Copper, Modern Energy, and the UP

To recap last week’s Climate Column, the way to promote modern energy production is to put a price on carbon pollution.  Since fossil fuels are heavily subsidized and are not penalized for polluting the air, Citizen’s Climate Lobby cure for this market failure is to pass corrective legislation. This legislation is called a Carbon Fee and Dividend or, “CF&D”.

How would this help us in the U.P.? There are three ways and the third one is exciting.

First, to stop rapid climate change we must slow and reverse the irresponsible pollution of our atmosphere by burning fossil fuels. If a CF&D is enacted, it will be the best and first step forward solving this urgent problem.

Second, Citizen’s Climate Lobby hired a consulting firm, Regional Economic Models, Inc. to examine how each region of the country will be impacted by a carbon fee and dividend. Our region will do well. Our residents are projected to have more money in their pockets at the end of the year when CF &D is enacted. This additional money, if spent locally, will spur local economic growth strengthening the local economy.

The third impact is the most exciting to me.

Years ago, I was at a ski area in the Keweenaw promoting climate science and the positive values of Carbon Fee and Dividend. A local skier asked me why, beyond saving our kid’s climate, would a carbon fee and dividend be beneficial to the Keweenaw.

The answer involves copper and iron ore.

In any business model the bottom line is your revenue must be greater than your operation expenses. You must sell something, i.e. copper or iron, at a price that makes you a profit.  Let’s make if brief, if the world market price for copper ore or iron ore is high enough, the mines will open. If not, it makes no sense for any mining company to even think about opening new mines.

Often, we think we are all powerless to make a difference. But, here is an example of how we can make a difference. If our federal government passes a Carbon Pollution Fee it will make solar and wind power and a smart grid to go a reality sooner rather than later. All the companies that make these products will be clamoring for more copper and iron. Demand will be high, and with high demand comes a bidding competition that will drive the price higher. High enough, and our mines will open.

How do we do this? First, call, write or mail Congressman Bergman and tell him you support Citizen’s Climate Lobby and a Carbon Fee and Dividend. Second, elections are coming soon. Write or call incumbent legislators and the challengers. Tell them that you will vote for the candidate that supports CCL’s CF&D.

 I have seen plenty of signs that say, “Support U.P. mining”. Ok, that is nice. Do signs do anything that will materially help the companies waiting to start digging? In my mind, “No”.

The bottom line is, we can help the mines.  We do that by supporting legislation that creates demand for our ore. The only legislation, I know of, is the one that creates demand for solar panels and wind turbines. That is Citizen’s Climate Lobby only mission. The demand for our ore, by a carbon fee and dividend, is the demand we need to open the mines and save our kid’s future.

Here is what Robert Friedland, of Canada’s Ivanhoe Mines says regarding the transition to our future of clean power, “Copper is the king of metals…Every single solution drives you to copper—solar power, wind power, electric cars, you name it.”

If you want to bring back the king, king copper, support the effort to combat climate change. And, urge your friends to do the same.

For more information:

Congressman Bergman’s office address and telephone:                                             

414 Cannon House Bldg                                                                         

Washington DC. 20515                                                                         

202-225-4735

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