The true cost of Cap and Trade

Recently, the Fencepost has published a number of apoplectic and apocalyptic letters decrying the passing of the bill known as Cap and Trade. These correspondents, no doubt parroting the talking points of right wing conservatives beholden to the status quo, complain that Cap and Trade will cost too much. According to the Congressional Budget Office, Cap and Trade will cost of 48 cents a day, or $175 per year, to the average household.

The Environmental Protection Agency projects Cap and Trade costs to be 22 to 30 cents a day, or $80 to $111 per year. The Energy Information Administration projects the cost to be 23 cents a day, or $83 per year.

The reason why the CBO's projected costs are substantially higher is because the CBO did not take into account the cost savings that would result from the energy efficient provisions in the Cap and Trade law. None of the studies take into the account the economic benefits that will certainly result from new growth in renewable energy.

Finally, we've already seen the resounding success of a cap and trade system for acid rain, which was included in the 1990 Clean Air Act.

The same hysterical rants about the cost of acid rain cap and trade were made back then, but the actual cost of that program was only one- third of the projected costs. And when was the last time you heard a story about acid rain?

Robert H. Fredian

Arlington Heights