Keystone-Conemaugh Projects LLC v. EPA, No. 22-3026 (3d Cir. 2024)
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The case involves a dispute over the Environmental Protection Agency's (EPA) decision to implement a Federal Implementation Plan (FIP) to regulate emissions in Pennsylvania. The Commonwealth of Pennsylvania had initially submitted a State Implementation Plan (SIP) to the EPA for approval, as required by the Clean Air Act. The EPA initially approved the plan, but the approval was later vacated by the Third Circuit Court of Appeals, which directed the EPA to either approve a new state-made plan or formulate a new federal plan within two years. The EPA decided to create its own plan, which was challenged by the Commonwealth and one of the three coal power companies affected by the plan.
The petitioners argued that the EPA exceeded its statutory authority when it promulgated the plan and that the plan was arbitrary and capricious because the EPA failed to show its work. However, the Third Circuit Court of Appeals found that the EPA acted in accordance with the Clean Air Act and denied the petition for review. The court held that the EPA properly exercised its authority under the Clean Air Act by partially disapproving the 2016 SIP and promulgating the FIP. The court also held that the contents of the FIP were not arbitrary, capricious, or an abuse of the EPA’s discretion.
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