Protecting lives but challenging business
In 1970 the Beatles disbanded; the price of a gallon of gas in the U.S. was $0.36; and the Environmental Protection Agency (EPA) was established in response to public concerns about the deteriorating conditions of our water, air and lands—it was also the year that the first Earth Day was celebrated. The EPA’s broad mandate fit the mood of the times. The intent was to “protect human health and the environment,” by taking charge of all U.S. pollution control and associated regulatory programs. That mandate, enacted back when there were AMC Gremlins roaming the streets, has had positive and negative effects on business.
What was great about the EPA?
Dangerous substances were inventoried and controlled
- Vehicle and industrial air pollutants;
- Hazardous and toxin substances and materials
Contaminants were governed
- Agricultural and food pollutants;
- Solid wastes (drinking water);
- Sewage, industrial, runoff and agricultural (wastewaters);
- Coastal and fisheries pollution;
- Oil and mining pollutants
Natural assets were protected
- Endangered flora and fauna;
- Cultural, historic and scenic resources
While some items on the lists above and below are more relevant to our purposes than others, nevertheless, you’ll likely find a row of dots connecting just about any one of them to what you’re doing.
What is (still) troubling about EPA?
Well, there’s confusion
- Many EPA and related environmental regulations are conflicting or redundant;
- Some believe the federal government should leave “it” to the states
And pretty much everything else has “costs” hidden within
- Environmental regulations inflate the costs of goods, services, energies and activities;
- Compliance with EPA and related environmental regulations add costs that must be factored into a company‘s bottom line. [Collectively these added costs have resulted in an average unemployment rate in the United States of 33.3 percent over pre-EPA unemployment, (the largest percentage attributable to jobs going overseas where there is very little or no regulation)];
- Many enacted EPA federal regulatory programs place the burden of final enforcement responsibilities in certified state programs—these programs are long-term, un-funded liabilities in the states and the high costs get pushed down;
- The EPA’s new Administrator will or has issued extra-congressional orders such as stricter carbon standards for gasoline; rolling back federal subsidies for oil and gas development; slashing tax breaks and royalty waivers for energy industries; all of which will eventually increase the cost of doing business, regardless of the type of business.
One way to jump on board
Enacting an Environmental Management System (EMS) can result in marketplace, business and environmental benefits. For example, an EMS may help you:
- Improve environmental performance
- Enhance compliance
- Prevent pollution and conserve resources
- Reduce/mitigate risks
- Attract new customers and markets (or at least retain access to customers and markets with EMS requirements)
- Increase efficiency/reduced costs
- Enhance image with public, regulators, lenders, investors
- Achieve/improve employee awareness of environmental issues and responsibilities; and
- Qualify for recognition/incentive programs
- In short, an EMS program will help you differentiate from most of your competition
Caveat: developing and implementing an EMS will certainly entail costs, which may or may not include: investment of internal resources, including staff/employee time; costs for training personnel; possible costs associated with hiring consulting assistance; and costs for technical resources to analyze environmental impacts and improvement options, if needed.
Last word
After decades of EPA environmental controls and successes, America is a leader in the world of environmental protection, and many might agree that our environmental regulatory system is complete—that most pollution problems are solved, or are under active management.
As industry recovers in spite of another year of challenging economic times, are any more costly environmental regulations necessary? Or do we simply need a complementary and realistic energy policy?
It’s so easy to feel lonely when it comes to such issues that seem to out-scale our businesses. But if you happen to like fresh air and clean water as I do, take comfort in remembering that our EPA creates a playing field that is virtually level and it protects the family at home.
HIT Solutions believes the more your business keeps up with important trends, the more you will improve your product, and improve your bottom line.
Leave me your comments below; share your thoughts.
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