Obama Aide Calls Carbon Rule First Important Step

Obama administration officials said their signature effort to combat climate change will make only a modest dent in global greenhouse-gas emissions even as they called it an important first step.

With Republicans such as Representative Lamar Smith blasting a proposal from the U.S. Environmental Protection Agency to curb emissions from existing power plants, White House science adviser John Holdren defended it as an important step. Holdren said that India, China and Germany already are taking measures to curtail their emissions, too.

“The point is, that this is a start,” Holdren told the House Science Committee today. “The carbon-action plan is a start, and if we do not make a start, we will never get there.”

The proposed regulation, issued in June, would let states meet goals for cutting carbon pollution by promoting renewable energy, encouraging greater use of natural gas, employing energy efficiency technologies or joining carbon trading markets.

The EPA said that the rule would cut electricity costs for consumers because added efficiency steps will reduce overall use. Republican lawmakers questioned that analysis, and said the rule could cause a jump in rates as older coal-fired plants close.

Higher Bills

“EPA mandates will be difficult for states to meet even under ideal circumstances,” said Smith, of Texas. “If energy prices or energy demand escalate, the costs of meeting those mandates will soar and American families will be forced to pay the bill.”

Holdren said that the EPA proposal has helped spur nations to consider further action to cut greenhouse gases, which scientists blame for global warming. The U.S. is pushing China to limit its emissions by 2030, and is pushing the world’s largest emitter to reach the goal sooner, he said.

“China finds it in its own interests to reduce greenhouse gases,” he said.

His analysis is set to be tested as soon as next week, as world leaders gather at the United Nations for a climate summit. Nations and companies are set to outline pledges to reduce emissions, protect forests and spur renewable energy generation.

While 125 world leaders are scheduled to attend, including President Barack Obama, the leaders of India and China won’t address the gathering.

To contact the reporter on this story: Mark Drajem in Washington at mdrajem@bloomberg.net

To contact the editors responsible for this story: Jon Morgan at jmorgan97@bloomberg.net Steve Geimann