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  • Not Everyone Won the Cap and Trade Lobbying Battle

    The cap and trade bill introduced by Henry Waxman (D-CA) and Edward Markey (D-MA) and passed in the is 1,427 pages and includes much more than a cap and trade system to reduce carbon dioxide and other greenhouse gas emissions. We’ve been detailing these economically harmful provisions in our cap and trade calamities, but Kathleen Hartnett White at the Texas Public Policy Foundation provides a tremendous synopsis of the entire bill and asks many tough questions in her policy paper, A Federal Leviathan: The American Clean Energy and Security Act of 2009.

    One particularly revealing part of the paper is the graph on the bottom of page three. Approximately 2,340 energy lobbyists worked on the cap-and-trade bill to do what President Obama said we shouldn’t – hand out allowances costs to utilities and other industries direct revenue to them. Opposition to this huge energy tax bill wheeling, dealing and arm-twisting to eke out the narrowest of majorities. They promised generous handouts for various industries and special interests but not everyone came out winners.  The blue indicates the emissions by industry and the red indicates the allowances allocated by the government.

    As shown by the graph, the refining and petroleum products industry, responsible for much of the carbon emissions from energy, receive the very little allowance allocations. White writes,

    “Under the aggressive carbon caps, many U.S. industries could not compete with foreign products manufactured in countries without binding carbon limits. And increased import of goods manufactured elsewhere without carbon limits would increase global carbon emissions. To address this “carbon leakage,” the bill provides for “carbon emission allowance rebates” to industries which meet specified levels of “trade intensity” or “energy intensity.” Petroleum refining, oddly, is excluded from those eligible.”

    The other loser is, of course, me and you. The disguised energy tax will cost a family of four an additional $3,000 per year. When all the tax impacts have been added up, we find that the average per-family-of-four costs rise by almost $3,000 per year. In the year 2035 alone, the tax impact is $4,600. And if you add up the costs per family for the whole energy tax aggregated from 2012 to 2035, the years in which we modeled the bill, it’s about $71,500.

    Giving away allowances are not an exception to the “no free lunches” adage. Giving away allowances does not lower the costs of cap and trade; it merely shifts the costs around. Waxman-Markey is Robin Hood in reverse: it takes a lot of money from regular Americans and funnels it to Washington bureaucrats and the corporations with the best lobbyists.

    Posted in Energy [slideshow_deploy]

    5 Responses to Not Everyone Won the Cap and Trade Lobbying Battle

    1. Pingback: Cap and Trade-A Federal Leviathan | TALON

    2. Lanette says:

      Henry Waxman and Ed Markey need to have their heads examined and so do the fools who voted for them.

      My God, this is lunacy.

    3. JOHN W. BUGLER says:

      CAP AND TRADE WILL CRIPPLE THE RECOVERY.ELECTRICITY PRICES WILL DOUBLE.SMALL BUSINESS WILL FALTER.WE WILL LOOSE MORE JOBS AND AS SUCH BE HERDED INTO GOVERNMENT PROGRAMS.THERE IS NO COMPELLING EVIDENCE THAT CO2 CAUSES GLOBAL WARMING. BUT THOSE WHOSE MISSION IT IS TO CRIPPLE THE AMERICAN ECONOMY AND MAKE US A GLOBAL LAUGHING STOCK WILL REVEL.THE OBAMA TENT SHOW REMINDS ONE OF THE FINAL WORDS IN THE ORWELL NOVEL "ANIMAL FARM."AS THE ANIMALS LOOKED IN THE WINDOW THE SAY THE PIGS HAVING A SWELL PARTY WITH CORRUPT ADMINISTRATIVE STATE OFFICIALS.THE REPUBLICAN PARTY SOLD US OUT. WE CAN NOT GIVE ALL THE BLAME TO THE DEMOCRATS. THE ACT THE WAY THEY DO BECAUSE THAT'S WHAT THEY ARE–ADMINISTRATIVE STATE TYPES.

      BUT THE REPUBLICANS WHO WE SENT TO WASHINGTON IN 1995 TO CLEAN OUT A SWAMP HAVE BECO0ME PART OF THE SWAMP. ONE CONGRESSMAN WHO WAS PART OF THE CONTRACT TOLD ME IT WAS NOT A SWAMP AFTER ALL. HE TOLD ME IT WAS IN REALITY A HOT TUB.

      THE REPUBLICAN PARTY UNDER GEORGE BUSH PUT THIS COUNTRY INTO A COFFIN.

      OBAMA IS HERE TO PUT A LID ON NAIL IT SHUT AND BURY US.

      IF THE REPUBLICAN REMNANT CAN NOT HOLD THE GATE ON CAP AND TRADE AND HEALTH CARE LEGISLATION THEN I SAY TO ALL WHO HAVE FEET "GET THEE TO A CONVENT AND GET THERE WHILE YOU STILL CAN.I REMEMBER THE FEELING I GOT WITH THE PEANUT FARMER FROM PLAINS. THAT WAS A DARK HOLE IN OUR HISTORY.BUT THE GIPPER CAME AND SAVED US FROM OURSELVES.THIS TIME THERE I SEE NO GIPPER IN SIGHT."SO LONG AMERICA WAS SO GOOD TO KNOW YA."

      IT WAS SO WONDERFUL UNTIL THE CONGRESS FOUND OUT THEY COULD BUY OUR VOTE WITH OUR OWN MONEY.AND NOW THERE IS NO MONEY LEFT IN WASHINGTON. THE CHINESE WILL NO LONGER BUY OUR DEBT AND SO THE FED MUST MONETIZE IT.I MET A FORMER MEMBER OF THE FED FROM THE GIPPERS TIME AT A HERITAGE EVENT IN THE GREAT CITY OF NEW YORK RECENTLY.I ASKED HIM WHAT TO DO. HIS ANSWER TO ME WAS "PRAY". IN THE MEANTIME GO TO GOOGLE AND TYPE IN "THE GENERAL WELFARE CLAUSE" BY THIS WRITER. GIVE IT A READ.

      WITH PRAYER AND GOOD WISHES JOHN W. BUGLER. BUGLER.ORG

    4. Brad S,, Detroit, MI says:

      The biggest problem with this Cap and Tax bill is that is completely overshadowed by the "Health Care Control . . er . . Reform" bill. Unemployment is at 10% and now they want to throw some gas on the fire ? What lunacy !

    5. JOHN W. BUGLER says:

      AMEND MY PREVIOUS SEND.

      DO SEE SOME HOPE COMING IN WITH THE EARLY MORNING LIGHT.

      TWO NEW EARLY MORN STARS APPEAR.

      1.EDWARD COX – REPUBLICAN CHAIR NY STATE

      2.RICK SANTORUM –RETIRED US SENATOR PA.

      PRAY FOR THESE TWO MEN. THESE MEN WORKING TOGETHER CAN MAKE THE DIFFERENCE.

      WITH EVERY GOOD WISH.

      GOD BLESS.

      JOHN W. BUGLER

      BUGLER.ORG

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