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Lawmakers, Business Groups Reject Greenhouse Rules

By Beacon Staff

HELENA – A legislative oversight panel on Friday blocked state government plans to quickly develop a greenhouse gas rule in response to pending federal Environmental Protection Agency mandates.

Republican lawmakers and business groups led the move Friday that will dampen work over at the Montana Board of Environmental Review establishing a way for the state to regulate greenhouse gasses once federal rules on the issue are completed.

The Environmental Quality Council, an oversight committee led by lawmakers, said the board has to slow down its work. The council threatened to scuttle the plans altogether if it doesn’t like the end product.

Critics, led by industry and business groups, said state-specific rules are premature since the EPA hasn’t even finished its work. They said legal challenges may kill the federal effort anyway.

“We have mandates after mandates after mandates coming down, and Montana has a rich tradition of waiting to see where we want to be,” said state Sen. Jim Keane, D-Butte. “We have to send a message that we need to halt this.

“There are people out there trying to survive in a tough economy and we don’t need to be out in front on something like this in a tough economy.”

The debate follows a recent move by the Montana Board of Environmental Review to start developing the state’s first greenhouse gas rule. The board plans to go ahead with public comment on its process later this month — but the lawmakers have made it clear there will be no quick action.

The board argues it needs to move soon to deal with pending federal Environmental Protection Agency mandates on greenhouse gas like carbon dioxide. Supporters point out that the Montana rules only go into place if the EPA finalizes its plan, and say the Montana rule is trying to make sure smaller operators and individual homeowners are exempted from regulation.

Richard Opper, director of the state Department of Environmental Quality and an appointee of Gov. Brian Schweitzer, said the administration thinks it is prudent to make a rule that specifically exempts small operations from permit regulation.

He said current regulatory framework, absent action, could lead to regulation of home furnaces if the EPA moves as quickly on the issue as some expect.

“There is a danger in not acting,” Opper said. The danger in not adopting these rules we are proposing is that we may be forced into requiring permits from hundreds, if not thousands, of businesses and homeowners.”

The state would get sued, and lose, if it simply ignored the EPA mandates, Opper said.

But industry groups said state-specific rules are premature.