CARB Makes Rules, Companies Game Rules for Profit

Russ Steele

The Legislature and former a Gov made the rules when they passed AB-32, and CARB established  the mandated Cap and Trade program. One to the four cap and trade offset protocols established by CARB was  Improving Forest Management.

Now the environmentalist have discovered that Sierra Pacific Industries is going to make millions of dollars by gaming the system and they are upset.  SPI is going to log the forest and then plant replacement trees. They do this as a normal business practice in the timber industry, however now they are going to collect offset credits from CARB for the plant of those trees.

This gaming of the system by timber companines has been discovered by NBC’s Bay Area Investigation Team. Details HERE.  Here is the part of the story that warms my heart.

Companies that harvest timber like Sierra Pacific Industries, also known as SPI, admit they stand to gain tens or even hundreds of millions of dollars through carbon offsets.

“You’re not doing this out of the goodness of your heart,” Stock said to Ed Murphy, SPI’s manager of Resource Information Systems. “Of course not,” replied Murphy.

Murphy further explained his position on the issue raised by The Center for Biological Diversity: Additionality (or adding more things such as trees to reduce carbon further than what would be expected under normal or ‘business as usual’ conditions.

“Under the definition of additionality, there’s a process called common practice,” said Murphy. “We can show we’re well above common practice in terms of total carbon stored. But more importantly, the change in business practices comes when once we move into the offset market, we can no longer cut the forest down.”

Awesome, SPI gets the offset credits with a promised not to cut down the newly planted trees for a 100 years.  It takes about 90 years to grow a good sized tree. Better yet in 20 years CARB’s and Cap and Trade will be nothing more that a economic foot note in the collapse of the California economy following the Next Grand Minimum. Go SPI, take the money and run!   Future generations will cut the trees to stay warm!


About Russ Steele
Freelance writer and climate change blogger. Russ spent twenty years in the Air Force as a navigator specializing in electronics warfare and digital systems. After his service he was employed for sixteen years as concept developer for TRW, an aerospace and automotive company, and then was CEO of a non-profit Internet provider for 18 months. Russ's articles have appeared in Comstock's Business, Capitol Journal, Trailer Life, Monitoring Times, and Idaho Magazine.

6 Responses to CARB Makes Rules, Companies Game Rules for Profit

  1. D. King says:

    The whole thing is slimy. 😦

  2. Russ I was watching a bit of the testimony at the legislature committee on the high speed rail fiasco last night. The players were the State Senators and some bureaucrats in charge of the rail crap. As I listened I could not believe what I was hearing. The bureaucrats were telling the Senators they would use 10 BILLION dollars of the “cap and trade” money to help build the high speed train to nowhere! Check it out. This kind of stuff is why the people need to be wary of the promises of the government and in this case CARB. How they steal the money and “game” the system is a lot more probable now than SPI could ever come up with.

    • Russ says:


      See my latest post on how the Sac Pols are attempting to divide up the Cap and Trade Slush Fund. The California Legislative Analyst’s Office has recommended against the Governors proposal to use part of the Cap and Trade slush to fund the High Speed Rail because the funding is too speculative. Any of the slush fund spending proposal are going to run into Prop 13 and Prop 26 challenges. Stay Tuned!

  3. Here is the laest scare on global warming. Methand gas is seeping into he air in the Arctic. Russ, what do you think?

    • Todd,

      Methane has been seeping out of the ground in Alaska since the last ice age. Buried deep under the tundra is 100’s if not a 1000 years of methane energy. One of the major oil companies just did a test on harvesting the methane and it was a success. Potential, over a 1000 year of natural gas energy. Stay Tuned, the environmental wackos will try to stop the extraction.

  4. Arthur M. Day. says:

    Is the methane concentrated enough to make it useable or is seriously diffuse like solar and wind energy?

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