Recent Projects

In May 2022, the National Highway Traffic Safety Administration (NHTSA) finalized a rule to increase its corporate average fuel economy (CAFE) standards for passenger cars and light trucks for model years 2024–2026. A group of fuel and petrochemical manufacturers and states challenged the standards in the U.S. Court of Appeals for the D.C. Circuit, arguing primarily that the Energy Policy and Conservation Act bars NHTSA from including electric vehicles in the analytical baseline for the new standards. Our amicus brief explains that longstanding administrative guidance and case law direct agencies to develop baselines that reflect their best assessment of the real world absent any new agency action. In the context of this rulemaking, that guidance and case law required NHTSA to project how many and what kinds of vehicles—including electric (and plug-in hybrid electric) vehicles—would be built and sold if it did not issue new CAFE standards, which is what NHTSA did here. Our amicus brief also explains that NHTSA has consistently prepared baselines for prior CAFE standards in this manner.

In December 2021, the Environmental Protection Agency finalized a regulation to strengthen its greenhouse gas emission standards for light-duty vehicles. Although regulated automakers support EPA’s approach, a group of states and oil-and-gas companies have challenged the standards in the U.S. Court of Appeals for the D.C. Circuit, claiming that the standards misapply economic principles and violate the major questions doctrine. In our amicus brief, we explain that EPA’s regulation is consistent with sound economics and established practice.

Earlier this year, a group of environmental organizations successfully challenged an offshore oil-and-gas lease sale held by the Bureau Ocean Energy Management on the basis that BOEM inadequately assessed the impacts on climate change from the combustion of the fossil fuels that the lease sale would facilitate. In its appeal to the D.C. Circuit, the American Petroleum Institute countered that any analytical limitations were harmless because the Outer Continental Shelf Lands Act bars BOEM from considering climate-change impacts when administering leasing policy. Our amicus brief rebuts this argument and defends BOEM’s authority to consider downstream climate impacts in its administration of the offshore leasing program. Our brief explains that the consideration of downstream emissions is consistent with OCSLA’s text, legislative history, regulatory history, and caselaw.

Last July, PJM Interconnection (the electricity grid operator for 13 states and the District of Columbia) submitted revisions to its Minimum Offer Price Rule (MOPR) for its capacity market to the Federal Energy Regulatory Commission (FERC) for approval. The new rule (the “Focused MOPR”) would remove an artificial barrier to market entry for resources that receive such externality payments under state climate and clean energy policies. Policy Integrity filed an amicus brief in support of FERC and PJM’s Focused MOPR explaining why the rule is welfare-enhancing and would not threaten reliability.

In this amicus brief, we explain how the Interagency Working Group based its climate-damage valuations on voluminous and expert science, and that its approach followed regulatory guidance and precedent. In particular, the brief supports the Working Group's selection of discount rates and geographic scope, explaining how those choices followed expert consensus and were consistent with agency treatment of other regulatory impacts.

In 2018, New Jersey established a Zero-Emissions Credits (ZECs) program, which provides subsidies to the state’s nuclear power plants for reducing carbon emissions in the energy sector. Our amicus brief explains how the Social Cost of Carbon is the best available estimate for valuing harms caused by carbon dioxide emissions. We also argue that the ZECs program should account for the benefits of avoided emissions both inside and outside of New Jersey.

Certain coal companies and states have asked the Supreme Court to narrow the scope of EPA’s authority by prohibiting the agency's use of flexible compliance mechanisms—like intersource emissions trading and production shifting—in regulating greenhouse gas emissions from the power sector. The challengers rely in part on the major questions doctrine, a little-used canon of interpretation that petitioners claim bars EPA from issuing costly and controversial rules.

In this amicus brief, we explain that petitioners’ application of the major questions doctrine would expand the canon beyond either recognition or workability, stretching a doctrine meant to apply only in rare cases to cover many different regulations advanced by administrations of both parties. We further explain that, contrary to petitioners’ assertions as part of their major questions analysis, EPA has frequently relied on flexible compliance mechanisms under numerous Clean Air Act provisions. Finally, our brief argues that Section 111(d) of the Clean Air Act is an integral statutory provision for regulating air pollution and not an afterthought as petitioners contend.

The Supreme Court will hear the case, West Virginia v. Environmental Protection Agency, later this term. The case seeks to revive the Affordable Clean Energy Rule, a deregulatory action promulgated under the Trump administration that was vacated last year by the U.S. Court of Appeals for the D.C. Circuit.

The Bureau of Land Management's approval of over 300 drilling permits in New Mexico would allow for an increase in production resulting in more than $1.6 billion in climate damages. We filed an amicus brief in the U.S. Court of Appeals for the Tenth Circuit criticizing the agency's analysis of the project, which inappropriately minimizes these climate impacts through comparison to nationwide totals. We explain that this approach does not facilitate a rational analysis of the project's climate effects.

Policy Integrity's Economics Director Peter Howard joined climate scientists and economic experts in written testimony to the Michigan Public Service Commission (MPSC) about the significance of excessive greenhouse gas emissions that would be generated if Enbridge’s Line 5 tunnel siting permit is approved. Howard explained that “the Proposed Project will generate a present value of $41 billion (in 2020 dollars) or more in net monetized climate costs from 2027 to 2070 as compared to the no-action alternative – in other words, the Proposed Project will generate average annual monetized climate costs of approximately $1 billion each year over this period, plus significant unmonetized climate effects and other unquantified pollution costs to human health and the environment.”

We filed a brief in the U.S. District Court for the Southern District of New York supporting a challenge to the Department of Education’s replacement for a 2016 regulation known as the Borrower Defense Rule. The replacement rule makes it much harder for student borrowers who have been defrauded by for-profit colleges to get their loans discharged. We later filed a brief in the Second Circuit Court of Appeals after SDNY upheld the rule.