San Francisco approves greenhouse emissions tax on business

From the “pay and your sins shall be forgiven” department…

FROM KTVU-TV in Oakland:

Officials Approve Controversial Greenhouse Gas Tax

SAN FRANCISCO — Air pollution regulators in the San Francisco Bay area voted overwhelmingly Wednesday to approve new rules that impose fees on businesses for emitting greenhouse gasses. 

The Bay Area Air Quality Management District’s board of directors voted 15-1 to charge companies 4.4 cents per ton of carbon dioxide they emit, an agency spokeswoman said. 

Experts say the fees, which cover nine counties in the Bay Area, are the first of their kind in the country. The new rules are set to take effect July 1. 

The modest fee probably won’t be enough to force companies to reduce their emissions, but backers say it sets an important precedent in combating climate change and could serve as a model for regional air districts nationwide. 

“It doesn’t solve global warming, but it gets us thinking in the right terms,” said Daniel Kammen, a renewable energy expert at the University of California, Berkeley. “It’s not enough of a cost to change behavior, but it tells us where things are headed. You have to think not just in financial terms, but in carbon terms.” 

But many Bay Area businesses oppose the rules, saying they could interfere with the state’s campaign to fight global warming under a landmark law signed by Gov. Arnold Schwarzenegger in 2006.

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Jeff Alberts
May 22, 2008 6:33 pm

$4.00+/gal gas will do more to change behavior then a riduculous C02 emission tax.

Not really. I still have to drive to work, so does my wife. Still have to drive to the landfill a couple times a month. Still have to go grocery shopping. It just means people who can’t afford it will really suffer. I can afford it, so it won’t affect me.

SteveSadlov
May 22, 2008 7:25 pm

RE; Doug (15:36:45)
It is sadly ironic that in fact, in the actual City of SF, in the belly of the beast, as one local talk host puts it, there is very little actual industry left. It’s all finance (downtown) small retail, movie theatres, restaurants, NGOs, strip clubs, etc. Meanwhile, in places like Petaluma, Rodeo, Concord, Oakland, Hayward, Fremont, Milpitas, Fairfield, etc, where there are still real factories making real things, and / or refineries making special “environmentally sentitive” fuel blends for the Priuses of Marin, the SF Peninsula, Berkeley, et al, I’d imagine that if you actually polled the population, many are not in favor of this. Point pistol at foot, release safety, shoot.

jeez
May 22, 2008 7:48 pm

Ok, Sadlov, you’ve stepped over the line if you are starting to dis strip clubs!

May 22, 2008 8:45 pm

Anthony:
Perhaps the capital will go to China or Mexico, but what about the small businessmen who are the backbone of the economy? And Texas? Why would they go there, when the cites there are run by same bunch of luddites?

Philip_B
May 22, 2008 8:51 pm

OT, latest on the Chaiten eruption. Very interesting.
http://volcanism.wordpress.com/2008/05/22/chaiten-news-from-sernageomin-22-may-2008/

Mike Kelley
May 22, 2008 8:52 pm

Despite all the alleged global warming, here in Montana we have a cold rain falling, and it is snowing higher up in the foothills. It kind of feels like some of the springs we had back in the 1970’s.

crosspatch
May 22, 2008 9:07 pm

While this is absolutely idiotic, it is not surprising. Any of the board of supervisors who voted against this would have been hammered in the local paper and likely not re-elected. The ultimate goal of these people is to stay in office, not lead. They are about pandering, not making tough decisions.

crosspatch
May 22, 2008 9:08 pm

“It’s all finance (downtown) small retail, movie theatres, restaurants, NGOs, strip clubs, etc.”
Except for SFO. This is aimed at the airlines and the cab companies.

David S
May 22, 2008 10:52 pm

“Sometimes I wish San Francisco would just secede from the Union.”
Maybe we could trade them to Canada in exchange for Vancouver… or maybe just a case of Labatts Blue.

papertiger
May 23, 2008 12:18 am

Maybe we could trade them to Canada in exchange for Vancouver… or maybe just a case of Labatts Blue.
I can just picture a Canadian working the swap, “Well, I don’t know… I really like my beer.”

Stef
May 23, 2008 2:26 am

[i]”The big oil refineries will pay the lion’s share. For example the annual fee for Shell will be more than $195,000.
The following are some examples of what some businesses can expect to pay each year.
# United Airlines: a little over $5,035″[/i]
How will Shell pay such a huge tax/fine? Don’t they earn that amount every minute?
And a whole $5000 for United Airlines? My God!!!! Won’t somebody think of the children!?!? How will they afford $5000 per year?!?!?
Clearly this is just a way of extorting more money. $5000 per annum to a company like United is in no way an incentive to “go green”.
[i]“It doesn’t solve global warming, but it gets us thinking in the right terms,” said Daniel Kammen, a renewable energy expert at the University of California, Berkeley.”[/i]
Isn’t he a little biased given his chosen field? I wonder what the AGW crowd would have said if the Oil expert at the university (sponsored by Exxon) spoke out against it?

Ubique
May 23, 2008 6:29 am

Californians deserve to starve and freeze in the dark.
REPLY: Did I mention I’m from California? -Anthony

Bill
May 23, 2008 6:49 am

Seems discriminatory to me. Why shouldn’t this tax be applied to the citizens of SF as well? After all they directly produce CO2….. and their contribution should be accounted for … maybe all residents of SF should be required to plant enough trees to compensate for the CO2 they are rudely shoving into the atmosphere.

leebert
May 23, 2008 6:59 am

papertiger:
Climate creep & commie creep are synonymous in SF. They’re called “Watermelon Greens:” Green on the outside, red on the in. And in SF it’s no mean exaggeration or joke.
Worry not, the tide will eventually turn in SF as taxes go through the roof as businesses leave SF to never come back.
The crap in SF is piling up…. Red Gavin (mayor of SF, not RC) has already banned SF muni govt from the purchase of water bottles and is proposing yet more recycling and garbage mandates (fines, imprisonment) in hopes of pushing SF’s 70% waste stream diversion to 75%. Then there’s the whole Marine recruiting office imbroglio completely underwritten by the SF City Council, replete with functional police protection for the radicals, etc.
Britain is fully in the throes of an anti-Kyoto rebellion. After years of new Kyoto-sanctioned taxes in excess of per capita carbon footprints, London voters kicked out Red Ken in what was arrogantly framed as a “green referendum” turned into an anti-Kyoto rout. Gordon Brown is facing a major political crisis due to excessive Kyoto taxes, he’s rescinding gas taxes in hopes of stemming Labor’s political hemorrhaging but it’s too little too late. The polity is in a very foul mood against anyone or anything daring to peep the name “Kyoto.” The Brits live under an increasingly oppressive situation – a misplaced apple core in the recycling bin earns a criminal record. So the Brits have good cause for rebellion and NZ isn’t far behind. Other countries in Europe may be next. Canada is facing UNFCCC sanctions for CO2 reporting nonconformance as Greece was last year.
The plan will hit the fan, it’ll just take a bit more time.

Jeff Alberts
May 23, 2008 7:13 am

Or at least trade them for the ladies in Vancouver, rwowwwrrrr 😉

Gary
May 23, 2008 8:04 am

Let’s have a contrarian moment: Although this tax is being pushed in under the cover of global warming, it actually is moving the cost of pollution abatement back toward the polluter. Historically polluters have relied on the general public to bear the costs through private losses and government mitigation (think acid rain damage to property and heavy metals in Superfund sites). Now the polluters themselves are going to pay some of the costs. Of course, they pass the charges on to consumers, but ‘consumers’ have been bearing the costs anyway. This is at least a little more efficient because it isn’t filtered and overcharged by the bureaucratic maze. OTOH, the bureaucratic maze is likely to complicate and distort this new process so that it is at least as inefficient and misdirected (eg, by bad definitions of pollution). [Call me a pessimist, but long observation suggests reforms often are worse than the original problem ;-)]
The lesson is to have minimum government interference, and then only for the things that count – like protection of life, limb, and property from the actions of others.

MarkW
May 23, 2008 8:34 am

Echo3Skywalker,
No such luck, SF is on the N. American plate, east of the San Andreas.

MarkW
May 23, 2008 8:35 am

Anthony,
I read yesterday that Ford is cutting back on it’s production of trucks and SUV’s.

MarkW
May 23, 2008 8:50 am

Jeff Alberts (18:33:14) :
Not really. I still have to drive to work, so does my wife. Still have to drive to the landfill a couple times a month.

So $4 gas won’t affect how you drive? Less leadfooting it?
It won’t affect when you drive, morning or evening so you won’t use the AC as much.
It won’t affect your shopping habits? Fewer trips for just a few things. Stopping at several stores in one trip vs. seperate trips for each?
It won’t give you an incentive to make sure your tires are properly inflated and your engine is in tune?
When it’s time to buy a new car, it won’t give you incentive to look a little harder at the mileage ratings?

MarkW
May 23, 2008 8:52 am

I’d be willing to trade California, Oregon and Washington for the three Western Provinces of Canada. Alberta, Ontaria(??), and ???

MarkW
May 23, 2008 8:54 am

REPLY: Did I mention I’m from California? -Anthony

When you come to your senses, you are still welcome with the rest of us.
(Did I meantion that I’m from California)

crosspatch
May 23, 2008 8:56 am

Clearly this is just a way of extorting more money. $5000 per annum to a company like United is in no way an incentive to “go green”.

Yup. It is really about using a politically popular “hook” to extract more revenue. Now if today the word went out that the “carbon footprint” doesn’t impact climate one iota and in fact improves global food production do you think they would reverse it? Not a chance. It’s revenue baby and it’s all theirs now.
I went to a book fair at my children’s elementary school and there were three different books on prominent display whose objective was the teach the children what they could do to “fight” global warming. I just shook my head. This kids are being fed this stuff from kindergarten on through graduation. It is going to be so hard to deprogram them. And once they are taught that was wrong, they will question everything else they have been taught. I am really ashamed of our educators on this issue.

Bill in Vigo
May 23, 2008 9:05 am

A tax is a tax. Here in the little town close to where I live they had a hospital years ago and it was operating in the red. The cure to keep the hospital was by the city fathers to impose a 1% sales tax in the city corporation limits.
The hospital closed its doors more than 11 years ago. (that is how long I have lived here and it was before that.) When asked by the citizenry why the tax was still in place the answer. We can’t afford to reascend it. Giving the impression that it was probably miss used all along. We are still paying a 1% sales tax to support a hospital that has been gone for a very long time.
By the way the hospital is now the property of the city and the city is the largest owner of real property in the city. Make one wonder why 4 of 5 manufacturing firms have move out of the city or just closed their doors. Since I have been here we have suffered more than 6000 lost jobs. People used to come here from surrounding areas to work. They used our stores and businesses. No more. At one time the city was population over 10,000 it is now less than 5000 and people are moving away. Many houses for sale for extended time and bank repos in many cases. Rent cost hasn’t dropped due to mortgage rates and property taxes. (You can’t refinance for a lower rate if your income is no longer adequate for the loan.)
Judging by the effects of taxes here while not the complete cause have certainly contributed to the loss of employment, small businesses, and population.
Bill Derryberry

beatk
May 23, 2008 9:14 am

I never understood how one can be green and against CO2. CO2 feeds all the plant life on the planet and without it all plants would die (as would aminals and people as a result). Furthermore, nature’s CO2-O2 cycle is the ultimate recycling model, animals and humans breathe O2 in and CO2 out, plants absorb CO2 and through photosynthesis use the carbon to grow and emit O2 for aniamls and humans to breathe and live, what could be more perfect. And now some humans, of all things, claim that CO2 is a pollutant….bizarre or just deranged?

Dell
May 23, 2008 10:21 am

Look for businesses to move out, and the economy of the Bay Area to start to tank.
it will be a good example of the “real cost” of CO2 deception.