HARRISBURG, Pa. — The U.S. Environmental Protection Agency moved Thursday to roll back limits that require coal-fired power plants to prevent the release of toxic heavy metals into streams and rivers through polluted groundwater, saying a three-year-old rule is unduly costly for the energy industry at a time when energy demand is spiking.
It is the latest step that President Donald Trump’s administration has taken to pull back regulations on coal mining and coal-fired power and empower fossil fuels as a primary energy source to feed the rapid growth of artificial intelligence data centers.
In its proposed rule, the EPA said a 2024 rule under President Joe Biden misjudged the effectiveness and cost of the regulation, and had the effect of shutting down coal-fired power plants at a time when energy demand is spiking.
Changing the rule is critical to making electricity more affordable and reliable, while advancing the economy, EPA Administrator Lee Zeldin said in a statement.
“The AI and data center revolution is creating an electricity and baseload power demand that cannot be met under the overly restrictive policies of past administrations,” Zeldin said. “The Trump EPA will continue doing its part to address these burdensome regulations on the coal-fired power plant sector that hold American communities back from the new opportunities presented by this new 21st century energy reality.”
In 2024, the EPA strengthened wastewater rules over coal-fired power plants that keep coal ash – a byproduct of burning coal – in unlined, uncovered dumps that leach toxic heavy metals such as mercury, arsenic and selenium into groundwater.
In the rule, the EPA required plant owners to report whether the groundwater was contaminated and, if so, pump and treat the contaminated groundwater before discharging it into streams and rivers, Thom Cmar, an attorney for environmental advocacy group Earthjustice, said.
The EPA initially had given power plant owners until Dec. 31, 2029, to meet the new limits.
The EPA said the rule proposed Thursday, if finalized, would reduce power generation costs by as much as $1.1 billion a year. Coal and power industry trade associations cheered the EPA’s move. Environmental groups slammed it as a public health danger and giveaway to the coal-power industry.
Earthjustice said the lakes, rivers and other waterways that will see more pollution as a result of the EPA’s proposal are often sources of drinking water that tens of millions of people rely on. Coal-fired power plants are by far one of the largest sources of toxic pollutants in America’s rivers, lakes and streams, Earthjustice said.
“This plan would eliminate safeguards on hundreds of millions of pounds of wastewater with neurotoxins and cancer-causing contaminants. It would allow coal power plants to avoid cleaning up contamination that threatens our drinking water sources,” Cmar said.
The proposal unveiled Thursday would exempt contaminated groundwater seeping into waterways from the mandatory treatment requirements, Earthjustice said. Power plant owners would only be required to treat the contaminated groundwater if they were already complying with the 2024 rule to pump it to the surface to treat it, Earthjustice said.
States could, however, still investigate whether power plants are polluting the groundwater and, if they are, try to force owners to treat the polluted groundwater under federal clean water laws, Cmar said.
“The problem is, at the state level, many states are reluctant to use that tool that they all have to hold up the permitting process and force the companies to do an adequate job of documenting and limiting the pollution,” Cmar said.
The EPA said dozens of coal-fired power plants – likely up to 104 – are polluting groundwater through the uncontrolled runoff. It found seven plants were complying with the rule to pump and treat the groundwater, it said.
The EPA had estimated in 2024 that its new rule that year would reduce pollutant discharges by 660 to 672 million pounds per year, provide $3.2 billion in public health benefits each year and especially benefit “low-income communities and communities of color that are disproportionately impacted by pollution from coal-fired power plants.”
It had projected that electricity bills for the average residential household would increase by less than $3.50 per year.
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