Supreme Court Underscores Importance of Costs in Regs

July 1, 2015

pic-energy-powerIn addition to the highly-anticipated U.S. Supreme Court ruling on the Affordable Care Act, another important decision was handed down by the high court this week which said that the Environmental Protection Agency (EPA) was in the wrong by failing to consider costs of their 2011 power plant emissions regulation. The EPA’s regulation required coal-burning plants across the country to install equipment to better control their emissions, specifically, mercury.

The 5-4 decision from the court is important for its focus on EPA’s lack to properly account for the cost of the regulation. NSBA has been calling for years on agencies to better utilize cost accounting when it comes to proposing new regulations.

NSBA believes that adequate, reliable and affordable energy is a key factor in promoting job creation, new business formation and sustainable economic growth for America’s entrepreneurs and small business community. Small firms also feel strongly about the need to prevent adverse health effects from pollution, but believe that such policies should not place a disproportionate burden on small firms. This ruling will likely ensure that agencies, moving forward, will pay closer attention to the overall costs of proposed regulations.

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