Published on June 9th, 2014 | by Christopher DeMorro4
Proposed EPA Changes Add Just $7 To Cost Of Cars
June 9th, 2014 by Christopher DeMorro
Some people just love to throw a temper tantrum, and we’re seeing some predictably gloomy predictions regarding the EPA’s proposed changes to managing carbon emissions. Some are predicting increased utility rates and mass unemployment, but cooler heads are meeting these accusations with studies of their own.
A new study suggests that it would only cost automakers about $7 per car to comply with the EPA’s new regulations. The study focuses on higher electric rates, and finds that automakers can cover the extra cost by literally pocket change, according to Green Car Reports.
There’s actually even more to the study than that. Entitled Severe Weather and Manufacturing in America: Comparing the Costs of Droughts, Storms, and Extreme Temperatures with the Cost of the New EPA Standards, it focuses on what major businesses have to lose by not acting on climate change. Charging an extra $7 per car to cover the cost of extra electricity is small potatoes compared to the potential costs of climate change and extreme weather. Shutting down an assembly line at a major auto plant could cost a company as much as $1.25 million…per hour. In comparison, the higher electric rates will cost a factory that makes 150,000 vehicles per year an extra $1.05 million, about 20% less than a single lost hour of production.