On Monday, Feb. 8, PJM released its modeling approach for the Environmental Protection Agency’s Clean Power Plan emissions guidelines.
PJM is providing analysis and support to the Organization of PJM States and state air regulators to support their development of state plans to comply with the Clean Power Plan. The result of the final report will include an assessment of the potential economic and reliability impacts of the Clean Power Plan’s approaches, commonly called compliance pathways.
Each of the compliance pathways is likely to yield different economic and reliability results for the PJM region over the interim (2022-2029) and final (2030 and beyond) compliance periods. The key difference in compliance will be the choice of rate- or mass-based compliance and the level of trading at which states enable generators to engage.
PJM used input received from OPSI, state environmental agencies and interested stakeholders to develop the modeling document.
The EPA released its final Clean Power Plan rule in August. For the PJM region, on a mass-basis, by 2030 the CPP requires a 36 percent decrease in carbon dioxide emissions from 2005 and a 23 percent reduction from 2012, the year for which the emissions baseline was established.