Cap and Trade: Greenhouse Gas Regulations and the Impact on Texas
- Senator Kerry and Senator Lieberman introduced the American Power Act on 5/12/10, a bill with the goal of reducing greenhouse gas emissions and including several provisions similar to the House passed cap and trade bill.
- H.R. 2454 (ACES Act) passed the U.S. House on 6/26/09, by a vote of 219-212.
American Clean Energy and Security Act
by Susan Combs
...But the cap and trade provisions of the American Clean Energy and Security (ACES) Act of 2009, sometimes called Waxman-Markey, will have a significant impact on Texas families, businesses, and consumers....
...“Skyrocketing” energy prices will have a disproportionate affect on the Texas economy.
Global warming has a price. So does turning down the world’s thermostat. The question is, who pays for reducing greenhouse gases? And is the burden shared — or shifted unfairly?
The United States Congress continues to review regulatory legislation and programs to address reduction of greenhouse gas emissions and further shape energy policy in our country. Our office is reviewing the proposals that have been discussed or introduced to determine the impact we could see in Texas.
In 2009, the U.S. House of Representatives passed the American Clean Energy and Security Act. This is the main legislation in this Congress that has proceeded the furthest in the legislative process. As such, the analysis and numbers discussed on this site relate to the impact this legislation could have on the state. We expect the different pieces of legislation that have been introduced or discussed since the activity on this bill will each have varying impacts on the economy of our state.
The American Clean Energy and Security Act would enlarge the federal budget, eliminate jobs and increase food and energy prices. This cap and trade proposal also would create a commodities market for Wall Street to help companies buy and sell pollution rights. The legislation would penalize Texas because it is the nation’s energy capital and manufacturing center.
Texas could lose 137,000 to 313,000 jobs by 2020 and 170,000 to 425,000 jobs by 2030 as a result of increased energy prices due to the proposed cap and trade program. The average Texas household could pay up to an extra $1,136 on household goods and services over a year with a total potential cost to Texas families of $6.9 billion.
Is this the best approach? How can we fully mitigate the impact? Will Congress have the money to stimulate a green economy to replace lost jobs?
Join the Conversation
- Learn more about cap and trade, the proposed federal legislation and what it could mean.
- Track steps Texas is already taking to address energy efficiencies and reduce greenhouse gases.
- Stay informed on this important issue: join our cap and trade e-mail list and share this information with others who care about the future of Texas.
- See how you can do your part to be efficient to help Texas reduce its energy consumption.