Climate 411

Five Denier Myths about the Climate & Energy Bill

Originally appeared on Huffington Post

Like the summer weather outside, the fight over a strong climate bill is heating up. The next three weeks will reveal which Senators are serious about fixing the world’s biggest crisis, and which are worried about short-term political advantage.

At stake is whether the Senate will consider a strong bill that caps America’s carbon pollution and ends our over-dependence on oil and other fossil fuels. Or whether the Senate will pass yet another energy-only bill that won’t solve the problem.

Predictably, the “No Can Do” climate action naysayers continue to oppose to setting hard limits on America’s climate pollution. And they’re trotting out the same worn-out old arguments they’ve been using to oppose action for the last decade.

As we approach the Senate endgame, we want to use this opportunity to respond forcefully and directly to these scare tactics. Here are five reasons climate action opponents are wrong:

1) They claim a strong cap on America’s carbon pollution will wreck our economy.

FALSE: This is the bogeyman of every effort over the last century to protect our environment and defend public health and safety. Power companies said limits on acid rain pollution would wreck the economy. Oil refineries said taking lead out of gasoline would wreck the economy. Car manufacturers said installing seat belts would, you guessed it, wreck the economy. History has shown that in every case, America’s economy has not only survived but thrived under tougher environmental and public health and safety standards.

On this one, our opponents aren’t just wrong. They’re dead wrong. A cap on carbon didn’t cause the current economic disaster. A cap on carbon didn’t lead to one billion dollars a day going overseas to oil exporters. A cap on carbon didn’t raise electricity rates for the average American home 42% or increase the average cost for a gallon of regular gasoline 138% over the last 20 years. A cap on carbon didn’t slash American manufacturing jobs over the last half century.

It’s the status quo that got us into this mess.  The best way out is to jumpstart the new green economy by ending our addiction to oil and other fossil fuels with a strong limit on carbon pollution.

2) They claim a strong cap on America’s carbon pollution will undermine our economic recovery.

FALSE: They’ve got it backwards. Many notable economists, including Nobel Prize-winning New York Times columnist Paul Krugman and White House Economic Council Director Larry Summers, argue that strong climate action is the key for promoting economic recovery. It will encourage economic and entrepreneurial innovation and finally clarify how America will proceed with carbon limits. Without strong legislation, the uncertainty of EPA regulation and the threat of litigation will continue to freeze much-needed investments to modernize our energy infrastructure.

If you don’t believe these economists, remember this: even if we pass a strong cap on carbon pollution this year, it won’t go into effect for a couple years. That’s how long it will take before the regulatory rules are written. This is one of the most compelling reasons for passing a bill now so we can set the regulations and begin cutting emissions in time to meet the 2020 limits.

We should also note that most short-term emission cuts will come from the “low hanging fruit” of promoting energy efficiency and investing in carbon offsets. Indeed, the House-passed climate and energy bill earned the support of a wide range of businesses, including several power companies, because it made environmental and economic sense.

3) They claim that America can transition to a cleaner energy future without limiting carbon pollution simply by passing an energy-only bill.

FALSE: This is the popular, easy-out position for politicians — just throw money at the problem. But, there are several major flaws with an energy-only bill.

Congress has passed 10 energy bills over the last 40 years, and none of them have even come close to launching the energy revolution we need to end our over-dependence on fossil fuels and transform our energy economy.

The math simply doesn’t add up. Unleashing our clean energy future will require trillions of dollars in new investment in our energy infrastructure and technologies over many years. Such a large-scale transition will only be possible when private investors are given a clear market signal that the days of treating our atmosphere like an open sewer for unlimited carbon pollution are over. Without a strong cap on carbon pollution, we will remain addicted to the dirty energy of the past.

Finally, those in favor of promoting clean energy technologies without a carbon cap typically support taxpayer investments in handpicked energy technologies and programs. There are two main problems with this approach:

1) There is no way we can subsidize our way out of this problem — we are already running huge deficits, but even if we could find billions of dollars in taxpayer funds for clean energy subsidies, it will not come close to transforming our energy economy; and

2) This is a top-down, command-and-control, federal-government-picks-winners-and-losers approach that many legislators object to, and it will fail to achieve the most efficient clean energy investments.  A carbon cap will unleash the ingenuity of America’s entrepreneurs, and they will find the most cost-effective technologies for reducing global warming pollution.

4) They claim this is nothing but an energy tax that will limit freedom in America.

FALSE: A cap on carbon is a pollution limit, not a tax. It is a proven way to ratchet down pollution in a cost-effective, efficient, sensible way. As pollution levels decline and we begin to end our addiction to fossil fuels, new, cleaner, more efficient technologies will fill the void.

Think of it this way — let’s say you’re a smoker. One way to help you end your tobacco addiction would be to tax cigarettes and increase the cost of smoking. If smoking cigarettes gets more expensive, you may smoke less. Then again, you may just pay the extra amount and find other ways to save money. This is how a carbon tax would work, and it’s not what we’re advocating.

A better way to ensure that you stop smoking would be to set a declining limit on number of cigarettes you can smoke each day so that over time you gradually kick the habit. This is how a cap on carbon would work.

As for limiting freedom in America, this may be a popular claim by Rush Limbaugh, Glenn Beck, and the Tea Party crowd. But this flips the issue on its head.

Right now, we import nearly 60% of our oil and are beholden to the whims of the petro-dictators. We sit on only about 2% of the world’s proven oil reserves, but we consume nearly 20% of the world’s oil. Drill Baby Drill won’t change the basic math in this equation.

What freedom-loving American would choose to be dependent on Middle Eastern oil or while relying on the finite and dwindling resources of the world’s fossil fuels?

5) They claim that the environmental threat from climate change is overstated.

FALSE!: This one needs an exclamation point. The National Academy of Sciences and the science advisors to the last four presidents of both parties have looked at the data and are unequivocal in their warnings that global climate change is a potentially catastrophic environmental threat to the planet.

The next time someone questions the science of global warming, ask whether he denies that carbon dioxide is a heat-trapping gas. Or whether she denies we are emitting billions of tons of it into our atmosphere every year. Or whether atmospheric concentrations of carbon dioxide are higher today than at any time in at least the last 2.1 million years. Or that we just completed the warmest decade on record and that 2010 is on pace to shatter the record as the warmest year.

Each of these facts are measurable, verifiable, and not in dispute.

As a result of our 100 years of unlimited carbon pollution, we are witnessing the first symptoms of a planet that is transforming before our eyes. And what we have already seen should be enough to demand action.  Polar sea ice melting at alarming rates, seasons coming earlier, migration patterns shifting, the oceans acidifying, corals bleaching, glaciers retreating, wildfires raging out of control, mega-floods and severe droughts – these early symptoms are becoming the norm.

And this is merely the opening act. Over the coming decades, the planet will get warmer and warmer and warmer. Without a strong cap on carbon, there is no reversing this devastating trend.

On these and many other claims, the “No Can Do” folks are just plain wrong. The time for a strong climate and energy action is now. Please email your Senators today and urge them to support the strongest possible bill.

Also posted in Climate Change Legislation, Jobs / Read 3 Responses

July 6th, 2010 – The voices of a new clean energy future

Kansas City StarGrowing Green Jobs: A Conversation with Mark Izeman

Greening the economy – and creating new green jobs – is absolutely critical to successfully tacking climate change and many other global environmental crises we face. And these new jobs can at the same time jumpstart our economy and address our distressing unemployment rates around the country, especially in low-income communities. So, hopefully in 40 years, green jobs will be such an integral part of our economy that we won’t even need to label such jobs as “green.”

Indianapolis Star – Seize the moment to embrace clean energy

By Shaun Donovan, secretary of the U.S. Department of Housing and Urban Development.

At HUD, we recognize that homes are responsible for 20 percent of America’s carbon emissions, and that the long distances families have to drive to get to work and schools contributes to our dangerous dependence on oil. That’s why we’re coordinating with the Department of Transportation and the Environmental Protection Agency to reduce our carbon footprint at the same time we connect where we live to where we work.

The Huffington Post– “July 4th: Hope and Freedom in America”

By Representative Earl Blumenauer, D-Oregon

While we have not yet achieved freedom from our addiction to oil, the dramatic BP spill in the Gulf coupled with unprecedented investments in conservation and alternative energy make it more likely that we have a sustainable path for the future.

The House passed historic legislation to combat global warming and survey after survey show a majority of Americans still support comprehensive climate legislation. We all still have hope for the Senate.

The Voices of a New Clean Energy Future is a series from individuals who understand the importance of passing comprehensive climate and clean energy legislation – business leaders, politicians, policy experts, and concerned citizens like you. EDF is proud to highlight their voices and contributions to the climate and energy debate.

Also posted in Climate Change Legislation, Jobs, News / Comments are closed

July 1st, 2010 – The voices of a new clean energy future

The Huffington Post“A Knockout Blow to Gulf Production”

By Jeffrey Rubin, economist

“If raining oil on New Orleans doesn’t curb America’s appetite for crude, the resulting price shocks may.”

“The environmental consequences of Deepwater Horizon will take millions of barrels of oil out of future production. But the hurricane season threatens to rob us of even today’s production. Between the two of them, America will no doubt be looking elsewhere to meet its energy needs.”

The Huffington Post“Stuck on Stupid: Big Oil Says NO to Green Jobs”

By Robert Greenwald, Filmmaker, Brave New Films

“We’re trapped in a destructive cycle of cleaning up after Big Oil, and this cycle is hurting our environment and our economy. It’s time we break free and demand Clean Energy and Green Jobs Now!”

 “America has led in innovation before. We went from horse and buggy to the automobile. We went from the telegraph to the telephone. And now we must lead in transitioning from oil addiction to a clean energy economy. The solution to our destructive addiction to oil is clean energy, and Congress must show true leadership in creating it.”

The Voices of a New Clean Energy Future is a series from individuals who understand the importance of passing comprehensive climate and clean energy legislation – business leaders, politicians, policy experts, and concerned citizens like you. EDF is proud to highlight their voices and contributions to the climate and energy debate.

Also posted in Climate Change Legislation, News, Policy / Read 2 Responses

New Report Provides Comparison of Energy, Oil Savings and Climate Policies

A new report by Resources for the Future, “Toward a New National Energy Policy: Assessing the Options,” provides a thorough analysis of the various energy, oil savings and climate policies currently under debate. The analysis is especially helpful because it employs an “apples to apples” comparison approach by running differing policies through the same economic model and scoring them on the same two effectiveness metrics:“reduction in barrels of oil consumed and reduction in tons of CO2 emitted.” The model also tallies the projected costs of each policy allowing for a cost-effectiveness analysis.  The report does not allow for political calculations but does provide a good basis for policy comparisons.

Also posted in Climate Change Legislation / Comments are closed

Important Caveats to Last Week’s CRS Analysis of Climate and Energy Bills

The Congressional Research Service released a brief report last week comparing three energy and climate bills currently under discussion in the Senate. This comparison is useful to anyone looking for a fairly objective look at the three proposals. One key point to recognize though is that the analysis solely focuses on the policy mechanisms proposed in each of the three bills, it does not compare or contrast effects (economic and otherwise) of the bills.

For example, in the bill proposed by Senators Cantwell and Collins, the Carbon Limits and Energy for America’s Renewal (CLEAR) Act, the analysis does mention that the bill includes a “safety valve” as a mechanism to control the price of carbon. A safety valve works by allowing for the increase of emission allowances if the price of carbon rises above a certain level. Intended as a cost containment measure, the so-called safety valve undermines the proposal’s ability to achieve the targeted levels of CO2 emissions reductions (in 2050, 83% below 2005 levels), put forth by its authors. When the safety valve is used, the targeted carbon reductions fly out through the window. The CRS report makes no mention of this significant potential consequence of the mechanism.

Another issue to keep in mind is that the CRS analysis does not consider the long-term trajectory of allowance allocations in the American Power Act, the bill Senators Kerry and Lieberman co-authored. The Congressional Research Service includes only a snapshot view of allowance allocations for the year 2016. Since allowance allocations vary in the later years on the proposal, it is more helpful to asses the allowance allocations for the full duration of the legislative period (2013 to 2050). The chart below shows the projected allowance allocations divided by sector, for the time period 2013 to 2050, in net present value and therefore offers a more complete picture. As this graph shows, 46% of the allowance value is directed at households over the course of the bill.

When attempting to compare Senate proposals, it is important to focus attention on both the proposed policy but especially its likely effects. This CRS analysis is a helpful tool in understanding the former, but it is essential to remember to also consider the latter before drawing any substantive conclusions on which proposal will work best to create clean energy jobs, control carbon emissions and keep America safe.  The more comprehensive a climate and energy bill, and the less loopholes, the more benefits will accrue.

Also posted in Climate Change Legislation, Policy / Comments are closed

EPA Analysis Confirms American Power Act is Very Affordable for All Americans

An analysis released by the U.S. Environmental Protection Agency (EPA) this week confirms that a comprehensive solution to our dependence on oil is affordable and within reach, according to the Environmental Defense Fund (EDF).

EPA analyzed the American Power Act, a comprehensive energy and climate bill sponsored by Senators John Kerry (D-MA) and Joe Lieberman (I-CT). EPA’s findings show that the American Power Act’s objectives can be achieved for a few dollars a month for the average American. That’s a small investment in a clean energy economy that will create jobs, reduce pollution and increase America’s energy security.

“This new analysis is the latest in a series of studies confirming that we can readily afford a comprehensive climate and energy bill that would boost our economy, reduce our dependence on imported oil and help solve climate change,” said Nat Keohane, EDF’s Director of Economic Policy and Analysis.

EPA’s new analysis shows that the clean energy development in the American Power Act can be met for $79 to $146 per year per household, amounting to three to five dollars a month for the average individual American. The cost will be even lower at first; EPA projects that key provisions, including those for energy efficiency improvements, will lead to lower household energy bills over the next two decades.

Those families expected to be most affected by price changes will receive extra compensation under the American Power Act, so they’ll have an extra layer of protection. The EPA analysis also confirms that the carbon limits in the legislation will help to prevent dangerous climate change, a key environmental objective.

Like most economic modeling, EPA’s estimates look at only one side of the ledger, which means they do not take into account the huge costs of inaction. Factoring in the costs of unchecked climate change and continued oil dependence only reinforces the economic case for action.

“The BP oil disaster in the Gulf is a stark reminder of the high costs of relying on oil,” said Keohane.

“We need a comprehensive approach to energy and climate legislation that sparks technological innovation and spurs a new generation of cleaner, homegrown energy sources. Today’s EPA analysis confirms just how affordable a comprehensive approach will be. The investments we make will put this country onto a new clean energy path, ensuring a cleaner and more secure future for our children and grandchildren.”

Also posted in Climate Change Legislation, Jobs, News, Policy / Read 1 Response