Report: Taxing Carbon and Giving the Revenue Back to Families Can Boost the Economy, Lower Carbon Emissions, and Save Lives

  • A 2013 report from REMI, a consulting firm commissioned by Citizens Climate Lobby, shows that taxing carbon and rebating all of the revenue back to families is a net benefit for the U.S. economy (in each year, economic output is higher than in a scenario without the policy).

  • The report finds that this "carbon fee and dividend" approach reduces five times as much carbon emissions in 2030 than the Clean Power Plan.

  • The report also shows that the policy can prevent over 13,000 premature deaths and give the average family of four a $350 monthly check to compensate them for higher energy prices by 2030.

EPA Says Clean Power Plan Will Reduce Power Sector Greenhouse Gas Emissions by 32%. We've Already Reduced Them by 21%.

Takeaway: the majority of emissions reductions expected by 2030, relative to 2005, are expected to happen regardless of whether the Clean Power Plan exists.
  • Relative to the Clean Power Plan's greenhouse gas (GHG) reduction goals for power plants in 2030 (32% below 2005 levels), the U.S. is already two-thirds of the way there (21% below 2005 levels).

  • Without the Clean Power Plan (CPP), the Department of Energy projects power plant GHG emissions will stay roughly constant, at 20% below 2005 levels in 2030.

  • Thus, the CPP is the difference between emissions staying constant and declining slightly.