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This action finalizes the rescission of the 2009 Greenhouse Gas (GHG) Endangerment Finding. The Endangerment Finding is a prerequisite for regulating emissions from new motor vehicles and new motor vehicle engines. Absent this finding, the EPA lacks statutory authority under Clean Air Act section 202 to prescribe standards for GHG emissions. Therefore, this action also repeals GHG regulations for light-, medium-, and heavy-duty on-highway vehicles.

Statement of Need:

This action will ensure the EPA is acting within the legal authority of the Clean Air Act.

Summary of the Legal Basis:

Clean Air Act Section 202.

Alternatives:

The EPA’s proposal included a primary basis for repeal of the 2009 Endangerment Finding based on the best reading of the Clean Air Act.  EPA included several alternative basis for recission of the 2009 Endangerment Finding and repeal of the EPA motor vehicle GHG emission standards, including consideration of the scientific record, consideration of the requisite technology, the futility of controlling motor vehicle GHG emissions to address the identified risks, and the impact of more expensive new vehicles on fleet turnover and negative impacts consumers ability to purchase newer, cleaner, and safer vehicles.

Anticipated Costs and Benefits:

The EPA final rule included four different potential scenarios for estimating the savings and costs of the proposal.  Utilizing a 7 percent discount rate, the savings ranged from $850 to $870 billion, the costs ranged from $200 to $760 billion, and the net savings ranged from $89 billion to $680 billion.  Utilizing a 3 percent discount rate, the savings ranged from $1,290 billion to $1,340 billion, the costs ranged from $420 billion to $1,470 billion, and the net savings ranged from -$180 billion to +$920 billion.

Risks:

EPA will analyze risks.