A recent study from the National Association of Manufacturers (NAM) claims that smog regulations proposed by the Environmental Protection Agency (EPA) will cost the economy $270 billion. But the regulations, necessary to alleviate the unsafe smog pollution currently experienced by 140 million Americans, will likely achieve net benefits by reducing costs associated with medical expenses and premature deaths, while experts have said the NAM study uses "fraudulent" claims and is "not based in economic reality."
Fox News segments on a method of natural gas extraction called hydraulic fracturing or "fracking" gave over five times as much airtime to guests touting the benefits of fracking as it did to one guest warning of its risks.
On August 12, Fox News aired three virtually identical segments from correspondent David Lee Miller on fracking that were conspicuously one-sided. The segments compared the economy of Pennsylvania, which has seen a recent boom in fracking, to that of the southern tier of New York, where fracking is currently under a moratorium. The segments' pro-fracking slant is clear from the outset, with Miller stating that the "key reason for the economic disparity" between the two regions is "hydraulic fracking." The segments each featured three guests to tout the benefits of fracking for a total of 21 seconds per segment, against just one guest having four seconds to explain its risks:
The segments' bias is apparent in more than just the numbers; the information presented in support of fracking was in many cases misleading.
In two of the three segments, Miller featured Gabriel Campana, Republican mayor of Williamsport, Pennsylvania, who stated, "They say for every well that's created, there's over 100 jobs." But a study from the Multi-State Shale Research Collaborative found that between 2005 and 2012, "less than four new shale-related jobs have been created for each new well," and noted that even industry-funded studies only estimate that each fracking well creates "as high as 31" jobs -- well below Campana's claim of over 100 jobs per well.
On Fox's Special Report with Bret Baier, Miller's fracking segment replaced Campana with Republican Pennsylvania Governor Tom Corbett (the segment was otherwise almost exactly the same) to claim that "the quality of life has tremendously increased for particularly the people in this region." The people in that region might disagree. Fracking processes have harmed over 200 privately owned bodies of water in the Pennsylvania since 2008, and the process still threatens drinking water in the region. Eugene DePasquale, auditor general of the Pennsylvania Department of Environmental Protection likened regulation of the fracking industry in his state to "trying to put out a five-alarm fire with a 20-foot garden hose."
NPR called the town of Dimock, Pennsylvania "'Ground Zero' in the fight over fracking" after dozens of families noticed high levels of natural gas contamination in their drinking water. In 2009, fifteen Dimock families filed a federal lawsuit against Cabot Oil and Gas due to drinking water contamination, including a methane build up in one resident's well that caused an explosion. Fracking sites present other safety concerns; in February a well operated by Chevron exploded killing one worker and injuring another.
Other pro-fracking guests highlighted by Fox were a New York dairy farmer who thinks fracking is vital for his farm's "economic security," and a New York county executive who stated fracking would give the state "a substantial increase in the number of jobs, a substantial increase in the investment." The sole critic was ecologist Sandra Steingraber, who was given four seconds of airtime to state that "fracking brings temporary riches to a few and permanent ruin to many."
A "fair and balanced" segment might have noted that more New Yorkers oppose hydraulic fracturing in the state than support it, or that lax fracking industry oversight has not only led to polluted water but has left "a toll of badly injured or killed workers" and poses very real risks to the southern tier of New York.
The media heralded a report in early 2014, which claimed that building the controversial Keystone XL pipeline would not have a significant impact on climate change. Since then, multiple studies have found that same report to be flawed, but most mainstream media outlets have refused to give these studies coverage.
President Obama has stated that he would not approve construction of the Keystone XL pipeline, which would transport tar sands crude from Canada through the United States, if it "significantly exacerbate[s] the problem of carbon pollution." So when the U.S. State Department released its environmental impact statement concluding that the Keystone XL would not have a significant impact on climate change, the media touted State's findings as justification for the contentious pipeline's approval.
However, various studies have since called the State Department's report into question, finding specifically that their climate impact analysis is likely inaccurate. The agency's conclusion rests on the assumption that if the Keystone XL is not approved, the oil sands will simply be transported by rail instead. This may not be the case. According to Reuters, the State Department's predictions of increased rail capacity have been consistently wrong. Reuters broke the news in March that State's latest estimates of tar sands being transported by rail were overestimated by over 400 percent. But no* other major mainstream outlet reported on these findings, which undermined the claim that Keystone XL won't affect the climate - a meme many of these same outlets previously had amplified.
More recently, a study published in Nature Climate Change found that approving the Keystone XL could lead to carbon dioxide emissions four times greater than the State Department's highest estimates. Again, the findings were mostly ignored by top U.S. media outlets** -- with one notable exception. The Los Angeles Times amplified the study and its findings that State's analysis didn't account for the pipeline's impact on the global oil market, which would lead to far greater greenhouse gas emissions. The study authors projected that the pipeline will increase carbon emissions by up to 110 million metric tons due to increased global consumption, far overshooting State's projection of 1.3 to 27.4 million metric tons. The oil industry has dismissed this study based on the faulty argument that the oil will be shipped by rail anyways, which Associated Press reported -- without mentioning Reuters' contradictory findings.
The authors previously concluded in a similar study that approving the Keystone XL could "potentially counteract some of the flagship emission reduction policies of the U.S. government." How many more studies and reports need to be issued before the mainstream media corrects themselves on the climate impact of approving the Keystone XL pipeline?
*According to a LexisNexis search for "keystone" from March 5 to March 8 for The New York Times, The Washington Post, Los Angeles Times, USA TODAY, ABC, CBS, NBC, CNN, MSNBC and Fox News, and a Factiva search with the same parameters for The Wall Street Journal.
**According to a search of LexisNexis and internal video archives for "keystone" from August 8 to August 11 for The New York Times, The Washington Post, Los Angeles Times, USA TODAY, ABC, CBS, NBC, CNN, MSNBC and Fox News, and a Factiva search with the same parameters for The Wall Street Journal.
Image at the top of an oil sands site from Flickr user Pembina Institute with a Creative Commons license.
The Washington Post editorial board scolded Congress for not doing enough to act on climate change. But the board later found itself at odds with its own criticism, calling on Congress to lift a ban on crude oil exports without mentioning that doing so could further contribute to global warming.
The Washington Post recently published an editorial criticizing Congress' failure to pass any legislation to cut the nation's greenhouse gas emissions to help mitigate global warming. The board commended the U.S. Environmental Protection Agency (EPA) for "fill[ing] Congress' irresponsible policy void," asserting that global warming is a serious problem that calls for action. From the editorial:
Here's the reality: The world is warming, scientists say humans are responsible, the United States has contributed more than any other nation to the carbon dioxide that is already in the atmosphere, and the problem won't get addressed any time soon without serious U.S. buy-in and leadership. The consequences of unabated warming are somewhat uncertain -- yet the possibility of very negative, perhaps catastrophic, global outcomes is too distinct to do nothing.
This is a consistent stance at the Post -- in July, the newspaper published an editorial again reprimanding Congress for its "head-in-the-sand approach to climate change." So it may come as a surprise to see the same editorial board asking Congress to implement a policy that would be a step backwards from climate action.
On August 7, the Washington Post published an editorial calling for the United States to increase exports of crude oil, which have been mostly illegal since the 1970s. The board asked Congress to "lift the ban" on crude oil exports "entirely," asserting that since crude oil production has grown in the past few years to levels greater than U.S. refineries can currently handle, increasing crude exports would help "support U.S. profits and U.S. jobs, and to tolerate imports of crude oil that U.S. refineries can handle."
The Post left out one thing: Lifting the ban could increase greenhouse gas emissions dramatically. An analysis from Oil Change International found that overturning the crude export ban would expand the global crude market and increase U.S. oil production by an additional 9.9 billion barrels by 2050, thereby increasing carbon dioxide emissions by up to 4.4 billion tons. The Post even acknowledged that lifting the ban would "encourage the development of oil fields and transport infrastructure," with no mention of that development's impact on climate change.
This statement presents a tension with the board's previous position that asked Congress to take action to limit greenhouse gas emissions. And the EPA's carbon pollution plan that the Post recently praised as "filling Congress' irresponsibly policy void" could be more than negated by lifting the crude export ban. The EPA plan is expected to decrease carbon dioxide emissions by up to 383 million metric tons; lifting the ban could increase emissions by almost 12 times that amount.
The Washington Post board frequently calls for "urgent" climate action, so why is it simultaneously advocating a policy that could negate it?
Photo at the top from Flickr user Terence Wright with a Creative Commons license.
A recent national report from the Government Accountability Office found that a higher regulatory standard is needed to ensure that drinking water sources are protected from fracking wastewater practices. But the largest circulating newspapers of the states with the highest levels of fracking production -- therefore among the most vulnerable to its risks -- have ignored this study.
Coal giant Murray Energy's chief executive was promoted on Fox News to express "concern" about coal miners by attacking the Obama Administration's keystone climate change legislation. Here's what wasn't mentioned during the segment -- or any time this year on Fox News prime time: the organization has been fighting an effort to regulate coal dust, which would help save hundreds of coal miners' lives.
The July 31 edition of Fox News' Your World With Neil Cavuto featured coal CEO Bob Murray to attack the Environmental Protection Agency's recently proposed carbon pollution standards. When Fox News host Neil Cavuto asked him to expand on his claim that the standards will "hurt the coal industry," Murray nearly broke down in tears while claiming that the standards will harm the industry with "no environmental benefit at all." He then touted the possibility of "clean coal technology" as a substitute, and stated, "I'm concerned about my coal miners":
Actions speak louder than words: Murray Energy has been fighting a coal dust regulation for months that would help save 1,500 coal miners' lives each year. On April 23, the U.S. Labor Department announced a long-awaited rule to regulate coal dust, which causes the deadly black lung disease; the disease has reportedly killed over 76,000 miners since 1968. The new rule would restrict exposure to coal dust to half of the current limit, a move that is estimated to lower medical bills by about $37 million a year and help save hundreds of lives. Murray Energy announced that it would file a federal lawsuit against the regulation later that day.
Fox News' prime time shows, including Your World With Neil Cavuto, have not mentioned the move to protect coal miners from coal dust, nor Murray Energy's attempt to dismantle it.*
The EPA's carbon standards will reduce the amount of carbon dioxide emitted by coal plants by 30 percent from 2005 levels and are an important effort to mitigate climate change. Their health benefits are expected to help prevent up to 6,600 premature deaths and 150,000 asthma attacks in 2030. Murray Energy is attempting to sue these regulations as well, and its effort has gained support from nine state legislatures.
There was no need for him to sack these people so quickly. There was no guarantee that he'd be dramatically more profitable in, say, March 2013. But he fired them, because he's basically amoral.
*Based on a Nexis search of Fox News primetime shows for "coal dust" from January 1 to July 31.
From the July 31 edition of Fox Business' Varney & Company:
From the July 8 edition of CBS' CBS This Morning:
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Refusing to act on climate change will be bad for business, according to a major recent report assessing the alarming risks of unchecked global warming on the U.S. economy. But while some top business media outlets recognize global warming as a serious issue for their audience, others are still stuck in denial.
On June 23, the Risky Business Project released a comprehensive analysis of the economic impacts of climate change in the United States. The study found that the current path of "business as usual" -- emitting carbon dioxide and other greenhouse gases responsible for driving catastrophic climate change without restrictions -- will reduce labor productivity of outdoor workers by up to three percent, reduce agricultural yields by up to 70 percent in some regions, and cost up to $507 billion in property damages from sea level rise by 2100. The co-chairs are calling for business to rein in their greenhouse gas emissions to prevent an economic crash on the scale of the 2008 financial crisis or worse.
However, some top U.S. business media outlets are denying that climate change is a problem worth addressing -- a disservice to their business viewers, who have a lot to lose. Here are the good, the bad, and the ugly cases of business media covering Risky Business:
In covering the study's findings, Bloomberg Television, a cable and satellite business news channel, featured an interview with former Treasury Secretary Henry Paulson, one of the report's co-chairs and a Republican. Bloomberg's Erik Schatzer began the interview by stating that "the research [on man-made climate change] is overwhelmingly conclusive," and went on to have a rational discussion about solutions to global warming that businesses can take today. Schatzer noted that Bloomberg Television is a child company of the media organization founded by Michael Bloomberg, another co-chair of Risky Business. Paulson suggested that businesses fully disclose their climate change risks, that they invest in "resilience," and that the nation "take out a national insurance policy" to respond to the impacts of climate change, adding that businesses must advocate for government policies that would allow the nation to "avoid the most adverse outcomes."
Paulson elaborated on "the cost of inaction" alongside former Treasury Secretary under President Bill Clinton, Robert Rubin, in a well-done interview on the June 29 edition of CNN's Fareed Zakaria GPS:
Fox Business's coverage of the Risky Business report ridiculed the impacts of climate change and brushed aside the findings as "scare tactics." On the June 24 edition of Cavuto, Fox Business contributor Lauren Simonetti asserted that the organization is using "scare tactics," going on to entirely dismiss the idea of increasing heat-related mortality, saying "what does that mean -- mortality?"
Journalists should not be duped into portraying anti-wind energy activist John Droz Jr. as simply a "physicist" and an expert on issues related to climate change. Droz has cast doubt on man-made climate change and undermined scientifically accurate sea-level rise predictions in North Carolina, despite admitting he has no expertise in either area.
CNN's profile of progressive philanthropist Tom Steyer falsely equated Steyer's political donations with those of the Koch brothers without noting the Kochs will spend far more, and it failed to disclose that the group it quoted criticizing Steyer's environmental activism is funded by the Kochs.
During the June 19 edition of CNN's The Lead with Jake Tapper, a profile of environmental activist and philanthropist Tom Steyer attempted to equate Steyer's planned contributions on behalf of candidates who support legislative action on climate change to planned 2014 spending by conservative billionaires Charles and David Koch. During the profile, Tapper portrayed Steyer as a hypocrite, noting that "another point of dispute involves Steyer's assets. ... Steyer made his money as the manger of a $20 billion hedge fund, amassing a fortune through a variety of investments, including many in the very fossil fuels he now decries." Tapper went on to criticize Steyer for having "continued to make money off these unclean energies while simultaneously decrying them," though he also noted that Steyer is divesting his fossil-fuel investments.
The segment also included a clip of Tim Phillips, president of Americans for Prosperity (AFP), accusing Steyer of "hypocrisy" in his previous investments:
Tapper did not note that AFP is what Politico called the "main political arm" of the Koch brothers, or that the group reportedly plans to spend $125 million in this year's elections for the purpose of "benefiting conservatives."
Further, the premise that Steyer's political contributions are equivalent to those of the Koch brothers is flawed. Contrary to Tapper's contention that Steyer is a direct ideological counterpart to the Kochs, the political spending from Steyer is not equal to that of the Koch brothers. According to the Daily Beast, the Kochs have "set an initial 2014 fundraising target of $290 million" to fund a "new energy initiative" intended in part as a response to "the commitment by liberal billionaire Tom Steyer to steer $100 million into ads in several states to make climate change a priority issue in the elections."
Tapper did not mention that Steyer's planned political contributions are one-third of those planned by the Koch brothers' interests.
The Wall Street Journal published an op-ed pushing for a lift on a decades-old ban on crude oil exports without disclosing that the authors' work was funded by the oil industry, which stands to benefit from its claims.
A Wall Street Journal op-ed by the lead authors of a study for the consulting group IHS Inc. argued that the Obama Administration "needs to lift the ban on oil exports." The co-authors advanced their report's claims that ending a 41-year-old ban on crude oil exports would spur domestic oil production, resulting in lower gasoline prices and fueled job creation. However, the Journal did not disclose that this study, titled U.S. Crude Oil Export Decision: Assessing the Impact of the Export Ban and Free Trade on the U.S. Economy, was funded almost entirely by oil and gas corporations, including industry giants ExxonMobil, Chevron, Chesapeake Energy, Devon Energy, and ConocoPhillips:
This research was supported by Baker Hughes, Chesapeake Energy, Chevron U.S.A., Concho Resources, ConocoPhillips, Continental Resources, Devon Energy, ExxonMobil, Halliburton, Helmerich & Payne, Kodiak Oil & Gas, Nabors Corporate Services, Newfield Exploration, Noble Energy, Oasis Petroleum North America, Pioneer Natural Resources, QEP Resources, Rosetta Resources, Weatherford and Whiting Petroleum.
In fact, several top business media outlets repeated the report's boldest claims when it was released in late May -- like that it would lead to $746 billion in investment into the U.S. economy or save U.S. motorists $265 billion by 2030 -- without disclosing its industry funding. CNBC, Bloomberg, USA Today's Money section, and the Wall Street Journal all covered the study with no mention of the oil giants that have a financial incentive to lift the ban on crude oil exports because it would allow them to sell more of their oil at the higher world price. USA Today even noted that two of the report's funders, ExxonMobil and ConocoPhilips, have been pushing for the White House to lift the ban -- but did not disclose their investment in the IHS report. Some outlets got it right: Reuters and conservative news site Breitbart (surprisingly) did mention that the IHS study was funded by oil and energy companies.
The crude oil export ban was enacted in the 1970s in response to an Arab oil embargo, which shocked the U.S. economy. The Center for American Progress explained that lifting the ban would "enrich oil companies," but "could increase domestic gasoline prices and reduce our energy security":
The increase in domestic oil supply, combined with the decline in demand, has also led to a significant decrease in foreign oil imports. These changes make us less vulnerable to a sudden foreign oil supply disruption that could cause price spikes. Unfortunately, the oil industry would squander this newfound price stabilization and energy security by lifting the ban on crude oil exports. Doing so would enrich oil companies by enabling them to sell their oil at the higher world price, but it could increase domestic gasoline prices and reduce our energy security.
Even Goldman Sachs supports keeping the ban - at least until the U.S. market reaches "saturation" where it's producing more oil than it can consume -- because it benefits the economy by keeping refining for U.S. workers.
Lifting the ban on crude oil exports would also be catastrophic for the climate, according to the Sierra Club. Oil Change International published a study finding that keeping the ban on crude exports is imperative for the United States to achieve its climate goals.
The Journal's failure to disclose the background these op-ed authors shared with the oil industry falls in line with a repeated lack of transparency about who the newspaper publishes. In 2012, the Journal was found to have "regularly failed to disclose the election-related conflicts of interest of its op-ed writers."
Image at the top obtained via Flickr user roseannadana with a Creative Commons license.
Conservative media are claiming that Environmental Protection Agency Administrator Gina McCarthy admitted she is waging a "war on coal" when, in fact, she has consistently stated that the EPA is simply meeting its obligation to serve public health with its new clean power plan.
In an interview with McCarthy on the June 13 edition of HBO's Real Time with Bill Maher, host Maher said that he has heard that the EPA's proposed "Clean Power Plan," which will for the first time implement standards for carbon pollution from existing power plants, amounts to "a war on coal," adding that he "hope[s] it is." McCarthy responded, "Actually, EPA is all about fighting against pollution and fighting for public health. That's exactly what this is." Maher responded "Oh, great."
The Weekly Standard declared that this meant that McCarthy "agreed with Bill Maher" that "the Obama administration is engaged in a war on coal." National Review, Twitchy and EHS Today all concurred. However, even the conservative Washington Examiner concluded that "[i]t appears Maher's glee was premature" after an EPA spokesperson clarified that McCarthy was not agreeing with Maher and has consistently stated that the agency is not waging a "war on coal."
Indeed, McCarthy has always responded to claims that the EPA is waging a "war on coal" by explaining that the agency is simply serving its public health mandate and that it is not "fair" to claim the EPA is targeting any one energy source without regard for the facts. For example, McCarthy's testimony before Congress earlier this year:
SEN. DEB FISCHER (R-NE): And do you think it's fair to say -- maybe the EPA has somewhat of a war on coal so that we can lessen our dependence upon coal in this country?
McCARTHY: Senator, I -- I don't think that that's fair to say. What we're trying to do is our job to protect public health by reducing pollution from some of the largest sources ...
McCARTHY: Of those pollutions. [Senate Committee on Environment and Public Works hearing, 3/26/14, via Nexis, emphasis added]
And in an interview with The New York Times:
"We don't have a war on coal," [McCarthy] said. "We're doing our business, which is to reduce pollution. We're following the law."
And an interview with Bloomberg News about the carbon pollution standards:
PETER COOK (Bloomberg News): The argument is this is a war on coal. You are putting coal out of business with this proposal.
McCARTHY: Well if you take a look at it, what we're projecting is that coal in 2030 will still be a very significant portion of the electric generating capacity here. And what we're hoping that folks will do is realize that this is an opportunity to actually make investments in coal, to make them more efficient so that we can have the best and cleanest facilities moving forward. But the ultimate choice is going to be up to the states. Do they want to shift towards more renewables? Do they want to focus on energy efficiency? Do they want to do all of those things together?
And we'll see how they end up, but we know that the - that the reductions that we put in state by state were based on what - what states are doing today and what we think they can do in each of those states moving forward in a way that will maintain reliability and affordability of the electricity supply. But every fuel will have a place moving forward. They just have to get cleaner. And in the end, we have to produce the carbon reductions that we need for public health. [Bloomberg TV, 6/3/14, via Nexis, emphasis added]
The so-called "war on coal" is empty political rhetoric. Here are facts that put the EPA's plan in context -- facts you likely won't hear from The Weekly Standard or National Review:
Fox News exploited the violent turmoil in Iraq to baselessly lay blame for increasing gasoline and oil prices at the feet of President Obama. Fox hosts cited Obama's alleged "policy mistakes" in Iraq as the impetus for the rising cost of petroleum products, continuing a long pattern of attacking Obama over the price of gasoline while ignoring the fact that global market trends are largely out of the president's control.
On the June 13 edition of Fox News' Fox & Friends, co-host Brian Kilmeade and Fox Business anchor Stuart Varney discussed the impact of the recent turmoil in Iraq on the global oil market. Varney used the opportunity to attack President Obama for the withdrawal of American combat troops from Iraq from 2009 through 2011:
VARNEY: Let me make this very clear, we are all paying for the president's policy mistakes. The retreat in Iraq, the chaos in Iraq, will be paid for by us at the pump.
The withdrawal of American troops from Iraq was completed on December 18, 2011. According to data from the United States Energy Information Agency (EIA), the market prices of crude oil and refined gasoline have fluctuated since that time, but the withdrawal itself spurred no appreciable price corrections. Data from the Federal Reserve Bank of St. Louis, overlaying the prices for West Texas Intermediate (WTI) crude oil with inflation adjusted prices for gasoline, confirm that the withdrawal had no lasting impact on market prices:
Reputable market analysts agree that the outbreak of violence in Iraq -- the world's eighth largest oil producer -- is driving market speculation and investment in petroleum futures. This in turn has resulted in a slight, but noticeable increase in global crude oil market prices during the past several days. Varney is correct in noting that instability in Iraq is impacting global oil prices, but his analysis veered into well-worn Fox News paranoia when he used that fact to pin the blame for rising prices on President Obama.
Fox has a storied history of blaming this president for rising oil and gasoline prices.
Business media have been spreading the myth that the Environmental Protection Agency's plan to rein in carbon pollution will harm the American manufacturing industry by increasing electricity prices. But a new report by a group of business leaders found that the manufacturing industry is at far greater economic risk from the extreme weather events that the EPA's clean power plan would help prevent.
When the EPA proposed standards for the carbon pollution driving climate change for existing power plants, several top U.S. business media outlets promoted claims that the rules would harm manufacturers. Reuters published two articles that uncritically repeated utility industry lobbyists' claims that the rules will "destroy jobs" at "manufacturing plants." The Wall Street Journal cited a steel industry spokesman that claimed the rules will "impede the post-recession growth of American manufacturing" without criticism, and the newspaper's editorial board suggested that the rules will "punish" regions that rely on manufacturing. Fox Business' Lou Dobbs Tonight hosted Steve Milloy, a policy director at coal giant Murray Energy, who lambasted the rules, stating: "if you work in manufacturing, do you want to see your job exported to China?"
However, an analysis by Business Forward -- an association of American business leaders focused on sound public policy -- found that extreme weather events will have severe economic impacts on the automotive manufacturing industry in the United States, while any increase in electricity prices as a result of turning to clean power will have minimal costs for the manufacturing industries. The analysis has not been covered* by the prominent business media outlets that promoted claims that the standards would harm manufacturers.
For example, automakers, who represent the nation's largest industrial sector, are extremely vulnerable to disruptions in the global supply chain caused by extreme weather events. The study found that extreme weather events -- many of which are happening more frequently -- can cause an auto assembly plant to shut down at immense costs of $1.25 million or more per hour. Business Forward explained that even when extreme weather events happen on the other side of the globe, they impact manufacturers:
Because supply chains are global, disruptions on the other side of the planet can slow down or shut down an American factory. For example, in October 2011, severe floods in Thailand affected more than 1,000 industrial facilities. Production by consumer electronics manufacturers in the U.S. dropped by one-third.
The carbon standards, by contrast, would cost the automotive industry far less because electricity is a "comparatively small portion" of their total costs. The report found that if electricity costs increased by 6.2 percent by 2020, it would add less than $7 to the cost of producing car that sells on average for $30,000. Overall, this would cost the average auto assembly plant about $1.1 million, or the equivalent of less than an hour of assembly line downtime at a single auto plant each year. The EPA estimates that electricity prices will increase slightly as a result of the standards, but efficiency improvements will lower electric bills by 2025.