The costs of regulations are factored into the products and power we buy everyday. As regulations become more and more burdensome on high tech businesses, manufacturers, and energy producers, the more expensive our lives become. From electronics to grocery store purchases, regulations that lack common sense are passed on to consumers. We have identified key regulations below that will make products more expensive, but we are just getting started. New regulations are being implemented all that time, so check back or LIKE us on Facebook to stay up to date!
The High Cost of Regulation
American power is woven into American products,
but so are the high costs of government regulations.
In addition to the numerous other regulations affecting the transportation and energy industries, the Environmental Protection Agency (EPA) issues regulations governing tailpipe emissions from qualifying vehicles. Because emissions can be more easily contained with reduced sulfur content in gasoline, the so-called Tier 2 regulatory framework—issued in 1999—also imposed restrictions on refiners.
The Bureau of Land Management (BLM) has proposed a new rule to further regulate hydraulic fracturing on federal lands. This expensive regulation will make it even more difficult to produce oil and gas on federal lands.
Hydraulic fracturing on public lands is currently regulated by the states, and the BLM’s proposed rule would usurp that authority. The rule is estimated to cost between $1.49 billion and $1.61 billion per year, and would further hinder the ability to produce oil and gas on federal lands. The public has until September 10 to comment on the rule.
The Environmental Protection Agency (EPA) is developing regulations to restrict carbon dioxide emissions under the Clean Air Act. These regulations will have a significant impact, because EPA is working to restrict the use of natural gas, coal, and petroleum—the source of 82 percent of America’s total energy consumption. Amazingly, EPA claims to be implementing these regulations because of global warming, but according to EPA, their regulation won’t affect global warming in any meaningful way. This begs the question—why is EPA implementing regulations that increase the price of energy, harm the economy, and have no benefits?
The Obama Administration is advancing a small car mandate that will significantly limit consumer choices under the guise of Corporate Average Fuel Economy standards. Instead of letting the Transportation Department set efficiency standards with a primary focus on consumer choice and safety, as has historically been the case, the Obama Administration is letting EPA take over the program to advance its expensive energy agenda. To meet the Administration’s proposed vehicle mandates, automakers will have to make more expensive and less safe cars that many consumers may not want and cannot afford.
Year after year, air quality in the United States continues to improve. In fact, from 1970 to 2010, air pollution emissions have decreased 71 percent even though automobile use has increased by 170 percent and energy consumption has increased by 44 percent. Despite these improvements, EPA is working to impose even stricter regulations with ever-diminishing benefits.
The Utility Maximum Achievable Control Technology (MACT) rule, most recently called the Mercury and Air Toxics Standards, is a regulation proposed by EPA that will restrict the ways power plants produce electricity across the nation. It was finalized on December 16, 2011, and will place limits on the emissions generated by coal fired electric generating units.