The mostly Democratic-led states say that the E.P.A. acted unlawfully when it erased Biden-era limits on carbon dioxide from coal- and gas-fired plants.
President Trump has pushed to dismantle many federal policies that aim to tackle climate change, including Biden-era rules that limited planet-warming emissions from power plants.
A federal judge ruled that the new law, which would force fossil fuel companies to pay $75 billion to help cover the costs of climate change, was unconstitutional.
Under the proposal, states would no longer need to provide public notice or solicit comments on air pollution permits for data centers and other projects.
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