Climate 411

Growing Jobs, One Auto Supplier at a Time

By Jackie Roberts / Published: September 7, 2012

Last week, the U.S. Environmental Protection Agency (EPA) and the U.S. Department of Transportation (DOT) jointly announced new clean car standards that will benefit America’s economy and our environment.

The standards mean that by 2025 new cars on U.S. roads will average an unprecedented 54.5 miles per gallon.

Those same clean cars will also reduce the levels of dangerous climate pollution from auto emissions.  

Businesses in the auto supply chain are applauding.  According to Fred Keller, Chairman and CEO of Cascade Engineering: 

The new fuel economy requirements are an example of good regulation developed in the right way. By working with both industry and environmental interests, regulators were able to come up with standards that provide the right incentives and get the right results without putting an undue burden on industry. What’s more, the resulting incentives are positive, as they will encourage manufacturers to develop lighter-weight vehicles and reduce demand for fossil fuels. I recognize it is not always easy to develop regulation in this way, but this should serve as a model for how to do it effectively in the future.

Cascade Engineering has a growing automotive solutions group that focuses on acoustic insulators, chassis & powertrain components, and interior/exterior trim.  

Other companies are praising the new standards as well.

Nam Thai-Tang, Co-Founder and Executive Vice President of ALTe, said this:

ALTe applauds any effort to drive towards greater fuel efficiency in the transportation industry. We are encouraged by the new standards and expect that they will help companies like ours that are developing advance hybrid powertrain technologies for America’s vehicles. 

ALTe manufactures electric vehicle powertrains which are used to increase fuel efficiency and lower emissions.

The new clean car standards follow closely after the first-ever national standards for passenger vehicles, which applied to vehicles in model years 2012 to 2016.

The Administration says that, in total, its national program to improve fuel economy and reduce greenhouse gas emissions will save consumers more than $1.7 trillion at the gas pump and reduce U.S. oil consumption by 12 billion barrels.

A joint ACEEE-BlueGreen Alliance report found the standards also would create more than a half million jobs by 2030, including 50,000 jobs in auto manufacturing. (These projections are not surprising. Since the restructuring, auto companies have added 250,000 jobs.)

Fuel economy standards benefit American auto companies and the myriad of suppliers because they create certainty, establish the U.S. as leader in fuel efficiency, and provide incentives for innovation.

Unlike many other industries, the auto sector and its many suppliers can plan for the future knowing the regulatory playing field until 2025.

The new clean car standards stand as among the most progressive in the world, driving the U.S. to a leadership position in fuel-efficient vehicles and technologies–  and toward the opportunity to export everything from parts to final assembled vehicles. 

These rules reward innovation in every facet of auto technologies — from changes to traditional combustion engines such as new materials, electronics, engine re-design, and recirculation of exhaust gas to development of a new generation of electric vehicles, hybrid and fuel cell vehicles. 

Seifi Ghasemi is chairman and chief executive of Rockwood Holdings, the world’s largest producer of lithium and lithium compounds.

He responded to the announcement by noting that:

Rockwood believes that the US can be the world leader in a game-changing technological leap forward by making electric vehicles the cars of the future. 

Mr. Ghasemi further described how Rockwood is already expanding and adding jobs:

For the auto industry and battery makers to adopt this technology, they must have a secure and reliable supply of lithium compounds for advanced electric vehicles. To meet the need for these compounds, Rockwood recently invested more than $75 million in two expansion projects that expands the output of our Silver Peak, Nevada, and Kings Mountain, North Carolina, production facilities.  We expanded our Silver Peak site, which is the only US source of lithium raw materials, and we built and recently opened a state of the art battery grade lithium hydroxide manufacturing plant in Kings Mountain.  In addition, we completed a new Global Technical Center at Kings Mountain that will bring together engineers and scientists to perfect and commercialize advanced battery materials.  These investments provide several economic benefits, including the addition of more than 100 new manufacturing and research and development jobs.  These expansions also reinforce our long-term competitiveness in a vital, growing technology.

As the auto sector continues to demonstrate, strong environmental standards can work in concert with a vision for growth in industries across America.

Also posted in Cars and Pollution, Clean Air Act, Energy, Greenhouse Gas Emissions, Jobs, News, Policy, What Others are Saying / Read 1 Response

Finally, A Good Record High! Car Fuel Efficiency in 2012

By Mandy Warner / Published: July 30, 2012

The summer driving season is in full swing and I’m sure many drivers are still recovering from the gas-price whiplash we’ve faced this year. 

The good news is that the U.S. has been making some really smart choices and significant strides recently to improve the fuel economy of cars and trucks. That helps Americans save money at the pump, reduces our country’s dependence on oil, and reduces harmful carbon pollution.

I retired my own clunker early this year after some disturbing sounds started emanating from its engine. I went shopping for a new car, and I was delighted to see that the new cars being sold are much more fuel efficient than when I bought my clunker.

I noticed that even fuel economy levels between model years of the same car are noticeably improved. That demonstrates that we are making continual, yearly improvement in fuel efficiency now.

So I wasn’t surprised to see this new analysis from Baum & Associates. It finds that the first half of 2012 set a record high in fuel efficiency for new vehicles.

Here are a couple of key findings from the analysis on the first half of 2012:

  • The average fuel efficiency of new cars sold was 23.8 miles per gallon (mpg)
  • Since 2011 fuel, economy has improved by 1.1 mpg
  • That 1.1 mpg improvement happened while sales increased at a larger rate than the economy

The Baum & Associates report also shows that consumers also had more choices across all types of vehicles to get higher fuel economy in the first half of 2012. It looked at “popular nameplates” – cars that had sales of at least 30,000 annually. Take a look at this chart from the Baum and Associates report:

(Chart: Summer 2012 Fuel Economy Analysis, July 2012, Baum & Associates) 

This progress has been driven largely by new fuel economy standards for cars enacted by the Department of Transportation (DOT) and the Environmental Protection Agency (EPA) in 2010.

Industry supported DOT and EPA’s efforts and got straight to work improving fuel economy to meet the model year 2012 to 2016 standards.  Those standards require a fleet-wide average fuel economy of 35.5 mpg by 2016.

Over the lifetime of these vehicles, these standards will:

  • Save American families $3,000 in fuel costs (model year 2016 vehicle)
  • Reduce oil consumption by 1.8 billion barrels
  • Reduce carbon pollution by 960 million metric tons

Even more exciting, new standards to improve average fleet-wide fuel efficiency of our cars to a whopping 54.5 mpg by 2025 are expected to be finalized this summer.

By 2025, the combined existing and anticipated new standards are estimated to:

  • Save American families more than $8,000 in fuel costs over the lifetime of a new vehicle
  • Reduce oil consumption by 2.2 million barrels a day
  • Reduce carbon pollution by more than 6 billion metric tons

American consumers are supporting better fuel efficiency in cars, mostly because of the substantial long-term savings on gas.

The Consumer Federation of America (CFA) just did a new poll. They found that 88 percent of those surveyed said the U.S. should reduce oil consumption, and 86 percent said cutting consumer costs is an important reason why.

Dr. Mark Cooper of the CFA said:

Record spending on gasoline for American families, combined with consumer demand for better mileage and a broad political consensus over higher national standards, are driving faster improvements in fuel economy than at any time since the oil price shocks of the 1970s.

He added:

The 54.5 mpg by 2025 standard will be one of the most important consumer protection measures to be adopted in decades.

Of course, there are other vital reasons to increase fuel efficiency standards for our cars, besides the fact that we’ll save lots of money.

By 2025, oil savings from the combined fuel economy standards (for cars and trucks model years 2012 to 2025) will be substantially more than the amount of oil we imported each day last year from Iraq, Kuwait and Saudi Arabia combined.

Our cars account for about 40 percent of all U.S. oil consumption. They also account for nearly 20 percent of all U.S. carbon pollution. 

Although there is still much work to be done to reduce our dependence on oil and our dangerous carbon pollution emissions, the success so far of the car standards provides a testament to the innovative spirit of American industry. It’s proof that we can achieve our emission goals while fostering economic growth.

Also posted in Cars and Pollution, Clean Air Act, Energy, Greenhouse Gas Emissions, News, Policy / Comments are closed

Why It Matters: the Senate Vote on a Toxic Resolution

By Mandy Warner / Published: June 21, 2012

When the Senate voted down  S.J Res. 37 by a margin of 53 to 46 yesterday, we at EDF cheered.

The measure would have nixed the new Mercury and Air Toxics Standards that were just finalized by the Environmental Protection Agency (EPA). Those new standards are one of the most important steps EPA has ever taken to clean up our air and protect public health.

EDF’s own Fred Krupp summed up the bipartisan vote this way:

[They] voted against S. J. Res 37. That means they voted for cleaner, healthier, safer air for all Americans. They voted to let EPA do its job, and reduce the mercury and other toxic pollution emitted from power plants into the air we breathe. They voted to save up to 11,000 lives each year, to help prevent neurological damage in babies, and to make it safer to eat fish caught in American waters.

But there’s a lot more to say about why this vote was so critical – and why these standards are so important.

First, let’s look at the standards themselves.  

The Mercury and Air Toxics Standards limit the amount of mercury, arsenic, acid gases, and other noxious toxins that can be emitted by power plants.

The kinds of pollution covered by the standards are all extremely hazardous to human health. Mercury, for instance, impairs brain and neurological development in babies – including those exposed before birth.

The main way people are exposed to mercury is through eating contaminated fish. All 50 states have mercury fish consumption advisories, meaning that mercury has gotten into waterbodies like lakes and ponds and made the fish in those waters potentially unsafe for humans to eat.

That’s why pregnant women are warned about eating certain kinds of fish. But still, one in ten American women of child-bearing age have potentially dangerous levels of mercury in their bloodstream, and about 400,000 babies are born here every year who were exposed to unsafe levels of mercury in the womb. 

The power sector is the largest source of many toxic emissions, including mercury. Coal-fired power plants emit 50% of all the mercury pollution in our air, as well as 77% of all acid gases, and 62% of all arsenic.

Other sectors have long since reduced emissions of toxic pollutants like mercury. Cost-effective (and American made) pollution-control measures, like scrubbers, are available for power plants too.

The Mercury and Air Toxics Standards have been in the works for 20 years. Once they’re finally in effect, the standards will ensure that approximately 90% of the mercury in coal burned by power plants is not emitted to our air.

The standards will also:

  • Prevent up to 11,000 premature deaths—every year
  • Prevent 130,000 childhood asthma attacks every year
  • Prevent 5,700 hospital visits every year
  • Prevent thousands of heart attacks every year
  • Prevent thousands of bronchitis cases every year

But S.J. Res 37 would not only have nixed the new standards, it would also have prevented EPA from issuing a rule that is “substantially the same” in the future.

Fred called it a “scorched earth” policy.

It was certainly drastic — a resolution that would jeopardize EPA’s ability to ever protect Americans from the mercury and other toxic air pollution emitted by power plants.

And it was unnecessary. The main arguments against the Mercury and Air Toxics Standards were not grounded in reality. 

Opponents said the standards would cost too much and would kill jobs. Actually, the benefits of the Mercury and Air Toxics Standards are expected to outweigh the costs by at least 3 to 1, and as much as 9 to 1.

And the new standards are estimated to create up to 117,000 jobs between now and 2015.

Opponents also claimed the standards would threaten America’s electrical supply. Wrong again.

Independent analyses by the North American Electric Reliability Corporation, the U.S. Department of Energy, and the Congressional Research Service confirm that industry can comply with the Mercury and Air Toxics Standards while maintaining the reliability of our electric system. And EPA’s compliance framework establishes a clear and orderly process for securing an extended compliance pathway where needed and will allow utilities to make a smooth transition to cleaner generation.

In fact, numerous power companies have already indicated they can comply with the Mercury and Air Toxics Standards on time. In a December opinion piece for the Wall Street Journal, the leaders of PG&E, Calpine, NextEra, Public Service Enterprise Group, National Grid USA, Exelon, Constellation Energy Group, and Austin Energy explained how they, and many companies, have long prepared for these clean air standards.

The Mercury and Air Toxics Standards received a monumental level of public support: 

  • More than 800,000 Americans submitted comments to EPA in support of these new life-saving protections.
  • The U.S. Conference of Mayors unanimously adopted a resolution supporting the standards, saying that “clean, healthy air and water are fundamental American rights.”
  • Scientists support the standards – including dozens from Ohio universities who sent a letter to their state’s congressional delegation opposing S.J. Res 37.
  • Other organizations publicly supporting the Mercury and Air Toxics Standards include: faith, public health, and clean energy groups; power companies; the NAACP; environmental organizations; and groups representing sportsmen, mothers and fathers, Latinos, small businesses, and consumers.

If S.J. Res 37 had passed, it would have been disastrous for both public health and the environment. Fortunately, a group of 53 Senators from both parties stood up to be counted for clean air yesterday. We should all be grateful to them for their vote.

Also posted in Clean Air Act, Health, Jobs, Policy / Comments are closed

EPA’s Historic Proposal to Limit Carbon Pollution from Power Plants

By Fred Krupp / Published: March 27, 2012

Today we are making history. 

Today the U.S. Environmental Protection Agency (EPA) proposed the first-ever nationwide emission standards to limit dangerous carbon pollution from new coal- and gas-burning power plants. 

Today we take the first critically important step towards addressing the climate-destabilizing pollution emitted by power plants. 

Today we take a vital step towards protecting Americans’ health and strengthening our economy.

With these standards and EPA’s landmark clean car standards, we’re beginning to address the clear and present danger of carbon pollution from the two largest emission sources in our nation.

Power plants are responsible for 40 percent of the carbon pollution emitted in America. U.S. power plants are one of the largest sources of carbon pollution in the world. 

Power plants are responsible for 40% of carbon pollution emitted in the U.S.

We have the technology and the know-how to change this.

The carbon pollution emission standards proposed by EPA today would halve the carbon emissions from a new coal-fired power plant over its lifetime. 

These standards will help further the progress we are making towards a cleaner, more secure future for energy in America. We will use our nation’s electricity resources more efficiently to cut energy costs for families and businesses, mobilize Made in the USA technologies and fuels for cleaner energy generation, and ensure that America will lead the global race to a clean energy economy.

States, communities and businesses across our nation are already leading the way:

  • 29 states have adopted policies to expand reliance on cost-effective clean energy resources.
  • States including Washington, Montana, Oregon, Minnesota, New York and California have adopted (or are now putting in place) limits on dangerous carbon pollution from fossil-fueled power plants.
  • A McKinsey & Company report found that we could meet our nation’s growing electricity needs by using existing resources more wisely — and could cut energy costs for American families and businesses at the same time.
  • Innovative businesses like Solar City are creating new solutions and technologies to deliver cleaner, safer energy. Solar City, founded in 2006, is installing solar systems that lower utility bills with no upfront investment by the customer. Solar City has 20,000 projects in 14 states that are either completed or underway– including a one billion dollar project to put solar systems on military housing.
  • Hundreds of U.S. companies are capitalizing on new, multibillion-dollar market opportunities to make our electric grid as smart, flexible, and innovative as the internet — enabling a wholesale shirt to clean, community-based energy resources.

There are also fundamental shifts in the energy market that are driving a change in our electricity supply.

Much has been written about the structural market shift to natural gas, which has been enabled by new drilling technologies. Some have tried to deny this market shift and claim that EPA’s clean air protections are stopping new coal plants, but the truth is that basic economics — low natural gas prices— are driving these decisions.  But don’t take our word for it. Check out these quotes.

  • Jim Rogers is the CEO of Duke Energy, which provides electricity to the Carolinas, Indiana, Kentucky, and Ohio. He told the National Journal:

The new climate rule is in line with market forces anyway. We’re not going to build any coal plants in any event. You’re going to choose to build gas plants every time, regardless of what the rule is.

  • Thomas Fanning, CEO of Southern Company, recently told investors on an earnings call on January 25, 2012:

Four years ago…we were about 70% of our energy from coal and about, I don’t know, 16% from nuclear, about 12% from gas and the balance from hydro.  In the fourth quarter — this was really surprising to me, maybe not surprising considering how cheap gas is now – our energy production was 40% coal, 39% gas. … Now moving forward, given where gas prices are, we will continue to see much more gas production.

Inexpensive natural gas is the biggest threat to coal. Nothing else even comes close.

The immense natural gas resources recently made commercially accessible in the United States must be developed responsibly if we are to protect our water and ecosystems, and prevent wasteful leakage that will undermine the carbon pollution advantages of natural gas.  But America can meet this urgent challenge.

We also know how to harness the power of the wind, the sun, and geothermal resources. By making the energy foundation of our economy cleaner and more diverse, we will improve our national security, improve public health, and protect our climate.  Today we took a big step down that road.

The stakes are high.

Climate impacts are already affecting American communities, and scientists tell us that the impacts will intensify as atmospheric concentrations of heat-trapping greenhouse gas emissions rise.

The United States Global Change Research Program has determined that if carbon pollution emissions are not reduced, it is likely that American communities will experience increasingly severe impacts, including:

  • Rising levels of dangerous smog in cities — which will lead to an increased risk of respiratory infections, more asthma attacks, and more premature deaths
  • Increased risk of illness and death due to extreme heat
  • More intense hurricanes and storm surges
  • Increased frequency and severity of flooding
  • Increases in insect pests and in the prevalence of diseases transmitted by food, water and insects
  • Reduced precipitation and runoff in the arid West
  • Reduced crop yields and livestock productivity
  • More wildfires and increasingly frequent and severe droughts in some regions

I mentioned earlier that American states, communities and businesses are already taking steps to address these threats. Starting today, they don’t have to do it alone. With today’s announcement, our entire country will fight the widespread and varied threats we face from climate change.

I think EPA deserves a standing ovation for that.  

Please join me in supporting EPA’s efforts to protect our families, our communities, and our economy from these threats. 

The resistance to these standards by entrenched fossil fuel-dependent industries will likely be fierce, but together our voices can move these vitally important policies forward. 

Also posted in Clean Air Act, Energy, Greenhouse Gas Emissions, Health, News, Policy / Read 1 Response

Credible Sources Agree: EPA’s Rules will have Modest Economic Impacts

By Erin O'Sullivan / Published: February 22, 2012

We’ve posted so many stories like this that sometimes it’s hard to keep count, but here is yet another slew of reputable sources finding the EPA rules will not destroy the economy.  In fact, it may just be the boost it needs.  The Director of Regulatory Policy Research at the Economic Policy Institute just wrote a piece that sums it up nicely.  Here are some facts he rounded up on the air toxics rule:

  • Economic Policy Institute (EPI)- forecast to have a modest, positive net impact on overall employment—likely leading to the creation of 84,500 to 117,000 jobs between now and 2015
  • Congressional Research Service (CRS)- The benefits are also large, according to EPA, ranging from $37 billion to $90 billion annually.  The benefits mostly reflect the monetized value of avoiding up to 11,000 premature deaths annually.
  • Congressional Budget Office (CBO)- “On balance, CBO expects that delaying or eliminating those [EPA air] regulations regarding emissions would reduce investment and output during the next few years.”

Read the full article here: http://www.epi.org/blog/toxics-other-epa-rules-economic-effect/.

Also posted in Clean Air Act, Climate Change Legislation, Greenhouse Gas Emissions, News, What Others are Saying / Comments are closed

It’s Just Business (but FirstEnergy Blames Its Decisions on Clean Air Rules)

By Mark MacLeod / Published: February 10, 2012

Twice in the last two weeks, FirstEnergy has announced it will shut down old coal-fired power plants – then tried to blame those business decisions on the clean air rules that protect us all from toxic pollution.

First, at the end of January, First Energy announced it would retire six coal-fired power plants in Ohio, Pennsylvania and Maryland.

The company blamed those closures on new EPA regulations that will protect us from mercury, acid gases and other toxic air pollution – but FirstEnergy is going to retire the plants by September 1 of this year.

The compliance deadline for the new EPA rules isn’t for at least three years (2015 — with possible extensions to 2017). 

What’s more, FirstEnergy announced a decision to switch some of those six units from full-time to seasonal operation, and to temporarily mothball others, more than 16 months ago — before EPA even issued its proposal for the new rule.

Clearly, there’s more to the story than just EPA regulations.

Then, this week, First Energy announced it will close three more old coal plants in West Virginia. The company once again tried to pin the blame on EPA.

But the three plants in question were built between 1943 and 1960. They were built while Presidents Roosevelt, Truman and Eisenhower were in office. The oldest was built while we were still fighting World War II.

The plants are not closing just because of clean air regulations. They’re closing because they’re aging and inefficient, and because they are facing competition from natural gas.

Many factors contribute to the new utility investment cycle. They include:

  • Age – 59% of America’s coal fired power plants are over 40 years old, with many over 60 years old.

According to former Senate Majority Leader George Mitchell:

In 1970, the [Clean Air Act] required that new sources meet tight emissions standards. At that time, it was assumed that electrical utility units had an average lifetime of 30 years.

  • Competition from Natural Gas – with increasing natural gas supplies and lower prices, the market is shifting to more efficient combined cycle natural gas generators over old, inefficient coal plants.

One industry analyst told the Wall Street Journal:

Inexpensive natural gas is the biggest threat to coal. Nothing else even comes close.

  • Low utilization –the older units are often small, inefficient, and operated only part-time. From a business perspective, it is not cost effective to keep paying the fixed costs needed to maintain them for limited operation. Energy efficiency and demand response programs are far more efficient ways of meeting these energy needs.

In its press release announcing the closings of the three West Virginia plants, First Energy itself points out:

[T]hese plants served mostly as peaking facilities, generating, on average, less than 1 percent of the electricity produced by FirstEnergy over the past three years.

  • Health and the Environment – it is not surprising that these old, inefficient power plants are also disproportionately higher emitters of pollutants, and often have not had modern pollution control equipment installed.

We have information and graphics to illustrate this issue on our new fact sheet.

Business decisions in the utility sector are complex. Don’t let plant owners use our health protections as a scapegoat for their choice to retire old coal-fired power plants.

Also posted in Clean Air Act, Energy, News / Comments are closed