Consumer Watchdog Urges Lawmakers Against Carbon Capture in Cap-and-Trade Legislation

Proposed Revisions to California's Cap-and-Trade

In recent discussions surrounding the extension of California's Cap-and-Trade program to 2045, the issue of Carbon Capture and Storage (CCS) has emerged as a point of contention. Consumer advocacy organization, Consumer Watchdog, has taken a firm stance against this inclusion, arguing that it would detract from the core goals of reducing greenhouse gas emissions effectively.

The Role of Lobbyists in Shaping Legislation

Consumer Watchdog's engagement with legislative leaders highlights a troubling trend: the revolving door between regulatory agencies and lobbying firms. Many former officials from the California Air Resources Board (CARB) are now lobbyists for oil companies promoting CCS as a solution to climate issues. This has raised alarming questions about the motivations behind such advocacy.

According to Consumer Watchdog, the influence of lobbyists representing major oil companies distorts the Cap-and-Trade program. The organization argues that these lobbyists promote a perception of CCS as a viable method to mitigate emissions while failing to disclose the process's deeply flawed nature. As they point out, CCS is not only ineffective but also comes with its own environmental risks, including the dangers associated with transporting compressed carbon dioxide.

Safety Concerns of Carbon Capture Technologies

CCS relies on pipeline transportation of carbon dioxide, which poses significant safety challenges. In the event of a leak, CO2 can be lethal. As stated by the Institute for Energy Economics and Financial Analysis, the hope that CCS could serve as a comprehensive solution to climate change is misguided. The complex nature of CCS systems and their fossil-fuel intensity mean they are unlikely to deliver the promised carbon reductions.

Furthermore, the introduction of CCS into the Cap-and-Trade structure could allow regulated companies to mitigate pollution allowance costs through carbon 'offset credits.' These credits might include questionable projects like reforestation and methane capture, which often fail to yield the benefits claimed, a fact supported by studies indicating their ineffectiveness in controlling emissions at regulated facilities.

Legislative Implications

Consumer Watchdog urges legislators to recognize the conflict of interest involving former regulators now working as lobbyists. The organization's letter emphasizes the necessity of maintaining transparency and integrity in legislative processes that impact the environment and public health. Former regulatory figures like Virgil Welch and Jon Costantino, who notably shifted from CARB to lobbying firms, are pointed out as key players in this concerning trend, possessing vested interests that prioritize corporate profits over public welfare.

Welch, for instance, transitioned between key regulatory and lobbying roles, championing CCS even as evidence mounted about its limitations. Similarly, Costantino's lobbying firm, Tradesman Advisors, further highlights the intertwining of corporate interests and public policy.

Economic Outcomes: Who Pays the Price?

The implications of these policies are not only environmental but economic. Increasing compliance costs due to stringent CCS regulations are likely to be passed onto consumers, effectively raising prices. As the letter from Consumer Watchdog concludes, equitably transitioning to a sustainable, zero-carbon economy must take precedence. Policies driven by lobbyists can create unnecessary burdens for taxpayers, complicating the journey toward effective climate action.

Consumer Watchdog's compelling arguments present a cautionary tale about the dangers of allowing lobbyists, particularly those once in regulatory positions, to shape essential climate legislation. The call for lawmakers to reject CCS as part of the Cap-and-Trade framework is positioned not just as an environmental measure but as an essential step toward fair governance and sustainable progress for all Californians.