Approval of Climate Change Legislation Could Impact Glass Manufacturers
June 29, 2009

Last Friday the House of Representatives passed the American Clean Energy & Security Act by a vote of 219-212. President Obama called the passage "a bold and necessary step that holds the promise of creating new industries and millions of new jobs; decreasing our dangerous dependence on foreign oil; and strictly limiting the release of pollutants that threaten the health of families and communities and the planet itself."

However, some in the glass industry have expressed concerns about the act, as it would require that manufacturers in the glass industry either absorb the increased cost of carbon emissions (via cap-and-trade) or the increased cost of having to deal with additional state and federal regulation. As part of the cap-and-trade system, manufacturers would be provided an allowance of annual carbon credits. Those manufacturers who are below their established emissions would be able to sell or trade carbon allowances to other companies so that those companies could produce more carbon than the legally established limit. Some in the industry say these increased costs could significantly impact the ability of flat glass manufacturers to do business in North America, as producers in non-regulated countries, such as China or India, would not be required to meet the regulation.

Some groups, including the Glass Association of North America (GANA), have been actively involved, speaking out to Congress on behalf of the industry.

"As climate change legislation moves to the United States Senate, GANA plans to communicate with Senators regarding the recently released GANA document outlining the flat glass industry's position on climate change legislation," Bill Yanek, GANA executive vice president, told USGNN.com™. "With regard to what passed late Friday, GANA obviously is encouraged about the alternative energy aspects of the legislation and that energy intensive industries such as glass are given consideration on the initial distribution of emissions permits. However, like many in Congress, it will take us some time to sift through the 1000+ page bill to determine its full impact on GANA members."

CLICK HERE to read a related article.

CLICK HERE to read GANA's document, "Climate Change Legislation: Views From the Flat Glass Industry."

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