ATR Energy Tax Hike Series

Cap-and-Trade: An Economic Empty Tank

Americans for Tax Reform (ATR) continues to oppose H.R. 2454, the “American Clean Energy and Security Act,” otherwise known as “cap-and-trade” or the National Energy Tax bill. The bill recently passed through the U.S. House of Representatives by a slim margin. The Cap-and-Trade provision raises taxes on every American family and results in nothing but economic destruction.

•    The National Black Chamber of Commerce found that, even after accounting for “green job creation” cap-and-trade will still result in the loss of 2.3-2.7 million jobs in each year of the policy through 2030.

•    The Heritage foundation projects that the average GDP lost is $393 billion, hitting a high of $662 billion in 2035. From 2012 to 2035, the accumulated GDP lost is $9.4 trillion (in 2009 dollars).

•    In addition, the Heritage foundation estimates that in 2035, there will be 2.5 million fewer jobs than without a cap-and-trade bill.

•    From 2012 through 2035, taxpayers will end up paying $5.7 trillion in energy taxes created under cap-and-trade.

•    According to the Brookings Institute Cap and Trade will cause a loss of personal consumption of $1-2 trillion.

•    There are currently 14 states that produce less than 1% of their energy from governmental defined renewable sources. Cap-and-Trade mandates that this number be 10% nationally by 2012, an unachievable number.

•    The EPA’s cap-and-trade friendly statistics factors in unusually high discounted rates, assumes rebates to American households that have already been promised to corporations, and assumes nuclear energy production will be doubled when there is no such provision in Waxman-Markey.

Make no mistake; this is nothing more than a massive tax increase and will result in a huge loss of jobs and economic growth. ATR is urging all Senators to vote “NO”.

For more information, contact federal energy manager Brian Johnson at bjohnson@atr.org 

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