Two years after the thundering defeat of a carbon tax in a statewide referendum, voters in Washington State will decide whether to establish a carbon fee on polluters, starting at $15 a ton for large-scale emitters of greenhouse gases. Billionaire Bill Gates donated $1 million in support of Initiative 1631 while the oil industry has bankrolled the opposition.
If Initiative 1631 passes in a statewide vote on November 6, Washington State would be the first state to impose a carbon fee or tax. Advocates, who include businesses, environmentalists and tribes, say the fee is a practical step to assure clean air. Western States Petroleum Association is the sponsor of the “No on 1631” campaign. Opponents of I-1631 include the Washington State Farm Bureau. Its chief executive, John Stuhlmiller, said on KTTH-AM that agriculture is “heavily dependent on fossil fuels. Transportation costs would go up for everybody.”
More than $30 million has been raised in the struggle over I-1631; $10.5 million by proponents and $21.9 million by opponents. It is one of the most expensive ballot questions in Washington State. Some $32.5 million was poured into the debate in 2011 over privatizing liquor sales and $27.7 million was spent on the 2013 referendum over labeling GMO foods.
Under I-1631, a fee of $15 a tonne, based on the carbon content of fuels sold or used in Washington and the electricity generated in the state or imported into it, would be imposed on large polluters beginning on Jan. 1, 2020, and rising by $2 per tonne per year until greenhouse gas reduction goals of 2035 are met and the state is on track for meeting its 2050 goals. The money would be dedicated to projects to reduce air and water pollution, responding to climate change and encouraging use of clean energy. The state Office of Financial Management estimates the fee would generate more than $2 billion in its first five years, reported McClatchy.
“I-1631 would put a fee on the state’s largest polluters, like the oil industry and utilities that have not switched over to clean energy, and invest in protecting our air and water and building new clean-energy infrastructure across the state,” says the “Yes on 1631” committee.
“Voters concerned about the environment, the cost of living and the sustainability of Washington’s economy should reject this dubious approach,” said the Seattle Times in an editorial. “Instead, Washington should coordinate its response with other states, to prevent cross-border job losses. It should also seek a national carbon tax.” The “No on 1631” committee says the carbon fee would become an “escalating energy tax” on consumers while exempting the paper industry, steel and aluminum makers and aircraft manufacturers.