Leavitt proposes power plant rules

WASHINGTON — Thursday, Mike Leavitt announced his first big decision as Environmental Protection Agency chief, proposing new rules aimed at reducing pollution from coal-fired power plants, mostly in the Eastern states.

Some environmental groups and Democratic presidential candidates, however, say that is not enough and that the move would benefit industry too much and the environment too little.

In response, Leavitt, the former Utah governor, said, "These actions are the largest single investment in any clean air program in history" and "represent a historic achievement" by helping protect the environment without unduly harming local economies.

Leavitt actually announced two rules proposals. The first set of rules aims to reduce power plants' emissions of mercury, which is highly toxic and can impair cognitive skills and harm reproductive, immune and endocrine systems in unborn children.

The other aims to reduce long-range transport of sulfur dioxide and nitrogen oxides, which form ozone and fine-particulate pollution that contribute to respiratory problems.

If, after going through a review process, the rules are enacted, the EPA estimates the rules would reduce sulfur dioxide from current levels by 40 percent by 2010 and 70 percent by 2015.

The agency also estimates nitrogen oxides would be reduced by 50 percent by 2015 in the 30 states covered by the rules, and that mercury levels would be reduced by 70 percent when the rules are fully implemented after 2018.

Included in the proposal is a controversial pollution-trading system that would allow states, utilities and companies to trade pollution allowances as long as overall national caps are maintained. Environmental groups contend that could create local "hot spots" of danger.

Leavitt said in a speech earlier this week that the proposal follows his vision of "national standards, local solutions." He said cap-and-trade systems offer market incentives for plants to find ways to reduce emissions and offer flexibility in how standards will be achieved.

When the mercury proposal was leaked to the press earlier this week by the National Wildlife Federation, which had obtained a draft of it, it was quickly blasted by environmental groups and Democrats.