In Coming Utility MACT, EPA Has Clean Air Act Authority to Make Big Strides in Protecting Americans from Mercury Pollution

March 11, 2011 by

By Wednesday of next week, EPA is due to publish its long-anticipated rule controlling mercury emissions from coal-fired utilities.  This is how we ought to judge the rule: does it follow the mandate of the Clean Air Act (CAA)? For too long, utilities have managed by various means to fend off regulation required by the CAA. Assuming EPA’s rule at long last complies with Congress’s directives, Americans may look forward to a day when they can again eat fish without serving their families a side of methylmercury. Read the rest of this entry »

Environmental Regulation, Jobs, and Human Health: Industry Estimates on Boiler Rule Flunk Economics 101

November 3, 2010 by

Economics professors at two major universities just issued their reviews of industry-funded assessments of the costs of EPA’s proposed boiler rule (via NRDC). The professors’ conclusions: “the methodology is fundamentally flawed;” “the resulting estimates of job losses are completely invalid;” “the results reported are useless;” “if I were grading this, I would give it an F.” These strongly-worded indictments should make us sit up and take note.

Professors Charles Kolstad and Jason Shogren were asked to review industry-funded estimates of the costs of EPA’s proposed boiler MACT rule. These estimates have been cited in support of recent industry claims that it would be too costly and result in a large loss of jobs. The professors’ reviews usefully reveal the serious flaws in the “evidence” around which industry has been spinning its anti-regulatory story. In an earlier post, I examined another aspect of the industry story, showing how it neglected to mention that the estimated benefits of regulating particulates, heavy metals, and dioxins would dwarf the estimated costs (and that’s without even counting benefits for mercury reductions). With the assistance of Kolstad and Shogren, we can see how, in addition to belittling the benefits, the industry story has attempted to exaggerate the costs. Read the rest of this entry »

Boiler MACT Rule Would Have Enormous Health Benefits from Air Pollutant Reductions — And That’s Not Even Accounting for the Reduced Mercury Emissions

October 12, 2010 by

EPA’s proposal to curb emissions from the second largest source of mercury in the United States – industrial boilers and process heaters – has come under fire in recent weeks.  Those industries that would be subject to the “boiler rule” have objected to its costs, and some senators have embraced their claims (see also Lisa Jackson’s response). The industry story, however, leaves out important facts.

The industry story does not mention that, on balance, the estimated costs of the rule are dwarfed by the benefits it would deliver in terms of human health. According to the Regulatory Impact Analysis (RIA) for the rule, regulating boilers would result in societal benefits ranging from $18 billion to $45 billion, at a cost of $3.4 billion. Thus, the rule is estimated to deliver net benefits in the neighborhood of $15 billion to $41 billion. To put it another way, these estimates mean that Americans would receive five to twelve dollars in health benefits for every dollar spent to meet the proposed standards. Read the rest of this entry »

Egg Industry’s Effort to Push Salmonella Problem as Consumers’ Fault A Worrying Example of “Risk Avoidance” Policy Approaches to Health and Safety Regulation

September 1, 2010 by

According to the egg industry, the thousands of people sickened by eggs contaminated with Salmonella enteritidis have only themselves to blame. As USA Today reported:

“Consumers that were sickened reportedly all ate eggs that were not properly or thoroughly cooked. Eggs need to be cooked so that the whites and yolks are firm (not runny) which should kill any bacteria,” says Mitch Head, spokesperson for the United Egg Producers.

“Some people may not think of an egg as you would ground beef, but they need to start,” says Krista Eberle of the United Egg Producers’ Egg Safety Center. “It may sound harsh and I don’t mean it to sound that way. But all the responsibility cannot be placed on the farmer. Somewhere along the line consumers have to be responsible for what they put in their bodies.” Read the rest of this entry »

EPA’s New Guidance on Considering Environmental Justice in Rulemaking a Welcome First Step

July 27, 2010 by

The EPA released a guidance document on Monday that promises to integrate environmental justice considerations into the fabric of its rulemaking efforts. Titled the Interim Guidance on Considering Environmental Justice During the Development of an Action, EPA’s Guidance sets forth concrete steps meant to flag those instances in which its rules or similar actions raise environmental justice concerns. Specifically, the Guidance directs agency staff involved in rulemaking to “meaningfully engage with and consider the impacts on” communities of color, low-income communities, indigenous populations, and tribes. Read the rest of this entry »


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