Although the U.S. midterm elections gave the Republicans a majority in Congress, which includes many climate denialists, the Democrats have not given up fighting for climate change.
On the 19th, Rhode Island Democratic Senator Sheldon Whitehouse introduced the American Opportunity Carbon Fee Act, which requires emitters to pay a fee based on each ton of emissions, starting at $42 per ton in 2015, with an annual increase of 2% based on inflation.
The bill would "compensate polluters for all man-made environmental costs," the White House said. "Currently, we subsidize large-scale polluters with hundreds of billions of dollars annually so they can pollute the environment without paying any price." The White House believes this mechanism could generate $2 trillion in revenue over 10 years and "give back to the American people."
"The costs of health impacts, property damage from rising sea levels, and reduced fish catches from ocean warming will all be borne by the people." If this bill becomes law, all costs related to carbon pollution will go to the American Opportunity Fund.
This bill applies to all coal, oil, and natural gas producers that manufacture or import coal, oil, and natural gas within the United States, and requires carbon emissions fees to be assessed if they emit non-carbon greenhouse gases or carbon dioxide emissions from sources other than fossil fuel industries.
"This bill gives us control over our economic future, is the most direct solution to climate change, and is gaining increasing bipartisan support," said Brian Schatz, a Democratic senator from Hawaii and one of the bill's co-sponsors.
The U.S. Treasury Department, Environmental Protection Agency, and Energy Information Administration will collaborate on assessments and fees to ensure the application of best practices in research and data collection. The White House also outlined several possible uses, including tax cuts, increased social security benefits, subsidies for student loans, investment in infrastructure, climate mitigation, and reducing the national debt.
According to estimates by the independent think tank Resources for the Future, charging emissions fees based on the social cost of carbon dioxide could reduce carbon pollution by 50% within 10 years, solely through the power generation industry. The power generation industry is the largest emitter of carbon dioxide, accounting for 40% of total annual emissions.
Sources: Environmental Information Center (2014-11-19)
