Here’s an exchange between Newt Gingrich and Rep. Henry Waxman (D-CA). Mr. Gingrich is citing evidence that has repeatedly been proven false. Specifically, he’s pointing to a MIT report that Republicans use to make the claim that cap and trade will cost taxpayers $3,100 in new energy expenses. Waxman proceeds to refute his claims.
Cap and trade is exactly what it sounds like. A cap is placed on carbon emissions. If a company A goes over this cap, they can trade, or buy, carbon credits from company B, who is under the cap and has credits to sell. The purchased credits allow Company A to go over the cap.
What I gather, Republicans believe that no polluter will be able to remain under the cap, which would force them to buy credits and pass the expense on to the consumer. They also must believe that no polluter will be able to cover the expense of cleaning up their emissions. Basically, more defeatist attitude from the Party of No.
Why don’t they look at it this way? Company B, who has taken the necessary steps to clean up their act and reduce carbon emissions, is making money by selling to Company A, who may quickly find that spending the money necessary to stay under the cap is advantageous to their long term bottom line. What’s wrong with that?
Americans have always gotten things done. Upgrading our energy grid, regardless of climate change, is necessary and important to our future strength and prosperity. It’s time to put aside false concerns, roll up our sleeves, and do this.