The U.S. Court of Appeals for the District of Columbia overturned EPA's addendum to the existing Clean Air Act, and noted that sometimes existing monitoring requirements do not assure compliance, Reuters reports.
The ruling allows states and local authorities to raise emissions monitoring requirements.
This is the second recent environmental setback for the Bush administration. In July, the same court rejected the EPA's plan to reduce polluting emissions from power plants and help states meet federal clear air standards. The court ruled that the EPA went beyond its authority to create the Clean Air Interstate Rule.