Will new EPA rule put reliability at risk?

Oklahoma’s electric cooperatives work hard to keep the lights on every single day. Together, co-ops power more than 1.1 million Oklahomans, serving 527,000 plus in-state meters and over 134,000 meters in surrounding states. It’s a big job, and it’s not getting any easier.

That is why your cooperative is concerned about the Environmental Protection Agency’s (EPA) new power plant rule. This rule jeopardizes your co-op’s ability to provide the reliable and affordable electricity business and residential consumers need. It will reduce the amount of electricity our nation produces at a time when we need more electricity than ever. Here’s why:

Unlawful overreach

The rule in question asserts sweeping new authority of major economic and political significance without a clear mandate from Congress. This overreach is not only unlawful but sets a troubling precedent for future regulatory actions.

Unachievable goals

While carbon capture and sequestration (CCS) holds promise for the future, it is not yet ready for widespread commercial application. The technologies required for CCS are still in development stages and are not available on a scale necessary to meet the demands set forth by the rule. Imposing these requirements prematurely is impractical and sets the industry up for failure.

Unrealistic timelines

The compliance timelines outlined in the rule jeopardize the construction of new natural gas plants and virtually ensure the shutdown of existing coal units. Such a rapid transition is unrealistic and undermines the stability of our energy grid.

The threat to grid reliability

This new rule threatens to increase the risk of blackouts and drive up costs for families and businesses. As the nation increasingly depends on electricity to power more aspects of our economy, pushing essential, always-available generating resources off the grid is a perilous move.

Rising electricity demand

Electricity demand is surging. New data centers and manufacturing facilities are driving this growth, with the Energy Information Administration (EIA) projecting record-high power demand increases of 2.5% in 2024 and 3.2% in 2025. Grid planners forecast a peak demand growth of 38 gigawatts through 2028, equivalent to adding another California to the grid. To reliably meet growing demand, permitting new infrastructure is essential.

Diminishing electricity supply

The premature retirement of always-available generation sources continues to erode our electricity supply. The North American Electric Reliability Corporation (NERC) warns that more than 110 GW of such generation will retire by 2033. Parts, or all of, 19 states are at high risk of rolling blackouts during peak conditions over the next five years.

As we forge ahead, it is imperative that our energy policies are grounded in reality and legality. The new power plant rule, as it stands, fails on both counts. We must prioritize policies that ensure a reliable and resilient energy future for all.

By Chris Meyers

General Manager | Oklahoma Association of Electric Cooperatives