The Cap-and-Dividend Bill

The Cap-and-Dividend Bill

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The Cap-and-dividend bill

Global warming is the increase in average temperature of the Earth's surface air. It is a major concern of the Senate this coming year and new plans are in place to manage it. There is a new proposal on the table to curb global warming and it promises to return about $1,100 annually to American consumers. The new bill is known as "cap-and-dividend." It would require oil, coal and natural gas companies to purchase permits monthly that would allow them to sell their fuels. Seventy-five percent of the money would be returned to the public every month in the form of a dividend check and the remainder of the money would go towards renewable energy studies and conservation programs.

Supporters of the new bill

Supporters of the new bill note that driving up the cost of fossil fuel and making renewables more competitive will cause the emissions to decline. Senator Maria Cantwell said, “The act provides businesses and investors with a simple, predictable mechanism that will open the way to clean energy expansion while achieving America’s goals of reducing carbon emissions." It is hoped that the cap-and-dividend move manages to spur a greater nationwide trend of moving to energy-efficient ways of life. Cantwell added, "If the government is behind major changes and so are fuel companies, many consumers will follow suit with smaller, everyday changes they can make."

Critics of the bill

Despite its supporters, there are still some who aren't as partial to the new "cap-and-dividend" bill. Critics are worried that the new bill could potentially thwart innovation. By limiting Wall Street's role in the trading of carbon credits, they believe that new technologies will not be nurtured in development. They are citing the lack of investment capital from communities as a major disadvantage. … click here to read the rest of the article titled “The Cap-and-Dividend Bill“