U.S. Representative Frank Pallone, chair of the House Energy and Commerce Committee, introduced the CLEAN Future Act (CFA) on March 2, 2021. It is the first major piece of climate legislation to be introduced since President Biden assumed office. President Biden has promised major actions on climate policy, and this bill sets the table for a robust Congressional debate.
Following is a summary of key provisions in the 900 page bill, several of which could directly impact the industrial packaging industry.
1. National Emissions-reduction Target — CFA sets a national goal to achieve a 100% clean economy by 2050.
2. Climate Federalism — The CFA would require states to develop State Climate Plans to achieve interim and midcentury emissions-reduction goals set by EPA to collectively meet the national targets. If a state fails to submit a satisfactory plan or misses their target emissions levels, the bill would require EPA to impose a carbon fee on the state.
3. Environmental Justice — The bill focuses on “environmental justice” which are issues aimed at limiting environmental impacts on poorer communities.
4. Industry — The bill would create a “clean energy manufacturing grant program,” that would provide $10 billion to fund both new and emerging technologies like carbon capture, as well as equipment used to produce products “containing a high percentage of recycled content,” or that are considered “zero- or low-emission energy intensive industrial products.”
5. Buy Clean Program — The bill would create a federal Buy Clean program that promotes the use of low-emission products by government agencies and their contractors, including federal infrastructure projects.
6. Producer Responsibility — The bill would mandate a comprehensive national beverage container collection program and establish producer responsibility requirements.
7. Zero Waste Project Grants — The bill would provide $150 million over ten years in grants to projects that increase (a) recycling of residential and commercial organic material, (b) recycling or reuse of electronic waste, (c) source reduction of packaging, and $250 million for projects that divert waste from disposal n landfills.