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For Immediate Release:  
For Further Information Contact:
March 17, 2006

Office of The Attorney General
- Zulima V. Farber, Attorney General

 

Peter Aseltine
609-292-4791

 

New Jersey Gains Huge Victory In Clean Air Fight Against
U.S. Environmental Protection Agency

TRENTON – A federal court today granted New Jersey a total victory in a case against the U.S. Environmental Protection Agency, vacating a rule adopted by the EPA that had threatened to drastically undermine the New Source Review program under the Clean Air Act, Attorney General Zulima V. Farber announced.

New Source Review is a vital protection for New Jersey residents against harmful pollution from upwind power plants.

New Jersey filed suit against the EPA in October 2003, along with a coalition of states and the District of Columbia, to challenge the rule, which would have allowed most major pollution sources – including power plants, utilities and refineries – to avoid long-standing requirements to install new pollution controls when making any physical or operational changes that increase emissions significantly. The court stayed implementation of the rule at New Jersey’s request in December 2003.

In unanimously rejecting the rule today, a three-judge panel of the U.S. Court of Appeals for the District of Columbia Circuit said the rule is “contrary to the plain language” of the Clean Air Act. The court declared that “only in a Humpty Dumpty world” would EPA’s approach to interpreting the Clean Air Act make sense.

“New Source Review should provide vital protection for New Jersey residents against harmful pollution,” Governor Jon S. Corzine said. “The EPA’s interpretation of the rule would have allowed aging coal-fired power plants, many located in the Midwest, to continue to emit millions of tons of hazardous emissions that wind up in New Jersey.”

“This is a tremendous victory for New Jersey residents, who are subjected to smog and toxic emissions from upwind power plants,” said Attorney General Farber. “EPA attempted to create a huge loophole for industry that would have allowed companies to rebuild old, dirty power plants and increase dangerous emissions without installing modern pollution controls. The court agreed with our legal arguments and closed that loophole, protecting the health of our citizens.”

“Today's ruling is a major victory for the Clean Air Act and for New Jersey in our effort to reduce air pollution and stop the ill-conceived Bush Administration’s regulatory rollbacks,” said Department of Environmental Protection Commissioner Lisa P. Jackson. “We will continue to fight for every New Jerseyan’s right to breathe clean air and require companies to install new air pollution control technologies during plant upgrades.”

EPA’s rule created a broad exemption for companies upgrading their plants. It provided that where equipment was replaced with equipment that performed the same basic function and did not exceed 20 percent of the cost of replacement of the “process unit” of which it was a part, it would be considered “routine maintenance, repair or replacement” exempt from New Source Review.

The definition of “process unit” was so broad as to encompass an entire production facility. A power company would have been able under the rule to rebuild an entire generating unit over time in 20-percent increments without installing the modern pollution controls mandated under the Clean Air Act.

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