By Jane E. Montgomery

On Monday, April 2, the Supreme Court ruled that carbon dioxide emissions can be regulated as "air pollutants" under the federal Clean Air Act. In addition, the Court opined that in the face of uncertainty but increasingly potent data, the U.S. EPA had to provide better reasons for refusing to regulate carbon dioxide. The issue arose as Massachusetts challenged a decision by U.S. EPA not to require carbon dioxide emission limits for mobile sources. The Supreme Court's 66-page decision can be found at http://www.supremecourtus.gov/opinions/06slipopinion.html. Read the case Massachusetts v. EPA.   On April 3, U.S. EPA indicated that it would not start regulating carbon dioxide, in spite of the Court's ruling, for the foreseeable future.

This is the first salvo in what will be a sea-change with respect to the regulation of air emissions and climate change. While this issue is an environmental issue at heart, the "cause" is essentially burning of fossil fuels — from power plants, motor vehicles and manufacturing plants as the largest sector contributors but extending to every furnace and stove in our homes. Therefore, many aspects of business will be affected by the ongoing political and technical debate concerning climate change.

The Environmental Group will continue to update you on important decisions with respect to climate change. For more information about this or any other issue, please contact a member of the Schiff Hardin Environmental Group.

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