WASHINGTON (Reuters) – The Senate is close to wrapping up talks ahead of introducing a compromise climate change bill, said a top Democratic lawmaker who discussed ideas with industry groups on Wednesday.

“We’re planning to button up our efforts somewhere I hope next week,” Senator John Kerry told reporters after meeting with a coalition that represents automakers, forestry and paper companies, Big Oil, steel, mining, electricity and others.

Kerry is working with Republican Senator Lindsey Graham and independent Senator Joseph Lieberman on a bill to require U.S. industry to cut emissions of carbon dioxide and other greenhouse gases associated with global warming.

(more…)

When Congress returns from its summer vacation it will consider legislation that could energize investment in renewable energy projects with an almost “cash for clunkers”-like fervor.

Like the cash for clunkers legislation (and American Idol, and The Office), a feed-in tariff bill would be a ripoff of a European idea modified for American consumption. Bills that would require utilities to pay a premium for renewable power have been tried and failed here before, but the time (and composition of the Congress) may be right for the fight to take flight.

Introduced by Democratic Senators Jay Inslee (WA) and Bill Dellahunt (MA), the bill would guarantee a market for the renewable power projects and would do much to calms fears in today’s skittish investment arena. Feed-in tariffs have been overwhelmingly successful in Germany and Spain, basically creating the solar industries in both those countries.

Because a feed-in tariff promises American jobs and reduces foreign energy dependency, Congress will likely give the idea more of a fair hearing when the leaves begin to turn in DC.

(more…)

“No Drama” Obama somehow managed to step in it again last week, plunging himself into the Skip Gates arrest and racial politics when he was meant to be drumming up support for health care reform.

If the measure of how badly the White House narrative veered off course is to observe that many of the Sunday shows spent more time on ObamaGates (I might have to trademark that one) than they did on health care, it is worth noting that Waxman-Markey is barely in the rear view mirror anymore. It does not appear to be on the Senate’s radar either.

(more…)

HR 2454 or the Waxman-Markey bill, named after its two major supporters Henry A. Waxman and Edward J. Markey of the Energy and Commerce Committee, was passed in the US House of Representatives on June 27. Its major mandate is a cap and trade system though it does have other green practices scattered throughout. There has been a lot of talk recently, because of this bill, of the viability of a cap and trade system in the US. To evaluate the government’s ability to implement this new system we have to first understand it.

The basics of a cap and trade are fairly simple. It is a way to limit emissions through a credit system. Every business acquires a certain amount of credits; depending on the type of system these credits are either auctioned off or given away by the government. These credits represent the amount of carbon that businesses can emit. If the business cannot adhere to the limit of emissions their credits allow, they must buy credits from companies who are below their cap. Thus the companies who are responsible and limit their emissions are rewarded and those who are not as environmentally friendly are punished.

(more…)

A key U.S. congressional committee has approved historic legislation that for the first time would put a cap and a price on carbon dioxide emissions. After weeks of debate and an intensive, multi-million dollar lobbying campaign by industry and environmental groups, the House Energy and Commerce Committee passed a bill calling for a 17 percent reduction in greenhouse gas emissions below 2005 levels by 2020 and an 83 percent reduction by 2050.

(more…)