Courts, White House and Congress All React on Emissions, Warming and Energy Regulation

After a recent Supreme Court ruling requiring executive action to restrict global warming gases, President Bush in May ordered four federal agencies to draw up regulations to reduce greenhouse gas emissions from cars and trucks by late next year at the end of his administration. "We're taking action by taking the first steps toward rules that will make our economy stronger, our environment cleaner, and our nation more secure," Bush said.

 

The court said the administration is failing to regulate greenhouse gas emissions from cars and trucks. It said the U.S. Clean Air Act gives the Environmental Protection Agency (EPA) responsibility to regulate carbon dioxide and other gases that scientists say contribute to global warming. The administration had argued it did not have that authority or obligation under the act.

 

Under Bush's plan, the Agriculture, Energy, and Transportation departments will work with the EPA to develop regulations to lower vehicle emissions. "This is a complicated legal and technical matter, and it's going to take time to fully resolve," Bush said.

 

EPA Administrator Stephen Johnson said the administration will still prefer legislation mandating more efficient cars and trucks. In his State of the Union address in January, Bush called for raising fuel efficiency standards by about 4 percent a year for the next 10 years, but the administration has not introduced legislation to do so.

Two U.S. Senate draft resolutions that would have a similar effect have attracted widespread Democratic and Republican support, and the U.S. House Committee on Energy and Commerce has sought industry feedback on broader legislative initiatives such as a cap-and-trade mandate.

 

Rep. John Dingell (D-MI) said that vehicles account for only 25 percent of greenhouse gas emissions and that he would insist on a cap-and-trade system that would "spread the burden evenly and equally" over the economy.

 

As the budget and appropriations unfold, however, both chambers will be focusing on energy and global climate proposals in anticipation of moving legislation this year. Global climate change will get a full review and likely will dominate environmental and political discourse throughout the spring and summer. The Senate and House are likely to take differing approaches, with the Senate putting more emphasis initially on energy, and the House combining energy and global climate change into one legislative package.

 

The Senate Energy Committee is expected to work on an energy bill focused on renewable energy. The Agriculture Committee will begin work on a farm bill that will contain an energy title directed toward helping renewable fuels. The Finance Committee will be working on a tax incentive package designed to create incentives for renewable energy development.

 

It is likely under the Democratic leadership in both the House and Senate that mandatory programs will dominate the debate, but may stop short of a bill that sets up a requirement such as a cap-and-trade mandate. The Aluminum Association supports credit for early action since 1990 and would support a data registry across the industries that emit gases.

 

In the House, the Energy and Commerce Committee will most likely serve as the dominant committee on global climate change and energy legislation. The committee has jurisdiction over clean air (the Clean Air Act) and energy policy. House legislation is expected to fall into three major areas: manufacturing, transportation and fuels, and electricity.  The central purpose of legislation will be to achieve energy independence and reduce carbon emissions