Wednesday, July 8, 2009

Dispelling Some Myths About H.R. 2454, the American Clean Energy and Security (ACES) Act

Last month, The House of Representatives passed H.R. 2454, the American Clean Energy and Security (ACES) Act. Since then, many of my constituents have contacted me, asking that I address their questions, and concerns about the impact that this bill will have on their daily lives. As you may know, ACES takes the important step of establishing a cap on greenhouse gas emissions, and reducing the impact that fossil fuels have on our environment. This landmark legislation contains several complex portions that have been misrepresented by its opponents, and have led to confusion amongst the general public. In the interest of clarity, I would like to address these misrepresentations:

Opponents have claimed that H.R. 2454 is equivalent to an energy tax.

  • Americans are going to save money under the provisions of H.R. 2454. A variety of studies, including one from the Congressional Budget Office, said clearly that this legislation will cost the equivalent of a postage stamp a day but that there will be significant savings to offset that expense.
  • Opponents have been misrepresenting CBO's score of the bill, claiming incorrectly that CBO shows a cost to American families of $770 per year. In fact, the EPA and CBO analyses both confirm that the cost will range somewhere between $80 to $175 - less than 50 cents per day in 2020. These figures do not even count the avoided costs of addressing global warming.
  • 40 percent of American households will face almost no cost as a result of this bill, according to CBO.
  • The Natural Resources Defense Council prepared an analysis of the legislation showing that the average savings for American consumers will be around $6 per month between 2012 and 2020.
  • Moreover, the future savings for generations to come after the U.S. becomes more energy efficient will easily outpace any of the short term costs.

Opponents have argued that this bill will be a drag on the economy or that it will cause job losses.

  • According to industry leaders, ACES will unleash billions in industry investment and be a major job creator. One recent study concluded that H.R. 2454 and the American Recovery and Reinvestment Act together would create 1.7 million new clean energy jobs. The expertise in semiconductor technology housed in Silicon Valley means our region is particularly well situated to be a leader in renewable energy technologies.
  • In addition to job creation, H.R. 2454 includes numerous provisions to assist workers, including an increase in funding for the Green Jobs Act, a program for displaced workers that provides income supplementation, assistance with healthcare premiums, job search assistance, job counseling, training, and other services.
  • The bill helps energy-intensive and trade-exposed industries transition to a green economy by rebating emission allowances to industry participants.

Opponents have argued that there should be a "safety valve" provision that repeals the entire bill if unemployment reaches a certain level, or if gas prices reach a certain level.

  • During the Bush Administration, the average family's annual spending on gasoline went up from$2,186 to $4,658. The best way to counter this trend is to decrease our dependence on foreign oil, which H.R.2454 does.
  • Prices for heating oil, natural gas and propane that Americans use to heat their homes have also gone up sharply, nearly doubling since 2001. Prices are going up now, and that has nothing to do with this bill. Suspending the operation of this bill if energy prices continue to go up just doesn't make any sense.
  • H.R. 2454 contains numerous provisions that will create new, "green" jobs and assist displaced workers. H.R. 2454 will be part of the solution to unemployment, not part of the problem.

Opponents have argued that H.R. 2454 should focus on increasing domestic energy supply through drilling, or that their supposed "All-of-the-Above" strategy is preferable.

  • H.R. 2454 does increase our domestic energy supply, by promoting the use of wind, solar, certain hydro, other renewable sources, and even nuclear. At the same time, the bill allows for the continued use of coal, while addressing some of the costs created by coal's contribution to global warming.
  • H.R. 2454 will also increase our transportation efficiency, meaning our domestic oil production will translate into more miles;

I believe climate change is the most significant threat to our environment today and is one of the greatest challenges that humans face. We are finally acknowledging the impact our use of fossil fuels has had on our environment. This bill alone, isn’t enough to affect the change we need, it will require work from each and every citizen to educate themselves and others about the dangers of environmental degradation. As a former teacher, I feel education will be essential to allowing those changes to happen, which is why I introduced the Global Warming Education Act, H.R. 1926. It will not be easy to make the dramatic changes we need, especially changes in human behavior. However, I am confident that working together as a nation, we will achieve the means to ensure that our national treasures continue to be enjoyed for generations to come.

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