Could be good, could be bad. Would a carbon tax be more effective than cap and trade? – It could be stepped up annually, so tightening the efficiency screws on power utilities and steel mills. It might also allow for an easier ride at the WTO on border adjustments… Has it been fully discussed in Europe, Japan or the USA?
SBB 16 March The US Senate could be close to working out compromise carbon emissions reduction legislation that would include a controversial cap-and-trade proposal – at least for utilities, Steel Business Briefing learns.
An unnamed senator tells Reuters it’s still unclear how the government would reduce carbon emissions from sectors including manufacturing and transportation, but a bill could be introduced by next week that would at least include measures to reduce emissions created by the utility industry.
The US House passed a more universal cap-and-trade plan that covers oil refineries, in addition to manufacturers and utilities. The Senate has been unable to pass a similar version, so some of its members have been working on a compromise plan that leaders in the legislative body say they hope could be voted on by June, Reuters reports.
The federal Environmental Protection Agency (EPA) has said it has the authority to begin regulating carbon emissions itself if Congress cannot pass legislation to do so on its own, SBB notes.