EDF: Carbon Cap Not that Costly a Solution

EPA Analysis: Cap Carbon, Cut Oil Addiction for About Dime a Day, an analysis from the U.S. Environmental Protection Agency says the cap on carbon pollution proposed by U.S. Reps. Henry Waxman and Ed Markey can be achieved for as little as $98 per year per household—or roughly 12 cents per person per day.

“For as little as a dime a day we can solve climate change, invest in a clean energy future, and save billions in imported oil,” said EDF Director of Economic Policy and Analysis Nat Keohane, Ph.D.

“EPA’s analysis confirms what all credible economic models have found, which is that we can easily afford to reduce carbon pollution,” Keohane said. “In fact, the most expensive climate policy is not having one at all. In the real future—not the fantasy land that opponents of action live in—continuing along the so-called business as usual path will incur huge costs from leaving climate change and oil addiction unaddressed."

The analysis shows that the market-based cap on carbon contained in the American Clean Energy and Security Act can be met for $98 to $140 per year for the average American household. Those estimates only consider the costs of reducing global warming pollution and do not take into account the benefits of action.

"The analysis clearly refutes unfounded suggestions by opponents of an emissions cap that household impacts would be much higher. Those misguided estimates are off by orders of magnitude,” Keohane said. “Opponents of action will always try to cherry-pick the numbers and use models with biased assumptions. The EPA analysis sets the standard for economic analysis, using the most credible, transparent, and peer-reviewed models available."