Connecticut House Bill HB05363

Connecticut 2018 Regular Session

• Introduced: 3/1/18
• Refer: 3/1/18

Caption

An Act Establishing A Carbon Price For Fossil Fuels Sold In Connecticut.

Impact

The bill is expected to have significant implications for state laws relating to energy and environmental policy. It establishes a framework for assessing fees based on greenhouse gas emissions, thereby incentivizing businesses and consumers to seek lower-emission alternatives. Moreover, it creates a Carbon Pollution Council tasked with advising on the necessary fee adjustments to achieve the emissions reductions goals dictated by existing legislation like the Global Warming Solutions Act. This approach aims to align Connecticut's energy policies with broader environmental objectives while fostering economic development through clean energy initiatives.

Summary

House Bill 5363 proposes the establishment of a carbon price for fossil fuels sold in Connecticut. The bill mandates the collection of a fee at the first point of sale for fossil fuels, starting at fifteen dollars per ton of carbon dioxide equivalent. This fee is set to increase annually, by no less than five dollars per ton, to incentivize the transition to cleaner energy sources. The legislation aims to address climate change by reducing carbon emissions and promoting the use of renewable energy. Additionally, the bill outlines the creation of a 'clean energy and jobs account' where the collected fees will be deposited to support various state-wide initiatives related to energy efficiency and job creation.

Contention

Notable points of contention regarding HB 5363 revolve around its economic impact on consumers and businesses in Connecticut. Supporters argue that the bill is crucial for combating climate change and facilitating the transition to a sustainable economy, while some opponents raise concern over the potential increased costs associated with fossil fuel consumption that may disproportionately affect low-income residents. Critics also highlight the administrative challenges of implementing a carbon fee and the effectiveness of the bill in achieving its intended environmental goals. The discussion includes apprehensions surrounding the timing of fee increases and the distribution of dividends to ensure that residents and businesses benefit from the program rather than suffer from added financial burdens.