Long title | 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. |
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Enacted by | the 116th United States Congress |
Citations | |
Public law | H.R.763 - Energy Innovation and Carbon Dividend Act of 2019 |
Codification | |
Acts amended | Internal Revenue Code Clean Air Act |
Legislative history | |
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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. [1] It is principally based on Citizens' Climate Lobby's carbon fee and dividend proposal, and this organization advocates for the bill. [2]
On 24 January 2019, the bill was introduced into the house by Representative Ted Deutch on behalf of himself and six other original cosponsors. [3]
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. [4] [5] 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. [6]
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. [7] A companion bill was introduced into the United States Senate by Chris Coons (D-DE) and Jeff Flake (R-AZ) on December 19, 2018. [8] 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.
The 2018 bill was intended to:
If passed, the 2019 bill would amend the Internal Revenue Code of 1986 to: [9]
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.
As of December 17, 2020, the bill has 86 sponsors in the House of Representatives from two parties and 23 states. [10]
Sponsor | Party | District | Original? | Sponsor since | Relevant committees [lower-alpha 1] |
---|---|---|---|---|---|
Ted Deutch | Democratic | FL-21 | Yes | January 24, 2019 | Foreign Affairs Committee |
Judy Chu | Democratic | CA-27 | Yes | January 24, 2019 | Ways and Means Committee |
Charlie Crist | Democratic | FL-13 | Yes | January 24, 2019 | |
Anna Eshoo | Democratic | CA-18 | Yes | January 24, 2019 | Energy and Commerce Committee |
Dan Lipinski | Democratic | IL-03 | Yes | January 24, 2019 | |
Francis Rooney | Republican | FL-19 | Yes | January 24, 2019 | Foreign Affairs Committee |
Scott Peters | Democratic | CA-52 | Yes | January 24, 2019 | Energy and Commerce Committee, Energy Subcommittee |
Dean Phillips | Democratic | MN-03 | No | January 28, 2019 | Foreign Affairs Committee |
Hank Johnson | Democratic | GA-04 | No | January 29, 2019 | |
Salud Carbajal | Democratic | CA-24 | No | January 30, 2019 | |
Alcee Hastings | Democratic | FL-20 | No | February 7, 2019 | |
Susan Wild | Democratic | PA-15 | No | February 8, 2019 | Foreign Affairs Committee |
Yvette Clarke | Democratic | NY-09 | No | February 11, 2019 | Energy and Commerce Committee (vice chair) |
Jackie Speier | Democratic | CA-14 | No | February 12, 2019 | |
Jan Schakowsky | Democratic | IL-09 | No | February 22, 2019 | Energy and Commerce Committee |
Gerry Connolly | Democratic | VA-11 | No | March 4, 2019 | Foreign Affairs Committee |
Chellie Pingree | Democratic | ME-01 | No | March 6, 2019 | |
Mark DeSaulnier | Democratic | CA-11 | No | March 7, 2019 | |
Adam Schiff | Democratic | CA-28 | No | March 8, 2019 | |
Angie Craig | Democratic | MN-02 | No | March 18, 2019 | |
Tom Malinowski | Democratic | NJ-07 | No | March 21, 2019 | Foreign Affairs Committee |
Albio Sires | Democratic | NJ-08 | No | March 21, 2019 | Foreign Affairs Committee |
Harley Rouda | Democratic | CA-48 | No | March 25, 2019 | |
Jim McGovern | Democratic | MA-02 | No | March 25, 2019 | |
Barbara Lee | Democratic | CA-13 | No | March 26, 2019 | |
Gil Cisneros | Democratic | CA-39 | No | March 26, 2019 | |
Mike Levin | Democratic | CA-49 | No | March 27, 2019 | |
Pete Aguilar | Democratic | CA-31 | No | April 8, 2019 | |
Denny Heck | Democratic | WA-10 | No | April 10, 2019 | |
Katie Porter | Democratic | CA-45 | No | April 12, 2019 | |
Robin Kelly | Democratic | IL-02 | No | April 18, 2019 | Energy and Commerce Committee, Energy Subcommittee |
Al Lawson | Democratic | FL-05 | No | April 18, 2019 | |
Jim Himes | Democratic | CT-04 | No | April 25, 2019 | |
Andy Levin | Democratic | MI-09 | No | April 25, 2019 | Foreign Affairs Committee |
Ted Lieu | Democratic | CA-33 | No | April 29, 2019 | Foreign Affairs Committee |
Seth Moulton | Democratic | MA-06 | No | May 7, 2019 | |
Jamie Raskin | Democratic | MD-08 | No | May 9, 2019 | |
Veronica Escobar | Democratic | TX-16 | No | May 20, 2019 | |
Kathleen Rice | Democratic | NY-04 | No | May 23, 2019 | |
David Price | Democratic | NC-04 | No | May 28, 2019 | |
Susan Davis | Democratic | CA-53 | No | May 28, 2019 | |
Alma Adams | Democratic | NC-12 | No | June 10, 2019 | |
Dwight Evans | Democratic | PA-03 | No | June 10, 2019 | |
Madeleine Dean | Democratic | PA-04 | No | June 10, 2019 | |
Bennie Thompson | Democratic | MS-02 | No | June 11, 2019 | |
Dan Kildee | Democratic | MI-05 | No | June 12, 2019 | Ways and Means Committee |
Steve Cohen | Democratic | TN-09 | No | June 13, 2019 | |
Joe Neguse | Democratic | CO-02 | No | June 18, 2019 | |
Danny Davis | Democratic | IL-07 | No | June 18, 2019 | Ways and Means Committee |
Brenda Lawrence | Democratic | MI-14 | No | June 20, 2019 | |
David Trone | Democratic | MD-06 | No | June 20, 2019 | Foreign Affairs Committee |
Matt Cartwright | Democratic | PA-08 | No | June 25, 2019 | |
Karen Bass | Democratic | CA-37 | No | July 5, 2019 | Foreign Affairs Committee |
Bonnie Watson Coleman | Democratic | NJ-12 | No | July 9, 2019 | |
Dutch Ruppersberger | Democratic | MD-02 | No | July 9, 2019 | |
Joseph Morelle | Democratic | NY-25 | No | July 11, 2019 | |
Derek Kilmer | Democratic | WA-06 | No | July 15, 2019 | |
Lucy McBath | Democratic | GA-06 | No | July 17, 2019 | |
Ed Perlmutter | Democratic | CO-07 | No | July 19, 2019 | |
Emanuel Cleaver | Democratic | MO-05 | No | August 30, 2019 | |
Brad Sherman | Democratic | CA-30 | No | September 6, 2019 | Foreign Affairs Committee |
Jesús "Chuy" García | Democratic | IL-04 | No | September 16, 2019 | |
Thomas Suozzi | Democratic | NY-03 | No | September 24, 2019 | Ways and Means Committee |
Lou Correa | Democratic | CA-46 | No | September 26, 2019 | |
Lucille Roybal-Allard | Democratic | CA-40 | No | September 26, 2019 | |
Grace Meng | Democratic | NY-06 | No | October 16, 2019 | |
Linda Sánchez | Democratic | CA-38 | No | October 21, 2019 | Ways and Means Committee |
John Yarmuth | Democratic | KY-03 | No | October 29, 2019 | |
Gregory Meeks | Democratic | NY-05 | No | November 8, 2019 | Foreign Affairs Committee |
Sanford Bishop | Democratic | GA-02 | No | November 12, 2019 | |
Sean Patrick Maloney | Democratic | NY-18 | No | November 12, 2019 | |
Donald M. Payne | Democratic | NJ-10 | No | November 13, 2019 | |
Lacy Clay | Democratic | MO-1 | No | November 13, 2019 | |
Ami Bera | Democratic | CA-7 | No | December 5, 2019 | |
Ann McLane Kuster | Democratic | NH-02 | No | January 27, 2020 | |
Grace Napolitano | Democratic | CA-32 | No | January 27, 2020 | |
Mary Gay Scanlon | Democratic | PA-05 | No | February 10, 2020 | |
Jason Crow | Democratic | CO-06 | No | February 13, 2020 | |
Frederica Wilson | Democratic | FL-24 | No | February 21, 2020 | Foreign Affairs Committee |
Tony Cardenas | Democratic | CA-29 | No | June 22, 2020 | Energy and Commerce Committee |
Norma Torres | Democratic | CA-35 | No | August 7, 2020 | |
Mike Quigley | Democratic | IL-05 | No | December 9, 2020 | |
Andre Carson | Democratic | IN-07 | No | December 9, 2020 | |
John Garamendi | Democratic | CA-03 | No | December 14, 2020 | |
Joyce Beatty | Democratic | OH-03 | No | December 17, 2020 |
The Center on Global Energy Policy published a comparison of the 2018 version of the bill to other carbon tax proposals. [11]
In the weeks following the reintroduction of the bill, several publications including The Washington Post , [12] the Missoulian, [13] and the Daily Camera [14] 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: [15]
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." [17]
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." [18]
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. [19]
A carbon tax is a tax levied on the carbon emissions from producing goods and services. Carbon taxes are intended to make visible the hidden social costs of carbon emissions. They are designed to reduce greenhouse gas emissions by essentially increasing the price of fossil fuels. This both decreases demand for goods and services that produce high emissions and incentivizes making them less carbon-intensive. When a fossil fuel such as coal, petroleum, or natural gas is burned, most or all of its carbon is converted to CO2. Greenhouse gas emissions cause climate change. This negative externality can be reduced by taxing carbon content at any point in the product cycle.
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