December 2, 2014

Obama Unleashes Most Expensive Regulation Ever

On the day before Thanksgiving, the Environmental Protection Agency proposed a new 626-page (plus a 575-page appendix) ground-level ozone standard of 65 to 70 parts per billion. This would be down from 75 ppb established in 2008 by the Bush administration. EPA estimates that a 65 ppb standard would impose costs of $15 billion per year on the nation (except California) in 2025, and $1.6 billion per year on California after 2025. The National Association of Manufacturers warns, “This new ozone regulation threatens to be the most expensive ever imposed on industry in America.”

At 65 ppb, the ozone standard would push large swaths of the country into “non-attainment” with national ambient air quality standards – forcing states and localities to curb energy production, manufacturing development, agricultural operations, and economic growth. This would raise the cost of everyday living and destroy middle class jobs.

A 65 ppb ozone standard puts most areas into nonattainment

A 65 ppb ozone standard puts most areas into nonattainment

The new ozone proposal is the latest in a series of executive actions that President Obama has taken, and plans to take, to remove fossil fuels from America’s energy mix.

Obama’s regulatory assault on energy and manufacturing continues

Obama’s regulatory assault on energy and manufacturing continues

Deploying Washington’s regulatory powers to impose new costs on the energy industry will degrade America’s capacity to produce affordable, reliable power. These regulations will raise prices, undermine energy reliability, stall manufacturing investment, and extinguish economic opportunity – all for little environmental benefit.

The Obama administration has exploited other executive authorities to impose strict limits on America’s energy and manufacturing renaissance:

  • The administration retroactively vetoed a permit for a coal mining project in West Virginia in 2011 and preemptively vetoed a permit for a copper and gold mining project in Alaska in 2014.
  • It has blocked permits for oil and gas projects on federal lands and prohibits them altogether on millions of federal acres, including areas it sets aside for renewable energy projects.
  • It has proposed to list new species as “endangered” and to designate millions of federal acres as “critical habitat” in order to take them offline for energy and economic development. It could protect a record 757 new species by 2018, including the greater sage grouse, which would limit energy, forestry, ranching, hunting and recreational activities on 165 million acres across 11 western states, costing up to 31,000 jobs.
  • It has used the Antiquities Act to designate “national monuments,” blocking thousands of additional federal acres from economic activity.
  • It finalized an oceans policy that expands its power over energy, fisheries, and recreational activities that occur at sea and on inland waterways and rivers. The policy has already impacted oil and gas development in the Atlantic where it now requires more environmental analysis.   

Republicans are working to support fossil energy resources America needs to progress. Energy-state Democrats must join Republicans in the fight against the administration’s policies. They must force the president to retreat from his regulatory assault and insist on policies that will generate sustained economic growth for all.

Issue Tag: Energy