State Carbon Pricing Network



Climate XChange coordinates the State Carbon Pricing Network. Services we provide to state campaigns include:

  • Policy analysis
  • Campaign planning expertise
  • Forum to share ideas
  • Training & skill building

Click on the dark blue states to read about each campaign.

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Arkansas

Campaign

The Arkansas Chapter of Citizens Climate Lobby is spearheading the carbon pricing campaign. The group commissioned a 2015 study by Regional Economic Models, Inc. which showed that a Carbon Fee and Dividend (CF&D) program would be a good way to reduce carbon emissions while benefitting the Arkansas economy and residents as a whole. They are using this evidence to build a broad base of support for the policy.

Current Status

The campaign is currently focusing on public education and building a base of supporters throughout Arkansas, including support from both citizens and legislators. They are also working to commission a study on carbon pricing through the state.

Legislation

While there are no carbon pricing bills currently in the Arkansas legislature, the group is pushing for a carbon fee and dividend in which 100% of the revenue is returned to households and businesses in a rebate check. The City Council of Fayetteville and Eureka Springs, Arkansas have passed resolutions supporting a carbon fee and dividend.


California

Climate Goal

In 2016 California’s SB32 set targets of reducing greenhouse gas emissions to 40% below 1990 levels by 2030 and 80% below in 2050. California has an existing cap and trade system approved through 2030, with AB398.

Campaign

Environmental Justice groups and Californians for a Carbon Tax (CalFACT) are working to reform or replace the state’s existing cap and trade system to support direct emissions reductions in disadvantaged communities as well as a simpler, more transparent carbon price. They are also pushing for support on SB775 which would prevent allowances and protects the lower and middle classes.

Legislation

AB398 is an extension of the cap and trade bill to 2030. It will help reduce greenhouse gas emissions, but it also allows for too many allowances. SB775 is significant reform to the cap and trade system that eliminates free allowances, offsets, and banking and provides a steadily rising price collar on emissions. The result would be much closer to a carbon price, but would allow the price to respond somewhat to the market for emission allowances.

Current Status

In 2017 California’s Governor Jerry Brown extended the state’s existing cap and trade system through 2030 with AB298.


Connecticut

Legislation

Rep. Jonathan Steinberg, Chief Sponsor for HB 7427, introduced the bill in the Connecticut General Assembly in March 2017. This bill would have established a carbon price for fossil fuels sold in the state starting at $15 per ton of carbon dioxide, and increasing by $5 per ton annually. 25% of the revenue would have went towards climate resilience, energy efficiency, and renewable energy programs. 30% of the revenue would have been given as dividends to employers, and 40% would have been returned as dividends to residents.

Current Status

Shortly after a public hearing on March 13, 2017, the bill died in committee.


Hawai’i

Climate Goal

Hawai’i law mandates that the electric sector be powered by 100% renewable energy by o later than 2045. This omits the largest source of emissions in Hawai’i, the transportation sector.

Campaign

A group of volunteer activists in Honolulu have begun conversations with legislators about moving a statewide carbon pollution fee forward.


Illinois

Coming soon.


Maryland

Climate Goal

The Greenhouse Gas Emissions Reduction Act of 2016 calls for a 25% reduction in emissions by 2020 and a 40% reduction by 2030, as compared with 2006 levels.

Campaign

The Maryland Climate Coalition is behind the campaign pushing carbon pricing forward in Maryland. The Coalition brings together environmental, faith, health, labor, and civic organizations to advance clean energy and climate policies in the state.

Legislation

While there is no legislation written yet, the campaign plans to use support built throughout this year in 2018 to introduce a carbon pricing bill or issue a Referendum for Congressional action as was done in California with AJR-43.

Current Status

Maryland’s carbon pricing campaign will spend 2017 building relationships with various interest groups and legislators.


Massachusetts

Climate Goal

Under the Global Warming Solutions Act, Massachusetts is required to reduce greenhouse gas emissions 25% by 2020 and 80% by 2050, as compared with 1990 levels.

Campaign

Climate XChange is one of the leading organizations of the Campaign for a Clean Energy Future, the coalition working towards putting a price on carbon pollution in the Commonwealth.

Legislation

There are currently two key bills in the Massachusetts legislature that focus on putting a fee on carbon pollution. Senator Michael Barrett’s An Act Combatting Climate Change is the carbon pricing bill in the Senate, and Representative Jennifer Benson has put forth An Act to Promote Green Infrastructure, Reduce Greenhouse Gas Emissions, and Create Jobs in the House.

Current Status

Both carbon pricing bills were filed on January 20, 2017. The bills have collectively received 79 cosponsors – 40% of the legislature. On June 20, 2017 the Joint Committee on Telecommunications, Utilities, and Energy  (TUE) held a hearing on the legislation. More than 40 people testified in favor of the bills, and nearly 500 supporters attended the hearing. The bills are still in the TUE committee.


Minnesota

Coming soon.


New Hampshire

Legislation

Senate Bill 123 was introduced by Sen. Martha Fuller Clark on Jan 19, 2017. This bill would have established a commission to study a carbon reduction investment program for the state of New Hampshire.

Current Status

The bill died after moving from the Senate Committee for Energy and Natural Resources to the House Committee for Science, Technology, and Energy.


New Jersey

Coming soon.


New York

Climate Goal

New York’s goal is to reduce carbon emissions 40% by 2030 and 80% by 2050.

Campaign

The carbon pricing campaign in New York is being led by NY Renews, a coalition of community, labor, and environmental groups advocating for “visionary climate policies grounded in equity and justice for communities and working people”. This coalition is unique because rather than forming around the concept of carbon pricing, they came together and then decided their collective priorities.

Legislation

NY Renews is working with their sponsor on changing some of the language for the bill A107 /S2846. The existing bill provides that 60% of the revenues will be rebated to low and moderate-income residents in a progressive method through a tax credit. They are working on changes that will have a better impact on low income residents who are not participating in the income tax system and help families that are in arrears in their utility bills. They are also looking into giving more relief to small businesses.

Current Status

The Climate and Community Protection Act did not pass in the Senate, delaying progress for the second phase of the campaign. NY Renews is currently drafting a bill for Just Transition that would put a price on carbon, methane, and other co-pollutants. The goal is to have it included in the governor’s budget.


Oregon

Climate Goal

Senator Lee Beyer recently filed SB 557, which would change Oregon emission reduction goals to be 20% below 1990 levels by 2025, 45% below by 2035, and 75% below by 2050.

Campaign

There are two coalitions working on this topic, Renew Oregon and Our Climate.

Current Status

The bills did not move forward, but the coalitions hope that the legislation laid groundwork for next session.

Legislation

Rep. Ken Helm and Sen. Michael Dembrow introduced Senate Bill 1070 within days of the state’s legislative session ending. SB 1070 would have required the Environmental Quality Commission to adopt carbon pollution market by rule, and would have established a statewide cap on greenhouse gas emissions. Part of the revenue from this bill would have supported projects to reduce pollution and create job opportunities in low income communities across the state. In total, 33 legislators from the House and Senate signed onto the bill to show their support. While they were not expecting the bill to pass this session, the hope is that it will start the conversation for 2018.

SB 557, HB 2135, SB 748, and HB 2468 were also held in committee upon session adjournment.


Rhode Island

Climate Goal

Reduce greenhouse gas emissions 10% by 2020, 45% by 2035, and 80% by 2050 from 1990 levels.

Campaign

The EnergizeRI Coalition is a broad group of Rhode Islanders working to pass carbon pricing on the state level. The group includes non-profits, businesses, environmental groups, and universities who care about RI’s people and economy. A list of the coalition partners can be found here.

Current Status

Carbon pricing bill H 5396 was introduced in the 2017 legislative session. Advocates are working to garner support for the bill, building on the progress they made with a carbon pricing bill in the previous legislative session.

Legislation

The Clean Energy Investment and Carbon Pricing Act of 2017 is a carbon pricing bill sponsored by Senator Jeanine Calkin and Rep. Aaron Regunberg. The bill proposes a fee of $15 per ton of CO2e emitted, which is increased by $5 (based on 2016 dollars) each fiscal year beginning January 1, 2018. It also establishes a clean energy and jobs fund, with 25% going towards energy efficiency and renewable energy programs for small businesses and low-income residents, 30% used to provide dividends to employers, and 40% used to provide dividends to Rhode Island residents. This bill is based on a regional approach, so it will only take effect if Massachusetts passes similar legislation.


Texas

Coming soon.


Utah

Coming soon.


Vermont

Climate Goal

90% of total energy to come from renewable energy sources by 2050.

Campaign

Energy Independent Vermont is a coalition of environmental organizations, businesses, and low-income advocates that all have one common goal: putting a price on pollution to address the issue of climate change. Such organizations include the Vermont Public Interest Research Group (VPIRG), Conservation Law Foundation (CLF), Vermont Businesses for Social Responsibility, Sierra Club VT, and the Champlain Valley Office of Economic Opportunity, Inc.

Legislation

On Feb 22, 2017 a bill sponsored by Rep. Mollie Burke was introduced in the House. H.394 requires the Joint Fiscal Office to study the costs and benefits of both carbon pricing and cap and trade models to reduce greenhouse gas emissions in the state of Vermont. A report of their findings would be submitted to the General Assembly for evaluation.

Four short-form bills were introduced in the Vermont legislature on April 12, 2017 that would put a price on carbon pollution and either reduce existing tax burdens or return the revenue as a quarterly check to Vermont residents.

H.528 was introduced by Rep. Johanna Donovan. This bill would cut income taxes for Vermont residents and businesses and double the Earned Income Tax Credit, which is one of Vermont’s most powerful anti-poverty initiatives.
H.531 was introuced by Rep. Diana Gonzalez. This bill would impose a fee of $10 per ton of carbon dioxide, increasing annually until it reaches the “social cost of carbon.” Revenue collected would be returned to residents and businesses as a dividend check on an equal and quarterly basis.
H.532 was introduced by Rep. Martin LaLonde. This bill would lower the statewide education property tax by replacing the Education Fund revenue with revenue raised by implementing a fee on carbon.
H.533 was introduced by Rep. Sarah Copeland-Hanzas. This bill would phase out Vermont’s sales tax over a six-year period, and revenue foregone from the elimination of the sales tax would be raised by implementing a fee on carbon dioxide pollution, which would increase over the same six-year period.

Current Status

H.394 was sent to the House Committee on Natural Resources, Fish, and Wildlife on March 29, 2017.


Virginia

Coming soon.


Washington

Climate Goal

Reduce greenhouse gas emissions to 1990 levels by 2020.

Campaign

Carbon Washington, a non-partisan grassroots organization, is the group behind Washington’s carbon pricing campaign.

Current Status

This legislative session, there are three carbon pricing bills in the Washington legislature. They are building on momentum from last legislative session, when Carbon Washington proposed ballot initiative (I-732) which would have created a revenue-neutral carbon fee to combat pollution. Revenue raised from the fee would have been used to cut the state sales tax by 1%, fund the Working Families Tax Rebate, and reduce the Business and Occupation Tax for manufacturers. Unfortunately, with I-732 having only 41% of the vote, the nation’s first carbon tax was rejected.

However, at the end of the 2016 session, Washington Governor Jay Inslee released a proposed budget for 2017-2019 which included a $25 per ton carbon tax with a 3.5% annual increase. Governor Inslee’s policy brief for the proposed budget can be found here.

Legislation

Three carbon tax bills have all been introduced in the Washington legislature during the current session:

  • SB 5127/HB 1555Creates a carbon pollution tax and investment act, which would impose a fee on the sale or use of fossil fuels, including those used in electricity generation, and the sale or consumption or electricity generated through fossil fuel combustion. The bill proposes a $25/ton carbon dioxide fee with a 3.5% increase + inflation each year, of which a portion of the revenue would be put toward water infrastructure, forests, clean tech, and Washington residents in need of assistance.
  • SB 5385Imposes a fossil fuel carbon pollution fee of $15/ton carbon dioxide. This bill requires at least 50% of funds to be transferred to the multimodal transportation account to assist certain school district programs.
  • HB 1646/SB 5509: Imposes a carbon fee on fossil fuel emissions. It creates a carbon program oversight board to oversee the act and advise the governor on how best to reduce greenhouse gas emissions in addition to creating an economic and environmental justice oversight panel. The bill proposes a $15/ton carbon dioxide fee with a 7% increase + inflation each year. Revenue would be put towards storm water infrastructure, transportation, clean tech, utilities, and social justice.


Washington, DC

Climate Goal

The District of Columbia has pledged to reduce greenhouse gas emissions 50% by 2032 (one of the boldest goals to combat climate change in the United States).

Current Status

The coalition is supported by professional facilitators who are leading a process and policy design conversation series throughout winter and spring 2017. A timeline of upcoming events is as follows:

  • February and March: Report release on the economic impacts of various pricing scenarios
  • April: Bill introduction

For more information, visit the Carbon Fee and Rebate coalition’s website.

Legislation

The coalition supporting this pledge is advocating for a carbon tax that would rebate 100% of the tax revenue back to District residents to finally make this goal a reality.

Campaign

The DC Carbon Fee and Rebate coalition is coordinated by the Chesapeake Climate Action Network (CCAN) and partner advocacy organizations including Americans for Transit, Black Millennials for Flint, Interfaith Power & Light (DC, MD, NoVA), Citizens’ Climate Lobby DC Chapter, DC Catholic Conference, DC Divest, DC Environmental Network, DC Fiscal Policy Institute, Moms Clean Air Force, ONE DC, SEIU 32BJ, and U.S. Climate Plan.