A new carbon dioxide (CO2) tax in the United Kingdom will have severe consequences for electricity prices that consumers will have to pay, says the Telegraph (U.K.).Of course, the U.S.A. doesn't have carbon taxes to kill a still-needed source of energy. We have the EPA for that.
Proponents of the tax argue that industries already pay for the tax through the EU's Emissions Trading System (ETS), which counts toward the £16 floor price. In 2010, it was argued that the new tax would only impose an additional £2 (about $3) per ton to meet the £16 floor price.
However, the recession has decreased demand and as a result the price of carbon permits have fallen. Now, industries will have to pay £10 (about $16) a ton to get up to the price floor established by the United Kingdom's tax. The new costs will be imposed upon energy consumers who will have soaring energy bills as the new tax takes full effect.
Tuesday, October 09, 2012
Well, Obama did say that electricity prices would necessarily skyrocket: