Tag Archives: regulations

energy.bill

Coalition Formed to Combat Proposed EPA Regulations

A group of Arizona business leaders and politicians announced that they have created a coalition to address proposed regulations on the Navajo Generating Station.

The Arizona Coalition for Water, Energy and Jobs said in a press conference on Tuesday that regulations proposed by the U.S. Environmental Protection Agency, if implemented, will have an adverse effect on the Arizona economy by “significantly increasing water prices.”

The proposed regulations, which are a part of the EPA’s “regional haze program,” would require the generating station to install pollution control technology, intended to reduce haze and increase visibility over the Grand Canyon.

“This (the regulations) will not improve enjoyment of the Grand Canyon, but will increase the cost of business,” Sid Wilson, chairman of the coalition said.

Wilson, who came out of a four-year retirement from the Central Arizona Water Conservation District to chair the coalition, said during the conference that implementing the necessary emissions control technology, which are proposed to be complied with by Aug. 6, “could cost up to $1 billion.”

“At risk are 3,400 jobs each year,” said Karrin Taylor, board chair of Valley Partnership.

“If these jobs disappear, they would be very difficult to replace,” said Kelly Norton, president of the Arizona Mining Association, noting that an increase in water prices would have a “cascading effect on the economy.”

Taylor also said that the regulations would stagnate business development in Arizona.

“One of the most important considerations for developing businesses is power and water rates,” she said.  “If we double or triple the cost of water, we immediately remove an important attribute of business development.”

She said that Arizona has “always had a competitive advantage” due to its ability to offer low rates on water and power, and noted “the Navajo Generating Station is at the heart of that system.”

“We can’t put at risk such an important economic tool for a rule that will deliver no benefit,” she said.

House Speaker Andy Tobin said during the conference that the coalition is rallying both locally and in Washington for support on the issue.

“I am asking the President of the United States to protect Arizona from these regulations,” he said.

David Martin, president of the Arizona Chapter of the Associated General Contractors, said during the conference that the proposed regulations would produce results “similar to what happened at the Mohave Power Station,” which was forced to be shut down in 2005 after facing similar government intervention.

“We are not going to let special interests force us into the same corner,” he said.

Coalition members also said that the benefits of the regulations, which they cite as being based on “flawed technical analysis,” do not exceed the costs.

“The EPA has yet to thoughtfully approach the cost/benefit analysis required under law,” Martin said.  “If the costs of this rule exceed the benefits, and they clearly do, there would be no required retrofit.”

business - best and worst

CEOs Rank Best, Worst States For Business

For the eighth year in a row, CEOs rate Texas as the No. 1 state in which to do business, according to Chief Executive magazine’s annual Best & Worst States Survey. Florida rose one spot to take the No. 2 rank, while North Carolina slipped to No. 3. Tennessee remained at No. 4 while Indiana climbed a spot to capture the No. 5 rank. CEOs named the worst states to do business as California, New York, Illinois, Massachusetts and Michigan.

Arizona ranked No. 13, down two spots from its ranking in 2011.

The Best & Worst States Survey measures the sentiment of CEOs on business conditions around the nation. For the 2012 survey, 650 CEOs from across the country evaluated the states on a broad range of issues, including regulations, tax policies, workforce quality, educational resources, quality of living and infrastructure. The survey was conducted from Jan. 24 to Feb. 26, 2012.

Louisiana was the biggest gainer in the survey, rising 14 spots to be the No. 13 most attractive state in the country to do business. The biggest loser was Oregon, which dropped nine spots to No. 42.

CEOs surveyed said California’s poor ranking is the result of its hostility to business, high state taxes and overly stringent regulations, which is driving investment, companies and jobs to other states. According to Spectrum Locations Consultants, 254 California companies moved some or all of their work and jobs out of state in 2011, an increase of 26 percent over the previous year and five times as many as in 2009.

“CEOs tell us that California seems to be doing everything possible to drive business from the state. Texas, by contrast, has been welcoming companies and entrepreneurs, particularly in the high-tech arena,” said J.P. Donlon, Editor-in-Chief of Chief Executive magazine and ChiefExecutive.net. “Local economic development corporations, as well as the state Texas Enterprise Fund, are providing attractive incentives. This, along with the relaxed regulatory environment and supportive State Department of Commerce adds up to a favorable climate for business.”

Inhospitable business environments mean less jobs, as entrepreneurs and established corporations seek more cost-efficient and tax-friendly locales, said Marshall Cooper, CEO of Chief Executive magazine and ChiefExecutive.net. “This survey shows that states that create policies and incentives are rewarded with investment, jobs and greater overall economic activity.”

For complete results, including individual state rankings on multiple criteria, methodology and more, please visit ChiefExecutive.net.