SUOZZI, WALORSKI INTRODUCE BIPARTISAN LEGISLATION TO PREVENT WASTE-TO-ENERGY CENTERS FROM BURNING RECYCLABLE PAPER

Today, Congressman Tom Suozzi (D-NY) and Congresswoman Jackie Walorski (R-IN) introduced the PAPER Act, legislation to disincentivize the burning of recyclable paper at waste-to-energy facilities. Currently, the federal tax code allows for waste-to-energy facilities to receive an incentive for the burning of recyclable paper mixed with waste. Under the PAPER Act, waste-to-energy facilities would not get a tax credit for burning recycled paper mixed with waste.

“We should be encouraging the recycling of paper. It’s a no brainer. Because of lack of clarity in the current tax code, many centers are incentivized to burn recyclable paper,” said Congressman Suozzi. “Recyclable paper is crucial for the preservation of our environment but it doesn’t do much good if it’s being mixed in with waste and burnt.” 

“Hoosiers know how to be good stewards of both our environment and our economy,” Congresswoman Walorski said. “Paper recycling plays a critical role in achieving these goals, but a provision in the tax code unintentionally incentivizes the burning of recyclable paper. The bipartisan PAPER Act would provide a commonsense fix and strengthen this important industry.”

More specifically, the legislation clarifies that the tax credit is not available for waste-to-energy facilities that burn: 1.) commonly recycled paper that has been segregated from solid waste, or 2.) solid waste collected as part of a system that deliberately mixes commonly recycled paper with garbage. 

Paper recycling is an essential part of a healthy American economy and a sustainable environment. In 2020, nearly 66% of all paper used by Americans was recovered to be recycled, marking the consecutive year with a rate exceeding 60%. 

Manufacturers of 100% recycled paper products are especially important to the nation’s economy, operating 500 facilities in 45 states, providing an economic footprint in excess of $150 billion annually, and supporting over 63,000 well-paid jobs throughout the United States.