Rep. Melancon Votes Against Climate Change Bill

Press Release

Citing concerns about the bill's effect on Louisiana's energy workers and industries, U.S. Rep. Charlie Melancon (LA-03) voted against the American Clean Energy and Security Act (H.R. 2454) in the Energy and Commerce Committee today. Also called the "Waxman-Markey Energy Bill" or the "cap-and-trade" bill, H.R. 2454 is comprehensive energy legislation that works to reduce carbon emissions, increase the use of renewable energy sources, invest in research and development of new clean energy technology, and drive greater energy efficiencies.

"From the threats caused by rising sea levels and a disappearing coastline, to suffering through more intense, more frequent hurricanes, the people of south Louisiana are on the front lines in experiencing dangerous climate change," said Rep. Melancon. "South Louisianians want to reduce pollution in the air we breathe and the water we drink. We want to slow or even reverse climate change. And we want our nation to become more energy independent. But we must do so in a way that won't threaten our offshore oil and gas industry - an industry that has provided good-paying jobs to hundreds of thousands of workers in south Louisiana for generations."

"Many aspects of this bill have my full support. Reducing pollution and our dependence on foreign oil will require us to make major investments today in new technologies, efficiencies and renewable energy sources like biofuels. I am pleased this bill sets those priorities for our nation."

"While I am not able to support this bill today, I will continue working with my colleagues on a comprehensive energy policy that will meet our shared goal of reducing pollution, while also supporting the workers and businesses of America's Energy Coast."

Rep. Melancon was successful in including an amendment in the bill that would protect Louisiana's share of wetlands restoration funding from cuts indirectly caused by hurricane disaster assistance. The American Clean Energy and Security Act creates a market-based cap-and-trade system under which industries and utilities will buy carbon "allowances" from the federal government. Businesses and utilities that reduce their carbon output below the "cap" will be able to sell their extra allowances to businesses that exceed the cap.

The federal government will also distribute to each state a share of the proceeds from the sale of the allowances for the states to use for wildlife and natural resource protection and also for domestic adaptation purposes, like wetlands restoration, to reverse the effects of climate change.

Each state's share of allowances is determined by their per capita income, with less wealthy states receiving a greater portion. Rep. Melancon successfully argued to his colleagues that, due to the influx of federal recovery dollars and insurance payments following hurricanes, Louisiana regularly experiences an artificial spike in its per capita income. The Melancon amendment directs that revenue directly resulting from a presidentially declared major disaster will be excluded when calculating per capita income for the state allowances. This includes revenue from property and casualty insurance, individual and family grants from FEMA, the Disaster Housing Program of FEMA, the Community Development Block Grant Program of the Department of Housing and Urban Development, the Disaster Unemployment Assistance Program of the Department of Labor, and any other source determined appropriate by the FEMA Administrator.

"This amendment ensures that coastal states like Louisiana - those most in need of adaptation money to rebuild their wetlands and protect themselves from future hurricanes -- will not be punished for receiving disaster aid," said Rep. Melancon. "I thank Chairman Waxman and my colleagues on the committee for their compassion and understanding in supporting its inclusion in the bill."

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