US EPA rejects Colorado haze plan to retire coal plants early

The U.S. EPA rejected Colorado's plan to speed up retirements of several coal plants under regional haze rules, citing a lack of consent from one plant and concerns about maintaining reliable power. The agency said it would help Colorado rewrite the plan or impose one if needed.

The U.S. Environmental Protection Agency on Jan. 9 rejected Colorado's regional haze plan that would have accelerated retirements of three coal-fired power plants. The EPA said the state's submission violated the Clean Air Act because it did not obtain consent from one of the plants targeted for early retirement. The agency also stated Colorado needs the plants to remain running to maintain reliable power as electricity demand grows. Colorado retains a separate goal to reach net-zero greenhouse gas emissions by 2050. Key facts: - The EPA rejected Colorado's state implementation plan to reduce sulfur dioxide and nitrogen oxide under regional haze regulations. - The agency said Colorado did not obtain consent from one of the coal plants targeted for earlier closure. - The EPA cited the need to keep the plants available to support reliable baseload power amid rising electricity demand. - The agency said it will assist Colorado in rewriting the plan or will impose a plan on the state if necessary. - The action follows prior federal steps to keep some retiring coal plants operating, including a December order to keep a plant in Craig, Colorado, running through the end of 2025. Summary: The EPA decision halts Colorado's planned early retirements and frames the dispute around compliance with federal clean air law and concerns about grid reliability. The agency has offered to work with the state on a revised plan or to impose one if required, and how the process proceeds will depend on that revision.