Energy and Commerce Members Introduce Bills to Reform Clean Air Act Permitting

WASHINGTON, D.C. – Today, Congressman Brett Guthrie (KY-02), Chairman of the House Committee on Energy and Commerce, applauded the introduction of four bills that provide commonsense reforms to rein in outdated and overburdensome Clean Air Act (CAA) regulations that have stifled American manufacturing and growth without delivering promised environmental protections.

The Air Permitting Improvements to Protect National Security Act, led by Chairman Gary Palmer (AL-06), the Reducing and Eliminating Duplicative Environmental Regulations (RED Tape) Act, led by Congressman John Joyce, M.D. (PA-13), the Foreign Emissions and Nonattainment Clarification for Economic Stability (FENCES) Act, led by Congressman August Pfluger (TX-11), and the Fire Improvement and Reforming Exceptional Events (FIRE) Act, led by Congressman Gabe Evans (CO-08), address excessive regulatory red tape under the CAA that creates bottlenecks, delays investment, and slows our nation’s ability to compete with China.

“Meaningful permitting reform cannot be accomplished without modernizing the Clean Air Act. Our Committee is working to end the suffocating regulatory state that the Biden-Harris Administration sought to entrench, ultimately halting manufacturing and driving investments overseas,” said Chairman Guthrie. “These bills will cut through the red tape that has hurt American businesses and workers, while still ensuring strong air quality protections. If we want to win the AI race against China, deepen our global leadership in advanced manufacturing, and continue onshoring more investment, we will need to be able to build the needed infrastructure, facilities, and power generation—these bills will help us to achieve these goals. Thank you to Chairman Palmer, Chairman Joyce, Congressman Pfluger, and Congressman Evans for leading the introduction of these important bills.”

“Manufacturing and critical mineral facilities that are essential to our economic stability and national security are currently being delayed due to permitting gridlock caused by burdensome regulations,” said Chairman Palmer. “This amendment to the Clean Air Act is long overdue. It’s time we remove unnecessary roadblocks so that we can adequately support domestic production while also ensuring we are protecting future generations’ environment and quality of life.”

“Simply stated, more efficient project approvals will create new Pennsylvania jobs,” said Congressman Joyce, M.D.I’m proud to introduce the RED Tape Act and offer a commonsense solution to eliminate redundant federal approvals that delay economic growth and job creation.”

“American companies are being unfairly penalized for pollution originating outside the United States. We’ve seen how even the mention of a nonattainment designation, like when the Biden EPA threatened to redesignate the Permian Basin, can create significant uncertainty for businesses and communities,” said Congressman Pfluger. “These designations delay permits and hurt economic growth, while failing to address the very problem they are trying to solve. My bill restores commonsense by preventing the EPA from punishing states for pollution they didn’t cause – including foreign emissions, cross-state transport, wildfire smoke, and mobile-source emissions outside their control. I’m proud to lead this bill as another major step in modernizing and strengthening America’s broken permitting system.”

“A leading reason for the affordability crisis facing Coloradans is red tape around air quality permitting. When the economy is strangled under the weight of costly, poorly designed ozone attainment standards, jobs are lost, prices spike, and financial stress increases negative health outcomes,” said Congressman Evans. “Clean air is important to everyone, but Colorado jobs should not be penalized for emissions outside of their control — whether it's Canadian wildfires or Chinese pollution. My bill, the FIRE Act, is a common-sense solution that will drive down costs for working families in Colorado by clarifying that Clean Air Act benchmarks should not be used to punish jobs and hamstring the economy for things like prescribed burns or out-of-state wildfire smoke.”

Background:

Air Permitting Improvements to Protect National Security Act

  • The Clean Air Act requires pre-construction permits for major sources of emissions and pollution, but Section 173 of the Clean Air Act currently includes a provision allowing offset requirements to be waived for rocket engines or motors, which are essential for national security.  
  • This bill expands that authority to include advanced manufacturing facilities and critical minerals facilities, which are vital to strengthening America’s supply chains and national defense.  
  • Under the bill, the President may determine that an advanced manufacturing facility or a critical minerals facility is exempt from offset emissions credit requirements. An advanced manufacturing or critical mineral facility may also receive an exemption to the offset requirements if it can show offsets are not readily available and that the facility is working to maximize emissions reductions.  
  • Importantly, these facilities would still be required to meet all other Clean Air Act permitting requirements, ensuring continued environmental protections.

Reducing and Eliminating Duplicative Environmental Regulations (RED Tape) Act  

  • Under current law, the EPA conducts a second review and publicly comments on the environmental impacts of other federal agencies’ projects and regulations, even where the EPA has participated in the initial environmental review. This has created redundancy and adds a costly, duplicative, and unnecessary layer of bureaucracy. 
  • Agencies that prepare environmental impact statements already have the expertise to evaluate their own projects. Adding a full and secondary review creates duplication and delays in the system.   
  • The RED Tape Act would eliminate the EPA’s burdensome requirement to provide duplicative feedback on other agencies’ environmental impact statements under NEPA.

Foreign Emissions and Nonattainment Clarification for Economic Stability (FENCES) Act  

  • States across the country are being unfairly penalized for pollution that originates beyond U.S. borders, including from natural events like the Canadian wildfires. Under current law, states can adjust their air quality plans if foreign emissions affect their ability to meet federal air standards.  
  • However, recent EPA guidance has limited permissible adjustments only to human-caused emissions, creating unnecessary hurdles for states and industries already working to comply with the Clean Air Act. 
  • The FENCES Act clarifies that all foreign emissions, whether natural or human-caused, are excluded when determining whether a state meets national air quality standards or when reviewing new facility permits. The bill also allows states to account for foreign emissions earlier in the process, rather than waiting until all other requirements are complete.

Fire Improvement and Reforming Exceptional Events (FIRE) Act  

  • The FIRE Act ensures that states are not punished for smoke and emissions they cannot control, while still maintaining strong environmental protections. It provides clarity and predictability for air quality planning, reduces unnecessary regulatory burdens on manufacturers and communities, and rewards proactive wildfire mitigation that protects public health and improves future air quality.  
  • The legislation updates Section 319(b) of the Clean Air Act to clarify how emissions from wildfires, prescribed burns, and other exceptional events are treated in federal air quality reviews. It strengthens states’ coordination with the EPA to ensure timely, transparent exceptional-event determinations.

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