Those moves have been rebuffed by California and a dozen other states, which have led a push to maintain high environmental standards and legally challenge the Trump administration's rollback of the Obama-era rules.
Meanwhile, Trump has also directed Energy Secretary Rick Perry to bolster struggling coal-fired and nuclear power plants to keep them open, warning that impending retirements of "fuel-secure" power plants that rely on coal and nuclear power are harming the nation's power grid and reducing its resilience.
In a statement, Republican Senator John Barrasso from the coal state of Wyoming welcomed the overhaul of the Obama administration's 2015 regulations, called the Clean Power Plan. Particulates from coal-fired power plants lead to a variety of bad health effects, from asthma to premature heart disease.
Trump, who is scheduled to hold a rally on Tuesday in West Virginia, a top coal-producing state, has vowed to end what he has called "the war on coal" and boost domestic fossil fuels production.
What are the main differences between the Trump administration's proposals and the clean power plan?
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Trump has already vowed to pull the U.S. out of the Paris climate agreement as he pushes to revive the coal industry.
The Trump administration proposal was cheered by business leaders and conservatives who said the Obama initiative illegally sought to compel more renewable power and quash coal.
The EPA estimates that the ACE rule could reduce 2030 Carbon dioxide emission by up to 1.5 percent from projected levels without the CPP, which amounts to taking 5.3 million cars off the road.
The proposal lays out several possible pathways that individual states might use for regulating coal-fired power plants, and what the consequences would be for pollution and human health in each case. Although it is unlikely to dramatically alter the USA power mix - or give a big boost to domestic coal demand, which has flagged amid competition from cheap natural gas and renewables - industry advocates hailed the effort as curbing federal government overreach and leveling the playing field.
Even under the administration plan, power sector emissions will continue to decline. States have three years to evaluate their power plants and submit proposals for compliance, after which the EPA has another year to review - all before any implementation begins. The new rule would allow coal power plant owners to make efficiency upgrades without triggering any additional costly repairs, as the previous administration hoped to do. Earlier in August, they announced plans to scale back fuel efficiency requirements for cars; past year, they pulled out of the Paris agreement on climate change. The rule dictated specific emission targets for states based on power-plant emissions and gave officials broad latitude to decide how to achieve reductions.
It also would overhaul the triggers that prompt new permit reviews - and potentially expensive new pollution controls - that have been criticized as onerous by owners of power plants, refineries and other industrial sites. "The Clean Power Plan would have resulted in stranded assets and stranded debt, significantly increasing electricity costs for many consumers", Matheson said by email.