Business community and legislative leaders file legal challenge to new EPA rule

The Arizona Chamber of Commerce & Industry joined state Senate President Warren Petersen and House Speaker Ben Toma in filing a petition Monday in the United States Court of Appeals to contest the Environmental Protection Agency’s recent regulation regarding fine particulate matter, or PM2.5. 

Their argument asserts that the regulation “exceeds the agency’s statutory authority and otherwise is arbitrary, capricious, an abuse of discretion, and not in accordance with law.”

In November of 2023, the Chamber and the Arizona Manufacturers Council and the National Association of Manufacturers challenged the EPA’s proposed rulemaking.

Earlier this month, the National Association of Manufacturer’s Legal Center sued to block the EPA’s rule that lowered the National Ambient Air Quality Standards for fine particulate matter (PM2.5) to 9 micrograms per cubic meter.

The NAM has advocated for retaining the current standards. Lowering the standard to 9 micrograms per cubic meter is far ahead of other countries, the European Union plans to reduce its standard to 10 by 2030, the United Kingdom plans to reduce its standard to 10 by 2040. 

The new, more aggressive U.S. standard will cause numerous issues for manufacturers, crippling production. 

According to the NAM, the regulation is projected to endanger activity valued between $162.4 billion and $197.4 billion, potentially putting at risk 852,100 to 973,900 existing jobs.

 “Arizona’s businesses understand the importance of environmental stewardship, but the EPA’s new standard on fine particulate matter disregards the collaborative spirit of environmental regulation,” Chamber President and CEO Danny Seiden said. “By imposing unrealistic mandates, the federal government is hindering our ability to address local challenges effectively.

“Arizona needs solutions that consider our unique circumstances and promote sustainable economic growth without unnecessary regulatory burdens. The EPA’s one-size-fits-all approach will have real consequences for industries across our state and will jeopardize future job creation. But aside from the economic implications, EPA’s action exceeds its statutory authority and threatens the balance of cooperative federalism essential for effective environmental governance.

“We are grateful to President Petersen and Speaker Toma for standing with the Chamber and with Arizona job creators, and we encourage the Court to overturn this harmful and unlawful rule.”