Climate and Rent-Seeking

David Kreutzer /

United Nations Climate Change Conference

Data show 2009 was a record year for lobbying on energy issues.  1747 clients (firms and groups) hired lobbyists to work in the area of energy and nuclear power. This is a stunning 93 percent increase from 2006.

This increase may be stunning, but it isn’t surprising.  With literally trillions of dollars put into play by various cap-and-trade bills over the last three years, it would have been surprising if lobbying hadn’t grown by leaps and bounds.

Though initially offered as legislation to fight global-warming, the justifications for cap and trade followed the polls (from global warming to climate change to energy security to economic stimulus to green jobs to who knows what’s next) and the bills’ provisions followed the money.  Effectively a huge energy tax, early proposals kept the trillions in new taxes for federal spending.  In the end, the only bill to pass either house of Congress, the Waxman-Markey bill, gave virtually all of the revenue away to a grab bag of special interests. (more…)