Americans for Tax Reform opposes Sens. John Kerry (D-Mass.) and Joe Lieberman’s (I-Conn.) energy bill, The American Power Act, which looks to curb greenhouse gas emissions by implementing an energy tax and cap-and-trade program.
“Americans overwhelmingly support an all-inclusive energy plan which would utilize our natural resources to create jobs, keep energy prices low, and promote energy independence, the American Power Act does none of this. Kerry-Lieberman will only hamstring America’s economy, making the U.S. less competitive abroad, and further delay our recovery,” said Grover Norquist, President of Americans for Tax Reform.
At the heart of the Kerry-Lieberman bill is a new carbon fee on fuels that will act like a new gas tax on consumers. Federal authorities will keep one-third of the revenue collected from this gas tax and redistribute the remaining revenue to taxpayers, a process that will lead to wasteful and iniquitous allocation of tax revenue.
Mirroring legislation passed by the House that the Senate has refused to consider, Kerry-Lieberman implements a cap-and-trade program aimed at reducing carbon emissions 17 percent by 2020 and 80 percent by 2050 – an ambitious goal that some analysts say is simply unfeasible. Proposals contained in Waxman-Markey remain; with a trading market for carbon credits, offset programs, program auctions and special giveaways.
“Senators Kerry and Lieberman are simply repackaging old Democrat ideas – Clinton floated a gas tax. No matter how they dress their legislation up, Democrats cannot escape the facts – they utilize taxes to reduce energy consumption. Americans recognize this and are unlikely to fall for a supposed ‘compromise.’ This bill was supposed to be a tri-partisan idea, however Republican Lindsey Graham wisely removed himself from this disastrous legislation,” concluded Norquist.