End the use of social cost of carbon analysis by executive order

What has happened

1. May 5, 2025 Done

   The guidance closed the gap. M-25-27, issued by OIRA in consultation with EPA to fulfill section 6, tells agencies to "limit their analysis and consideration of greenhouse gas emissions only to that plainly required in their governing statutes", states that "under this guidance, the circumstances where agencies will need to engage in monetized greenhouse gas emission analysis will be few to none", and instructs that agencies quantifying emissions where case law requires it "should not monetize the impacts from such emissions" because the uncertainties are too great. It also records the consequence of disbanding the working group: "it is no longer Federal government policy to maintain a uniform estimate of the monetized impacts of greenhouse gas emissions." Social cost of carbon analysis is over as a federal practice.

   • OMB/OIRA M-25-27, Guidance Implementing Section 6 of Executive Order 14154, Entitled "Unleashing American Energy"

     Primary Executive branch May 5, 2025

2. Jan 20, 2025 Partially done

   The executive order withdrew the numbers but stopped short of ending the analysis. EO 14154 section 6(b) withdraws every social cost estimate the interagency working group produced; section 6(c) states that the calculation "is marked by logical deficiencies, a poor basis in empirical science, politicization, and the absence of a foundation in legislation" and directs the EPA Administrator, within 60 days, to issue guidance addressing those inadequacies "including consideration of eliminating the 'social cost of carbon' calculation from any Federal permitting or regulatory decision." Consideration, not elimination — and in the meantime section 6(d) tells agencies to value greenhouse-gas changes consistently with the 2003 Circular A-4.

   • Executive Order 14154, Unleashing American Energy

     Primary Executive branch Jan 20, 2025