Granite State Times

Democrats continue to work on the clean energy aspects of President Biden’s Build Back Better package in hopes of reducing and eventually removing greenhouse gas emissions from the energy sector.

If the proposed $150 billion payment program is approved it would reward the production of clean power, like solar, hydroelectric and wind, while penalizing companies not pursuing clean energy, according to Reuters.  

The news organization said that the objective is a 4% increase in the production of “clean” electricity that produces a maximum of one-tenth of a metric ton of carbon dioxide per megawatt; a failure to meet that mission could bring a $40 penalty per megawatt hour per month.

Sen. Joe Manchin (D-WV) has been an opponent of punishing fossil fuel production, Canary Media said, partly because his state relies on coal production for energy and jobs.

The Build Back Better program’s energy section calls for direct payment of subsidies provided by the federal government, along with an $8 billion loan and grant program that would fund the integration of clean energy into the grid and $13.5 billion to develop a national network of EV charging stations and the manufacturing of electric heavy-duty vehicles.

Pittsburgh Works released a study that examined the impact of clean energy on consumers and found that electricity prices in states that had adopted the Regional Greenhouse Gas Initiative surged because joining the organization resulted in penalties being applied for every ton of carbon produced using fossil fuels.

The research found that the Green New Deal could have a similar effect due to their similarities.  

The Biden Administration's projected budget for fiscal year 2022 calls for government spending to be nearly $2 trillion more than what will be collected in taxes.

Antony Davies, distinguished fellow for the Foundation for Economic Education and associate professor of economics at Duquesne University, recently told the Peach Tree Times that this level of spending is harmful to the consumer as it results in higher prices.

"To finance these deficits, the government is increasingly relying on loans from the Federal Reserve," Davies said. "When the Federal Reserve loans to the government, the money supply increases, and that puts upward pressure on prices."

Energy costs nationwide have spiked 24.8% over the past year, taking a bigger chunk of disposable income for most households.

The Build Back Better plan would shrink real income for households by $12,000 over the next decade, according to Vance Ginn of the Texas Public Policy Foundation.