The Wall Street Journal reports.

Excerpt:

The Environmental Protection Agency will propose a draft rule on Monday seeking a 30% reduction in carbon-dioxide emissions by 2030 from existing power plants based on emission levels from 2005, according to two people who have been briefed on the rule, setting in motion the main piece of President Barack Obama’s climate-change agenda.

The rule, scheduled to be completed one year from now, will give flexibility to the states, which must implement the rules and submit compliance plans to EPA by June 2016. States can decide how to meet the reductions, including joining or creating new cap-and-trade programs, deploying more renewable energy or ramping up energy-efficiency technologies.

Each state will have different percent reduction standards, and the national average will be 25% by 2020 and 30% by 2030, these people said.

The proposed rule will regulate carbon emissions from hundreds of fossil-fuel power plants across the U.S., including about 600 coal plants, which will be hit hardest by the standard.

“EPA will release its proposed carbon pollution reduction rule on Monday,” EPA spokesman Tom Reynolds said. “Until then the agency will not comment on any information that may or may not be in the proposal.”

So let’s work out what follows next. If emissions are cut, then production will be reduced. It’s a law of economics that when supply goes down, and demand stays the same, then prices will rise. Either that or the power plants will have to become more efficient, which also costs more money. Are you ready for higher electricity prices?

Update: Republicans say EPA regulation will up to 800, 000 jobs.