Supreme Court Sides with EPA in Air Pollution Case February 27, 2001 10:35 am EST

WASHINGTON (Reuters) - In one of the most important environmental and business decisions in decades, the U.S. Supreme Court rejected on Tuesday industry arguments that the federal government must consider cost and not just health benefits in setting national air pollution standards.

The high court's unanimous ruling also said the section of the clean air law on which the U.S. Environmental Protection Agency (EPA) relied in coming up with the standards did not amount to an unconstitutional delegation of legislative power.

But in a third part of the complex ruling, the court said the EPA's implementation policy for the ozone standard was unlawful and unreasonable, and that the agency must develop a reasonable interpretation.

The EPA has predicted the rules would save lives and billions of dollars in health costs by reducing air pollution. The EPA has estimated the standards will protect 125 million Americans from adverse health effects from air pollution.

Attorneys representing industry groups opposed to the standards lowering smog and soot have said the rules would cost businesses nearly $50 billion a year, a factor never considered by the EPA.

-- Anonymous, February 27, 2001