Trucking Raises Concerns over House-Passed Energy Bill

The trucking industry has raised concerns over the energy bill passed by the House that would include a “cap and trade” provision to set up a market for greenhouse gas emissions.

While trucking strongly supports efforts to reduce greenhouse gas emissions and promote energy independence, American Trucking Associations said it has “strong reservations” about the measure in a letter sent to House Energy and Commerce Committee Chairman Henry Waxman (D-Calif.), a sponsor of the bill.

The House passed the American Clean Energy and Security Act late Friday by a 219-212 vote, but President Obama predicted over the weekend that similar legislation would face a difficult fight in the Senate and require more compromises, the New York Times reported Monday.

ATA said it has an “overriding concern that mobile sources, including trucks, should be addressed differently than traditional stationary sources under any carbon reduction regulatory program.”

In its letter to Waxman, ATA identified four specific concerns with H.R. 2454:

• The legislation will significantly increase the price of diesel fuel and that any substantial fuel cost increases will negatively impact the delivery of consumer goods.

• The U.S. faces an infrastructure crisis, but none of the carbon auction revenues generated under the bill would go toward highway infrastructure improvements.

• ATA has advocated for greater government oversight of petroleum markets in order to put a stop to excessive speculation in these markets. While the bill addresses this issue, ATA believes that trading reform should be passed, implemented and enforced prior to the creation of new carbon commodity markets.

• Congress needs to be mindful that truck transportation is not a discretionary activity and is “vital for moving our nation’s freight”. The trucking industry has few, if any, available alternatives to diesel fuel and the bill does not provide for the incentives to develop new technologies or alternative fuels.