Senator Chris Van Hollen (D-Md.), Rep. Jerry Nadler (D- N.Y.) and Rep. Judy Chu (D- Calif.) joined forces on Sept. 12, to introduce legislation requiring the biggest polluters in America to begin paying their fair share to confront the climate crisis.
The Polluters Pay Climate Fund Act, requires the largest U.S.-based fossil fuel extractors and oil refiners and foreign-owned companies doing business in the U.S. to pay into a $1 trillion fund, with their contributions based on a percentage of their global emissions. The Polluters Pay Climate Fund would then be used to finance a wide range of efforts to tackle the impacts of climate change.
“From sweltering heat waves to rising sea levels to ever more intense storms, our planet is screaming out every day for us to take action on global warming. And after fueling the climate crisis for decades, big polluters can no longer run from their responsibility to address the harm they have done,” said Van Hollen. “The principle behind this legislation is simple but very powerful – polluters should pay to clean up the mess they made and build a more resilient future, and those who have polluted the most should pay the most.”
Congressman Nadler noted it is time for the fossil fuel industry to “pay its fair share to address the damage it has inflicted on our planet, and help the American people tackle this crisis head-on.”
“For over 60 years, the fossil fuel industry has been fully aware of its role in driving the climate crisis. Despite this, the industry has done little to nothing to address the harmful effects their
practices have had on the environment and public health,” said Nadler. “Instead, American taxpayers have been unfairly burdened with the costs of mitigating the destructive effects of the climate crisis. It is long past time for our nation to prioritize the health and well-being of our communities over the interests of the fossil fuel industry.”
The bill authors say the legislation will not impact current oil and gas prices, as the tax would be based on past production, and it would not reduce funding to existing state and federal climate funds.
This bill would assess companies based on their global carbon dioxide emissions and authorize the Treasury Department to charge the largest polluters in proportion to their past carbon emissions, in excess of 1 billion metric tons – resulting in the top polluters contributing $100 billion each year for 10 years to the fund.
The legislation applies to any fossil fuel extractor or refiner that is U.S.-based, or is a foreign company engaged in trade or business in the U.S., and is responsible for generating over 1 billion tons of carbon dioxide emissions from 2000-2022.
District of Columbia Del. Elenaor Holmes-Norton, Rep.Alexandria Ocasio-Cortez (D-N.Y.) and Rep. Jamie Raskin (D-Md.) are also co-sponsoring the bill.
“This bill is exactly what is needed to make sure average citizens are not the ones paying the extraordinary costs associated with adapting and recovering from the escalating impacts of the climate crisis,” said Maryland Director for the Chesapeake Climate Action Network Brittany Baker. “We appreciate Senator Van Hollen’s leadership on this concept and are thrilled that this bill does not preempt state action.”