Action Alert: Senate to Debate MANP-OPPOSED Climate Security ACT of 2008
June 2, 2008
***ACTION ALERT***
BACKGROUND: The Lieberman-Warner Climate Security Act of 2008 promises outlandish perils for the American economy — all for very little change in global temperature. S 3036 imposes strict upper limits on the emission of six greenhouse gases (GHG) with the primary emphasis on carbon dioxide (CO2). Each covered facility would be given “allowances” based on past emissions. Companies that emit less carbon dioxide than permitted by their “allowances” could sell (trade) the excess to those that do not. With this “cap-and-trade,” government would create a right for itself — an extraordinarily lucrative move to ration Americans’ exercise of their traditional rights. Arbitrary restrictions predicated on multiple untested and undeveloped technologies will lead to severe restrictions on energy use and large increases in energy costs.
EFFECT ON STATE AND U.S. GROWTH AND JOBS: According to the NEMS/ACCF/NAM report, the Lieberman-Warner Act could by 2030 lead to national employment losses of up to 4 million jobs, electricity price increases of up to 129 percent, and gasoline price increases of up to 145 percent.
Impact on Jobs: The primary cause of job losses in Pennsylvania would be lower industrial output due to higher energy prices, the high cost of compliance, and greater competition from overseas manufacturers with lower energy costs.
Impact on Energy Prices: Most energy prices would rise under the proposals in this bill, particularly for coal, oil and natural gas. The price of gasoline in Pennsylvania would increase between 74 percent and 143 percent by 2030, while electricity prices would increase by 78 percent to 113 percent. Pennsylvanians would pay between 93 percent and 133 percent more for their natural gas by 2030. Manufacturers would be especially hard hit as they consume one-third of all energy in the United States.
Factors Contributing to Higher Electricity Prices: Lieberman-Warner would reduce GHG emissions from all sectors of the economy (transportation, residential, commercial and industry); however, as the largest emitter of GHGs, the primary impact would fall on the electric sector. This bill would result in the electric industry shutting down most carbon-based generation and/or using expensive, as yet unproven technology, to capture and store CO2. To meet the stringent goals of Lieberman-Warner, the electric industry also would have to substitute high cost technologies, such as biomass and wind, for conventional generation.
Impact on Economic Growth: High-energy prices, fewer jobs and loss of industrial output are estimated to reduce Pennsylvania’s gross state product (GSP) considerably, between $6.1 and $8.4 billion per year by 2020 and between $22.5 and $26.6 billion by 2030
Impact on Industry: Emission caps will affect Pennsylvania’s major economic sectors. All manufacturing sectors will suffer output losses of between 2.3 percent and 4.1 percent by 2020, while output from energy intensive sectors fall between 8.2 percent and 10.5 percent. In addition, the general shift away from coal would result in a reduction in both coal and electricity production. These losses would be significantly higher by 2030 and would have a lasting impact on Pennsylvania’s economic base.
IMMEDIATE ACTION NEEDED: Contact Senators Specter and Casey and tell them to oppose this climate change legislation.
| CONTACT INFORMATION | ERIE FAX | DC FAX | E-MAIL ADDRESS |
| Senator Arlen Specter | 814/455-9925 | 202/228-1229 | arlen_specter@specter.senate.gov | Senator Robert Casey | 814/874-5084 | 202/228-0604 | robert_casey@casey.senate.gov |
You can also complete an electronic message through Capwiz.