Obama’s Budget on Climate Revenue: $646 Billion for First Year Through Carbon-capping Program

February 27, 2009 / No Comments

There are many things on President Barrack Obama’s desk right now that need urgent attending. But one of the most significant of all the bills the President wishes to see get acceptance from the Congress is the carbon-capping program. Apparently, he not only thinks the program will help the planet get cleaner, but will also generate the much needed revenue for the country.

newenergy hdr s Obama’s Budget on Climate Revenue: $646 Billion for First Year Through Carbon capping Program

The cap and trade system that will be put in place by the new government once it gets the Congress approval, will start an innovative new plan which will put a price on climate-warming gases emitted by companies. Each company will have to pay a price for every extra ton of carbon gas that it emits beyond its designated limit.

Apart from forcing companies to take up the green path and cut on emissions significantly, this also means that there will be significant revenue generated from the selling of carbon emission credits. The funds are estimated to touch $646 billion in the initial year. The price for one ton of carbon emission credits is being set around $15 and will progressively go up in an effort o discourage all methods that pollute the air.

obama biden Obama’s Budget on Climate Revenue: $646 Billion for First Year Through Carbon capping Program

Obama’s budget for 2010 projects this revenue, from 2012 through 2019, will fund $150 billion in clean energy technology investments over 10 years and a tax credit to help Americans make the transition to a less carbon-intensive economy.

There are both economic and environment viewpoints that should support such an idea to curb carbon emissions. Let’s just hope that the Cap-and-Trade bill not just makes it through in the US, but all across the globe in one form or another.

Meanwhile, let’s be good stewards to our planet.