PJM posted its economic analysis of the U.S. Environmental Protection Agency’s proposed Clean Power Plan today. The Organization of PJM States, Inc., which represents state utility regulators in the region served by PJM, requested the analysis of economic impacts on electric power generation resulting from the proposed carbon rules. The analysis includes a separate section with state-level detail.
The plan, proposed by EPA in June 2014, seeks a 30-percent reduction in carbon dioxide emissions from the electricity sector by 2030 (compared to 2005 levels). PJM does not take positions for or against pending regulations, but does provide independent expert analysis on the potential economic and reliability impacts of proposed regulatory rules and legislation.
The PJM report analyzes several scenarios and a comparison of regional compliance versus state-by-state compliance. PJM included additional scenarios with different assumptions to provide modeled results covering a wide range of possible outcomes.
Currently, PJM is studying the reliability impacts of the Clean Power Plan on the region served by PJM. The report will be posted when completed this spring.