Customer Service
Site Map
Home
Search Site
Products and ServicesIndustry NewsYour IndustryInternational MarketsContact UsInside Coen

< Back

Cap & Trade Basics
 
 

Clean Air Interstate Rule (CAIR)
The EPA issued the Clean Air Interstate Rule (CAIR) on March 10, 2005, in response to pollution reductions and health benefits. This rule will achieve the largest reduction in sulfur oxide (SO2) and nitrogen oxide (NOx) emissions in more than a decade and will provide health and environmental benefits valued at more than twenty-five times the cost of compliance.

CAIR covers 28 eastern states, comprising of over 450 counties, including the District of Columbia. 23 of these states adversely contribute to unhealthy levels of fine particles in downwind states and NOx emissions in 25 eastern states contribute to unhealthy levels of 8-hour ozone in downwind states. By limiting emissions of SO2 and NOx on a regional level, the CAIR will help all affected areas achieve healthier air quality at reduced costs.

By the year 2105, CAIR will result in:

  • A reduction of SO2 emissions by over 70% and NOx emissions by over 60%
  • $85 to $100 billion in annual health benefits
  • The prevention of 17,000 premature deaths, millions of lost work and school days, and tens of thousands of non-fatal heart attacks and hospital admissions
  • Nearly $2 billion in annual visibility benefits

States must achieve the required emissions reductions by using one of the two options:

  1. Require power plants to participate in an EPA administered cap and trade system that caps emissions in two stages
  2. Choose its own measures to meet emissions

If option one above is selected, EPA predicts that in 2010 CAIR will reduce SO2 emissions by 4.3 million tons and in 2015 SO2 emissions will be reduced by 5.4 million tons. CAIR will also reduce NOx emissions by 1.7 million tons in 2009 and 2 million tons of NOx emissions will be reduced in 2015. This will result in regional emissions level of 1.3 million tons, a 61% ton reduction from 2003.

CAIR Timeline
Promulgate CAIR Rule 2005
State Implementation Plans Due 2006
Phase I Cap in Place for NOx 2009
Phase I Cap in Place for SO2 2010
Phase II Cap in Place for NOx and SO2 2015
Contact Information

Adina Wiley
Phone: (214) 665-2115
Email: Wiley.adina@epa.gov

Matt Loesel
Phone: (214) 665-8544
Email: Loesel.matthew@epa.gov

Resource Link
www.epa.gov/cair

 

 

 

Back to top