Senators Kerry and Lieberman, a new energy bill that will be revealed today to the public, are sponsoring the American Power Act legislation. 
The Associated Press has summarized key aspects of the bill: The legislation aims to cut emissions of carbon dioxide and other heat-trapping greenhouse gases by 17 percent below 2005 levels by 2020 and more than 80 percent by 2050. For the first time it would set a price on carbon emissions for large polluters such as coal-fired power plants. Rates initially would range from $12 per ton of carbon emissions to $25 per ton, depending on market prices. Restrictions would not take effect until 2013 for power plants and transportation fuels, and 2016 for manufacturers. Allowances would be granted to local electricity companies, which would be required to use them to help ratepayers. In addition, a separate consumer relief provision would provide rebates to eligible families. Kerry and Lieberman said the bill would exempt farms and most small and medium-sized businesses, concentrating efforts on the largest polluters. The bill would also would allow coastal states to opt out of drilling being allowed up to 75 miles from their shores – a concession to lawmakers concerned about offshore drilling in the wake of the Gulf Coast oil spill. In a break from current policy, states that allow offshore drilling will receive a share of federal revenue, the summary shows. In a break from current policy, states that allow offshore drilling will receive a share of federal revenue, the summary shows. That provision is likely to spark debate from interior senators, mostly in the West, who object to revenue sharing for offshore drilling. Kerry and Lieberman have said they will press ahead with the climate bill despite losing the support of their only Republican partner, Sen. Lindsey Graham, R-S.C.
Photo Courtesy: AP
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