United Fresh has joined a coalition of close to 50 agriculture groups in signing onto a letter this week in support of Alaska Senator Lisa Murkowski's resolution to oppose the Environmental Protection Agency's attempt to regulate greenhouse gases under the Clean Air Act.

After publishing its "tailpipe rule" impacting mobile greenhouse gas emitters, it became apparent that EPA would next look toward stationary emitters. It has been announced that regulation of stationary sources will begin January 2, 2011, when these sources will be affected through such programs as Prevention of Significant Deterioration (PSD) and Title V operating permits.

"If Congress does not take action to halt these EPA actions, these emissions regulations could have a significant impact on the bottom lines of many agricultural producers because they will see their input costs increase as a result of the regulation on other sectors," said Robert Guenther, United Fresh senior vice president of public policy. "Agriculture could really see an indirect impact."

There have also been signs that EPA does not only intend to regulate large operations, but wants to begin phasing in standards for smaller emitters as well, which could mean regulating companies that emit between 100 and 250 tons of greenhouse gas annually. 

With EPA estimates that show more than 37,000 farms emitting above the Clean Air Act threshold, agriculture could be impacted directly with these new regulations. These employers will eventually be required to obtain operating permits under Title V, but below the 25,000 tons per year threshold that EPA had proposed as a starting point to phase in permit requirements. The final EPA "tailoring rule" estimates the average cost for these permits is $23,200 per permit, which would cost farmers more than $866 million, simply to obtain the required permits.

Many in the agriculture community view Congress as the ones who should debate the climate proposals impacting greenhouse gas emissions, in lieu of EPA issuing costly regulations.

"These dramatic increased costs serve to show that EPA should be the ones leading this process," argues Guenther. "But Congress should not defer to a regulatory agency on a matter that could have such a dramatic impact on the economy."

For more information or questions about this resolution or EPA's regulation of greenhouse gases under the Clean Air Act, contact Guenther at 202-303-3400, ext. 409.