In the News

“The rollback of the vehicle emissions standards is based on analysis that is shoddy even by the shockingly unprofessional standards of Trump-era deregulation,” said Richard Revesz of the Institute for Policy Integrity and dean emeritus at New York University School of Law.

With an election looming, the urgency of completing regulations is real. Under the Congressional Review Act, Congress can overturn a regulation or federal rule within 60 days of it being finalized. If Democrats win control of the White House and Senate in November, and keep control of the House, any rule completed after late May or early June would be vulnerable. “The administration understands the electoral map has turned against it,” said Richard Revesz, a professor of environmental law at New York University.

Tax credits for companies that “capture” carbon dioxide have been a success, by some measures. Even before the expansion, companies have claimed hundreds of millions of dollars in tax credits—possibly as much as $1.3 billion—and reported 63 million tons of carbon dioxide kept out of the air. There’s one big problem, though. All of that carbon is supposed to be stored securely underground and monitored by an Environmental Protection Agency program, to be sure it doesn’t leak out or create other complications. But so far, only 17 million of those 63 million tons have been registered with the EPA as legally required—about one-quarter of the carbon that companies have taken credit for.

“You didn’t have the A team doing the analysis here… If you shut out the people who know what they’re doing, this is what you get,” Jack Lienke, a law professor at NYU and the regulatory-policy director at the Institute for Policy Integrity, told me. “If the experts—who are actually within the agency issuing this proposal—thought that the assumptions being made were unreasonable, that makes a judge a lot more comfortable saying it is arbitrary and capricious.”

It is impossible to ignore the incongruity of the Trump administration’s latest attack on environmental protection with the dire effects of climate change now being felt around the world. Thousands have fled burning towns in Australia and California, helpless in the face of catastrophic wildfires, and Arctic sea ice is declining at an unprecedented rate. Rather than develop even modest solutions to this grave crisis, the Trump administration has focused its efforts on a newly unveiled proposal to weaken the United States’ bedrock environmental law, the National Environmental Policy Act, enacted in 1970.

Trump’s efforts to cut regulatory red tape have been praised by industry. But they have so far largely backfired by triggering waves of lawsuits that the administration has lost in court, according to a running tally by the New York University School of Law’s Institute for Policy Integrity.

The White House on Thursday will introduce the first major changes to the nation’s benchmark environmental protection law in more than three decades. Richard L. Revesz, a professor of environmental law at New York University, said he did not believe the changes would hold up in court. In fact, he argued, it is more likely that federal agencies will be sued for inadequate reviews, “thereby leading to far longer delays than if they had done a proper analysis in the first place.”

When a cost is placed on CO2 — either explicitly, through a tax or cap-and-trade system, or implicitly, by subsidizing clean competitors — the result is a more effective market, not a “distorted” one. Externalities have been internalized. It is the companies that aren’t being charged for CO2 pollution that are distorting the market. (The Institute for Policy Integrity has a good report on Capacity Markets and Externalities.)

The Trump administration said the decision to exit the Paris agreement was made because of its “unfair economic burden” on the U.S. economy. These dire predictions about the costs of addressing climate change have been a mainstay of the administration’s rhetoric since its beginning. Yet at times when it was convenient to take the opposite position, the administration has argued that climate regulations in fact impose no costs on the economy. These contradictory efforts have been used to protect the coal industry at the expense of the American people

Policy makers and regulators around the country are trying to figure out how to rapidly decarbonize the electricity sector. There are debates about what renewable goals states should have, by when, what should count as clean energy, and how much energy efficiency states should invest in. These debates overlook the most important tool we can rely on to achieve our clean-energy goals: markets and price signals.