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U.S. chamber faces dissent from big firms on climate

BOSTON -- The biggest U.S. business organization has fallen out with influential parts of Corporate America because of its trenchant opposition to climate-change legislation making its way through Congress.

The U.S. Chamber of Commerce's opposition to the climate bill has already cost it prominent members including Apple Inc. and California utility PG&E Corp.

And this week two of the lobbying group's most powerful members, the conglomerate General Electric Co and the telecommunications equipment provider Cisco Systems Inc. told Reuters they do not see eye-to-eye with the group on climate regulations.

“The Chamber does not represent our views on the urgent need for climate legislation,” said Peter O'Toole, a spokesman for GE, the largest U.S. conglomerate. “We need climate legislation and a price for carbon in the U.S. now.”

The Chamber, which represents some 3 million U.S. businesses ranging from massive multinationals to mom-and-pop operations, says its positions take into account the needs of many sorts of businesses across a range of industries.

“Our goal is to have the positions that we actually take stances on be reflective of the democratic majority of the broad majority of the business community,” said Eric Wohlschlegel, a Chamber spokesman. “There are cases, not just with energy, where companies are going to peel off and take different positions than the Chamber.”

The bill making its way through Congress aims to reduce emissions of carbon dioxide — a greenhouse gas that contributes to global climate change — through a cap-and-trade system that would allow companies a limited amount of emissions. Those that emit more would need to buy additional credits; those that emit less would be able to sell credits.

The Chamber has raised concerns that the bill is not comprehensive enough and is not international in scope while seeking to tackle a global problem.

Its opposition to the climate bill, as well as to proposed health care reforms, has become enough of a concern to the White House that U.S. President Barack Obama met with Chamber officials on Thursday.

Apple, which makes Macintosh personal computers and iPod music players, as well as utilities PG&E, Exelon Corp and PNM Resources Inc., quit the Chamber outright over this issue, while giant sportswear maker Nike Inc. stepped down from the board but remains a member of the group.

Even companies that are keeping up their memberships said they would like to see change.

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