On June 2, 2014, EPA released its long-awaited proposal to regulate CO2 emissions from existing power plants—the 111(d) rule. In the rule, EPA proposes enforceable state-by-state CO2 performance goals, expressed in pounds of CO2 per megawatt hour (lbs/MWh). Unlike the 111(b) rule for new fossil-fired power plants, the state performance goals are not directly applicable to fossil generating units. The goals are based on a bottom-up, multi-factor analysis that reflects a “system-wide” approach, including natural gas redispatch, renewable energy deployment, and demand-side energy efficiency. Overall, the Agency projects the rule will achieve a 30 percent reduction in power plant CO2 emissions (from 2005 levels) by 2030 and a 25 percent reduction by 2020. EPA will allow broad flexibility in terms of how the goals are met.