Bill focuses on Montana's role in climate policy

HELENA – On a particularly warm Monday in February, lawmakers heard a bill that supporters said would help Montana protect its own interests as large-scale carbon control policies are developed across the country.

“Montana has a choice being the leader or a follower,” said Nobel Prize winner and University of Montana professor Steven Running (pictured). “Leaders make the most money.”

The hearing for House Bill 375 specifically addressed Montana’s participation in the Western Climate Initiative, a regional group created by seven U.S. governors and four Canadian premiers to reduce greenhouse gases in the West.

The bill calls for an emissions report by a bipartisan climate change committee of four legislators, chosen by Senate President Robert Story, R-Park City, and House Speaker Bob Bergren, D-Havre.

The HB 375 committee report would look into Montana’s potential involvement with regional emission caps and trade allowances before the 2011 Legislature makes final decisions on the state’s participation in the initiative.

The WCI focuses on a market-based cap-and-trade system. This means a carbon emissions limit, or a “cap,” is created by the group. Companies in the region are given a certain number of allowances to comply with the cap. If they need more allowances, they must buy them from companies that pollute less. This is called a “trade.”

Chuck McGraw, of the Natural Resources Defense Council, said the bill is like an insurance policy for Montana. It would enable Montana to protect its own interests as the larger carbon control policies are developed.

“If Montana doesn’t have a seat at the table, then we’re simply not going to be full, able participants in the debate in the development of this policy,” McGraw said.

John Alke, a lobbyist for energy infrastructure company MDU Resources Inc., opposed the bill as written and offered three amendments. The first would give policy-making decision power to the Legislature, not the Department of Environmental Quality.

The second would have the committee create the 2011 climate change initiative legislation, not just a report. The third would strike the cap-and-trade system, leaving it open ended for a carbon tax as well.

Other opponents said Montana should stay away from regional climate change initiatives because Montana businesses might flee to states unregulated by the initiative, taking jobs with them. They also expressed concerns about the legitimacy of global warming.

Opponents included the Southern Montana Electric Generation and Transmission Cooperative and Rio Tinto Energy America Services Company, which operates the Spring Creek mine.

- by CNS correspondent Molly Priddy

- Photo by Todd Goodrich, University Relations, UM