A new study from the Council of Industrial Boiler Owners (CIBO) predicts that the EPA’s proposed rule to impose stricter emission limits on industrial and commercial boilers and process heaters – the “Boiler MACT” rule – could potentially put 300,000 U.S. jobs at risk.
More specifically, the study found that every $1 billion spent on compliance costs could jeopardize 16,000 jobs and reduce the U.S. GDP by $1.2 billion. One NAM member company with three large coal-fired boilers estimates it will spend over $100 million to install the necessary technology needed to reduce certain emissions. Installing this expensive control technology is no guarantee that the stringent emissions limits can be met.
This afternoon, the NAM and several other trade associations joined CIBO at a briefing for key U.S. Senate staff on this critical manufacturing issue. The NAM stated that this proposed rule is another example of EPA overreach as manufacturers are attempting to fully recover from the steepest economic downturn since the 1930s and bring back the 2.2 million high wage jobs lost during the previous recession. In addition to the Boiler MACT rule, manufacturers are also confronting the reconsideration of the 2008 ozone standard, the proposal to regulate coal ash, and the imposition of first-time federal regulations on greenhouse gas emissions.
Manufacturers need to be focused on creating jobs and staying competitive in the global marketplace. Both small and large companies are operating under extremely tight profit margins, and expensive, burdensome and unachievable rules from EPA could mean the difference between staying in business for another year and shutting the plant doors.