Federal environmental policies and their effect on the electric utility industry

During the past year the Administration and the Congress have set environmental policies that are extremely important to the electric utility industry. This paper gives a broad overview of the status of several environmentally related actions. The new Clean Air Act Admendments include: revision of existing Standards of Performance for New Stationary Sources; regulations to preserve the quality of air in areas which are cleaner than required; a nonattainment area policy; short-term nitrogen dioxide standard; and stack height limitations. Water Pollution Control Act Admendments enable the extension of Best Practicable Control Technology Currently Available to provide a reasonable compliance schedule and the assignment of a new and higher priority to toxic pollutants. The Council on Environmental Quality has proposed to replace present guidelines with regulations. Major highlights of the preliminary regulations are summarized. The authors identify the Clean Air Act Amendments as the most significant recent legislation affecting the utility industry. 4 tables.