EPA Dismantles Emissions Caps: 123 Million More Tons of CO2

The US Environmental Protection Agency (EPA) announced on September 14, 2026, the elimination of greenhouse gas emissions limits for coal and gas plants. According to The Guardian, the agency estimates that the measure will add 123 million tons of carbon over a decade and save $370 million in compliance costs.

The revocation caps 18 months of regulatory changes that, according to Latitude Media, had already forced downward revisions to US power sector emissions reduction projections. EPA Administrator Lee Zeldin presented the measure at a G20 meeting in Houston and argued it aims to protect coal and gas generation. The decision matters to Mexico in two ways: the national power system relies heavily on US natural gas, and Mexican renewable projects compete for the same capital and the same corporate buyers as those in the US market.

The Rhodium Group analysis cited by Latitude Media projects that the sector will add up to 50 GW annually of solar, wind, and storage through 2030, with tax credits that developers secured before the July deadline. After that date, the scenario envisions a slowdown to 3 GW annually of new capacity. Ben King, director of Rhodium Group's clean energy and climate practice, told that outlet that the outlook for renewables becomes more adverse without tax credits or regulatory support. The revoked rules required existing coal plants to capture nearly all their emissions by 2039 or close; the EPA argues that eliminating the sector's emissions would not materially address the risks attributed to climate change.

The immediate front is judicial. The Sierra Club announced it will challenge the revocation, and the EPA carries the precedent of Massachusetts v. EPA (2007), where the Supreme Court ruled that greenhouse gases are regulatable pollutants. Last week, a federal appeals court ruled that the administration exceeded its authority by ordering a coal plant in Michigan to stay open.

This article was written with the assistance of artificial intelligence from verified sources and reviewed by a human editor before publication.