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Federal Agencies Barred from Considering Social Cost of Emissions

This new law prohibits federal agencies from considering the social cost of greenhouse gas emissions, such as carbon dioxide or methane, when making decisions, creating regulations, or conducting cost-benefit analyses. This means environmental impacts may be assessed differently, potentially affecting energy prices and industrial regulations. Agencies will only be allowed to use methodologies explicitly required by Congress and must avoid arbitrary assessments.
Key points
Federal agencies will be prohibited from considering the social cost of greenhouse gas emissions (e.g., carbon, methane) when developing new regulations, issuing guidance, or taking other actions.
Environmental decisions must now rely solely on legal requirements set by Congress, rather than broader "environmental considerations."
Agencies are mandated to use the most robust assessment methodologies available, avoiding those deemed arbitrary or ideologically motivated.
The law could change how agencies evaluate energy and industrial projects, potentially leading to less stringent environmental regulations.
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Status:
Introduced
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Additional Information
Transparency and Honesty in Energy Regulations Act of 2025
Print number: S 1584
Sponsor: Sen. Lankford, James [R-OK]
Process start date: 2025-05-01