WASHINGTON -(Dow Jones)- The U.S. Environmental Protection Agency on Tuesday announced an investigation into formaldehyde emissions from pressed-wood products.

"Through this process, EPA will develop a risk assessment on potential adverse health affects," along with "determining whether or not EPA action is needed to address any identified risks," according an EPA statement.

Formaldehyde is commonly used as a preservative and is found in certain pressed-wood products. It is an irritant and a probable agent that causes cancer.

Health complications from exposure to formaldehyde was thrust into the national spotlight after Hurricane Katrina when temporary housing for dislocated families in New Orleans allegedly caused illness in many people.

EPA plans to hold a 60-day public comment period, along with five public meetings. The agency is asking interested parties to submit comments, information and data "to determine the extent of the problem and what do about it."

EPA's move to investigate formaldehyde comes after private citizens and several environmental organizations submitted a petition to have national regulation on the chemical, similar to regulation enacted in California.

In March, the California Air Resources Board finalized a regulation that would reduce formaldehyde emissions from three types of wood products: hardwood plywood, particleboard and medium density fiberboard.

EPA spokesman Dale Kemery said it's too early to speculate on the potential impact this investigation could have on the housing and manufacturing sectors, plus the other industries that use formaldehyde.

-By Darrell A. Hughes, Dow Jones Newswires; 202-862-6684; darrell.hughes@ dowjones.com