U.S. senators to unveil carbon tax bill to generate $2.5 tln in 10 years

(Reuters News, 24 Jul 2019) The Climate Action Rebate Act proposes to curb climate change by slapping a fee on oil, natural gas and coal.

Two Democratic U.S. senators will unveil a bill on Thursday to curb climate change by slapping a fee on oil, natural gas and coal and delivering most of the revenues to low- and middle-income Americans, one of the lawmakers said.

Senator Chris Coons said on Wednesday he and Senator Dianne Feinstein will introduce the Climate Action Rebate Act, which aims to generate $2.5 trillion in revenues over 10 years starting in 2020. It would rebate about 70 percent of the money to families that make less than $130,000 per year, and use the rest for energy infrastructure, job retraining for fossil fuel workers, and research and development.

President Donald Trump, a Republican, rejects climate science and has slashed regulations on oil and gas drillers and coal miners. That has made climate a big issue in the race for the 2020 Democratic presidential nomination, although none of the senators running have yet signed onto the Coons carbon tax bill.

Coons said he is talking with Senate colleagues from both parties and Democrats running for president to build support. It will be an uphill battle to get enough votes to pass in the Republican-led 100-member chamber.

The Green New Deal, a plan to tackle climate change backed by left-leaning Democrats including Representative Alexandria Ocasio-Cortez and Senator Ed Markey, has grabbed the attention of many environmentalists with an aggressive goal of cutting carbon emissions to net zero by 2030. But wind and solar power companies have criticized it as unrealistic and politically divisive.

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Reuters News, 24 Jul 2019: U.S. senators to unveil carbon tax bill to generate $2.5 tln in 10 years