THE ROLE OF STATE REGULATORY POLICIES IN THE DEVELOPMENT OF FEDERAL ENVIRONMENTAL REGULATIONS

WHEREAS, the National Black Caucus of State Legislators (NBCSL) recognizes that the United States Environmental Protection Agency (EPA) is engaged in the development of public health and environmental regulations that will directly impact the electric power sector;

WHEREAS, the EPA is expected to promulgate regulations to be implemented by state environmental regulators concerning the interstate transport of sulfur dioxide and nitrogen oxides, cooling water intake, emissions of hazardous air pollutants and greenhouse gases, release of toxic and thermal pollution into waterways, and management of coal combustion solid waste;

WHEREAS, the NBCSL has extensive energy policies establishing priorities around alternative energy sources, as passed in Resolutions ETE-09-23, ETE-10-07, and ETE-11-02; protecting the financially vulnerable populations that are most impacted by fluctuations in energy supply pricing, as passed in Resolutions ETE-08-04 and ETE-10-06; and creating opportunities for minority interests in energy markets, as passed in Resolutions ETE-98-41 and ETE-07-24;

WHEREAS, such regulations under consideration by the EPA could pose challenges for the electric power sector, with respect to the economic burden, the feasibility of implementation by the contemplated deadlines, and the maintenance of system reliability;

WHEREAS, the EPA is expected to provide opportunities for public comment and input with respect to forthcoming regulations;

WHEREAS, compliance with forthcoming environmental regulations will impact consumers differently depending upon each state’s electricity market and the nature of the decisions made by state regulators;

WHEREAS, state utility regulators are positioned to evaluate costs and benefits of various resource options through policies that account for the risks arising from compliance with pending regulations;

WHEREAS, cooperation between utility commissions and environmental regulators can promote greater policy coordination, integration, and improve the quality and effectiveness of electricity sector regulation; and

WHEREAS, state utility regulators, by working with the power sector and state and federal environmental regulators, can help to facilitate optimal results for public health and environmental goals.

THEREFORE BE IT RESOLVED, that the National Black Caucus of State Legislators (NBCSL) urges the United States Environmental Protection Agency (EPA) to ensure that as it develops public health and environmental programs, it will do the following:

1. avoid compromising energy system reliability, while seeking to move the nation toward long-term energy independence and sustainability;
2. seek ways to minimize cost impacts to consumers, while ensuring long-term health costs to both our communities and our environment are taken into account;
3. provide regulations that protect the health and well-being of our citizens;
4. protect environment and vulnerable ecosystems from further degradation;
5. ensure its actions do not impair the availability of adequate electricity and natural gas resources;
6. consider cumulative economic and reliability impacts in the process of developing multiple environmental rules that impact the electricity sector;
7. recognize the needs of states and regions to deploy a diverse portfolio of resources based on the unique circumstances of each state and region;
8. encourage the development of innovative, multi-pollutant reduction solutions;
9. employ cost-benefit analyses consistent with federal law;
10. provide an appropriate degree of flexibility and timeframes for compliance that recognizes the highly localized and regional nature of the provision of electricity services in the United States, as long as that flexibility does not compromise the objective of the regulations to protect the integrity of ecosystems and the health of our public waterways;
11. engage in timely and meaningful dialogue with state energy regulators in pursuit of these objectives; and
12. recognize and account for, state or regional efforts already undertaken to address environmental challenges;

BE IT FURTHER RESOLVED, that the NBCSL urges the development of grant programs and corporate partnerships that support low-income individuals and families to transition to green practices;

BE IT FURTHER RESOLVED, that the NBCSL urges state utility regulators to actively engage with state and federal environmental regulators and to take other appropriate actions in furtherance of the goals of this resolution; and

BE IT FINALLY RESOLVED, that a copy of this resolution be transmitted to the President of the United States, the Vice President of the United States, members of the United States House of Representatives and the United States Senate, and other federal and state government officials as appropriate.

SPONSOR: Representative Alan Williams (FL)
Committee of Jurisdiction: Energy, Transportation, and Environment Policy Committee
Certified by Committee Chair: Representative Bill Crawford (IN)
Ratified in Plenary Session: Ratification Date is December 9, 2011
Ratification is certified by: Representative Barbara W. Ballard (KS), President