ICYMI: Economist: “Consumers will pay more for electricity” under Power Plant Rule
June 18, 2014
During today's Senate Environment & Public Works Subcommittee on Clean Air and Nuclear Safety hearing entitled, "Climate Change: The Need to Act Now," Sen. John Boozman (R-Ark.) discussed the impact of the President's recently announced rule on existing power plants will have on jobs and economic growth with Dr. Joseph Mason of Louisiana State University.
Earlier this month, Gina McCarthy, Administrator of the U.S. Environmental Protection Agency (EPA), announced new regulations on carbon emissions from existing power plants as part of the President's Climate Action Plan. This rule is expected to have a less than 2% impact on carbon emissions reductions because it will not impact the world's largest carbon emitters like China, India, and Russia. However, the rule will result in less reliable electricity with much higher prices on all Americans. Additionally, the rule encourages States to enter into cap-and-trade agreements, yet the rule does not detail how the transactions would be made. Click here to read a letter from 41 Senate Republicans asking President Obama to withdraw the cap-and-trade rule.