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Congressional Record—Senate S3187 June 4, 2019 CONGRESSIONAL RECORD — SENATE S3187 suffered more than 226,000 casualties, Look at the avalanche of warnings notice this massive $650 billion subsidy with nearly 73,000 killed or missing. about the financial risks climate for carbon pollution. That is a big They paid the ultimate price to save change poses to the global economy. In thing not to notice if you are serious the world from tyranny, and their av- just the last few months, here are some about the free market. The last gasp of erage age was 26 years old. of the warnings: 34 central banks, in- climate obstruction here in Congress is Etched in the pavement of the U.S. cluding Canada’s, France’s, and Eng- to talk about innovation as the magic Armed Forces Memorial Garden in Nor- land’s; a group of major reinsurers; the climate solution. Here is the rub: With- mandy, France, are the words: ‘‘From Federal Reserve Bank of San Fran- out a clear market signal in the form the heart of our land flows the blood of cisco; the investment giant BlackRock; of a price on carbon, there will be little our youth, given to you in the name of EPA economists and scientists; the incentive to innovate. How do you in- freedom.’’ Let us never forget the sac- Urban Land Institute; the investment novate away a $650 billion annual sub- rifice of the greatest treasure this Na- advisory firm Mercer; the European sidy? How does the market work to re- tion has and what these men and Central Bank; and the investment advi- duce carbon pollution when carbon pol- women did for a free world and free sory firm Sarasin & Partners. All have lution is free? Innovations like carbon people. separately warned about climate capture and storage aren’t cheap. I yield the floor. change’s tanking the economy. There is not much of a business case The PRESIDING OFFICER. The Sen- There are agricultural as well as fi- for these innovations—it is hard to see ator from Rhode Island. nancial warnings. In April, the big food the revenue proposition—unless we put CLIMATE CHANGE companies—Danone, Mars, Nestle, and a price on carbon. Then innovation Mr. WHITEHOUSE. Madam Presi- Unilever—announced that they would happens. dent, one of the things I have noticed begin advocating for Federal action on Am I wrong about market theory? over the years that I have given these climate change. They see the risk cli- Let’s go to Milton Friedman, the climate speeches is that corporate en- mate change poses to the world’s agri- Nobel Prize-winning patron saint of gagement on climate change has been cultural and water supplies. market theory. He was unambiguous one-sided, let’s just say. It is clear who Their preferred solution? A price on about pricing pollution. my adversaries have been—Big Oil, the carbon: He was asked: Was there a case for coal lobby, the Koch brothers, and Establish an ambitious carbon pricing sys- the government to do something about some very powerful corporate trade as- tem that sends a clear signal to the market- pollution? sociations—the American Petroleum place to reduce economy-wide greenhouse He responded: gas emissions aligned with the Paris Agree- Institute, the National Association of ment goal to keep global temperature in- Yes, there’s a case for the government to Manufacturers, and the most powerful crease well below 2-degrees centigrade. An do something. There’s always a case for the of all, the U.S. Chamber of Commerce, appropriate carbon pricing structure should government to do something about it . so-called. In my view, it is more prop- be transparent in how prices are set, equi- when what two people do affects a third erly called the U.S. Chamber of Carbon. table in how revenue is appropriated to miti- party [ . ] But the question is, What’s the gate costs on the most vulnerable commu- best way to do it? And the best way to do it These adversaries have managed a big- is not to have bureaucrats in Washington money campaign, first, to sow doubt nities, and built to ensure our global com- petitiveness. write rules and regulations. The way to about or outright deny climate change do it is to impose a tax on the cost of the and, second, to block action in Con- I fully agree. pollutants . and make an incentive for gress and Federal agencies to limit car- Following on those food companies’ . manufacturers and for consumers to bon pollution. heels, Microsoft announced that it, too, keep down the amount of pollution. The International Monetary Fund would begin advocating in Congress for So, yes, putting a price on pollution just estimated fossil fuel subsidies in Federal climate action. It joined the to give an incentive to innovation is the United States at $650 billion for Climate Leadership Council—a group core free market principle. 2015. Yes, that is ‘‘billion’’ with a ‘‘b.’’ of economists, policymakers, busi- I happen to share that faith in the When you are defending that kind of nesses, and environmental groups— power of the market to drive innova- subsidy, you spare no expense, which formed in 2017, to advance a price on tion when the market is working. But explains the millions of dollars spent carbon. Like the food companies, it is not going to happen when the mar- by the fossil fuel industry and its trade Microsoft sees a Federal price on car- ket is distorted by a $650 billion sub- group cronies in opposing climate bills, bon as the best policy to tackle climate sidy. in supporting phony climate denial change. That is why I filed a carbon pricing front groups, and in funding election Then, in May, 13 more companies an- bill to help correct that fossil fuel sub- attacks against candidates who might nounced the CEO Climate Dialogue to sidy and balance the market, so those try to limit carbon pollution. advocate for climate action. Once principles can go to work. While the fossil fuel industry has again, these companies declared that At the end of May, 75 companies been running roughshod around Wash- they supported a price on carbon: came to Capitol Hill to advocate for ington, the rest of corporate America An economy-wide price on carbon is the carbon pricing. Together, those compa- has sat on its hands. Even companies best way to use the power of the market to nies operate in all 50 States, have an- achieve carbon reduction goals, in a simple, with gauzy website offerings on cli- coherent and efficient manner. We desire to nual revenues over $2.5 trillion, and mate and strong sustainability policies do this at the least cost to the economy and have a market value of nearly $2.5 tril- within the company have done vir- households. Markets will also spur innova- lion. tually nothing to support climate ac- tion, and create and preserve quality jobs in These companies met with dozens of tion in Congress. I could name names, a growing low-carbon economy. lawmakers, both Democrats and Re- but that would make it a very long Note that last sentence: ‘‘Markets publicans, to make the case for a price speech because, basically, everybody in will also spur innovation, and create on carbon—that it is the commonsense corporate America has been absent and preserve quality jobs in a growing policy to dramatically reduce carbon here. low-carbon economy.’’ pollution, drive the transition to a low There are, at long last, signs that One of the weird things about all of carbon economy, and grow jobs and the corporate America is waking up to the the remorseless opposition to climate economy. There is enormous economic climate fight it has been losing in action out of the U.S. Chamber of Com- and scientific support for that argu- Washington. When and if corporate merce and the National Association of ment. There is little opposition to that America finally engages in the serious Manufacturers is that there is a heck argument or at least little opposition support of climate action, Congress of a lot of commerce and a heck of a lot that can’t be traced back to the mis- will, once again, spring to life. After a of manufacturing in climate change so- chief of the fossil fuel industry and its 10-year drought, we could again see bi- lutions. So why are they so against front groups. I hope my colleagues lis- partisan legislation to reduce carbon them? It is an anomaly but not the tened. pollution. only anomaly in climate denial. I also hope that other companies join Why this new spurt of corporate en- Republican colleagues who wax po- in and help the American business gagement on climate change? etic about the free market seem not to community make climate action a VerDate Sep 11 2014 02:36 Jun 05, 2019 Jkt 089060 PO 00000 Frm 00017 Fmt 0624 Sfmt 0634 E:\CR\FM\G04JN6.030 S04JNPT1 dlhill on DSKBBY8HB2PROD with SENATE S3188 CONGRESSIONAL RECORD — SENATE June 4, 2019 Washington, DC, priority. It can’t just More than three decades ago, Rep- during symbol of the victory that we be talk. The fossil fuel industry isn’t resentative Claudine Schneider and celebrate today. going to just walk away from a $650 bil- Senator John Chafee, both Republicans It has often been said, as Emerson lion annual subsidy. To offset the mil- from Rhode Island, introduced com- put it, that ‘‘there is properly no his- lions spent by the fossil fuel bandits prehensive legislation to address cli- tory; only biography.’’ The story of defending their license to pollute for mate change—from Republicans, three women’s suffrage is an anthology of re- free is going to require some real effort decades ago.
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