American Iron and Steel Institute Issues Letter to Senate EPW Committee Senate Climate Bill

Washington, D.C., 11/04/2009 – The American Iron and Steel Institute (AISI) submitted a letter to the Senate Environment and Public Works (EPW) Committee regarding S. 1733, the Clean Energy Jobs and American Power Act of 2009, highlighting the industry’s concerns about the current draft of the legislation. The letter comes as the Senate EPW Committee is going to markup on the bill. 

In the letter, AISI President and CEO, Thomas J. Gibson, outlines AISI’s concerns with S. 1733, which includes the facts that the bill:

• provides 2 billion fewer allowances through 2034 for energy-intensive manufacturers than were included in even the limited House-passed bill;
• includes no provisions to counter the expected sharp rise in energy costs due to fuel switching and deployment of new renewable electricity generation and transmission equipment and carbon capture and storage technology;
• includes no effective border adjustment provision to serve as a backstop to both the allowance and energy provisions; and,
• fails to include a provision to fully preempt the EPA from regulating greenhouse gas emissions under the Clean Air Act.

Gibson also made the point that “the Senate must consider climate policy provisions that do not place domestic manufacturers at a competitive disadvantage. This is particularly true for energy-intensive, trade-exposed industries like steel.”

He points out that the domestic steel industry “has already reduced its energy intensity per ton of steel produced by 33 percent since 1990 and has the lowest average CO2 emissions per ton in the global steel industry.   As an industry, we remain committed to energy conservation because of its economic and environmental effects. Further, our industry is committed to CO2 reduction via increased recycling, sharing of the best available technology, developing low carbon technologies and by the continued development of lighter, stronger and more durable steels which enable our customers to reduce their CO2 emissions.” To read the full letter, click here.

AISI serves as the voice of the North American steel industry in the public policy arena and advances the case for steel in the marketplace as the material of choice.  AISI plays a lead role in the development and application of new steels and steelmaking technology.  AISI is comprised of 24 member companies, including integrated and electric furnace steelmakers, and 138 associate and affiliate members who are suppliers to or customers of the steel industry.  AISI's member companies represent over 75 percent of both U.S. and North American steel capacity.  For more news about steel and its applications, view AISI’s Web site at

Vice President, Communications
American Iron and Steel Institute
Tel: 202.452.7115