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United States Carbon Tax

President Obama has returned from China and reached agreement with them on carbon dioxide emissions. President appears ready to implement the Carbon Tax (Cap and Trade).  At the US Canada Energy Summit, Canada representatives talked about their countryís Carbon Tax, which is $50 per ton on  carbon dioxide. If the US EPA implements a Carbon Tax, there is going to be significant economic impacts on implementing the US EPA Carbon Tax regulations.

For example, a $50 US EPA Carbon Tax per ton on carbon dioxide would cost business and consumers $275 billion per year (5.5 billion tons of carbon dioxide times $50 Carbon Tax per ton on carbon dioxide).

For electricity, the Carbon Tax would cost $100 billion per year (2 billion tons times $50 tax per ton). Electrical rates by five cents from 10 to 15 cents per kilowatt-hour. Utility companies, which generate electricity from wind, solar, nuclear, hydroelectric & other clean energy sources would make billions of dollars by raising their electrical prices by 5 cent.

On coal, oil, biomass and natural gas, the $50 US EPA Carbon Tax  prices would cost business and consumers $175 billion per year (3.5 billion tons times $50 tax per ton).

Energy speculators will have the opportunity to make billions of dollars manipulating electrical prices by using the Smart Grid to electronically collect and distribute the Carbon Tax funds.

The $50 Carbon Tax per ton on carbon dioxide is just the beginning. The electricity will quadruple  from $1 to $4 trillion. The US EPA Carbon Tax is expected to increase over time to over $200 per ton or $1 trillion per year (5.5 billion tons times $200 tax per ton). Electrical rates would triple from 10 to 40 cents per kilowatt-hour and gasoline from $4 to $12 per gallon.

Since the US EPA Carbon Tax is being implemented without congressional approval, it isnít clear how the federal government will be spending the trillions of dollars. What is clear, is the US EPA Carbon Tax is going to have significant detrimental impacts on Americaís economy that are similar to what Europe is currently experiencing.

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