Possible issues with cap and trade

I have been wondering whether Cap and Trade may unfairly burden Utility companies since they are the ones who are in the business of producing usable energy. You may say that to avoid the potential problems, they should start producing energy in a clean way. Well that is the equivalent of starting a new company and dumpin the dirty one you have.

I was thinking that Cap and Trade carbon trading should force companies who "use" dirty energy to be just as burdened by needing to offset their carbon credits as those who produce it. Otherwise, you do not spread the pain fairly.

How about businesses who output no carbon of their own and they get their energy from renewable sources. Should they be able to sell thei available credits?should they even get credits to sell off? The Cap and Trade market is unfairly slanted in favor of those who are clean. Yes it is an incentive to be (a) cleaner or (b) make yourself appear cleaner. But, it is really a disguised regulation I think with addition of giving already green companies an extra source of income.

What is another argument against C&T? Well if energy becomes too expensive to produce and therefore not profitable enough, then we may run out of local energy companies? Huh? Does that make any sense? Of course we will not. Another indistry will pop up to snap up energy market share. But in the meantime, can we expexct our energy sale based GDP to falter? Perhaps.

And by the way this is not easy. We need an efficient energy distribution grid before alternative like Solar Arizona energy can be used. But what does that mean? It will concentrate energy sale incomes unevenly around the south western states. Today, coal is practically all over the place and so taxes from sales can be collected by many states. Fact is these sorts changes will redistribute wealth. We must ask : are there alterior motives in any proposals?

How about benefits to Cap and Trade? Well it is one of a category of proposals for cleaning up our collective act when it comes to releasing carbon into the air.



This is all related to a larger issue of distribution of fairness. For that reason it is related to the Mara river level dropping Wikdebeast suffering issue in Kenya. There, the Kenyan government is trying to stomp out a Wasai population which is cutting trees at the root of the Mara river . They feel they are not treated fairly becUse they do not even see the Wildebeast migrTion, as they live far away. The government has to act on behalf of all parties and make it's decision.