Voluntary Action Already a Success The nation's automakers are producing products powered by natural gas, electricity. flexible fuels and electric-diesel hybrid engines and are currently testing concept vehicles powered by no emission fuel-cell engines. * > Oil producers are identifying technology strategies aimed at reducing emissions, as well as actually cutting carbon emissions through process improvements. Process improvements include highly efficient compressors, batteryreinjection systems, steam power from cogeneration, more efficient and safer pipeline technology, flare reduction and emissions recovery technologies and dual-action extraction pumps that separate oil and water underground. Electric utilities will have reduced greenhouse gas emissions by 170 million tons through efficiency and process improvements by 2000. Some of these initiatives at home and abroad include: International Utility Emciency Partnerships, Electricity for Sustainable Development, technology-based capital venture funds, wind power programs, the Geothermal Heat Pump Consortium, E-Seal (energy-efficient housing), UtiliTree (reforestatiodcarbon management programs), EV America (electric vehicles) and biomass technology. The steel industry also expects to reduce emissions through the effective utilization of materials, improved processes and new technologies. They have already reduced energy consumption by 45 percent since 1975. ~~ Coal producers have increased efficiency and reduced emissions through Clean Coal Technology and crosscutting technologies. These efforts include developing technologies that reduce carbon emissions to near zero and sequester additional emissions, improve worker safety and minimize exposure to risk, improve methods of locating reserves with minimal environmental disturbance and maintain and create new markets for clean, recyclable and transportable products. A number of programs aimed at limiting emissions currently exist including coal reburning, pulse combustion, mild gasification and gas reburning, flue gas cleaning and self scrubbing coal. Members of the forest and paper industry have been the leading advocates of common sense reforestation and sustainable foresw. These methods of forest management have provided a new avenue for carbon sequestration. Led by the American Forest & Paper Association, their efforts have been recognized by the Clinton Administration and key members of the environmental community. The cement industry, with processes such as continuous casting, has maintained production while reducing energy use by nearly 30 percent. Chemical manufacturers are promoting a number of cost-effective efforts to reduce emissions and improve eflciency, The aluminum industry has forged agreements to reduce emissions 40 to 60 percent by 2000. ~ 1 2 7 5 K Street, N.W.. Suite 8 0 0 Washington, D.C. 2 0 0 0 5 - (202)628-362-2 More Exciting Voluntary Advances Continue to Appear on the Horizon: These and other voluntary programs are meeting important environmental challenges without imposing burdensome new rules on the economy. They bring out the best in our people: innovation, cooperation, flexibility and opportunity. Automakers are continuing to devote ample resources to cleaner burning fuels, vehicles and powertrains. They are also using lightweight aluminum and other materials to increase mileage and reduce emissions. Steel-makers are perfecting an ultra-light steel autobody that will further increase energy efficiency without jeopardizing safety or comfort. The coal industry is working with government to find efficient ways to recover energy from the methane in mines, as well as improve its processes. Utilities and forest products companies are implementing reforestation programs in the U S . and abroad to remove millions of tons of carbon dioxide from the atmosphere. Oil companies are working on projects around world that are improving efficiency and production, providing better energy options for developed and developing countries. Government/lndustry Voluntary Partner Programs Climate Wise Rebuild America Green Lights Energy Star Natural Gas Star Vision 21 Industries of the Future Clean Energy Clean Coal Technology Partnership for Advanced Technology in Housing (PATH) Partnership for a New Generation of Vehicles (PNGV) ' Advantages of Voluntary Programs vs. Mandates Voluntary action is the best policy approach given what we know - and don't know - about potential human impacts on the climate. Implementing the increased regulatory controls called for by the Kyoto Protocol would be costly and would not produce the desired environmental benefit. Experience shows that voluntary programs provide important benefits to industry participants, including: Access to leading-edge information Greater return on economic investments Increased public awareness and recognition Government, society and the environment also benefit from voluntary programs. Voluntary Programs: Are flexible policy instruments to achieve environmental objectives in a manner which best suits the economic circumstances of companies Encourage industry-led initiatives to address environmental objectives Encourage co-operation between industry and government Achieve energy and environmental objectives faster than regulations