USW says U.S. House Climate Change Bill ‘Moving in the Right Direction’

Contact: Roxanne Brown (202) 778-4384 (rbrown@usw.org); 
             Christopher Traci (202) 293-8899 (ctraci@wesselgroup.com)

Washington, DC (May 13, 2009) – Leo W. Gerard, International President of  the United Steelworkers (USW) today praised the progress made by the U.S. House Energy and Commerce Committee in its work to pass comprehensive climate change legislation with the following statement:

“The USW has been working to ensure that the new products and processes which will build the clean energy economy and solve the challenge of climate change are created here in the U.S. and built by American workers.  We believe that addressing climate change and ensuring the strength of our nation’s manufacturing sector can be compatible goals.

“We are grateful for the leadership shown on this critical issue by the members of the House Energy and Commerce Committee, particularly Chairmen Waxman and Markey, and Reps. Doyle and Inslee.  I’m pleased that they – along with many stakeholders in the labor, business, and environmental communities — have reached consensus on a way forward that balances the need to address climate change with the need to ensure that U.S. workers and industries are not unfairly hurt in the process.

“By providing rebates to energy-intensive manufacturers based on their output and efficiency, the House committee has created a strong incentive to maintain, or increase domestic production, and to improve efficiency in the process.  These rebates ensure that all those producers at or above industry average efficiency are not penalized.  Also, the rebates will remain in place at their full level until either a strong and enforceable global agreement has been reached, or until the U.S. implements a program to equalize carbon costs between domestic and foreign producers.

“The combination of rebates and international programs will ensure continued domestic competitiveness and reduce the potential that our efforts in the U.S. to combat greenhouse gases will be more than offset by increases elsewhere in the world.  Preventing this carbon emission leakage is critical if the goal of stopping climate change is to be met.  Chairmen Waxman and Markey, Congressmen Doyle and Inslee, and the rest of the Energy and Commerce Committee realize this fundamental fact, and have crafted a strong and flexible policy to prevent it.

“By including this competitiveness provision in their bill, the Energy and Commerce Committee is clearly moving in the right direction.  I look forward to continuing to work with policymakers to ensure that strong policies to prevent leakage and retain American jobs are part of all climate change legislation.”

“Since 1990, the USW has been a leader in the labor community on the issue of climate change.  We were one of the first industrial unions to endorse a comprehensive climate change bill, and have long been at the forefront of this debate.”

The USW is North America’s largest industrial union, representing 850,000 actively employed workers in metals, mining, pulp and paper, rubber, chemicals, glass, auto supply and the energy producing industries.

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