New Ozone Regulation Could be the Costliest in U.S. History
The U.S. Environmental Protection Agency (EPA) is formulating what could be the costliest regulation in U.S. history. While most of us don’t pay attention to the nation’s ground level ozone standards, this regulation could impact the industry’s ability to expand, and could cost our employees hundreds of dollars every year by requiring facilities and customers to meet air quality standards that may not even be possible to implement with current technologies. It would:
- Reduce U.S. gross domestic product (GDP) by $140 billion per year and a cumulative $1.7 trillion between 2017 and 2040
- Result in 1.4 million fewer job equivalents per year on average through 2040
- Cost the average U.S. household $830 in disposable income
The U.S. Chamber of Commerce estimates nearly all urban areas in the United States would immediately be in violation of this regulation, and that several National Parks would be as well. Those violations would have serious consequences for the metals and larger manufacturing community—facilities may be required to install costly pollution control equipment, limit production, or forgo expansion.
MSCI is working to stop this rule. With the National Association of Manufacturers (NAM), MSCI recently sent a letter to President Barack Obama asking him to keep current ozone standards in place. Read the full letter here.