Agriculture Industry Watching Carbon “Cap and Trade” Debate

WASHINGTON, DC – At his confirmation hearing last week, Agriculture Secretary nominee Tom Vilsack spoke towards the Biden Administration’s desire to address climate change through carbon capture and sequestration. Ag industry skeptics are concerned about how this might be done and whether the cost of such a program might outweigh the financial ability to remain solvent in a “cap and trade” environment.

Recently, USDA Deputy Secretary Robert Bonnie suggested the Secretary has authority to use Commodity Credit Corporation (CCC) dollars to stabilize commodity markets and since carbon is a commodity, the Biden Administration would have a green light to proceed without action by Congress. At the hearing, however, Secretary Vilsack did assure Senators that use of the CCC for such a purpose would not come at the expense of policies for which the CCC is primarily established to fund.

According to the ag lobbying-firm of Combest, Sell, and Associates, policymakers could pursue a carbon sequestration program while addressing concerns by increasing the CCC line of credit above the $30 billion annual amount and by expressly authorizing or mandating (through legislation) a carbon sequestration program using CCC funds.
(SOURCE: All Ag News)