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NAM: Proposed ozone standard will cost $140 billion per year, new NAM study finds

As the March 17 comment deadline on the proposed ozone regulation rapidly approaches, the NAM’s latest analysis reveals the devastating impact the Environmental Protection Agency’s (EPA) action will have on all manufacturers—and all Americans. With an estimated cost to the economy of $140 billion per year, the regulation would tank the economy.

“This data confirms our long-held concern that revisions to the ozone standard represent one of the most significant threats, not just to our manufacturing sector, but to our economy at large,” NAM President and CEO Jay Timmons said.

The findings were ominous enough in our landmark study last year assessing what could happen if the EPA went as far as we anticipated. Now that the EPA has officially proposed revising the standard from 75 parts per billion (ppb) to the far more stringent 65 ppb, we can confirm the worst. Specifically, the regulation would:

  1. Reduce U.S. GDP by $140 billion per year and $1.7 trillion from 2017 to 2040;

  2. Result in 1.4 million fewer job equivalents, which account for job losses, lower incomes and fewer hours worked, per year on average through 2040; and

  3. Cost the average U.S. household $830 per year in the form of lost consumption.

These findings received widespread media coverage in Politico (subscription required), The Hill, Fortune,IndustryWeek and other influential publications. Visit http://www.nam.org/ozone to read our updated study and information about how this regulation would impact the states.

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