Gore Rings a Green Alarm

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President George W. Bush and other Republicans remain opposed to a mandatory cap on carbon dioxide emitted from cars, power plants, and other human activities, arguing that it will harm the economy. The Chamber of Commerce and National Association of Manufacturers are among groups that oppose mandatory limits on carbon emissions, citing competitive reasons.

Industry Support Builds

But major players in the business community are coalescing around calls for a federal cap in greenhouse emissions, stressing the need for both a uniform regulatory environment, as well as a reduction in the risks global warming poses to their businesses. In January, the heads of 10 large U.S. corporations, including Alcoa (AA) and General Electric (GE), said they supported mandatory caps. Last week, General Motors (GM), Ford (F), Chrysler (DCX), and Toyota North America (TM) endorsed a mandatory economy-wide emissions cap.

And on Mar. 19, a coalition of more than 50 institutional investors, including the California Public Employees' Retirement System (CalPERS) and Merrill Lynch (MER), called on Congress to take a leadership role in cutting emissions and setting federal standards on the issue (see BusinessWeek.com, 3/19/07, "Investors Call on Congress to Go Green"). A day later, some of the U.S.'s top utility chiefs told a House hearing that they don't oppose one .

After his morning appearance in the House, Gore testified before the Senate Environment & Public Works committee during the afternoon. Democratic leaders in Congress, including Presidential candidates (and Senators) Hillary Clinton and Barack Obama, have said that passing legislation to address the threat of global warming is a top priority. Five bills in Congress currently call for a national cap on greenhouse gas emissions, which is now mandated in a handful of states and U.S. cities. On Mar. 20, Rep. Henry Waxman (D-Calif.) used his moment at the mike to introduce the Safe Climate Act, which calls for 80% cuts from 1990 emissions levels by 2050.

Meanwhile, Gore's time in the spotlight isn't likely to end soon. He's now helping plan a number of worldwide rock concerts to be held on July 7 to raise public awareness of climate change. The question remains as to how effectively he can exploit his status as a politician-turned-celebrity to convince more American consumers, business leaders, and politicians that sacrifices today will mean great benefits in the future.

Herbst is a reporter for BusinessWeek.com in New York.