NATURAL GAS SUPPLY ASSOCIATION


805 15th Street N.W., Suite 510
Washington, D.C. 20005


FOR IMMEDIATE RELEASE
DATE: November 27, 1996

Natural Gas Producers Say Fuel-Neutral Standards Would Help U.S. Meet New Air Quality Standards More Cost-Effectively



Washington, DC -- Responding to expectations that the Environmental Protection Agency (EPA) will announce new air quality standards today, Natural Gas Supply Association (NGSA) President Nicholas Bush pointed out that the U.S. could meet new and existing environmental standards more economically if the federal government adopted fuel-neutral standards.

“Despite the fact that switching to cleaner-burning natural gas could reduce emissions from many facilities more cost-effectively than the single-pollutant technologies now commonly selected, decision-makers are discouraged from making that switch by federal law and regulation,” Bush said. He cited federal imposition of stricter emissions standards on gas-burning facilities than on coal-burning facilities as running counter to cost-effective pollution reduction.

Bush also pointed out that EPA’s practice of setting standards one at a time rather than holistically frequently forces uneconomic choices. “Facilities managers evaluatiing ways to reduce an individual pollutant may select a technology that reduces only the target emission,” he said. “But if facilities could make a number of emissions reductions at the same time, many would find a switch to natural gas to be more cost-effective than a series of individual solutions.”

Bush pointed out that the anticipated expense of new particulate and ozone reductions should be evaluated in light of federal laws that “grandfather” many coal-fired electric power plants so that they are not required to meet the standards imposed on other emissions sources. Many analyses show that reducing emissions from these relatively uncontrolled sources would involve significantly less cost to the economy than would imposing still stricter standards on emissions sources that have already made major pollution reductions. ”Congress is almost certain to revisit this issue in light of current efforts to increase market competition in the electricity industry,” Bush observed.

The Natural Gas Supply Association represents integrated and independent companies that produce and market domestic natural gas. Established in 1965, NGSA encourages expanded use of natural gas and a regulatory climate that fosters competitive markets.



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