Action on Climate: Carbon Pricing
I have been pressing our grid operator, ISO-NE, for more action on climate, specifically around carbon pricing.
Here is the report they just provided me, commissioned by the New England Power Generation Association, the trade association representing electric generating companies in New England.
It says :
“an effective price on carbon … could be essential to guide the states through a challenging transition in a way that maintains reliability, encourages efficiency, fosters innovation and minimizes the cost to society,”
and that a “meaningful multi-sector price” should be the goal.
It says “the potential benefits . . . should not be overlooked,” including “consumer opportunities and price savings,” that it puts “on the order of $100–300 million ($2020) over the 10-year period 2026–2035.” (So much for the fossil fuel lie that consumers suffer.)
It says a sufficient carbon price “falls in a range of $25–35/short ton CO2 in 2025 and $55–70/short ton CO2 in 2030 and 2035,” even though those prices “are lower than the estimated social cost of carbon over this time frame” (i.e. the costs polluters are sticking us all with now).
Conclusion:
“implementation of carbon pricing in the electric sector can be a vital tool supporting the states’ achievement of decarbonization targets at the lowest possible cost, while preserving and enhancing the benefits of market competition.”
