Utilities ask Court to save them from markets over EPA air rule

The utility industry doesn’t want investors to beat them to the market when it decides the EPA Cross-State Air Pollution Rule so it’s asked the D.C. Circuit to carefully time the release of its decision.

The utility industry has asked the U.S. Court of Appeals for the D.C. Circuit:

… that the Court announce, in advance, the manner in which it will release its decision on the stay motions to ensure that all market participants have an equal opportunity to evaluate the decision and the impact it may have on various markets, including markets for emission allowances, fuels used for power generation, and electric power.

In support of this request the utilities assert:

7. The Rule will also affect demand for different types of fuel used to generate electric power, including natural gas and various types of coal. These fuels are actively traded on various markets, and the Court’s decision on the pending stay motions is likely to have an immediate impact on the price of these fuels.

8. In addition, the Rule is also projected to have an impact on the price of electric power in certain wholesale power markets. Participants in these markets often engage in trades in which they agree to buy and sell a certain amount of power at a set price and time in the future. The Court’s decision on the pending stay motions will also have an impact on these trading activities.

9. Several years ago, when this Court’s decision to invalidate EPA’s Clean Air Interstate Rule (CAIR) was released in the middle of a weekday, there was an immediate market impact and millions of dollars were made or lost within the first few minutes because some market participants learned about the decision before others…

Read the utilties’ brief.