CBO Predicts a $24.4 Billion Net Gain in Revenue from Waxman-Markey
Tuesday, 9 June 2009
The Congressional Budget Office (CBO) has released a report analyzing the costs and revenues of the Waxman-Markey global warming bill. They found that within the first decade that the bill gets enacted, the US Treasury can expect to make $24.4 billion in revenue. Darren Samuelsohn of ClimateWire reports the following income and expenditures: Income:
- The distribution of allowances via an auction would generate $254 billion for the Treasury between 2010 and 2014, and about $858 billion over the next 10 years;
- $25 million and $50 million per year starting in 2012 from companies who do not meet their compliance obligations on-time.
- Giving credits away for allowances will cost about $693 billion from 2010-2019;
- Tax breaks for the poorest individuals and families to help offset higher energy prices ($161 tax credit for a single person earning less than $23,000 and about $359 for a five-person household);
- $19.3 billion will be credited into a new Treasury account to help the Energy Department and U.S. EPA with reductions in HFCs through better appliance purchases, as well as recycling and reclamation;
- $5.3 billion would go into a Treasury fund for national resource adaptation activities;
- $900 million gets sent primarily to the Department of Health and Human Services to assist health professionals as they gear up for the challenges associated with climate change;
- $4.3 billion from 2011-2019 for a new Labor Department benefits, job training and health insurance program to help workers who lose their jobs because of the climate law.
Read the full article here: http://www.nytimes.com/cwire/2009/06/08/08climatewire-house-climate-bill-would-trim-budget-deficit-83573.html “The Waxman-Markey bill will get our planet out of the red, while helping to put our budget back in black,” said Rep. Markey in a statement released yesterday. “Waxman-Markey is a win-win for America’s economy and environment.”