Clean Power Plan (CPP)
Independent Energy Producers of New Jersey and its wholesale generators impacted by CPP
GOALS AND OBJECTIVES:
To analyze EPA’s Clean Power Plan and its impact on New Jersey’s generation resources, and to facilitate collaborative meetings between the New Jersey Department of Environmental Protection and power generators
On August 3, 2015, the U.S. Environmental Protection Agency (EPA) released its final Clean Power Plan (CPP) rule. The plan represents a monumental effort to reduce carbon pollution from the power sector with a reduction goal of 32% below 2005 levels by 2030. This initiative is highly complex and has the potential to significantly impact the generation industry.
Gabel Associates was asked to undertake detailed analysis of CPP with respect to its impact on the generation industry in New Jersey. This included analysis of the various compliance pathways provided for in the EPA rule.
Due to Gabel Associates’ long standing role as the Lead Consultant to the Independent Energy Producers of New Jersey (IEPNJ), the New Jersey Department of Environmental Protection (NJDEP) requested that the firm facilitate dialogue between the agency and generation resources affected by CPP.
In early 2016, Gabel Associates participated in a series of meetings, presenting the commercial perspective of generation owners to NJDEP. These collaborative discussions were very well received, and were intended to help guide NJDEP toward a compliance strategy that effectively aligns the state’s generation fleet with public policy.
Although these meetings were beneficial, it is unlikely that CPP moves forward under the current administration.