Obama to announce new climate change plan to cut pollution

The Obama administration is set to propose crucial new environmental policies on Monday with the aim of cutting carbon pollution from existing power plants by 30 per cent from 2005 levels by 2030.

The new rules will be formally announced by the Environmental Protection Agency (EPA) today and they represent the most ambitious plans ever in the U.S to combat climate change.

Republicans in Congress and a number of major companies are heavily opposed to the changes that could transform the country’s energy mix.

Christiana Figueres, the United Nations’ climate chief, welcomed the new rules and expressed her hope that they could assist negotiations for a global climate change deal.

The 30 per cent target represents the first attempt by a U.S president to limit carbon emissions from power plants.

Obama initially tried to get his administrations climate change polices through Congress but with Republicans in Congress uniformly opposed to cutting carbon emissions, Obama decided last year to use his executive authority to enforce the new rules.

Obama said on Saturday: “Right now there are no national limits to the amount of carbon pollution that existing plants can pump into the air we breathe… They can dump unlimited amounts of carbon pollution into the air. It's not smart, it's not safe, and it doesn't make sense.”

Andrew Steer, the president of the World Resources Institute (WRI), said: “It's the most important action available to cut US emissions – and the Obama administration has seized the opportunity. These new standards send a powerful message around the world that it's time to face the global threat of climate change.”

The rules could affect some 1,600 power plants of which approximately 600 are coal operated.

Under the new legislation, states and power companies will have a suite of options that can assist them in meeting the new limits. These include switching from coal to natural gas; forming cap-and-trade markets; expanding renewable energy use; and using more efficient heating and cooling systems.

The 30 per cent national target will not be applied uniformly across the country; the EPA will set individual targets for each state, taking into account their energy mix.

States have until 2016 to propose a strategy for meeting the targets and the EPA rules will not come into force in all states until 2020, according to reports.

The new legislation bypasses Congress, relying on Obama's executive authority and Supreme Court decisions.

Coal-mining companies, some power companies and Republican state officials have accused the EPA of overstepping its authority, and will be studying the bill closely for possible legal challenges.

Republicans have warned that the new limits could lead to power outages.

White House officials spent Sunday briefing governors and business leaders about the rules.