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Obama's climate change plan faces legal test

Apr. 16, 2015 12:25 PM ETPeabody Energy Corporation (BTU) StockIDU, XLU, XLE, IYE, OIH, VDE, VPU, PXJ, BTU, RSPG, RSPU, DUG, SDP, DIG, UPW, FXN, FXU, KOL, DDG, ERY, ERX, FENY, FUTYBy: Carl Surran, SA News Editor38 Comments
  • A federal appeals court begins hearing arguments today in two cases challenging the EPA’s far-reaching proposal to cut pollution from U.S. coal-fired power plants.
  • The lawsuits - one from a coalition of 15 states and another brought by privately held coal miner Murray Energy - are part of a growing pushback from opponents who say the move is illegal and will kill jobs, hurt demand for coal and drive up electricity prices.
  • The EPA rule proposed last year requires states to cut carbon emissions by 30% by 2030, giving customized targets to each state and leaving it up to them to draw up plans to meet the targets.
  • Coal industry arguments will be helped by an unlikely ally: iconic liberal law professor Laurence Tribe, who is representing Peabody Energy (NYSE:BTU) and likens Pres. Obama's climate change policies to "burning the Constitution."
  • ETFs: XLE, XLU, VDE, ERX, OIH, KOL, IDU, VPU, ERY, DIG, DUG, IYE, FENY, PXJ, RYE, FUTY, RYU, UPW, FXN, FXU, DDG, SDP

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