Wednesday, June 17, 2009

Climate Bill - Rural folks to face higher increase in utility bills than urban dwellers

Now Peterson, who because of his demands has gotten himself face-time with Waxman, Markey and Pelosi, is being approached by Democrats beyond his committee who are eager to take advantage of his access to the top Democrats. “Now an even bigger impediment to the bill than agriculture is the electricity allowances,” Peterson explained on Tuesday, citing another of the measure’s provisions. Peterson said the Waxman-Markey formula for distributing allowances to electricity producers heavily favors populous states over rural ones, meaning rural-state consumers may face a disproportionately high increase on their utility bills compared with consumers in urban areas. “You have certain states that get significantly more allowances than they actually need, and then you get other states that are, like, at 45 percent of what they need,” he said. “This has created a big revolt with the members. I just had probably six or seven of them come up to me — including three committee chairmen — talking about this.” Peterson alluded to the bill’s sponsors, who hail from California and Massachusetts, favoring their regional areas. “It looks to us that they made a deal on the two coasts with the big guys and didn’t think about [farmers and the Midwest],” Peterson said. “So this, I would say right now, is a bigger stumbling block for Waxman than the ag stuff.”...TheHill

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