Climate change bill may cost you; electric rates will 'sky-rocket' with cap and trade, pt.1

July 2, 9:01 AMMiami City Buzz ExaminerRobbin Swad

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"Green" protestors calling for climate change solutions. AP Photo/ Pat Roque

With the recent deluge of popular headlines being monopolized by celebrity deaths, Governor indiscretions, and even the President's pitch for health care reform... there is another massive elephant in the room and it's time to give it some attention.

Here in South Florida, the business landscape has noticeably changed since the economy has "gone south." With many long-time local businesses  permanently shutting doors in the past few months amd recent news of Miami's unemployment rate hitting double digits at 10.2 percent,  why should South Floridians take notice of the American Clean Energy and Security Act that just passed the U.S. House of Representatives last Friday.?

First, it might be useful to know that Florida's largest utility, FPL, is seeking new rate hikes. FPL is hoping to raise rates in order to "allow it to earn a 'fair' profit, while making its infrastructure stronger, more efficient and less likely to emit greenhouse-gas emissions." According to the Sun-Sentinel, under the FPL proposal, base rates for residential customers would increase about 30 percent the first year. So if you have a base rate, as a residential customer, of 1,000 kilowatt hours, now costing $39.31-- it would increase to $51.71.

National legislation will increase the costs of electricity for the average person

As if FPL's proposal weren't troubling enough, on the national scene, President Obama is praising the U.S. House of Representative's very narrow passage of the climate bill last Friday. H.R. 2454, the American Clean Energy and Security Act, approved by a vote of 219-212, with mostly Democrat support.

"It will open the door to a clean energy economy and a better future for America," President Obama said Saturday.

Even so, a new Rasmussen Reports national telephone survey shows that just 19% believe the climate change bill passed by the House on Friday will help the economy.

Whatever attacks critics can launch at the American Clean Energy and Security Act... among the most glaring could be what the cost would be to the average person-- a cost which the President himself acknowledged in 2008:

“Under my plan of a cap and trade system, electricity rates would necessarily skyrocket.” — Barack Obama, January 17, 2008, San Francisco Chronicle

"'Cap and trade' refers to a system of buying and selling pollution permits to meet emissions limits."
MSNBC posted an AP article with the following breakdown of the potential effects of the Clean Energy Act on the average person.

• Such a law would impact how much people pay to heat, cool and light their homes (it would cost more); what automobiles they buy and drive (smaller, fuel efficient and hybrid electric); and where they will work (more "green" jobs, meaning more environmentally friendly ones).
• Farmers would see the cost of fertilizer and electricity go up.
• A new source of income could come from selling pollution credits by planting trees or changing farming methods to absorb more carbon dioxide.
• Energy would cost more because it would become more expensive to produce.
• Changes to how homes are built and even financed seem likely as energy efficiency is taken into account in building codes and the cost of mortgages.

In a nutshell, this energy bill has the potential for changing how we live, where we live, and the very landscape of the earth itself. Increases in the cost of energy would be passed down to everyone, everywhere, for everything.

In the above mentioned article, increasing energy costs is promoted as a kind of fringe benefit to homeowners and businesses who "would have greater incentive to use more energy-efficient lighting, windows and insulation." How exactly this will play out is unclear: taxes and fines on energy to mandate compulsory special light bulbs and window insulation, required home energy inspections in order to sell one's home?

Carbon concerns-- it's not what you think

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