The Energy Innovation and Carbon Dividend Act of 2019 (H.R. 763) is a bill in the United States House of Representatives that proposes a fee on carbon at the point of extraction to encourage market-driven innovation of clean energy technologies to reduce greenhouse gas emissions. The fees are recycled to citizens in monthly dividends. The act was originally introduced in 2018 with bipartisan support from six co-sponsors and died when the 115th congress ended on 3 January 2019. It is principally based on the Citizens' Climate Lobby's carbon fee and dividend proposal, and this organization advocates for the bill.
On 24 January 2019, the bill was introduced into the house by Representative Ted Deutch on behalf of himself and six other original cosponsors.
The bill obtained 86 cosponsors but was not voted on. On April 1, 2021, the bill was reintroduced in the 117th Congress as H.R. 2307, the Energy Innovation and Carbon Dividend Act of 2021. On September 27, 2023, the bill was reintroduced in the 118th Congress as H. R. 5744, the Energy Innovation and Carbon Dividend Act of 2023.
2018 bill The Energy Innovation and Carbon Dividend Act of 2018 was a proposed 2018 bill that intended to "create a Carbon Dividend Trust Fund for the American people in order to encourage market-driven innovation of clean energy technologies and market efficiencies which will reduce harmful pollution and leave a healthier, more stable, and more prosperous nation for future generations." The bill was originally introduced by Representative Ted Deutch (D-FL) on November 27, 2018, with bipartisan support from 4 co-sponsors. A companion bill was introduced into the United States Senate by Chris Coons (D-DE) and Jeff Flake (R-AZ) on December 19, 2018. The bill died when the 115th Congress ended on January 3, 2019. The bill was reintroduced in the 116th Congress as the Energy Innovation and Carbon Dividend Act of 2019.
Description of the bill The 2018 bill was intended to: Introduce a rising upstream fee on the carbon content of fuels. Rebate fee revenues with an equal share to adults with a Social Security number or Taxpayer Identification Number, and a half-share for all minors younger than 19 per household Introduce a border carbon adjustment Adjust some regulations which would be duplicative and keep others including CAFE vehicle standards
If passed, the 2019 bill would amend the Internal Revenue Code of 1986 to:
Introduce a carbon tax at the point of extraction, beginning at $15 per metric ton of carbon dioxide equivalent and increasing each year by $10 (adjusted by inflation) or more, depending on its effectiveness, with exemptions for fuel used for military and farm purposes and fluorinated gases, rebate revenue with an equal share to adults with a Social Security number or Taxpayer Identification Number, and a half-share for all minors and adults younger than 19 per household, and introduce a border carbon adjustment on imported carbon-intensive products to discourage companies from moving abroad.
It would also make adjustments to the Clean Air Act to limit the Environmental Protection Agency from placing restrictions on greenhouse gas emissions under some conditions.
Cosponsors As of December 17, 2020, the bill has 86 sponsors in the House of Representatives from two parties and 23 states. Sponsor Party District Original? Sponsor since Relevant committees DemocraticFL-21YesJanuary 24, 2019Foreign Affairs Committee Democratic CA-27YesJanuary 24, 2019Ways and Means Committee DemocraticFL-13YesJanuary 24, 2019 DemocraticCA-18YesJanuary 24, 2019Energy and Commerce Committee DemocraticIL-03YesJanuary 24, 2019 RepublicanFL-19YesJanuary 24, 2019Foreign Affairs Committee DemocraticCA-52YesJanuary 24, 2019Energy and Commerce Committee, Energy Subcommittee DemocraticMN-03NoJanuary 28, 2019Foreign Affairs Committee DemocraticGA-04NoJanuary 29, 2019 DemocraticCA-24NoJanuary 30, 2019 DemocraticFL-20NoFebruary 7, 2019 DemocraticPA-15NoFebruary 8, 2019Foreign Affairs Committee DemocraticNY-09NoFebruary 11, 2019Energy and Commerce Committee (vice chair) DemocraticCA-14NoFebruary 12, 2019 DemocraticIL-09NoFebruary 22, 2019Energy and Commerce Committee DemocraticVA-11NoMarch 4, 2019Foreign Affairs Committee DemocraticME-01NoMarch 6, 2019 DemocraticCA-11NoMarch 7, 2019 DemocraticCA-28NoMarch 8, 2019 DemocraticMN-02NoMarch 18, 2019 DemocraticNJ-07NoMarch 21, 2019Foreign Affairs Committee DemocraticNJ-08NoMarch 21, 2019Foreign Affairs Committee DemocraticCA-48NoMarch 25, 2019 DemocraticMA-02NoMarch 25, 2019 DemocraticCA-13NoMarch 26, 2019 DemocraticCA-39NoMarch 26, 2019 DemocraticCA-49NoMarch 27, 2019 DemocraticCA-31NoApril 8, 2019 DemocraticWA-10NoApril 10, 2019 DemocraticCA-45NoApril 12, 2019 DemocraticIL-02NoApril 18, 2019Energy and Commerce Committee, Energy Subcommittee DemocraticFL-05NoApril 18, 2019 DemocraticCT-04NoApril 25, 2019 DemocraticMI-09NoApril 25, 2019Foreign Affairs Committee DemocraticCA-33NoApril 29, 2019Foreign Affairs Committee DemocraticMA-06NoMay 7, 2019 DemocraticMD-08NoMay 9, 2019 DemocraticTX-16NoMay 20, 2019 DemocraticNY-04NoMay 23, 2019 DemocraticNC-04NoMay 28, 2019 DemocraticCA-53NoMay 28, 2019 DemocraticNC-12NoJune 10, 2019 DemocraticPA-03NoJune 10, 2019 DemocraticPA-04NoJune 10, 2019 DemocraticMS-02NoJune 11, 2019 DemocraticMI-05NoJune 12, 2019Ways and Means Committee DemocraticTN-09NoJune 13, 2019 DemocraticCO-02NoJune 18, 2019 DemocraticIL-07NoJune 18, 2019Ways and Means Committee DemocraticMI-14NoJune 20, 2019 DemocraticMD-06NoJune 20, 2019Foreign Affairs Committee DemocraticPA-08NoJune 25, 2019 DemocraticCA-37NoJuly 5, 2019Foreign Affairs Committee DemocraticNJ-12NoJuly 9, 2019 DemocraticMD-02NoJuly 9, 2019 DemocraticNY-25NoJuly 11, 2019 DemocraticWA-06NoJuly 15, 2019 DemocraticGA-06NoJuly 17, 2019 DemocraticCO-07NoJuly 19, 2019 DemocraticMO-05NoAugust 30, 2019 DemocraticCA-30NoSeptember 6, 2019Foreign Affairs Committee DemocraticIL-04NoSeptember 16, 2019 DemocraticNY-03NoSeptember 24, 2019Ways and Means Committee DemocraticCA-46NoSeptember 26, 2019 DemocraticCA-40NoSeptember 26, 2019 DemocraticNY-06NoOctober 16, 2019 DemocraticCA-38NoOctober 21, 2019Ways and Means Committee DemocraticKY-03NoOctober 29, 2019 DemocraticNY-05NoNovember 8, 2019Foreign Affairs Committee DemocraticGA-02NoNovember 12, 2019 DemocraticNY-18NoNovember 12, 2019 DemocraticNJ-10NoNovember 13, 2019 DemocraticMO-1NoNovember 13, 2019 DemocraticCA-7NoDecember 5, 2019 DemocraticNH-02NoJanuary 27, 2020 DemocraticCA-32NoJanuary 27, 2020 DemocraticPA-05NoFebruary 10, 2020 DemocraticCO-06NoFebruary 13, 2020 DemocraticFL-24NoFebruary 21, 2020Foreign Affairs Committee DemocraticCA-29NoJune 22, 2020Energy and Commerce Committee DemocraticCA-35NoAugust 7, 2020 DemocraticIL-05NoDecember 9, 2020 DemocraticIN-07NoDecember 9, 2020 DemocraticCA-03NoDecember 14, 2020 DemocraticOH-03NoDecember 17, 2020
Reactions The Center on Global Energy Policy published a comparison of the 2018 version of the bill to other carbon tax proposals.
Support In the weeks following the reintroduction of the bill, several publications including The Washington Post, the Missoulian, and the Daily Camera published op-eds and editorials in support of the bill.
The bill is also supported by climate scientist and activist James Hansen and former secretary of state George Shultz. The governments (or parts of the governments) of several localities, including the following with more than 50,000 residents, have signed resolutions urging the United States Congress to pass the act:
Anchorage, Alaska Birmingham, Alabama Transit Citizens Advisory Board Bloomington, Indiana Environmental Commission Cincinnati, Ohio Coconut Creek, Florida Corvallis, Oregon City Council Durham, North Carolina Encinitas, California Hoboken, New Jersey Jackson, Mississippi Los Angeles County, California Olympia, Washington Palm Beach County, Florida Richmond, California Rochester, New York San Jose, California Santa Ana, California Syracuse, New York Tompkins County, New York
It has also been publicly supported by several small businesses and nonprofit organizations including Protect Our Winters.
The Environmental Defense Fund called it "an inspiring step in the right direction."
Opposition The Center for Biological Diversity published a press release opposing the bill on the basis that its adjustments to the Clean Air Act would "only give us climate disaster."
In April 2019, novelist and leading member of Orange County for Climate Action Roger Gloss posted his opposition to HR 763, noting the lack of annual emissions targets, and the first assessment of whether targets are being met in 2030, the year in which the IPCC says emissions must have already been halved.
See also Carbon tax Carbon fee and dividend Citizens' Climate Lobby
References
External links
Energy Innovation and Carbon Dividend Act