Posts tagged “cap-and-trade”
Bringing together climate policy and innovation to form a cohesive carbon tax proposal reframes U.S. climate advocates’ near-myopic focus on carbon pricing, mandates, and subsidies and expands the discussion on how we can use those tools to spur innovation, writes Matthew Stepp.
President Obama aggressively called for addressing climate change in his fifth State of the Union address, but ultimately came up short of outlining a clear and compelling vision with the necessary policy scope to address the significant technological challenges impacting clean energy.
Here are my five top take-aways:
1) Demanded Action to Address Climate Change
It is indicative of the sad state of the U.S. climate debate when a mere mention of support for addressing climate change elicits celebration. Nonetheless, the President deserves credit for calling on Congress to take action against climate change and using about 10 percent of his speech to discuss what he would like to see.
“But for the sake of our children and our future, we must do more to combat climate change. Yes, it’s true that no single event makes a trend. But the fact is, the 12 hottest years on record have all come in the last 15. Heat waves, droughts, wildfires, floods – all are now more frequent and more intense. We can choose to believe that Superstorm Sandy, and the most severe drought in decades, and the worst wildfires some states have ever seen were all just a freak coincidence. Or we can choose to believe in the overwhelming judgment of science – and act before it’s too late.”
2) Aggressively Called for Increasing Public Investments in Energy R&D
One of the biggest issues impacting clean energy innovation is declining public investments. Of particular concern are stagnant energy R&D programs, which are a fraction of what is necessary to aggressively develop breakthrough clean energy technologies. According to the Energy Innovation Tracker, federal funding for energy R&D totaled $3.6 billion in fiscal year 2012. In comparison, the Defense Department’s R&D budget that year was $72.3 billion, or more than 20 times as much.
Europe’s Emissions Cap
This shows a fundamental misunderstanding of the European Emissions Trading Scheme (ETS) in particular, and the nature of a market-based emissions cap (AKA cap-and-trade) system in general.
Granted, the ETS is an imperfect cap because it only covers about 45% of total emissions in the EU – most notably it does not include emissions from home heating or automobile transportation. Importantly, though, it does cover major industrial emitters and utility-scale electricity production, which are the major users of coal.
(Read More: Global Carbon Dioxide Emissions — Facts and Figures)
However, the articles continually say things like this, in Friday’s Washington Post: “Green-friendly Europe has a dirty secret: It is burning a lot more coal.” The schadenfreude exhibited in these articles is unrelated to Europe’s actual record on climate policy.
The state of California is getting ready to let billions of dollars of investments begin to roll out in support of the clean energy sector, solidifying its position as the national leader in environmental causes.
While casting their votes in the presidential election last week, Californians also approved Proposition 39, a bill aimed at closing a corporate tax loophole and redirecting the increased tax dollars to support a series of environmental goals over the next five years. The funds will include about $2.5 billion to be invested in a variety of programs aimed at lowering California’s emissions, and boosting its already rich portfolio of alternative energy projects.
Arrival of Washington’s newest senator spells doom for sweeping climate reform.
Politicians are battling over whether to continue using coal as the primary energy provider or to give more power to natural gas.