State-level carbon tax climate agreement 'having a hard time getting off the ground'
Fox News
An interstate carbon tax agreement promoted as having 13 mid-Atlantic and Northeastern members appears shaky after the Connecticut legislature snubbed the idea in September.
The cap-and-trade initiative would require vehicle fuel suppliers in participating jurisdictions to buy energy allowances for CO2 emissions. The volume of allowances for sale will decrease each year, meaning fuel suppliers will pay more each year for emissions.
Proponents say this will cut greenhouse gas emissions by 26% from 2022 through 2032, and bring $3 billion in revenue for the next decade. Opponents say it will drive up fuel prices for consumers and is a regressive fuel tax. With regards to a regressive tax, proponents contend that signatories would dedicate at least 35% of revenue to transportation needs in underserved communities.