See FERC v. Elec. Power Supply Ass’n, 577 U.S. 260,
286, 295-96 (2016) (rejecting argument that demand response
regulation was a federal “power grab,” and distinguishing
regulations that “inevitably[] influenc[e]” areas of state control
from those that “intrude on the States’ power”); see also States &
Muns. Br. Sec. II.A.3; infra Sec. IV (discussing Section 7411(d)’s
cooperative federalism framework).
46
that the CPP would have cost “hundreds of billions of
dollars,” W. Va. Br. 20, EPA’s initial projections were
orders of magnitude smaller,17 and the record for the
agency decision before this Court indicates it would
have had no meaningful effect on regulatory
compliance costs at all, JA1719-20.
Second, Section 7411 does not contain a sell-by
date. To the contrary, Congress designed this
provision (and the Act as a whole, supra pp. 5-6) to
equip EPA with tools to address new pollution
problems and to impose new regulatory requirements
over time. Indeed, Congress specifically tasked EPA
with periodically reviewing and updating its best
system determinations and emission limits at least
every eight years. 42 U.S.C. § 7411(b)(1)(B). Applying
Section 7411 to achieve reductions based on evolving
systems of emission reduction is thus a feature, not a
bug, of the provision.
Third, that Congress later considered, but did not
pass, a variety of bills related to climate change does
not give license to construe Section 7411 narrowly. See
W. Va. Br. 24-25; N. Am. Coal Br. 26-27;
Westmoreland Br. 31-32. This Court rejected a nearly
identical argument in Massachusetts, 549 U.S. at 529EPA, Regulatory Impact Analysis for the Clean Power
Plan Final Rule, at tbl. ES-5, ES-9 (Aug. 2015) (projecting
compliance costs of $1-$3 billion in 2025 and $5.1-$8.4 in 2030)
https://www3.epa.gov/ttnecas1/docs/ria/utilities_ria_final-nspsegus_2015-08.pdf.
17
47
30, and has since reiterated that failed legislation is a
“‘particularly dangerous’ basis on which to rest an
interpretation of an existing law,” Bostock v. Clayton
Cnty., 140 S. Ct. 1731, 1747 (2020) (quoting Pension
Benefit Guaranty Corp. v. LTV Corp., 496 U.S. 633,
650 (1990)). That is especially so here, where the
failed bills include at least as many proposals to block
climate action as to extend that authority.18 One
recent instance of successful legislation, by contrast,
is more telling: In June 2021 Congress adopted, and
the President signed into law, a Congressional Review
Act resolution that reinstated EPA Section 7411
regulations for climate-destabilizing methane
emissions, underscoring EPA’s responsibility to
regulate existing greenhouse gas sources under
Section 7411(d).19
b. Petitioners also try to justify their reliance on
major questions cases by invoking purported
nondelegation concerns. But Section 7411 is at least
as richly elaborated as Section 7409, which this Court
held to be “well within the outer limits” of any
nondelegation problems. Whitman, 531 U.S. at 47218 See, e.g., S. Amdt. 359 to S. Con. Res. 8, 113th Cong.
(2013); H.R. 2081, 113th Cong. (2013); S. 2365, 112th Cong.
(2012); H.R. 3409, 112th Cong. (2012); S.J. Res. 26, 111th Cong.
(2010); S. 1622, 111th Cong. (2009); H.R. 2846, 111th Cong.
(2009); S. 570, 111th Cong. (2009).
19 See Pub. L. No. 117-23, 135 Stat. 295 (2021); H.R. Rep.
No. 117-64, at 7-8 (2021) (noting the “critical importance of
section [74]11(d) in Congress[’s] scheme” and referring to the
attempt to rescind EPA’s authority to regulate existing oil and
gas sources’ methane emissions as “enormously consequential”).
48
74. And once again petitioners ignore AEP, which
described Section 7411’s detailed assignment of
rulemaking authority to EPA and praised it as
“altogether fitting.” 564 U.S. at 424-28.
Section 7411 directs EPA to, among other things,
reduce pollution by basing “achievable” “emission
limitation[s]”
on
“adequately
demonstrated”
measures taking into account “cost” and “energy”
considerations. 42 U.S.C. § 7411(a)(1). These and
other “numerous substantial and explicit constraints,”
JA146, provide more than the “intelligible principle”
required under this Court’s cases. See Gundy v.
United States, 139 S. Ct. 2116, 2123 (2019) (plurality
op.). They also set forth standards “sufficiently
definite and precise” to enable courts to review
“whether Congress’s guidance has been followed.” Id.
at 2136 (Gorsuch, J., dissenting) (cleaned up). Indeed,
the D.C. Circuit has not hesitated to strike down
Section 7411 regulations for failing to reasonably
account for the factors Congress listed in the statute.
E.g., New York v. Reilly, 969 F.2d 1147 (D.C. Cir.
1992); Nat’l Lime Ass’n v. EPA, 627 F.2d 416 (D.C. Cir.
1980). Accordingly, there is no need to resort to
nondelegation principles to police EPA’s exercise of
authority under the provision.
3. As noted previously, the court of appeals
properly limited its review of the CPP Repeal to the
grounds asserted therein, and thus had no occasion to
consider whether the CPP and each of its constituent
49
elements complied with Section 7411. This is true
regarding the court’s major questions analysis, too.
The court of appeals correctly concluded that
major questions principles do not “confine” EPA to
adopting solely those emission standards that can be
implemented “to and at” a source. JA135. Notably, the
CPP Repeal invoked major questions principles not as
an independent basis for repealing the CPP, but only
in passing to purportedly “confirm[]” its particular
interpretation of Section 7411. JA1770.
As noted above, the consequence of that atextual
restriction was to prohibit all emissions averaging
and trading, even among plants within the same
source category—a regulatory approach that EPA had
used in prior Section 7411(d) rules going back more
than two decades. Supra pp. 15-16. These cases thus
do not present the narrower issue of how major
questions principles might apply to the more
innovative aspect of the CPP, which premised Section
7411(d) standards on emission-reduction credits from
new renewable generating facilities that are not
themselves regulated sources. That is a question for
another day, if EPA includes that feature in a future
rule.
IV. North Dakota’s Arguments Are Meritless
North Dakota alone defends the CPP Repeal on a
different ground: that EPA purportedly lacks
authority to include binding emission limitations in
its guidelines; and that states may determine the
50
limits for existing sources untethered from any
federal requirements. N.D. Br. 14, 35. But contrary to
North Dakota’s contention, Br. 32-33, EPA did not
assert this as a ground for repealing the CPP, see
JA1739-86. As a result, the court of appeals did not
address it either. Thus, even if the issue were properly
presented here, but see Chenery, 332 U.S. at 196, this
Court should “not decide in the first instance issues
not decided below,” Zivotofsky v. Clinton, 566 U.S.
189, 201 (2012) (quoting Nat’l Collegiate Athletic Ass’n
v. Smith, 525 U.S. 459, 470 (1999)); see also BethuneHill v. Va. State Bd. Of Elections, 137 S. Ct. 788, 800
(2017) (this “is a court of final review and not first
view” (quoting Dep’t of Transp. v. Ass’n of Am.
Railroads, 575 U.S. 43, 56 (2015))).
If this Court does consider North Dakota’s
arguments, it should reject them. North Dakota
radically misconstrues the cooperative federalism
structure of Section 7411(d). Congress modeled this
program on the Act’s archetypical cooperative
federalism provision, Section 7410, which provides for
federal requirements implemented through state
plans. See Train, 421 U.S. at 64-65.20 Section 7411(d)
directs EPA to “prescribe regulations which shall
establish a procedure similar to that provided by
[S]ection [74]10,” and provides that the agency “shall
20 See also Hodel v. Va. Surface Min. & Reclamation Ass’n,
452 U.S. 264, 289 (1981) (describing a similar statute’s “program
of cooperative federalism that allows the States, within limits
established by federal minimum standards, to enact and
administer their own regulatory programs”).
51
have the same authority . . . as [it] would have under
Section [74]10(c)” to prescribe a federal plan if a state
fails to submit a satisfactory one. 42 U.S.C.
§ 7411(d)(1)-(2). EPA promulgated the Section 7411(d)
regulations in 1975 (and repromulgated them in 2019
without pertinent change), providing for EPA to issue
industry-specific emission guidelines. See 40 Fed. Reg.
53,340 (Nov. 17, 1975); JA 1933-65; 40 C.F.R. Part 60,
Subparts B and Ba (2019). As this Court has
explained, “in compliance with those guidelines and
subject to federal oversight, the States then issue
performance standards for stationary sources within
their jurisdiction.” AEP, 564 U.S. at 424. See JA1947
(“The EPA is finalizing a definition of ‘emission
guidelines’ that requires them to reflect the degree of
emission limitation of emission [sic] achievable
through application of the [best system]”). Notably,
North Dakota did not challenge the 2019 regulations
below.
Under this framework, EPA determines the
degree of emission limitation that reflects the best
system
of
emission
reduction
adequately
demonstrated, considering the quantity of pollution
reduced, cost, and other factors. 42 U.S.C.
§ 7411(a)(1). Thus, while states may issue plans that
“take the first cut” at directly regulating existing
sources “within [their] domain[s],” those plans must
“achieve EPA[’s] emission standards,” AEP, 564 U.S.
at 428 (emphasis added), on which basis EPA then
determines whether state plans are “satisfactory,” 42
U.S.C. § 7411(d)(2)(A); see also 40 C.F.R. § 60.24a(c)
52
(performance standards in state plans “shall be no
less stringent than [EPA’s] corresponding emission
guideline(s)”). If North Dakota were correct, EPA and
reviewing courts would have no clear basis for
determining whether a state plan was “satisfactory.”
Far from prohibiting EPA from establishing the
amount of emission reduction achievable for regulated
sources, the statute requires EPA to do so. North
Dakota is therefore simply wrong to assert that states,
not EPA, may determine “what ‘emissions limitations’
are ‘achievable’” on their own. N.D. Br. 14, 35.
North Dakota is likewise wrong in asserting that
states may “make source-specific determinations in
setting th[e] standards of performance ‘for any
existing source’” without substantive EPA oversight.
Id. at 35. Section 7411(d) does permit a state to issue
a variance from “generally applicable emissions
standards” to a particular source, AEP, 564 U.S. at
427, in light of factors such as its “remaining useful
life,” 42 U.S.C. § 7411(d)(1). But a state must
“demonstrate[]” in the plan it submits to EPA that
each such variance is warranted due to unreasonable
costs related to factors such as a source’s age. 40
C.F.R. §§ 60.24(f), 24a(e). This limited and fact-based
authority to issue variances is thus not the free pass
that North Dakota imagines to ignore federal
emission limits broadly achievable by sources in a
given category.
North Dakota’s inversion of the statutory
structure would take the country back to a world
53
before the modern Clean Air Act provided for
minimum federal standards for industrial pollution
control. Congress replaced that prior approach in
1970, see Train, 421 U.S. at 64, with a framework that
has greatly reduced air pollution and stands guard to
meet new dangers as they arise today.
CONCLUSION
The cases should be dismissed. If not, the
judgment below should be affirmed.
54
Respectfully submitted,
Sean H. Donahue
David T. Goldberg
Counsel of Record
DONAHUE, GOLDBERG
& LITTLETON
1008 Penn. Ave., SE
Washington, DC 20003
(202) 277-7085
sean@donahuegoldberg.com
Vickie L. Patton
Michael Panfil
Ashley Maiolatesi
Jesse Hevia
Grace Weatherall
ENVIRONMENTAL
DEFENSE FUND
1875 Connecticut Ave., NW
Suite 600
Washington, D.C. 20009
(202) 387-3500
Counsel for Environmental
Defense Fund
David Doniger
Ian Fein
Benjamin Longstreth
Melissa J. Lynch
NATURAL RESOURCES
DEFENSE COUNCIL
1152 15th Street,
NW, Suite 300
Washington, D.C.
20005
(202) 289-2403
Counsel for Natural
Resources Defense
Council
55
Joanne Spalding
SIERRA CLUB
2101 Webster Street
Suite 1300
Oakland, CA 94612
(415) 977-5725
Andres Restrepo
SIERRA CLUB
50 F Street, NW
8th Floor
Washington, D.C. 20001
(415) 977-5725
Counsel for Sierra Club
Ann Brewster
Weeks
James P. Duffy
CLEAN AIR TASK
FORCE
114 State Street,
6th Floor
Boston, MA 02109
(617) 359-4077
Counsel for American
Lung Association,
American Public
Health Association,
Appalachian
Mountain Club,
Clean Air Council,
Clean Wisconsin,
Conservation Law
Foundation, and
Minnesota Center for
Environmental
Advocacy
56
Brittany E. Wright
Jon A. Mueller
CHESAPEAKE BAY
FOUNDATION, INC.
6 Herndon Avenue
Annapolis, MD 21403
(443) 482-2025
Counsel for Chesapeake
Bay Foundation, Inc.
Jason C. Rylander
Elizabeth A. Jones
CENTER FOR
BIOLOGICAL
DIVERSITY
1411 K St., NW
Washington, D.C.
20005
(202) 744-2244
Counsel for Center
for Biological
Diversity
Howard Learner
Scott Strand
ENVIRONMENTAL LAW &
POLICY CENTER
35 E. Wacker Dr.
Suite 1600
Chicago, IL 60601
(312) 673-6500
Counsel for Environmental
Law & Policy Center
57
Jeff Dennis
ADVANCED ENERGY
ECONOMY
1010 Vermont Ave, N.W.,
3d Floor
Washington, D.C. 20005
(202) 380-1950
Counsel for Advanced
Energy Economy
Ben Norris
Gizelle Wray
SOLAR ENERGY
INDUSTRIES
ASSOCIATION
1425 K St., N.W.,
Suite 1000
Washington, D.C.
20005
(202) 682-0556
Counsel for Solar
Energy Industries
Association
Gene Grace
AMERICAN CLEAN
POWER ASSOCIATION
1501 M St., N.W.
Washington, D.C. 20005
(202) 657-7434
Counsel for American Clean
Power Association
JANUARY 2022
This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.