HOTLINE, Summer 2009 In an effort to represent the interests of more than 4 million workers and their families from both Canada and the western United States, labour leaders from British Columbia, Manitoba, Ontario, Quebec, Washington state, Oregon and California have put forward design suggestions for regional Cap and Trade planning at public sessions being held by the Western Climate Initiative (WCI). Recognized as a key stakeholder by the WCI, the labour partnership is unanimous in its support for moving towards a more sustainable economy and planet in an equitable and effective way to address climate change. They have been seeking ways to balance, protect and increase good paying local jobs on domestic soil within an effective Cap and Trade program and have been meeting with top officials of the WCI to discuss their concerns. As a result, four key issues have emerged: • the associated costs to business to implement Cap and Trade can’t drive any more jobs overseas or to other jurisdictions with less stringent environmental regulations; • new jobs that will be created in the green economy must be family-wage jobs with benefits and worker protections; • in transitioning to a new economy, workers who may lose their jobs must be protected by measures that take into consideration financial support for those workers; • there must be safeguards put in place to prevent corporations or speculators from gaining windfall profits from using Cap and Trade programs as get-rich-quick plans. The labour partnership has expressed their concerns that corporations and businesses will ultimately transfer production - in other words, jobs - outside the WCI jurisdiction if costs to implement the necessary changes required under a Cap and Trade program are too high. To protect workers and their families, they have made a recommendation to the WCI to include a carbon tariff on both foreign and domestic imports into the WCI jurisdiction in an effort to stop the bleeding of jobs to foreign jurisdictions (both domestic and offshore) where inferior pollution standards exist. By including a carbon tariff within the Cap and Trade structure, business costs associated with implementing necessary changes to accommodate emission allowances can provide an additional incentive to keep local workforces employed. IBEW Local 258 President Michelle Laurie recently participated in a series of meetings and workshops hosted by the Oregon Federation of Labour where labour leaders continue to seek effective ways to tackle climate change within a regional Cap and Trade program while protecting and increasing jobs in a balanced, fair and sustainable way. It was reported that no agreement was reached in subsequent meetings with WCI officials, but both sides agreed they must continue to work together to find innovative ways to cut carbon emissions and protect jobs. What is Cap and Trade? Cap and Trade is a market-based approach, regulated by government, aimed at reducing greenhouse gas (GHG) by setting overall emission targets (cap) for facilities and then distributing emissions allowances in specific measured amounts that can then be traded (auctioned, freely allocated or a combination of both) by the facilities. Cap and Trade is seen as a critical and effective component of a comprehensive solution to climate change. The Western Climate Initiative began in February 2007 when the Governors of Arizona, California, New Mexico, Oregon and Washington signed an agreement directing their respective states to develop a regional target for reducing greenhouse gas emissions, participate in a multi-state registry to track and manage greenhouse gas emissions in the region and develop a market based program to reach the target. The Premiers of British Columbia, Manitoba, Ontario, Quebec and the Governors of Montana and Utah have since joined the original five states in committing to tackle climate change at a regional level. The WCI Cap and Trade Program will cover emissions of the six main greenhouse gases (carbon dioxide, methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons and sulfur hexafluoride) from the following sectors of the economy: electricity generation, including imported electricity; industrial and commercial fossil fuel combustion; industrial process emissions; gas and diesel consumption for transportation; and residential fuel use. |