On September 14, 2026, the Environmental Protection Agency (EPA) finalized the repeal of most 2024 federal greenhouse gas standards for power plants and proposed eliminating the remaining requirements. The EPA argues that the previous rules exceeded its Clean Air Act authority, relied on inadequately demonstrated technologies, effectively forced plant closures, raised electricity costs, and produced limited climate benefits. EPA claims $310 billion in savings, plus $370 million in direct compliance savings if the proposed repeal is finalized.
Coal and Gas Plants Could Gain More Runway
The power industry in the United States has largely pulled away from coal-burning generation, but reliance on natural gas has grown and remains a dominant energy source. [1, 2]. The repeal could extend coal and natural-gas plant operations, delay retirements, increase fossil-fuel demand, and expand reliable power capacity for manufacturing and energy-intensive AI data centers.
Clean-Energy Projects May Lose a Regulatory Tailwind
Utilities may avoid emissions-control investments and federal carbon-reduction planning, while renewable energy, storage, and carbon-capture projects could lose regulatory incentives. Because power plants are a major source of U.S. greenhouse-gas emissions, the changes could also increase emissions and slow national climate progress.
State Climate Programs Remain in Play
At the state level, the repeal would eliminate federal requirements for states to prepare and enforce carbon-reduction State Implementation Plans for existing power plants. Fossil-fuel-heavy states could allow utilities to operate plants based more heavily on cost and reliability without meeting federal emissions limits. However, the rollback does not override independent state climate laws, permit conditions, clean-energy standards, greenhouse-gas targets, or cap-and-trade programs. States including California, New York, and Massachusetts could therefore continue imposing stricter requirements, widening the regulatory divide between states.
Reporting Duties Are Not Going Away
Repealing power-plant emissions standards does not automatically eliminate separate climate-reporting obligations. Facilities may still be required to measure and report greenhouse-gas emissions under applicable federal reporting programs, environmental permits, and other regulations. These reporting requirements generally disclose emissions data but do not necessarily require facilities to reduce those emissions.
Companies are advised to distinguish between the removal of federal emissions-control requirements and their continuing responsibility to monitor, document, retain, and submit emissions information. Remember that the EPA’s federal Greenhouse Gas Reporting Program (GHGRP) deadline for 2025 remains October 30, 2026, even as proposals to dismantle or scale back the program move through the regulatory pipeline.
Multi-State Compliance Will Get More Complicated
State obligations will vary considerably. Facilities may remain subject to state emissions inventories, air-permit reporting, cap-and-trade reporting and verification, clean-energy program disclosures, or other state-specific greenhouse-gas requirements. Companies operating in multiple states may need separate reporting procedures for each jurisdiction, even when federal power-plant standards no longer apply. Contractual reporting commitments and corporate Scope 1 and Scope 2 inventories may also continue independently of regulatory changes.
Legal Challenges Keep the Timeline Uncertain
Several states are already challenging the repeal in federal court, creating uncertainty over when the changes will take effect and whether future administrations could restore national standards. The proposed repeal must still complete a public comment and finalization period, so affected companies should continue meeting current federal and state requirements while monitoring rulemaking, litigation, permit conditions, and reporting deadlines.
Additional Power Plant and GHG Reporting Resources: