Us Congress House Bill HB2177

Us Congress 2025-2026 Regular Session

• Introduced: 3/18/25
• Refer: 3/18/25

Caption

Tradeable Energy Performance Standards Act

Impact

If enacted, HB 2177 would significantly reshape how energy generation is regulated at both the state and federal levels. The bill mandates that from the calendar year 2028, each covered facility will need to submit emission allowances equivalent to their actual carbon emissions. This requirement is expected to drive facilities to improve their energy efficiency and reduce their greenhouse gas outputs. Furthermore, the bill promotes innovation in technology by emphasizing low-emission facilities, potentially leading to a shift towards cleaner energy sources throughout the energy sector.

Summary

House Bill 2177, titled the 'Tradeable Energy Performance Standards Act', seeks to amend the Clean Air Act by establishing a framework for tradeable energy performance standards for large electricity generators and thermal energy users. The bill introduces a system of emission allowances, which allows covered facilities to trade their allowances, thereby creating a market-based approach to reduce carbon dioxide emissions. By putting a price on carbon emissions, the bill aims to encourage investment in cleaner technologies and promote the use of low-emission energy sources.

Contention

Notable points of contention surrounding HB 2177 may center on the economic implications for existing facilities, particularly those heavily reliant on fossil fuels. Critics may argue that the transition to tradeable energy performance standards could impose financial burdens on these facilities, leading to job losses or increased energy prices for consumers. Proponents, on the other hand, assert that the long-term environmental and health benefits of reduced emissions, along with the potential for job creation in green technologies, will outweigh the initial challenges faced by the industry.