
Changing Landscapes
An Update on the Green Industry from the Outdoor Power Equipment Institute
By Kris Kiser
Like the North American economy as a whole, the green
industry is faced with numerous public policy hurdles in
2008, including climate change, ethanol, emissions and
water usage. The Outdoor Power Equipment Institute (OPEI)
is the major international trade association representing the
manufacturers and the suppliers of consumer and commercial
landscape machines in the green industry — outdoor power
equipment such as lawnmowers, garden tractors, utility
vehicles, trimmers, edgers, chainsaws, snow throwers, tillers,
leaf blowers and other related products.
The institute is working with the landscape industry’s
top manufacturers to tackle these public policy issues. As
an industry, the green markets now recognize — and have
proof — that responsibly maintained turf grass and outdoor
landscapes provide substantial environmental benefits to
our communities. It’s become a common goal to do more
to educate policy makers and consumers on these issues to
balance the political debate and solve the issues facing the
landscape industry.
Emissions Regulations
The industry has recently met a major milestone with
cleaner machines in the announcement of EPA’s Phase III
emissions regulations. OPEI worked cooperatively with the
EPA on the emissions regulations and worked to ensure that
the new regulations included enforcement authority in order
to prevent importation and retail of non-compliant equipment
and the ability to certify engines on E10 fuel. Once
fully implemented, the outdoor power equipment industry
will have reduced emissions by 95 percent in just 15 years
since it first became regulated. Although this is a substantial
achievement many consumers and political opponents of the green industry are ill-informed on the issue. Unfair
emission comparisons continue and OPEI will be forcefully
addressing the issue in the coming year.
Meeting Climate Change Head-On
Global climate change and the regulation of greenhouse
gases will be a major undertaking in the next Congress. OPEI
is committed to meeting this challenge head-on and will
work with government agencies to do its part. In the past six
months, we’ve explored the carbon issue in more depth.
Dr. Ron Sahu, an independent energy and environment
expert, has been asked by the institute to perform a study on
the carbon benefit of turf grass based on existing scientific
studies and models. The report of his findings, titled
“Technical Assessment of the Carbon Sequestration Potential
of Managed Turf Grass in the United States” showed us (and
the world) what we suspected all along: A net carbon benefit
from well-managed turf grasses exists.
There are great opportunities to join the carbon offset
debate. Why just plant trees to offset carbon emissions,
when you can plant turf grass and have carbon effectively
absorbed and sequestered? Cap and trade requirements in
climate change legislation could possibly include a carbon
credit for removing asphalt and planting turf. OPEI is
currently working with Congress on this issue.
In the year ahead, it is paramount to remind our community,
government, media and consumers that turf grass has value.
Not only does it reduce our carbon footprint and provide a
positive oxygen footprint, but turf grass also captures dust
and particulate matter, is the best safeguard against water
run-off and helps cool areas, especially those marked as
“hot spots,” such as commercial roofs and parking lots. Turf grass isn’t just a cosmetic decision, but an environmentally
responsible choice in most areas of the country that suffer
from too much asphalt and hard surfaces.
Water on the Agenda
Another area of challenge is the issue of water usage. The
industry will have to address the use of water and establish
best management practices on water use to meet anticipated
political activity on this issue.
It is incumbent on the industry to educate the public on
what, where and when to plant. It must educate the public
on how water is an investment in landscaping and turf grass
that then brings comprehensive environmental, health and
savings benefits.
Illustrative of the problem is the recent EPA draft proposal
for the WaterSense program. A landscaping criteria option
for the WaterSense label would restrict a home builder’s turf
grass use to 40 percent or less on a home site lot. This would
be a national standard, coast to coast, border to border — even
those areas not easily prone to drought or water restrictions
(e.g. the Pacific Northwest). This program option ignores the
comprehensive environmental and water benefits of turf
grass use.
OPEI has been working hard with EPA, members of Congress
and the USDA Undersecretary for Natural Resources
and the Environment, among others, to explain why this
just doesn’t make good sense. This program can’t be policed
or enforced, and it fully ignores the turf grass benefits: carbon
absorption and sequestration; the heat island cooling
effect (cooling around one’s home to reduce A/C use for energy
cost savings); capture and filtration of water run-off and
dust/particulate matter; oxygen creation and other environmental
benefits.
The industry must educate its customers about the
benefits of turf grass while improving the record on water
management. Homeowners should know the substantial
and comprehensive environmental benefits their lawns and
landscapes provide to all of us, and it’s incumbent upon us
to tackle this challenge.
The Shifting Ethanol Landscape
The U.S. Congress enacted legislation that mandates substantially
more ethanol and cellulosic fuel in the market-
place. Greater use of ethanol in gasoline
could greatly affect the use and performance
of all engine equipment, boats and
on- and off-road vehicles.
The U.S. Department of Energy and EPA
are currently conducting studies on the effects
of greater ethanol use on engines and
equipment. Associations representing manufacturers
of outdoor power equipment, automobiles,
boats, motorcycles, ATVs, snowmobiles
and others have teamed together to
form the Alliance for a Safe Alternative Fuels
Environment (AllSAFE) — www.allsafe-fuel.
org — to address the issue of greater ethanol
and cellulosic fuel in the fuels marketplace.
AllSAFE’s goal is to protect and educate consumers
on the use and effects of ethanol
containing fuels and to advocate on behalf
of the 250 million Americans who operate
some 400 million pieces of legacy equipment
before policy makers and regulators.
Deconstructing the Machine Market
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Although construction equipment exports are up 24 percent, compared to
the first half of 2007, according to the Association of Equipment Manufacturers
(AEM), the industry States-side is still having trouble finding solid market ground.
According to an August survey of rental companies by Longbow research
analyst Eli Lustgarten, demand for construction equipment from rental firms has
weakened since July. Just 29 percent of the contacts at construction equipment
rental firms cited improving demand in August, vs. 35 percent in July.
“The August survey results continue to suggest a difficult near-term outlook for
the construction rental equipment sector, consistent with our outlook for 2008
demand for construction equipment continuing to be weak,” says Lustgarten.
Pricing appears to have deteriorated in the past month. Overall, 48 percent
of contacts reported decreased pricing in August (vs. 35 percent in July and 41
percent in May to June); more importantly, the decreases were more pronounced
with half of those reporting price erosion seeing double-digit declines.
However, purchase intentions were up somewhat in August, as more rental
companies reported plans to increase their purchasing when compared with
our three most recent surveys. The expiration of the increased depreciation
incentives at year-end 2008 may be playing a factor in the change in attitude of
buying in the face of the announced large cuts in capital spending.
The outlook for the next nine to 12 months remains cautious. There was a
sequential increase in neutral expectations for the upcoming year, and positive
expectations fell from 54 percent from May to June, to 44 percent in July and to 42
percent in August following the trend seen over the past few surveys. The survey
focused on firms that rent light to heavy construction machinery, generators,
compressors, heavy-duty construction cranes and aerial work platforms.
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Home Base: Education
While our areas of concern continue to
broaden, the industry remains focused on
safety as its core message. Manufacturers
have and remain committed to ensuring
their products are used appropriately and
safely, working with OPEI to provide consumers
with the best and most up-to-date
materials.
Now, the institute’s tradition of education
and cooperation moves forward to the next
great challenges — water, climate change and
alternative fuels. OPEI recently announced
its sponsorship of a webinar series for
agricultural educators in conjunction with
the National FFA Foundation. Ranging
from topics on global climate change,
agricultural policy, turf grass management
and alternative fuels, this webinar series
is directed at the very people that are
responsible for preparing young men and
women for careers in the science, business
and technology of urban agriculture.
Most importantly, and now more than
ever, we realize how interconnected we are.
Working with the Professional Landcare
Network (PLANET), the American Nursery
and Landscape Association, the Irrigation
Association and others we intend to
educate and affect policy when it comes to
one of our country’s best, and until now,
overlooked assets — landscapes, turf grass
and their benefits to our world.
Kris Kiser is the vice president of public affairs for
the Outdoor Power Equipment Institute, based in
Alexandria, Va. For comments or questions, you
can contact Kris Kiser at KKiser@opei.org.
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