Climate Bill Would Generate $750 Billion for Consumers, Study Finds

Opponents of climate legislation paint efforts to reduce carbon emissions as “cap and tax” policy, but a new analysis of the current House proposal to curb greenhouse gas emissions finds that consumers would receive around $750 billion in direct and indirect handouts and subsidies through 2030 to offset the higher energy costs. Point Carbon, a market analysis firm, has estimated that the total value of the allowances given out by the government would amount to $1.5 trillion between 2012 and 2030, assuming that carbon prices rise from $13 a ton in 2013 to $22 a ton. In the early years of the program, most of these permits will be handed out freely by the government. They will be gradually auctioned off, increasing the cost of spewing out carbon into the atmosphere, and creating a large source of new revenue for the government. The 932-page bill gives local electric distribution companies, whose rates are regulated by states, 30 percent of the allowances, amounting to a handout of $409 billion to mitigate any increases in power rates from higher carbon costs, according to Point Carbon. These free allowances will phase out over a five-year period from 2026 through 2030. In addition, the program provides $227 billion to low-income households, $90.6 billion to local gas companies, and nearly $20 billion to protect against increases in rising heating oil costs. The bill also allocates an estimated $254 billion in subsidies to industries that would see their costs rise because of higher carbon costs. These include auto companies, which would be required to work on fuel-efficient vehicles, or industries vulnerable to competition from countries that have not set a cost on carbon, like the steel or cement industries...NYTimes

What a mess. The Politically Superior Ones think they can manage all the facets of energy production plus any international trade that impacts the energy industry.

What arrogance.

What ignorance.