Antinuclear

Overwhelming case for carbon tax in USA

Let this be the year when we put a proper price on carbon, Ft.com Lawrence Summers 6 Jan 15  The fall in oil prices and declines in other energy prices make the case for a tax overwhelming. The case for carbon taxes has long been compelling. With the recent steep fall in oil prices and associated declines in other energy prices it is overwhelming. There is room for debate about the size of the tax and about how the proceeds should be deployed. But there should be no doubt that starting from the current zero tax rate on carbon, increased taxation would be desirable.

The core of the case for taxation is the recognition that those who use carbon-based fuels or products do not bear all the costs of their actions. Carbon emissions exacerbate the global climate change problem. In many cases they contribute to local pollution problems which immediately harm human health. Removing fossil fuels from the ground involves both accident risks and environmental challenges. And even with the substantial increases in US oil production we remain a net importer, so increases in consumption raise our dependence on Middle East producers………….

Progressives who are concerned about climate change should rally to a carbon tax as the most important step for mobilising against it. Conservatives who believe in the power of markets should favour carbon taxes on market principles. And Americans who want to see their country lead on the energy and climate issues that are crucial to the world this century should want to be in the vanguard on carbon taxes. Now is the time.

The writer is Charles W Eliot university professor at Harvard and a former US Treasury secretary http://www.ft.com/intl/cms/s/2/10cb1a60-9277-11e4-a1fd-00144feabdc0.html#axzz3NziAcHwn

January 7, 2015 - Posted by Christina Macpherson | Uncategorized