Some hail the current version of the energy security act as a major step forward in American policy on global warming. It's not going to get an upbeat greeting in Europe, one of the world's largest economies. The proposed American law has only passed one House committee so far, but it already is far less aggressive at reducing greenhouse emissions than the European Union's approach. Congress: 5% cut. EU: 40% cut in greenhouse gases. And that's over THIRTY YEARS.
Some European observers are already saying "Carbon tax" not the current Cap And Trade (CAT) compromises and giveaways.Expect more carve-outs from the "federal mabdate" taking shape in Congress. Like the poor airline industry, trapped in jet fuel hell. Nobody's even proposing solar powered or nuclear jetliners.
And Europe's Cap and Trade system shows just how political it all becomes. They handed out permits like candy and so the reduction in greenhouse gases depends on how well an industry or country lobbied the EU bureaucracy. Here's a look at how CAT theory conficts with CAT practice in Europe. Another market-based dream/scheme, like competition controlling credit card interest rates, right? Can you imagine the lobbying going on in Washington right now? With many billions of dollars at stake? Bet lunch-gtime upscale restaurants are feeling no pain around Capital Hill.