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Letter (Web version): Cap-and-trade ‘tax’ will hurt consumers

Proposed federal climate legislation includes a “cap-and-trade” move that would raise electric bills $50 a month – a hike of 30 percent or more.

Cap-and-trade limits emissions for each industry or utility. If exceeded, credits would have to be bought and costs passed onto consumers.

It’s a costly consumer tax more for unrelated government programs than environmental concerns. And, credits will be auctioned by Wall Street – creating a bidding war and higher prices. It will raise $645 billion between 2012 and 2019, with only 20 percent for energy investment.

The Midwest would be affected more because most of itselectricity comes from coal. Public outrage would be wrongly focused on utilities – not Washington. Call cap-and-trade what it is – a tax.

Six REMCs – LaGrange, Steuben, Kosciusko, Noble, Northeastern, and United – oppose this approach that will hurt consumers, not help the climate.

Some argue higher prices will spur conservation and renewable energy, but it will take years for either to improve energy supplies.

Taxes should be set by the government and collected by the IRS, not by Wall Street and collected by utilities.

Nationwide co-ops support better ways than the proposed cap-and-trade. We can reduce our emissions, and keep electricity affordable.

Join our national web-based effort – “Our Energy, Our Future” to send legislators a message, by going to www.ourenergy.coop.

KEVIN QUICKERY CEO, United REMC Huntington