Our nation’s electric utilities power the world’s most productive economy, but they also release tons of harmful emissions. As stewards of our environment, we must act to reduce pollution from power plants and improve our nation’s air quality. I have introduced in the House a bipartisan, bicameral bill to decrease toxic emissions from America’s utilities. The Clean Air Planning Act (CAPA) is a four-pollutant bill that would set national caps on emissions from power plants – including carbon dioxide and provide a better alternative to previously existing House proposals.

As a down wind state, New Hampshire is in the unenviable position of being at the end of America’s proverbial tailpipe. Therefore, pollution from power plants in the Midwest results in smog, haze, and acid rain the Granite State. Although New Hampshire enacted its own four-pollutant legislation, regions within the state fail to meet federal air quality standards. My bill, H.R. 3093, caps emissions nation-wide to improve air quality in New Hampshire and address serious human health and environmental concerns associated with pollution.

New Hampshire’s quality of life and economy are linked with clean air and predictable climate patterns. Under CAPA, Americans overall would enjoy an 80% reduction of emissions of sulfur dioxide – which causes acid rain, a 69% reduction of emissions of nitrogen dioxide – which contributes to smog, and an 80% reduction of mercury. The bill would also return carbon dioxide to 2001 levels by 2013 and lessen the threat of global warming.

Clean air is an important goal, but it must be balanced with the nation’s need for affordable and reliable energy. CAPA would place reasonably aggressive caps on power plant emissions, while giving them flexibility to reach compliance. Because my bill would allow utilities to trade and sell credits to stay within attainable limits, it is more workable than the clean smokestacks bill proposed by Rep. Henry A. Waxman (D-CA), which would cripple the U.S. economy. Furthermore, the bill achieves twice the environmental and health benefits of the Administration’s clear skies legislation for less than a 2% increase in cost.

Until recently, power plants were required to install modern pollution controls when they construct or significantly upgrade their facilities. The recent decision by the Environmental Protection Agency to eliminate clean air requirements known as New Source Review allows older power plants and refineries in the Midwest to update and expand without installing the best available technology to reduce pollution, making it much more difficult for New Hampshire to meet federal clean air standards.

The cap and trade based emission standards established by CAPA would provide the maximum incentive for the development of pollution control technology. Under the bill, sources that stay below the caps would be allowed to sell their credits to plants that exceed the limits. Eventually it would become more cost effective for older power plants to shutdown or install new pollution controls than to buy credits to comply with the caps. Furthermore, by phasing in the new limits, the bill gives utilities time to plan ahead and make compliance decisions.

In the months ahead, CAPA and other clean air bills will be discussed and debated. I maintain that everybody wins under my bill. Environmentalists who prefer progress to endless litigation, power producers who prefer long-term certainty about the industry’s future emissions reduction obligations, and citizens who want clean air and affordable reliable energy. Given its broad appeal, CAPA has the best chance of the proposals pending in Congress to become law.