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ARTICLE · 29 JUNE 2016

EPA Moves Forward With Implementing Clean Energy Incentive Program Despite Stay Of Clean Power Plan

Jones Day
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On June 16, 2016, the United States Environmental Protection Agency ("EPA") issued a proposed rule titled Clean Energy Incentive Program Design Details ("Proposed Rule").

United StatesEnvironment
Charles Wehland
Charles Wehland
Alina Fortson
Alina Fortson
Jennifer Hayes
Jennifer Hayes
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On June 16, 2016, the United States Environmental Protection Agency ("EPA") issued a proposed rule titled Clean Energy Incentive Program Design Details ("Proposed Rule"). The Clean Energy Incentive Program ("CEIP") is an aspect of the Clean Power Plan ("CPP"), an EPA rule finalized in 2015 that regulates carbon dioxide ("CO2") emissions from existing power plants. States may opt in to the CEIP as part of individual state compliance plans under the CPP. Participation in the CEIP authorizes states to distribute allowances or to issue emission reduction credits ("ERCs") to eligible clean energy projects that occur in 2020 and 2021. Such projects include low‐income community projects (demand‐side energy efficiency and solar projects implemented to serve low‐income communities) and zero‐emitting renewable energy projects (wind, solar, geothermal, and hydropower in all communities). EPA then awards matching allowances or ERCs, which the CEIP project could sell or transfer to

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