EPA coal decision could pave way for renewable energy

A recent ruling by the EPA's Environmental Appeals Board could lead to a tougher time for coal power and an easier time for renewable energy. Last Thursday, the board blocked the EPA from issuing a permit to a coal plant addition in Utah and ruled that the agency needs to develop a nationwide standard for dealing with CO2.

This ruling is important because it puts over 100 proposed coal plants on hold while the EPA comes up with new CO2 guidelines. Coal plants will be considered riskier by investors because there's no telling what types of changes will have to be made for them to get the green light. This could convince investors to put their financing behind clean energy projects instead.

If the EPA comes up with even moderately strict CO2 limits, coal companies will have to spend more money on technology that reduces their emissions. This will make coal power more expensive and renewables like solar, wind and geothermal more competitive.