May 29, 2014 – Washington D.C.
McDermott Introduces Bill to Help Forge Clean Energy Solutions
WASHINGTON, DC – Jim McDermott (D, WA-7) has introduced the Investing to Modernize the Production of American Clean Energy and Technology Act of 2014 (H.R. 4753). By promoting strategic, targeted tax credits and closing oil company tax loopholes, this legislation seeks to ignite the American clean energy economy by boosting clean energy manufacturing.
“Continued American greatness in the 21st Century, in large part, will be determined by the strength of our clean energy economy,” said Congressman McDermott. “Democrats in Congress are committed to fight for clean energy solutions that boost the economy and create millions of new, good-paying American jobs. Democrats in Congress have a vision for America’s clean energy future. The Investing to Modernize the Production of American Clean Energy and Technology Act of 2014 is a key part of that vision.”
Clean Energy Tax Incentives
· H.R. 4753 extends a number of valuable tax provisions used by clean energy companies to level the playing field and to compete with their more established traditional-energy counterparts.
· Specifically, H.R. 4753 extends tax provisions for onshore and offshore wind and other renewable energy production.
· H.R. 4753 also provides incentives for clean energy manufacturing, energy efficient appliances and homes,electric vehicles, and a new era of natural gas-powered vehicles.
Closing Oil Company Tax Loopholes
· H.R. 4753 ends tax breaks and corporate giveaways tucked into the tax code for major oil companies that are already raking in record profits.
· Eliminating these tax breaks for major oil companies pays for the clean energy tax provisions and incentives in H.R. 4753.
McDermott Re-Introduces Legislation To Curb Carbon Dioxide Emissions
WASHINGTON, DC – Jim McDermott (D, WA-7) has re-introduced the Managed Carbon Price Act of 2014 (H.R. 4754) to reduce harmful carbon dioxide emissions and to help American industry transition to clean sources of energy.
“Climate change is real and increasing evidence indicates that its impacts are now being felt across the United States – in our polluted air, warming oceans, stressed ecosystems and increasingly destructive weather patterns,” said Congressman McDermott. “To secure our planet’s future, we must curb harmful carbon dioxide emissions. To drive the American economy, we must move away from fossil fuels and develop clean, inexpensive, renewable energy sources. The Managed Carbon Price Act of 2014 is designed to produce results in both of these critical areas.”
The Carbon Tax Center’s senior policy analyst, Mr. James Handley, recently wrote in support of H.R. 4754.
“Rep. McDermott’s simple, transparent measure would phase out the free dumping of climate pollution into our atmosphere. Starting modestly, the bill raises the cost of climate pollution, assuring that investments in renewable energy and efficiency will soon be more profitable than the extraction and burning of dirty fossil fuels. The Carbon Tax Center estimates that Rep. McDermott’s measure would reduce U.S. climate pollution by 1/3 within a decade, making it the most effective climate legislation introduced in the U.S. Congress. By taxing the climate pollution of imported goods in the same way as domestic goods, the bill creates strong and growing incentives for other nations to follow, while protecting our industry from unfair competition.”
What H.R. 4754 Does
· Sets specific greenhouse gas emission reduction targets to reduce emissions.
· Requires producers of greenhouse gas emitting substances to purchase permits directly from the Treasury.
· Requires the Secretary of the Treasury to set the annual permit price – denominated in ¼ ton CO2 Equivalent.
· Requires publication of permit prices 5 years in advance, with requirements to ensure price certainty for producers.
· Allocates 100% of revenue going to US Residents as dividends to offset increased energy costs.
What H.R. 4754 Means
· The legislation creates specific greenhouse gas emission reduction targets over the next 40 years by slowly applying a tax on carbon emitting substances.
· As the tax increases over time, industry can slowly transition to clean sources of energy.
· To ensure the cost of energy does not increase with the tax, its proceeds are distributed directly back to the American people, with an estimated return of $3,000 per person to cover any increased energy costs.
· The legislation will also level the playing field for businesses tackling their carbon footprints and will provide long-term regulatory certainty.
H.R. 4754 and the EPA
· The latest and most significant action in President Obama’s Climate Action Plan is theEPA’s upcoming June 2nd proposal aimed at reducing carbon dioxide emissions from existing power plants.
· Congressman McDermott applauds the EPA’s work on reducing carbon dioxide emissions and offers H.R. 4754 to contribute to the crucial dialogue about climate change and renewable energy.