NPPC: Compromise Climate Change Legislation

US - "With US pork producers suffering record losses, the National Pork Producers Council cannot support climate change legislation even with the compromise language agreed to late Wednesday," NPPC said in a statement yesterday.
calendar icon 26 June 2009
clock icon 3 minute read

"NPPC is grateful to Chairmen Peterson and Waxman for reaching a compromise on language related to the agricultural greenhouse gas offset credits. Although NPPC supports the Peterson amendment – and urges lawmakers to vote for it when it comes up during floor consideration – the organization remains concerned about the overall cost to US pork producers of the climate change bill.

"NPPC anticipates significant increases in energy prices and in pork production costs under the House climate change bill. The hikes would be overwhelming to pork producers, who for the past 21 months have been losing an average of $22 per hog. From 24 April to 19 June, and due mostly to the H1N1 flu crisis, the US pork industry lost $352 million, or about $8.8 million per production day; for the remainder of 2009, producers are expected to lose an average of $9.82 per hog.

"Many pork producers now are at risk of being put out of business, and passage of this climate change bill would only make that risk greater and put more producers in jeopardy.

"While the compromise language would allow the US Department of Agriculture rather than the US Environmental Protection Agency to design and implement the agricultural greenhouse gas offset credits program and to develop any climate change regulations affecting livestock producers – a provision supported by NPPC – the organization doesn’t believe that revenues from the sale of offset credits for the majority of pork producers would counterbalance the energy and input cost increases associated with bill."

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