Governor’s climate control proposal faces business community opposition

After two days of hearings that drew hundreds to the state capitol, Gov. Jay Inslee's carbon reduction proposal has the full attention of Washington lawmakers.

  • BY Wire Service
  • Monday, February 2, 2015 2:11pm
  • News
Gov. Jay Inslee

Gov. Jay Inslee

By Cooper Inveen, Reporter
WNPA Olympia News Bureau

After two days of hearings that drew hundreds to the state capitol, Gov. Jay Inslee’s carbon reduction proposal has the full attention of Washington lawmakers.

In an effort to curb climate change while raising money for transportation and education, Inslee is proposing a statewide cap on carbon emissions that would require polluters to buy credits to continue polluting at today’s levels. Carbon prices would start at $12 a ton and would bring in an estimated $1 billion in the program’s first year.

The main idea behind cap-and-trade markets is to create a financial disincentive to emit greenhouse gases.

ADVERTISEMENT
0 seconds of 0 secondsVolume 0%
Press shift question mark to access a list of keyboard shortcuts
00:00
00:00
00:00
 

The Democratic governor’s proposal has quickly become controversial in a legislature with power divided between a Republican Senate and a divided Democratic House. The issue exploded this week during hearings in a House hearing that spanned two days and required the use of overflow rooms.

By the end of the first hearing on Tuesday, so many people had showed up that House Environment Committee Chair Joe Fitzgibbon , D-Des Moines, had to give each speaker only two minutes of talk time. He still had to cut off multiple witnesses in order to make room for the many speakers who travelled long distances to testify.

Since the proposal’s unveiling in December, Fitzgibbon and 36 other House Democrats have shaped the governor’s cap-and-trade idea into House Bill 1314. A similar bill in the 49-member-Senate has 20 Democratic co-sponsors.

Neither bill has a single Republican backer signed on in support. In fact, the ranking Republican on Fitzgibbon’s committee, Rep. Matt Shea of Spokane Valley, came out blazing at Thursday’s hearing, objecting to the very premise of the bill and demanding that witnesses back up their assertions with peer-reviewed science.

At one point, an advocate of the bill said, “The truth is messy,” and proceeded to outline the general effects of carbon emissions on the earth’s temperature. Shea immediately fired back:

“You’re right, the truth is messy. The polar icecap claims that have now been withdrawn by all credible scientists because the predictions have been proven to be untrue, that’s messy, I agree. The idea of sea-level changes that has now been withdrawn by all credible scientists because their predictions have been proven to be untrue, that’s indeed messy. My question to you is, the governor’s office has made a claim relating to wildfires being caused by global warming. Do you have any peer-reviewed science to substantiate the governor’s claims?”

The witness responded at length defending his position and refused to address the notion that scientists had “thrown out” theories of melting icecaps and rising oceans. When asked after the hearing about his own peer-reviewed science, Shea replied that he had read it in “lots of newspapers,” including the New American Press, a poetry and literature magazine.

While supporters say the plan is needed to reduce carbon pollution while creating clean energy jobs and building up some much-needed revenue along the way, representatives from Washington’s business sector expressed concerns that charging firms for carbon emissions could ultimately lead to economic disaster.

“At the end of the day this becomes a competitiveness issue,” said Kristofer Johnson, president of the Association of Washington Businesses. “Our employers have deep concern of being at a competitive economic disadvantage in this state, especially as they compete across the country and across the globe.”

Spokespersons for the fuel, manufacturing and agricultural sectors repeatedly warned the committee that putting a price on carbon emissions would only cause polluters to pass the additional costs onto consumers. When that isn’t possible, they argued, businesses would eventually either cut staff or move their operations out of the state entirely.

Frank Pupo of Tacoma’s Associated Petroleum Products warned legislators that his firm would ultimately have to pass down all additional costs, calling consumers the true polluters.

“Fuel distribution is not the polluter; it’s the end use,” he said. “So if this is going to start upstream with distribution, that cost is going to be pushed down to the end use: the customer.”

Rep. Jake Fey, D-Tacoma, was skeptical.

“It seems to me like the king of Saudi Arabia has more to do with the price of oil than this bill does,” he said. “It seems to me that (fuel distributors) don’t have much say in that situation.”

Pupo responded saying that a lot more factors and a lot more variables are in play when calculating oil costs.

Not everyone from the business sector presenting remarks at the hearings is opposed to the plan. Virinder Singh of EDF Renewable Energy testified that the wind industry has paid Washington construction workers nearly $100 million during the past two years, and his firm has generated more than $80 million in property and generation taxes.

“We want to make sure that affected businesses concerns are taken firmly into consideration with this legislation, but at the same time the strong upsides to the clean energy economy need be taken into consideration as well,” he said.

While most business representatives in attendance expressed either approval or disdain for the proposal as a whole, others only advocated for specific amendments to it.

Mark Berejka, REI’s director of government affairs, worried about the impacts of pushing pro-environment legislation that doesn’t include any significant financial support for environmental agencies.

“If the government is going to raise millions in the name of the environment, it should assure that some reasonable amount is reinvested,” he said, citing the Department of Natural Resources, state parks and other programs that protect natural places and help Washingtonians connect to them as critical beneficiaries.

A representative from Airlines for America advocated for an amendment that would exempt jet and airline fuel from whatever legislation is passed. California’s cap-and-trade law already provides tsuch exceptions, he said.

The youngest person to testify at either hearing was Jessica Zimmerly, a recent graduate of Pacific Lutheran University and a second-year volunteer with the Lutheran Volunteer Corps. The program has participants live by as simple means as possible for one year while exploring their spirituality and working with organizations that promote social justice.

“If I can voluntarily live on 200 dollars a month, these large polluters can afford to cut a sliver of their profit to pay their fair share,” she said. “The talk of trickle-down costs is infuriating. The point of cap-and-trade isn’t for polluters to maintain the status quo by reallocating the financial burden elsewhere.”

The Senate companion bill had its first reading on Jan. 19 and was referred to the Senate Energy, Environment and Telecommunications Committee. No hearing date has been set.


Talk to us

Please share your story tips by emailing editor@kentreporter.com.

To share your opinion for publication, submit a letter through our website https://www.kentreporter.com/submit-letter/. Include your name, address and daytime phone number. (We’ll only publish your name and hometown.) Please keep letters to 300 words or less.

More in News

Cars drive northbound through the intersection of Southeast 192nd Street and 140th Avenue Southeast in Fairwood. An 18-year-old was driving over 100 mph southbound through this intersection on March 19, 2024 when his car hit a minivan, resulting in the deaths of one woman and three minors. Photo by Bailey Jo Josie/Sound Publishing.
Kent man who killed four in Renton crash pleads guilty to all charges

Chase Jones faces up to 23 and a half years in prison. His sentencing is set for April 25.

File Photo
Kent City Council approves Stay Out of Drug Areas zone

Nine organizations signed letter opposing new ordinance as ‘not an effective option’

t
Slower is safer: Steps to increase traffic safety in South King County

11-mile corridor has a high number of collisions, many of them fatal.

t
Family starts GoFundMe page for Kent man killed in crash

Jose Ortiz, 55, died in March 28 collision; wife suffered serious injuries; police arrest driver of 2nd vehicle

Courtesy Photo, City of Kent Parks
Kent city leaders want bigger piece of county Parks Levy

Measure could go to voters in August; King County Council to consider levy this month

King County Correctional Facility in Seattle. COURTESY PHOTO, King County
Man, 22, gets 20-year prison sentence for 2022 Kent killing

Drive-by shooting outside bar on Central Avenue took the life of 29-year-old Kent man

File Photo
Kent Police arrest man, 22, for arson, assaults against girlfriend

Allegedly set apartment on fire and repeatedly beat 19-year-old woman

t
Kent man, 56, dies in two-vehicle crash March 28 in Kent

Police arrest woman for investigation of vehicular homicide; collision at 94th Ave. S./S. 240th St.

File Photo, Kent Reporter
6-year-old boy drowns in pond on Kent’s East Hill

Child reportedly had autism and was drawn to the water on March 25, according to police

Valley Medical Center in Renton. Photo by Bailey Jo Josie/Sound Publishing.
Layoffs at Valley Medical Center stem from loss of funding

101 nonunion employees were fired March 25 from Renton hospital that also serves Kent.

t
FBI honors teen girls who helped stop abduction in Kent

They rescued 6-year-old girl from man in July 2024 in parking lot of apartment complex

t
Kent Police Blotter: March 11-23

Incidents include naked female, robbery with a syringe, assault, harassment