FreedomWorks

GREENVILLE, SC. Volunteer members of FreedomWorks, a grassroots organization dedicated to free-markets and limited government, gathered outside the GE shareholders meeting in Greenville, SC to raise awareness of the threat that a cap and trade system poses to the US economy. GE is the leading supporter of the United States Climate Action Partnership, an effort to support federal legislation to create a cap and trade system in the United States.

European countries have experimented with a cap and trade system for the last two years. As a result, German electricity rates have already soared by 25 percent, while some European manufacturing has migrated overseas to cap-free nations. Despite these economic costs, there is no evidence that cap and trade controls will actually benefit the environment, since they do not restrict the fastest growing sources of emissions in China and India. Indeed, as Europe is already experiencing, U.S. cap and trade would simply encourage production to move to those nations.

FreedomWorks President Matt Kibbe commented:

"Over the last five years, the GE share price has languished. GE leadership is betting on risky technologies that have failed to inspire the market and is now looking for the federal government to impose a regulatory system that would strengthen its hand in the marketplace. Focusing on favors from the federal government is no substitute for sound business practices. In the long term, GE earnings will depend on a growing economy, and artificially raising energy costs is a sure way to slow the economy."

FreedomWorks Chairman and former Majority Leader Dick Armey commented:

"The federal Energy Information Administration during the Clinton-Gore years estimated a cap and trade system would reduce economic growth by 1.9 percent, raise gasoline prices by nearly 53 percent, and increase the overall price of energy by more than 86 percent. FreedomWorks wants to cut through the rhetoric and raise awareness of the true costs of a cap and trade system. Dramatically restricting energy and manufacturing will severely harm U.S. global competitiveness, disproportionately hurt the poor and those on fixed incomes, and empower the government to pick and choose winners in the marketplace."