It is a very unfortunate fact that what the U.S. Senate does about the climate crisis, and when, is decisive when it comes to the possibility of an eventual solution to that absolutely critical issue. If the Senate does nothing, or very little, this year or for the next few years, the odds of staying this side of climate tipping points and avoiding climate catastrophe are definitely worsened, and they’re not so good right now.
The conventional wisdom among the inside-the-beltway, established environmental groups is that the hope for action lies with the legislation-writing process currently taking place under the leadership of Senators John Kerry, Joe Lieberman and Lindsey Graham. But two of the most significant political developments last week as far as Senate climate legislation took place elsewhere.
One was the public announcement via an email from Bill McKibben sent to 350.org’s far-flung network that “we’re joining a group of our best allies in backing the proposed Cap-and-Dividend approach that would stop letting big polluters pour carbon into the sky for free.”
The other was the public letter from AARP, the 39-million member organization of seniors, to Senators Maria Cantwell and Susan Collins, authors of the CLEAR Act cap-and-dividend legislation. In their letter [pdf] they commend Cantwell and Collins for their “continuing leadership” and for offering “a thoughtful, bipartisan approach to reducing harmful carbon dioxide emissions while also mitigating potential energy cost increases to consumers.”
Strengths and Weaknesses
There’s a lot that is good about the CLEAR Act (Carbon Limits and Energy for America’s Renewal), especially in comparison with the Waxman-Markey ACES bill passed by the House of Representatives last June. It would make fossil fuel polluters pay for their poisoning of our atmosphere, with no free pollution permits. In the first year, 2012, that the legislation would take effect, they would need to pay, cumulatively, as much as $126 billion dollars via a 100% auction of pollution permits. Putting a price on carbon in this way, all by itself, is an important step forward.
A steadily-declining cap on carbon pollution would be enacted so that, over time, prices for carbon-based fuels would go up and co2 emissions would go down as a steady national shift takes place to energy conservation, efficiency and renewable energy. There are provisions for a tightening of this cap relatively easily by way of a simple majority (no filibuster allowed) of both houses of Congress in support of a Presidential proposal. There are no problematic “carbon offsets.” Wall Street and speculators are prevented from buying or selling permits. 75% of the money raised from the auction each year will be returned in equal monthly payments to every legal US resident. A family of four will receive approximately $1,000 a year to help with the higher energy prices the oil, coal and natural gas companies will pass along. Analyses have shown that about 3/4 of all U.S. Americans will actually gain additional money to spend via this program. The remaining 25% of the auction revenue will be put into a “Clean Energy Reinvestment Trust (or CERT) Fund” for various programs to reduce U.S. and international greenhouse gas (GHG) emissions, for clean energy, energy efficiency, transition assistance and similar purposes.
A key feature of the CLEAR Act is its understandable, transparent architecture. It is 39 pages long, compared to 1,428 for the House-passed ACES bill.
There’s a lot to like about this proposal. Continue reading