Point Carbon estimates carbon costs of yet-to-be-released Senate climate bill

For context, the projected carbon price from the Senate climate legislation equates to an additional 27 cents a gallon for gasoline.

The House climate bill, sponsored by Reps. Henry Waxman (D-Calif.) and Edward MarkeyEdward (Ed) John MarkeyTo make the House of Representatives work again, make it bigger Dems urge tech companies to remove 3D-gun blueprints Make the moon a refueling station — then head to Mars MORE (D-Mass.), would impose an economy-wide cap and trade program to cut greenhouse gas emissions.

The KGL bill, so-called for its Senate authors John KerryJohn Forbes KerryVoters will punish Congress for ignoring duty on war and peace Trump draws bipartisan fire over Brennan Hillicon Valley: Trump revokes Brennan's security clearance | Twitter cracks down on InfoWars | AT&T hit with crypto lawsuit | DHS hosts election security exercise MORE (D-Mass.), Lindsey GrahamLindsey Olin Graham2020 hopefuls skeptical of criminal justice deal with Trump Senate gets to work in August — but many don’t show up Graham: Flynn should lose security clearance MORE (R-S.C.) and Joseph Lieberman (I-Conn.), would create a cap-and-trade system for electric utilities and later for large manufacturers.

The transportation sector, however, would pay a “linked fee” tied to the carbon market price.

“If the market were to include only the power sector under the cap, Point Carbon finds prices would fall to $15 per ton of CO2 [equivalent] on average, as the cost of reductions is lowest in the power sector. The team also finds that the power sector alone could reduce emissions enough for the US to meet its 2020 pledge at a cost of $18 on average over 2013-2020.”