In an article published by Law360, Peggy Otum, Davina Pujari, Chaz Kelsh and Shannon Morrissey discuss recent litigation surrounding the Biden administration’s use of social cost of carbon estimates in its regulatory analyses.
Excerpt: On May 26, the U.S. Supreme Court ruled to allow the Biden administration to continue using the social cost of carbon estimates in its regulatory analyses, developed pursuant to an executive order from President Joe Biden.
In Louisiana v. Biden, 10 states had won an injunction barring the administration's use of the social cost of carbon from the U.S. District Court for the Western District of Louisiana, which the U.S. Court of Appeals for the Fifth Circuit then stayed. The Supreme Court's order leaves the stay in place, while the government appeals the district court's decision.
On Jan. 20, 2021, Biden issued Executive Order No. 13990, requiring federal agencies to use the social cost of carbon to quantify the social benefits of reducing greenhouse gas emissions, thus giving it a prominent role in his administration's regulatory agenda.
