Obama Caves on Job Killing Ozone Regulations

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Is Obama beginning to the see the light regarding this economy? I doubt it…but his backpedaling on the new air-quality standards is a sign that maybe, just maybe, he understood how the regulations could hamstring any recovery by burdening businesses even more then they already are:

In late August, the State Department gave a crucial go-ahead on a controversial pipeline to bring tar sands oil from Canada to the Gulf Coast. Then on Friday, leading into the holiday weekend, the Obama administration announced without warning that it was walking away from stricter ozone pollution standards that it had been promising for three years and instead sticking with Bush-era standards.

…John D. Walke, clean air director of the Natural Resources Defense Council, an advocacy group based in New York, likened the ozone decision to a “bomb being dropped.”

Mr. Walke and representatives of other environmental groups saw the president’s actions as brazen political sellouts to business interests and the Republican Party, which regards environmental regulations as job killers and a brick wall to economic recovery.

The question for environmentalists became, what to do next?

“There is shock and chaos here,” Mr. Walke said, “so I do not know. I can’t answer that question.” But he added that his group would resume a smog lawsuit against the government that it had dropped because it had been lulled into believing that this administration would enact tougher regulations without being forced to do so by the courts.

What would the new regulations have done?

The E.P.A., following the recommendation of its scientific advisers, had proposed lowering the so-called ozone standard of 75 parts per billion, set at the end of the Bush administration, to a stricter standard of 60 to 70 parts per billion. The change would have thrown hundreds of American counties out of compliance with the Clean Air Act and required a major enforcement effort by state and local officials, as well as new emissions controls at industries across the country.

Hundreds of counties would have needed to find money to get them into compliance…which means layoffs.

Not good for a recession.

“If today’s employment report reveals anything, it’s that our economy is in neutral and may soon be rolling backwards,” he said, citing industry-funded studies that claimed the ozone rule would have eventually cost millions of jobs.

“I’m pleased the administration recognizes that now is not the time to burden America’s job creators with unwarranted regulations,” he said.

Now whether Obama did this because he recognized this as a job killing regulation (highly doubtful) or that he was going to lose the debate with Republicans doesn’t matter. What matters is the regulation is dead.

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Do not believe everything that is announced regarding these regulations. The
EPA is still trying to put it’s boot on the throat of the TX energy industry. In 6 months we could see a minimum of a 10% increase in electricity prices and rolling black outs during peak usage.

Smoke and mirrors for the 2012 elections so that Obama can pretend to independents that he has “moved to the center.” Should he win, he will surely re-institute and expand even farther his anti-capitalist, heavy-regulation agenda.

I must concur, this is not a move to the center; it is not a realization that his ideology is wrong; it is simply a postponement until after his (in his mind), certain reelection.

If , by some chance liberal environmentalists get their way ,we shall all find ourselves freezing in the dark…..(Damn those unintended consequences). At any rate, I think a profitable investment for one’s future could be in mud & snow tires and fog lights for bicycles…….until its nationalized by the government .

Two points.
1. This idea that a bunch of new regulations requiring new air pollution control technologies placed on thousands of industrial buildings would produce a lot of new jobs is just the Broken Window Fallacy dressed up in new clothes.

Paul Krugman:
[T]ighter ozone regulation would actually have created jobs: it would have forced firms to spend on upgrading or replacing equipment, helping to boost demand. Yes, it would have cost money — but that’s the point! And with corporations sitting on lots of idle cash, the money spent would not, to any significant extent, come at the expense of other investment.

2. The technology required to meet the standard EPA proposed does not yet exist!

EPA (PDF)
The supplement to the [Regulatory Impact Analysis] assumes that the proposed standards can be achieved throughout the U.S. using a mixture of known air pollution control technologies and unknown, future technologies.
….
The annual control technology costs of implementing known controls as part of a strategy to attain a standard in the proposed range of 0.060 ppm or 0.070 ppm in 2020 would be approximately $3.3 billion to $4.5 billion.
EPA used several statistical methods to provide a range of likely compliance costs for other, currently unknown technologies that would be needed to attain the proposed primary standards.
http://www.epa.gov/glo/pdfs/fs20100106ria.pdf

So, Obama basically admitted there was NO way to achieve his outrageous standards in this world as we know it.
And Obama backed down from being made look like a fool.
Is this something to celebrate?
Or, because he let it get this far first, be ashamed of having such an idiot for President?

Curt I would argue that “Obama is beginning to see the dark!” But, as others have pointed out, this is only a smokescreen and as Nan pointed out, a REALLY bad and stupid idea.

If Obama wanted to “create” jobs, number one, repeal Obamacare; the markets and job growth from companies on the sidelines would explode instantly (that is also one way he could easily win reelection. Don’t be shocked if he does it to win (closer to the election, the “October Suprise”, then reverts back to his old ways, with 4 more years to stick it to us). It would also be rather strategic to appeal Ocare, as it would take the wind out of the sails of the front runner Gop’ers.

The 2nd way is to ELIMINATE the useless (other than for destruction), EPA and the thousands of idiotic “regulations” that stymy business. Not only would it save tons of money and jump-start all in business, but more small businesses (the highest employer in America), would be created.

The fact that he is unwilling to do either at this point (until he needs to in order to get elected again) only continues to make a stronger case as to how Anti-American he truly is.

@Patricia, #6:

The 2nd way is to ELIMINATE the useless (other than for destruction), EPA and the thousands of idiotic “regulations” that stymy business.

If you want to eliminate controls on the toxic pollutants released into the nation’s air, water, and soil to boost profits, then I suppose that’s the way to go. Don’t expect state, county, and local governments to address environmental threats in any effective and uniform manner, however. The EPA exists because they didn’t.

If you would like to see the result of ridiculous over regulation come to California and compare your electricity bill to any where else in the nati0n.

We moved from Minneapolis, MN to Northern CA. I assumed because the climate is northern CA is so moderate compared to Minneapolis, our power bill would be less expensive. BOY WAS I WRONG. PG and E rates are FIVE TIMES HIGHER than Xcel energy. Why? Because of Califoria’s crazy regulation and mandates on the power companies. Such as forcing them to tear out Hydro power dams (in the name of fish mind you!), mandating a percentage of power produced be “green” (hydro power is not included in this calculation – because they say it is harming the environment), throwing money away on expensive rebates for wind and solar that simply are way too expensive. A number of the wind turbines that got HUGE rebates simply do not function AT ALL.

Can you say Cap and Tax? If Obama gets his way, the rest of the nation will be infected with California politics. God help us if that happens!!

Jerry, you sure came late if you were looking for the 50’s-60s idyllic Beach Boys California. The state is a perfect example of a parasite… sucking off Oregon’s hydro power to the north, and siphoning off power from all of the states in between them and the headwaters of the Colorado River.

So sorry you missed the good times. But “california dreamin'” is just that, and there’s a reason for the Eagles lyric, “you can check out any time you like, but you can never leave….”.

Lots of things I miss about California, but they no longer exist.. save in memories. Today, California looks much better in my rear view mirror.