The American Innovation & Manufacturing (AIM) Act is bipartisan legislation authored by EPW Chairman Tom Carper (D-Del.) and Senator John Kennedy (R-La.). Now law (Public Law 116-260), the AIM Act directs the EPA to implement an 85 percent phasedown of the production and consumption of hydrofluorocarbons (known as HFCs) by 2035. HFCs are potent greenhouse gasses used today in coolants in refrigerators and air conditioning systems and in other industrial processes.
The AIM Act is among the most significant environmental laws enacted by Congress in recent years—co-sponsored and passed with strong, bipartisan support. Backed by a broad coalition of industry and environmental groups, the law not only phases down HFCs along the timeline required under the Kigali Amendment to the Montreal Protocol but also ushers in the use of more climate-friendly and energy-efficient alternatives that will save consumers money while protecting the environment.
Good for the Economy
The United States is already a leader in manufacturing HFC-alternative technology because of early investments in this country. The AIM Act builds upon these investments, allowing U.S. companies to further expand manufacturing at home and remain competitive in a growing global market. The AIM Act will ensure that American workers and businesses lead the nationwide phase down of HFCs and that American industries lead the global market in HFC alternatives. EPA estimates the present value of the cumulative net benefits of implementing the AIM Act “will be more than $272 billion from 2022 through 2050” and U.S. businesses are expected to save money in energy savings by using more energy efficient HFC alternatives.
Good for Manufacturing
Implementing the AIM Act is expected to AIM Act improve the U.S. trade imbalance in chemicals and equipment by an estimated $12.5 billion and increase direct and indirect U.S. manufacturing output by nearly $39 billion by 2027.
Good for Job Creation
The U.S. Chamber of Commerce estimates that implementing the AIM Act will create 150,000 American jobs by 2030.
Good for Consumers
By 2035, EPA estimates that implementing the AIM Act will save consumers $3.7 billion.
Good for Our Planet
HFCs have a global warming potential that is tens of thousands of times worse than carbon dioxide. With the passage of the AIM Act, the United States joins a majority of other countries in phasing down HFCs. Collectively, that phase down is expected to help avoid a half-degree Celsius in global warming. According to the EPA, the emission reductions from implementing the AIM Act through 2050 will be the equivalent of 4.6 billion metric tons of carbon dioxide, which EPA estimates is “nearly equal to three years of U.S. power sector emissions at 2019 levels”.
On March 25, 2020, the EPW Committee began an information-gathering process to hear feedback from different stakeholders on the AIM Act.
On September 10, 2020, Senators Carper, Barrasso, and Kennedy announced an agreement to update the AIM Act amendment to the American Energy Innovation Act.
On December 27, 2020, the AIM Act was signed into law as part of the Consolidated Appropriations Act of 2021.
On October 5, 2021, EPA finalized its first rules to implement the AIM Act.
|9/10/20||Carper, Barrasso, and Kennedy Announce Agreement on HFCs Amendment to Energy Bill|
|3/5/20||Carper and Kennedy Introduce Amendment to Phase Down Use of HFCs|
|3/4/20||Carper and Kennedy Introduce Amendment to Phase Down Use of HFCs|