In the News

“If designed properly, a carbon market or carbon price would always be looking for the cheapest carbon, whether it was energy efficiency or whatever the cheapest fuel source was, that’s what the carbon price would find,” Commissioner Cheryl LaFleur told Law360 at a recent energy and environmental policy conference hosted by New York University School of Law’s Institute for Policy Integrity.

Every institution, no matter how much good it brings to the American people, has room for improvement. But opponents of the regulatory state ignore the net benefits of regulation.

Speaking Friday at the Institute for Policy Integrity’s 10th anniversary conference at the New York University School of Law, McCarthy ticked off a long list of environmental policies that frustrate her. Some of her complaints: Climate science has been scrubbed from government websites; the administration is changing how it calculates the benefits of slashing greenhouse gases; and President Trump has said he’ll exit the Paris climate accord.

Ricky Revesz, director of the Institute for Policy Integrity at New York University, said that the administration’s financial analysis of the proposal overlooks plenty of potential costs. For instance, it doesn’t account for the potential that illnesses and health expenses might climb as a result of immigrants rejecting food stamps that help them buy nutritional fare.

In the panel discussion, Richard Revesz, director of the Institute for Policy Integrity at New York University, slammed its impact on cost-benefit analysis. “[Executive Order] 13771 requires a cap on costs, suggesting the goal of the regulatory system is to minimize overall regulatory costs, not to maximize the net benefits of regulation, which is the hallmark of cost-benefit analysis,” he said.

State climate policies enhance rather than detract from market efficiency, as explained by scholars at the Institute for Policy Integrity in this capacity markets report.

Those public health costs “could be the thing that determines whether the rule is actually justified or not,” Avi Zevin, an attorney with the Institute for Policy Integrity, told Bloomberg Environment. “[EPA] should be doing a more complete consideration of what those costs of the foregone health benefits are, what they would mean, and how that factors into their decisionmaking,” Zevin said.

In a recent proposal to replace the Clean Power Plan, the Trump administration made little attempt to sugarcoat the consequences of its decision.

Richard Revesz discusses why the Trump administration is proposing to relax Obama-era rules that were meant to block rogue methane leaks from oil and gas wells.

EPA calls its Affordable Clean Energy proposal “a new rule to reduce greenhouse gas emissions” from coal-fired power plants. There are just two problems with that characterization: ACE won’t do much of anything to reduce coal plants’ CO2 emissions, and the rule isn’t really new at all.