Commit more money for renewable energy efforts: Obama’s budget will call on Congress to create a cap-and-trade program in which companies would have to pay for permission to emit greenhouse gases. Revenue from the program is intended to pay for a $150 billion renewable energy fund among other things.
The new cap-and-trade program would pay in large part for making the Making Work Pay credit permanent, which the White House estimates will cost $537 billion over 10 years.
Brad Plumer reports from a media conference call:
The administration is aiming for a cap and trade system to be up and running by 2012, but that assumes an extremely fast passage through Congress which an official admitted is ‘optimistic’
- The White House is expecting the price of carbon will settle at around $20 per tonne.
- They are assuming zero free giveaways of new permits – auctions only