"Saving the Planet" = Salvaging the Welfare State
As most of you know by now, AB32, otherwise known as the Global Warming Solutions Act of 2006, was sold as California's answer to "climate change." Our bipartisan-minded Governator at the time wished to go down in history as eco-friendly, so he and the Democratic legislature mandated a reduction in state carbon dioxide emissions--that is, energy use--to 1990 levels by 2020. AB32 empowered the California Air Resources Board (CARB) to achieve these aims using "market mechanisms" of its devising.
Now we know that "saving the planet" means oodles and oodles of new taxes. And current California governor Jerry Brown couldn't be happier.
A front page story in Easter Sunday's San Jose Mercury News explains:
Windfall of cash could hit state treasury from global warming program
For the past 10 years, California has struggled with huge budget deficits and wrenching cuts. Suddenly, however, the state is poised to raise billions from an unusual new source: the proceeds from its landmark global warming law.
The windfall could come as soon as this fall, when state officials are set to begin auctioning off pollution credits to oil refineries, power plants and other major polluters as part of a new "cap-and-trade" system.
The amounts are potentially enormous: from $1 billion to $3 billion a year in 2012 and 2013, jumping to as high as $14 billion a year by 2015, according to the nonpartisan state Legislative Analyst's Office. By comparison, the state's current budget deficit is $9 billion.
Happy days will be here again once CARB's new energy taxes kick in and Governor Brown wins his tax-the-rich referendum this November. Even better, the Bush-era tax cuts expire at year end!
Who could have guessed that the gritty work of saving the planet would dovetail so neatly with the revenue requirements of an out-of-control welfare state?
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Oct '10
Re: "Saving the Planet" = Salvaging the Welfare State
Amazing coincidence, no?
Mar '11
Re: "Saving the Planet" = Salvaging the Welfare State
Boy, that was fortunate! In addition, as the costs are shouldered by the evil corporations polluting the planet, the more marginal ones will leave the state, taking all those polluting jobs with them as they go. The ones who can't leave will pass their additional costs on to their customers. The customers who can't afford the new prices (or who lose their jobs) will also leave the state, taking their carbon footprints with them as they go. It's a positive feedback loop of environmental awesomeness!
In no time, the carbon output of California will be reduced to the level of the 90's...the 1490's.
Mar '11
Re: "Saving the Planet" = Salvaging the Welfare State
Percival
In no time, the carbon output of California will be reduced to the level of the 90's...the 1490's.
Mission accomplished.
Next step - USA, which will be much-enlarged by the falling sea levels.
Shame about the economic collapse.
Oct '10
Re: "Saving the Planet" = Salvaging the Welfare State
Where are their money trees planted? I mean, all that "new" revenue from the auctions is coming from, where?, the utilities and other "polluters." And the utilities and polluters are just going to pluck the money off the money trees to pay for the auctions? Or will they get the money somewhere else...somewhere...hmmm...somewhere...
Ahh, that's right. From consumers. So, taking money out of consumers' hands to give to utilities and polluters so they can buy carbon credits from the government so the government can have more money to spend on more government...is a prescription for fiscal recovery!!
Gee, why didn't WE think of that before?! (Answer: 'cuz we're not brainless Libs, that's why)
May '10
Re: "Saving the Planet" = Salvaging the Welfare State
I'm thinking Eric Burdon & The Animals...
"We Gotta Get Out Of This Place"
When do we call it quits, Peter? And to where?
May '11
Re: "Saving the Planet" = Salvaging the Welfare State
dittoheadadt: Where are their money trees planted? I mean, all that "new" revenue from the auctions is coming from, where?, the utilities and other "polluters." And the utilities and polluters are just going to pluck the money off the money trees to pay for the auctions? Or will they get the money somewhere else...somewhere...hmmm...somewhere...
Ahh, that's right. From consumers. So, taking money out of consumers' hands to give to utilities and polluters so they can buy carbon credits from the government so the government can have more money to spend on more government...is a prescription for fiscal recovery!!
Gee, why didn't WE think of that before?! (Answer: 'cuz we're not brainless Libs, that's why) · 47 minutes ago
Wait... so I'm the money tree? What a root awakening!
Re: "Saving the Planet" = Salvaging the Welfare State
Ouch!
Mar '11
Re: "Saving the Planet" = Salvaging the Welfare State
dittoheadadt: Or will they get the money somewhere else...somewhere...hmmm...somewhere...
Ahh, that's right. From consumers. So, taking money out of consumers' hands to give to utilities and polluters so they can buy carbon credits from the government so the government can have more money to spend on more government...is a prescription for fiscal recovery!!
Don't forget that at some point utility prices will rise higher than low-income residents can afford. At that point, the only humane option will be to offer those consumers relief from their utility bills, shifting the burden to high earners.
Nov '10
Re: "Saving the Planet" = Salvaging the Welfare State
Thanks Arnold Schwarzenegger, you jackass!
It's typical social policy coming from people who self-label as "socially liberal but fiscally conservative." As I wrote in these here parts once before:
Sep '11
Re: "Saving the Planet" = Salvaging the Welfare State
Mendel
Don't forget that at some point utility prices will rise higher than low-income residents can afford. At that point, the only humane option will be to offer those consumers relief from their utility bills, shifting the burden to high earners.
Read your electric bill. You already "contribute" a small amount every month for a "ratepayer-funded" program to "help low-income families pay their bills."
In other words, utility ratepayers already pay a tax to fund low-income electric bills (and other utilities as well--gas, water, etc.)
This is one of the stealth taxes--you're already paying to subsidize the utility bills of low-income households, just as you're already making a "ratepayer contribution" to fund energy efficiency projects, alternative energy projects, demand response initiatives, water reclamation projects, and a host of other "good government" pet projects that don't show up as line items in the state budget. Instead, the legislature "enables" the utility to add it to your bill--and use the collected funds to pay for what most companies call R&D.
Jun '10
Re: "Saving the Planet" = Salvaging the Welfare State
George Savage
Ouch! · 49 minutes ago
Puns can be good or bad. This one is good.
May '11
Re: "Saving the Planet" = Salvaging the Welfare State
tabula rasa
George Savage
Ouch! · 49 minutes ago
Puns can be good or bad. This one is good. · 26 minutes ago
Thanks, TR. Even if bad, I stand unrepuntant.
Re: "Saving the Planet" = Salvaging the Welfare State
There's always another layer of subsidy that can be built into the rate structure.
The modern application of utility regulation neatly inverts the original rationale for government involvement in the pricing decisions of energy companies and other "natural monopolies." Regulatory scrutiny was originally justified as preventing companies overcharging the citizenry, with the less affluent disproportionately harmed.
Present-day Gaia worshipers now wield regulatory authority to mandate that companies overcharge the public generally, with various subsidies built into the pricing structure to limit the political damage.
Pacific Gas & Electric--following a bankruptcy brought on by an economically mindless, short-lived regulatory scheme unfortunately sold to the public as "deregulation"--features "progressive" pricing. Live near the coast? Summers are cool here, you don't "need" much electricity and your "baseline" kilowatt-hour allotment is miniscule.
For NorCal residents, the marginal cost of electricity is 3-4X the national average already, before CARB's new "pollution" taxes.
Edited on April 9, 2012 at 10:38pmMay '11
Re: "Saving the Planet" = Salvaging the Welfare State
Paul Erickson
tabula rasa
George Savage
Ouch! · 49 minutes ago
Puns can be good or bad. This one is good. · 26 minutes ago
Thanks, TR. Even if bad, I stand unrepuntant. · 54 minutes ago
You guys are punishing the rest of us.
Re: "Saving the Planet" = Salvaging the Welfare State
Very punny.