EPA QUESTIONS LEGALITY OF STATES' PLAN TO RETIRE SO2 EMISSIONS CREDITS

BOSTON -- EPA is questioning the legality of a proposal from a group of Northeast states to restrict the number of sulfur dioxide (SO2) emissions credits that utilities can trade under their model power plant emissions rule that would be more stringent than the agency's clean air interstate rule (CAIR). Sam Napolitano, director of EPA's clean air markets division, told state officials meeting here June 6 not to "monkey with" emissions credits allocated under CAIR, saying it is legally "problematic."...