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Federal Energy Rules Could Mean More Pollution and Higher Bills for Northwest Indiana

September 20, 2026 · Chicago Tribune

Experts warn that rolling back greenhouse gas rules for power plants will hurt air quality and raise costs for Indiana families.

The Trump administration is rolling back rules that limit pollution from power plants, and experts say people in Northwest Indiana could feel the effects most. On Sept. 14, EPA Administrator Lee Zeldin announced the repeal of most of the Biden-era rules that required power plants to cut greenhouse gas emissions. Environmental and health experts are concerned the change will lead to dirtier air, more health problems, and higher electricity bills for families in the region.

The EPA says its decision will save $310 billion and help keep electricity prices low. Zeldin said the Biden and Obama administrations had waged a 'war on coal' and that the Trump administration wants to protect affordable energy. He promised Americans would see lower electricity bills and more jobs as a result of the change.

However, many energy and environmental experts strongly disagree. Kerwin Olson, executive director of the Citizens Action Coalition, said he has heard the argument about regulation raising costs for 20 years. He said wind and solar energy are now actually the cheapest forms of power, and keeping coal plants running will cost families more money, not less.

Janet McCabe used to help write environmental rules for the EPA under President Biden. She said it is 'super concerning' to see the current administration trying to permanently weaken the government's ability to protect public health. McCabe is especially worried about Northwest Indiana, which she said already faces a lot of pollution from many different sources.

Ashley Williams of Just Transition Northwest Indiana said the repeal could not have come at a worse time. She pointed out that Indiana law does not allow the state's environmental agency to set stricter rules than the federal government requires. That means when the EPA weakens its rules, Indiana often suffers the most.

State Rep. Earl Harris said the decision will hurt all Hoosiers but will hit Black and low-income communities the hardest. He cited research showing that Black Americans are more likely to live near coal plants. He also noted that nearly half of Americans living within 30 miles of a coal plant are economically disadvantaged.

A separate legal battle is playing out over coal plants in the region. In December, the U.S. Department of Energy ordered NIPSCO's R.M. Schahfer Generating Station to stay open past its planned closing date. Keeping Schahfer running has cost more than $400,000 per day, and combined with a Michigan plant, Midwest ratepayers could be paying $1 million per day.

On Sept. 11, a federal appeals court ruled that the Department of Energy had acted illegally when it ordered Michigan's J.H. Campbell Coal Plant to stay open. The court said the department went beyond the power given to it by federal law. Lawyers who challenged both orders said the ruling makes it clear that similar orders for Indiana plants were also illegal.

The Department of Energy defended its emergency orders, saying they were necessary during a severe winter storm in late January. A spokesperson said coal generation in affected regions rose 25% compared to the year before. The spokesperson also said the orders 'prevented blackouts and likely saved hundreds of lives.'

"Rolling back that stuff is counterintuitive to those goals, and again, it just shows a blatant disregard for our environment, for our natural resources and for human health."

Comprehension quiz preview

1. What did EPA Administrator Lee Zeldin announce on September 14?

  • AA new plan to build more solar farms
  • BThe repeal of most Biden-era greenhouse gas rules for power plants
  • CA law requiring coal plants to shut down by 2030
  • DA report showing that electricity prices had dropped

2. How much did it cost per day to keep the Schahfer Generating Station open during the first emergency order?

  • A$38 million
  • B$1 million
  • CMore than $400,000
  • D$310 billion

3. What did the federal appeals court rule on September 11 about the J.H. Campbell Coal Plant?

  • AThe plant must stay open for five more years
  • BThe Department of Energy acted illegally by ordering it to stay open
  • CNIPSCO must pay for the plant's costs
  • DThe plant was the cleanest coal facility in the Midwest

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