Dear Friend,
Today California Senator Barbara Boxer and Massachusetts Senator John Kerry introduced sweeping new taxes on energy consumption in the United States. The proposal has often been called “Cap and Trade,” but it’s more appropriately titled “Cap and Tax.”
Economists across the political spectrum have made clear that a cap-and-trade scheme would wreak economic havoc across this nation. And for a state like Louisiana, with our strong manufacturing base and significant domestic energy production, the proposal is particularly damaging.
The Heritage Foundation estimates that by 2012, the legislation would result in 1.9 million fewer American jobs. Louisiana can expect to lose nearly 32,000 jobs. And by 2035, national net job losses would approach 2.5 million.
The same study estimates that in the way of energy costs, the typical family of four will pay an extra $426 in energy costs by 2012. By 2035, that same family will pay an additional $1,241 in energy costs. The legislation would cause a 58 percent increase in gas and a 90 percent increase in electricity prices. And by 2035, the legislation will have added $5 trillion to the national debt, even as the federal government collects $5.7 trillion in revenues by auctioning credits.
I will adamantly oppose this Cap and Tax proposal and its damaging impact on Louisiana families and our economy. In the words of Democratic Congressman John Dingell, “cap-and-trade is a tax…and it’s a great big one.”
Sincerely,
David Vitter
U.S. Senator