Senate Democrats Seek Political Traction on Climate Bill

By Juliet Eilperin
Washington Post Staff Writer
Wednesday, September 30, 2009 3:06 PM

Senate Democrats introduced legislation Wednesday establishing mandatory, nationwide limits on greenhouse gases, hoping to spur political momentum on the issue before negotiators meet in Copenhagen in December to try to forge a new international climate pact.

The bill would cut the nation’s greenhouse gas emissions 20 percent compared to 2005 levels by 2020 and cover roughly 7,500 coal-fired plants, oil refineries and other facilities across the country.

Authored by Senate Environment and Public Works Committee Chair Barbara Boxer (D-Calif.) and Senate Foreign Relations Committee Chairman John Kerry (D-Mass.), the legislation could prove pivotal as foreign leaders watch to see whether the United States can commit to meaningful carbon cuts as part of a binding global agreement.

But the bill leaves many key questions unanswered, such as how the system would distribute carbon allowances to polluting industries and what support the federal government will provide for the development of nuclear power. And it faces opposition from many Republicans and some Democrats, along with a crowded legislative calendar that could prevent it from reaching the Senate floor before the U.N.-sponsored climate talks begin in December.

“This is the beginning of one of the most important battles we will face, as legislators and as citizens,” said Kerry, standing on the East Front of the U.S. Capitol before a huge American flag and a group of veterans, clean energy entrepreneurs and state and local lawmakers. “It is time to reinvent the way America uses energy.”

The measure resembles the House-passed bill in many respects, though it is slightly more ambitious in terms of its environmental targets, and it fleshes out aspects of the carbon trading market that would be created under a system where carbon emitters will buy and sell pollution allowances. It creates what Boxer described as “a soft collar” that aims to curb price volatility in the carbon allowance trading market. If allowance prices reach $28 it would trigger the release of reserve allowances to keep prices in check. For the first five years the price trigger would rise 5 percent above the rate of inflation; after 2018 it would rise 7 percent.

The bill also calls for the Commodity Futures Trading Commission to set regulations that would provide federal oversight for the carbon trading market, though it doesn’t specify what those rules would look like. It establishes an emission allowance rebate program targeted at some trade-sensitive and carbon-intensive American industries, but it excludes the oil industry.

A lobbyist for the oil refining industry, who asked not to be identified because he represents clients who would be affected by the legislation, questioned why the Senate bill left so many provisions blank when the authors have been negotiating with their colleagues since the House passed its climate bill in late June.

“I don’t think this advances the ball all that much,” the lobbyist said. “I know they’ve been talking to people. There’s no evidence those talks have led to any progress for three months.”

Gene Karpinski, president of the League of Conservation Voters, said the fact that the measure does not spell out questions such as which industries might receive free allowances “signals that a lot of important conversations will have to occur to get the support we need.” But he added, “It’s obviously a hugely important step forward signaling that it’s time to move forward in the Senate.”

Boxer and Kerry told reporters they held off providing details for provisions that fell under the jurisdictions of other panels, such as the Finance and Agriculture Committee, but they were confident they could resolve those issues in the near future. “They’re not huge issues,” Boxer said.

Though the bill’s sponsors said they were optimistic they could attract GOP support, no Republican senator attended the event. The unveiling had the feeling of a pep rally, with dozens of environmentalists standing in the crowd holding green and blue placards. Rather than giving a traditional speech, Sen. Tom Udall (D-N.M.) led the group in a chant.

“Do you want a clean energy revolution,” he asked.

“Yes,” they cried.

“Are you going to that with us?”

“Yes!” they replied.

“Then we’re going to get it done,” Udall concluded.

Within minutes of the rally ending, Republicans made it clear they would fight the bill.

“These are fancy, complicated words for high-cost energy that sends jobs overseas looking for cheap energy,” Sen. Lamar Alexander (R-Tenn.) said of the legislation in a statement. “Instead, we should take practical steps to produce low-cost, clean, carbon-free energy and create jobs. Specifically, we should build 100 new nuclear plants, electrify half our cars and trucks, expand exploration offshore for American natural gas and oil, and double funding for energy research and development.”

President Obama, who has largely let Congress take the lead in fashioning climate legislation, issued a statement Wednesday praising the Democrats’ effort.

“With the draft legislation they are announcing today, we are one step closer to putting America in control of our energy future and making America more energy independent,” Obama said, adding he looks “forward to signing comprehensive energy legislation that addresses this urgent challenge.”

Comments (0) · Leave a Comment

There are currently no comments.