Climate/Energy Gas Tax Nixed

Despite many reports to the contrary, the developing climate legislation by Senators Graham, Lieberman, and Kerry to be unveiled April 26 will not include a fuel fee, reports The Hill. And don't blame the oil industry - they supported the gas tax.

2 minute read

April 19, 2010, 8:00 AM PDT

By Irvin Dawid


This report from The Hill's "Finance & Economy Blog" clearly refutes what many newspapers had reported on the likelihood of a fuel fee, aka gas tax, in the emerging Senate legislation on climate. The Congress has already passed their bill (titled The American Clean Energy and Security Act (H.R. 2454).

"The straight answer from the White House is: 'No.' " - there will not be a gas tax in the climate legislation

"The Senators don't support the gas tax and neither does the White House," a White House official said today.

From LA Times, April 14: Senators consider gasoline tax as part of climate bill":

"The tax, which according to early estimates would be in the range of 15 cents a gallon, was conceived with the input of several oil companies, including Shell, BP and ConocoPhillips, and is being championed by Republican Sen. Lindsey Graham of South Carolina."

The oil companies prefer the tax to most costly "proposals to reduce greenhouse gas emissions, including provisions in the climate (Waxman-Markey) bill the House passed last year."

From PlanetArk: Senate to unveil climate bill April 26th:

"Point Carbon, an energy markets consulting service, estimated the anticipated Senate bill would result in U.S. gasoline prices rising an average of 27 cents a gallon from 2013 to 2020. The bill is expected to contain a fee on motor fuels."

Thanks to John Hartz

Thursday, April 15, 2010 in The Hill - On the Money

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