Home is where the CO2 cost is — or will be

March 25, 2009

Home electric bills could rise as much as 30 percent under a U.S. cap-and-trade plan to address carbon dioxide emissions, Moody’s estimates.

The tough part for households is that Moody’s expects industrial users to figure out a way to duck the cost with special rates, meaning residential electric customers will carry “the vast majority” of the cost burden. Check out our story here.

If Moody’s is right, and if the cap-and-trade plan slows global warming, is the price right?


We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/

A terrible scam.

Posted by jason | Report as abusive

Hey, doesn’t a single volcano eruption produce more CO2 than all of humanity’s history combined? And aren’t there lots of volcano eruptions every year? Hmm. Maybe making life harder than ever on average people isn’t a sound answer.

Posted by Henry | Report as abusive

No it doesn’t that is a lie.

Posted by Matt P | Report as abusive

No, a single eruption emits far less CO2 than humanity has released. The CO2 levels in our atmosphere have increased 35% in the last 150 years. Volcano eruptions have been the same in that time; what changed is the creation of our industrialized, CO2-emitting civilization.

Not certain the cap-and-trade policy is the best way to stop global warming, but something does need to be done.

Posted by Brian | Report as abusive

No, eruptions don’t emit that much CO2. What they do emit however are hundreds of tons of sulpher dioxide, infinitely worse for the environment than CO2.

Posted by Jeff | Report as abusive

It all comes down to whether or not you care about the future 100 years from now.

If you dont then by all means save 30% on your electric bill now and do nothing.

Spend now.. save thousand fold later, just you wont be alive to see the benifits.

Posted by Brian | Report as abusive

The only way for this to really work, however, is the credits are actually sold on an open market (unlike, say, oil and mineral land leases). That way interested groups could band together to simply buy-and-bury them.

Posted by drklassen | Report as abusive

I have been wondering if we humans aren’t doing the earth a favor by bringing carbon back above the earth’s surface. Think about it: All of that carbon was above the surface to begin with and when those ancient plants/animals died, the ecosystems lost all of that carbon. Furthermore, the earth has been in a 3 million year cooling cycle, and we could be helping to stabilize the temperature by adding our global warming. Just a thought.

Posted by Sydney | Report as abusive

No country is willing to pay the price.

Posted by Translation | Report as abusive