On November 8, the Senate Environment and Public Works (EPW) Committee held a hearing on S. 2191, "America's Climate Security Act," sponsored by Sens. Joe Lieberman (I-CT) and John Warner ((R-VA). A second and third hearing on the bill are scheduled for November 13 (today) and November 15. EPW Committee Chairman Barbara Boxer (D-CA) announced on November 9 that a full committee markup will be held on December 5.
Witnesses testifying before the committee on Nov. 8 included representatives from PG&E, World Resources Institute, CRA International, the American Council for Capital Formation and the Environmental Resources Trust.
In her opening statement, Chairman Boxer said that while she would like to pass a perfect bill, she recognizes that it is impossible. Therefore, Boxer said, the focus of the committee should be to pass a "good bill," which the Lieberman/Warner bill is.
Sen. Inhofe (R-OK), a leading critic of the science behind climate change, commented that the bill would have enormous negative impacts on the U.S. economy. Sen. Lieberman (I-CT) responded that his bill would not hurt the U.S. economy and that an Energy Information Administration (EIA) analysis of the bill showed that electricity prices would only rise about one cent per kilowatt hour over the next 25 years.
In general, the Nov. 8 hearing highlighted the partisan breakdown of the committee and the general themes, such as distribution of allowances and the effect on the economy, which will be debated as the bill advances. We anticipate that the Committee will approve the bill at the markup on December 5, but do not expect it to be considered by the full Senate this session.
In a related development, the AFL-CIO sent a letter to Chairman Boxer outlining its opposition to a number of provisions in the Lieberman/Warner climate change bill. Specifically, the labor group said it opposes provisions that set up an Advanced Technology Vehicle Incentive program to accelerate introduction of new vehicles, as well as the Sanders amendment, that was adopted in subcommittee, that would limit "incentives" to only those vehicles that meet a 35 miles per gallon standard. That, according to the AFL-CIO, would "limit assistance to American automakers that are trying to increase the mileage standard of their SUVs and pickup trucks which have not yet reached 35 mpg." The union said the bill would reduce new job creation for American workers.
Additionally, two Republican Senators from the Southeast, Sens. Lamar Alexander (TN) and Johnny Isakson (GA) have both voiced their disappointment that the Lieberman/Warner bill does not include provisions to advance nuclear development. At the hearing, both Senators implied they would be more likely to support the bill if it included this type of language. They cited the lack of renewable resources in their states as reasons for needing increased nuclear development as part of any climate change bill.
No House climate change action will take place prior to adjournment.