Don't Let Congress Sneak Through a $2 Trillion Climate Tax!

Representatives Henry Waxman (D-CA) and Ed Markey (D-MA) have devised legislation that would dramatically raise the prices you pay for the energy you need, like electricity and gasoline. By placing a cap on carbon dioxide output, their bill would force energy companies to pay through the nose for additional emissions permits. That means you would face higher bills for gasoline, utilities, and virtually every consumer product.

This plan would impose nearly $2 trillion in higher taxes on you and your family, while damaging the economy and putting more Americans out of work. If passed, this kind of legislation would be a classic case of the cure being worse than the disease.

Sample Letter for Campaign

Subject: Oppose Cap-and-Trade Tax Hike!

Dear [ Decision Maker ] ,

I urge you to vote against the Waxman-Markey cap-and-trade legislation currently being jammed through the House. This bill would place the burden of a $2 trillion dollar indirect tax on consumers, while sending energy prices through the roof and putting millions of people out of work.

If passed, this would be a classic case of the cure being worse than the disease. It would devastate our already-shaky economy (especially for the poor) while doing little to address climate issues. Bringing our economy to a screeching halt is not the answer to perceived climate challenges.

Please, stand up for me and the millions of other Americans who would be harmed by Waxman-Markey and vote NO.

Sincerely,

Campaign Launched:
June 23, 2009

Background Information

"Cap-and-trade" is a regulatory scheme for supposedly reducing CO2 emissions. Its proponents avoid using the term tax, but that is the inevitable result. The government sets a limit (a "cap") on how much CO2 can be emitted by an industry or a region or the country as whole. Emission permits for that amount are given out or sold -- something which in itself has a huge potential for political favoritism and corruption. Companies that must exceed their allotted permits, or that need to get new permits, then have to buy them from other permit-holders who haven't used theirs up.

The cost of buying those permits will raise the price of what these companies produce. Since the main sources of CO2 emissions are fossil fuels, for all practical purposes we'll end up with a massive tax increase on energy from oil, gas, and coal. As a new Congressional Budget Office report notes, "by attaching a cost to CO2 emissions, a cap-and-trade program would thus lead to price increases for energy." That will affect every product whose manufacture or transportation involves fossil fuels!

For example, starting in 2012, President Obama plans on raising $645 billion in revenue over eight years with his cap-and-trade proposal, although a top administration official told Senate staffers that the figure could be as high as $2 trillion. It would be one of the largest tax hikes ever, imposed by politicians too dishonest to label it a tax.

Furthermore, studies suggest that passing the bill would lead to massive job losses and increases in energy costs. The Heritage Foundation estimated that, when fully implemented, Waxman-Markey would cost our economy roughly 1.1 million jobs per year. When you add up all the costs, the average family will be forced to shell out an extra $3,100 and see their utility bills skyrocket by roughly $1,500. These burdens would be felt most harshly by the poorest among us, most of whom are already struggling without the imposition of these new costs.

Cap-and-trade advocates may claim there's no tax, but believe us--your pocket book will tell the truth that it's a massive tax hike!