EPA Air Pollution Rule Halted by Federal Court (SO, EXC, BTU, ANR)
The US EPA first issued its Cross-State Air Pollution Rule in July and electricity generation companies that use coal to fuel their plants have been fighting it ever since. Known as the ‘downwind’ rule, the EPA is seeking to control…
The US EPA first issued its Cross-State Air Pollution Rule in July and electricity generation companies that use coal to fuel their plants have been fighting it ever since. Known as the ‘downwind’ rule, the EPA is seeking to control pollutants such as sulfur dioxide (acid rain) and oxides of nitrogen from 27 states, of which 26 are eastern and the 27th is Texas.
A federal court panel in Washington, D.C., has granted the companies a delay, saying that they have met the standard for a full court review. Power companies like Southern Co. (NYSE: SO) are among those which sought the stay, while companies with little coal-fired generation, like Exelon Corp. (NYSE: EXC) support the EPA rule change.
A hearing could be scheduled as soon as April before the full Court of Appeals. Shares in coal producers such as Peabody Energy Corp. (NYSE: BTU) and Alpha Natural Resources Inc. (NYSE: ANR) are up more than 8% and 7%, respectively, on news of the court’s decision.
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Paul Ausick has been writing for 247Wallst.com for more than a decade. He has written extensively on investing in the energy, defense, and technology sectors. In a previous life, he wrote technical documentation and managed a marketing communications group in Silicon Valley.
He has a bachelor's degree in English from the University of Chicago and now lives in Montana, where he fishes for trout in the summer and stays inside during the winter.
