That’s the title of Paul Krugman’s column today at the “NYT.” As I’ve been saying here, that sure seems to be the gestalt of the Obama administration and the new Congress when it comes to energy, the environment and climate change. Krugman says here, among other things, “…it’s also heartening to see that the budget projects $645 billion in revenues from the sale of emission allowances. After years of denial and delay by its predecessor, the Obama administration is signaling that it’s ready to take on climate change.”
So what else does the budget tell us? Along with the economic stimulus package and the tax credits from the Emergency Economic Stabilization Act of 2008, there’s all sorts of love for renewables, energy efficiency, the smart grid, mass transportation and other sane and sound public policy initiatives. Krugman’s colleague, John Broder, has this breakdown on the “green” aspects of the budget. As Krugman notes, there’s ample revenue from cap-and-trade. What’s more: “Under the plan, 100 percent of pollution permits will be auctioned, meaning no sector of the economy will be exempted from paying for the right to emit carbon dioxide and other gases that contribute to global warming. This is consistent with Mr. Obama’s campaign pledge, and it is a matter of fierce debate.” You can say that twice!
Reuters’s headline is Obama budget realistic on climate revenue: analysts. “The $646 billion figure, spread over eight years, presumes that a U.S. law to limit carbon emissions will be in place by 2012, and Obama has said he will work with Congress to make this happen.” Barbara Boxer has said she wants a bill out this year. Harry Reid and Nancy Pelosi are singing from the same hymnal. See more on the political status of cap-and-trade here from Bloomberg.
This lucid and succinct document from OMB, Jumpstarting The Economy And Investing For The Future, lays out some of the initiatives:
- Initiate A New Federal Commitment To High-Speed Rail
- Begin A Comprehensive Approach To Transform Our Energy Supply And Slow Global Warming
- Provide The Capital To Double Renewable Energy Generating Capacity
- Develop Low-Carbon Emission Technologies
- Modernize Federal Buildings And Slash The Federal Government’s Energy Bill By 25 Percent
- Weatherize Low-Income Homes – Saving Working Families On Average $350 Per Year
- Green Our Nation’s Farms
- Modernize The Electric Grid
What’s not to love? One possible problem: various localities may not be ready for this cornucopia. See Preparing for a Flood of Energy Efficiency Spending, again from the “NYT.” (Hey, I read a lot of different publications and websites and, frankly, the “NYT” is on it. The Grey Lady has got some excellent reporting on many of the myriad ins and outs of energy, the environment and climate change.)
In any event, so are our friends in the Obama Administration: On it, that is.