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US House voices opposition to oil, carbon taxes

  • Märkte: Coal, Crude oil, Emissions, Natural gas
  • 10.06.16

The US House of Representatives today approved symbolic resolutions opposing President Barack Obama's proposal to impose new federal taxes on oil and greenhouse gas emissions.

The House voted 253-144 today to approve a non-binding resolution in opposition to Obama's proposal to add a $10.25/bl fee on petroleum products. Some 23 Democrats joined with the Republican majority to adopt that resolution, with one Republican voting against.

The House separately voted 237-163, mostly along party lines, in favor of another symbolic measure opposing taxing carbon emissions.

Republican lawmakers said they were voting to oppose higher taxes on oil and carbon emissions because of concerns that those taxes would translate into increased consumer energy prices, slower economic growth and a decline in US oil and gas production.

"We should be embracing the American energy revolution, not taxing it to oblivion, not regulating it to oblivion," representative Charles Boustany (R-Louisiana) said today during debate on the two resolutions.

But Democrats argue new oil taxes would be the best way to repair crumbling infrastructure and reduce the emissions driving climate change. Representative Peter DeFazio (D-Oregon) said Republicans were voting against a "cartoon version" of oil and carbon taxes that were never proposed or debated.

US oil companies strongly opposed Obama's proposed $10.25/bl fee on petroleum products. The industry trade groups the American Petroleum Institute (API) and American Fuel & Petrochemical Manufacturers (AFPM) today lauded the House for approving resolutions opposing higher oil taxes.

But the vote today opposing carbon taxes puts the House at odds with oil companies that have endorsed carbon taxes. BP, Total, Statoil and other oil majors last year publicly supported putting a price on carbon as a way to address climate change. ExxonMobil declined to comment on the resolution but said it has supported a revenue-neutral carbon tax since 2009.

"We support it because it observes principles that we think are important – to ensure a uniform and predictable cost of carbon, allow market forces to drive solutions, maximize transparency to stakeholders" and provide other benefits, ExxonMobil said.

API said it had no position on the carbon tax. AFPM president Chet Thompson said carbon taxes would be "bad for American consumers and business."

Koch Industries lobbyist Philip Ellender, urging lawmakers ahead of the vote to support the resolution opposing a carbon tax, said it would distort markets and favor one industry over another.


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