Bracewell’s Scott Segal, co-chair of the firm’s Policy Resolution Group, discussed with The New York Times how new regulations strengthening the “good neighbor” rule could have an adverse effect on the cement industry.
Segal said the cement industry would also feel the brunt at a time when its products are in demand because of a recent influx of federal investment in road and bridge construction.
“The bipartisan infrastructure law anticipates substantially increased use of building materials manufactured here in the United States, a policy objective seemingly at cross purposes with the rule,” Segal said.
The good neighbor rule holds that states should take measures to ensure that their pollution doesn’t affect downwind states. It directs coal-burning power plants and industrial facilities such as iron, steel, cement and concrete manufacturers in the Western and Midwestern states to reduce their emissions.
This has raised concerns about the costs to power plants and manufacturers to comply with the strengthened rule, which could force some plants to shut down or reduce operations.