House action would put tax on plant


4/1/2008

By SARAH KESSINGER

Harris News Service

TOPEKA -- House Republicans turned several shades of green Monday night as they easily passed an amendment to impose a carbon tax on a Kansas City-area coal plant while offering a tax credit to other electric plants.

But Democrats weren't buying it, saying the tax came with no requirement for plants to cut greenhouse gas emissions that cause global warming.

Supporters of the amendment, which was attached to a tax bill on a 78-42 party-line vote, said the measure was an incentive to all large coal-fired power companies to lower emissions.

"I think this amendment is a unique solution to this problem," said Rep. Jeff Whitham, R-Garden City. "It rewards those plants for actually producing less carbon dioxide."

Democrats found themselves caught off guard, struggling to understand the action's ramifications. They successfully moved for a roll call to record Republican votes for the measure.

"The massive rate increase would be astronomical," said Rep. Josh Svaty, D-Ellsworth. "I don't think we should go about dealing with our carbon problem in this manner."

Tax by the ton

The measure called for a tax of $37 a ton of CO2 emitted from plants for emissions that are in excess of 110 percent of the statewide average. Emissions would be measured per utility and per megawatt hour, rather than on overall volume.

The only plant now at that level is one owned by the Kansas City Board of Public Utilities, according to Republicans pushing the initiative.

The tax collected would then finance a credit to be dispersed to other large coal plants with the lowest average carbon emissions as an incentive for them to continue lowering their emissions. Potential candidates are plants owned by Westar Energy, Kansas City Power Light and Sunflower Electric.

Race to be clean

"This is like a giant race to be the cleanest," said Rep. Clay Aurand, R-Courtland. "If you win the race to become the cleanest, you get money."

Aurand and other Republicans characterized the attempt as unrelated to the Sunflower Electric Power's attempt to get two coal-fired power plants built in southwest Kansas.

But Democrats said otherwise.

"The next step over the bridge is a full-blown energy debate," said Rep. Annie Kuether, D-Topeka, in reference to Sunflower's ongoing efforts this session to get a permit to build the plants.





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