After a meeting of between Democrats, Henry A. Waxman, who chairs of the House Energy Committee, told reporters that he was confident of having mustered enough Democratic support for the bill. "We will have the votes for passage of this bill next week," he said, referring to a vote in the committee.
A new version of the text, drafted by Waxman and fellow Representative Edward J. Markey, is expected tomorrow (14 May). If the legislation is passed in the committee, which ranks among the House's largest, the bill is seen as standing a good chance of passing the full House.
Nevertheless, the architects of the proposed law caved in on medium-term emissions reduction targets in order to bring on board Democrats from Southern and Midwestern states, which rely heavily on coal-powered energy (EurActiv 18/03/09).
The draftsmen of the House bill had originally sought to cut emissions to 20% below 2005 levels by 2020, but Democrats agreed yesterday that this would be lowered to 17%, according to reports from the US capital.
The new target comes closer to US President Barack Obama's vision, which would stabilise emissions to 1990 levels by 2020, amounting to a 14% cut compared to 2005 levels.
Waxman also agreed to give away 35% of emissions allowances in the forthcoming cap-and-trade system to utilities for free. The Obama administration started from the premise that 100% of permits would be auctioned, but has expressed willingness to consider other options.
In practice, carmakers could initially receive 3% of their permits for free, and certain trade-sensitive industries, such as aluminium, glass and steelmakers, would get 15% free of charge, the Wall Street Journal wrote after talking to people familiar with the outlines of the deal.
Fossil fuel industry building opposition front
In the meantime, the US oil, gas and coal industries are gearing up their campaign to dilute support for the administration's plans to green the economy. They have doubled their PR budgets in an attempt to sabotage the Democratic leadership's plans to pass cap-and-trade legislation this year, the Guardian reported.
The campaign involves industry groups, lobby firms, television, print and radio advertising, and donations to pivotal members of Congress, with some of the big players spending $44.5 million in the first three months of the year, the Guardian wrote.
The green lobby is now concerned that fossil fuel interests will dominate the negotiations in the Congress by force of their far superior financial resources.
"These guys are spending a billion dollars this year convincing Americans that they are clean, green, cuddly and warm," Bob Perkowitz, founder of the Eco-America PR firm, told the Guardian. "The enviros are getting their message out, but they are being outspent by ten to one," he said, adding that the ratio is about three to one on advertising.
If the Obama administration fails to push through ambitious climate legislation before the end of the year, it would be disastrous for the outcome of the United Nations Climate Chance Conference in Copenhagen in December. Firm US commitments to emissions cuts will be instrumental in getting emerging nations such as China on board, but the administration's negotiation mandate would be on shaky ground without national climate legislation in place.
The 17% emission cut target will certainly not satisfy developing countries, which expect the industrialised nations to lead the global climate efforts by committing to cuts of at least 40% by 2020 (EurActiv 29/04/09).
