Tuesday, May 20, 2008
Recycling a single aluminum can saves an amount of energy sufficient to light a 100 watt bulb for about 3 hours. It is increasingly difficult to separate energy policy from waste disposal. Consumer packaging, as we currently know it, places an enormous external cost on America in terms of wasted energy and landfill space. Consumer packaging, from tin plate, aluminum, paper and plastics, all place a significant disposal cost on Americans which is NOT factored into the cost basis through which companies use to deliver their products to the public. Increasingly higher energy costs combined with diminishing space for public landfills demands better public policy.
Externality costs associated with consumer packaging are forced onto the buying public by way of higher fuels prices and garbage collection costs. Because producers can shift the burden of disposal of their products onto consumers at no charge, the actual cost associated with these various types of competing packaging is not a factor. As is always the case with external costs, this dilemma cannot be solved without Federal Government intervention. Companies have no reason to forgo this subsidy.
THE ANSWER...in order to put an end to our subsidizing the manufacturers of consumer packaging, Washington must place an "environmental surcharge" on each type of packaging material based on its actual cost. This will provide a more efficient marketplace for competing types of consumer packaging.
Externality costs associated with consumer packaging are forced onto the buying public by way of higher fuels prices and garbage collection costs. Because producers can shift the burden of disposal of their products onto consumers at no charge, the actual cost associated with these various types of competing packaging is not a factor. As is always the case with external costs, this dilemma cannot be solved without Federal Government intervention. Companies have no reason to forgo this subsidy.
THE ANSWER...in order to put an end to our subsidizing the manufacturers of consumer packaging, Washington must place an "environmental surcharge" on each type of packaging material based on its actual cost. This will provide a more efficient marketplace for competing types of consumer packaging.
Labels: Energy Policy and Consumer Packaging
