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Tuberville and Britt cosponsor Cruz's legislation to repeal Biden's Natural Gas Tax for Unleashing American Energy

***UPDATE***May 29 at 4:24 p.m. This story has been updated from an earlier version to include comments from Sen. Britt and Cruz.

On Tuesday, U.S. Senators Tommy Tuberville (R-Alabama) and Katie Britt (R-Alabama) joined U.S. Senator Ted Cruz (R-Texas) in introducing legislation to repeal the Natural Gas Tax included in the Biden administration's Inflation Reduction Act.

Biden's new fees and taxes on energy companies will raise costs for customers, creating a burden that will fall most heavily on lower-income Alabamians and Americans. This bill would eliminate a new methane emissions charge created by the law.

"The Biden administration has once again prioritized woke climate activists over the American people," said Sen. Tuberville in a statement. "Since day one in office, Joe Biden has waged war on American energy – driving up costs and sending American jobs overseas. The last thing Americans need right now are higher taxes and government red tape. I am proud to join this legislation which puts American taxpayers first and works toward American energy independence."

"As this Administration wages its war on American energy, I will continue to work alongside my colleagues to ensure our domestic energy producers aren't strangled by President Biden's red tape regime," said Sen. Britt. "For the past three years, this Administration has been intent on prioritizing its irresponsible, partisan Green New Deal Agenda, ultimately weakening our national and economic security. It's past time to unleash not just U.S. energy independence, but energy dominance."

"Joe Biden and Biden officials have proven time and time again that they care more about their radical climate agenda the needs of the American people," said Sen. Cruz. "They have driven up inflation and jeopardized American jobs and energy security, all of which would be made significantly worse by the methane emissions fee in the Inflation Reduction Act. This fee will particularly harm Texas by undermining producers in the Permian Basin and across the state."

Sens. Tuberville, Britt, and Cruz were joined by Senators John Barrasso (R-Wyoming), Mike Braun (R-Indiana), Tom Cotton (R-Arkansas), John Hoeven (R-North Dakota), Cindy Hyde-Smith (R-Mississippi), Mike Lee (R-Utah), Roger Marshall (R-Kansas), Pete Ricketts (R-Nebraska), and J.D. Vance (R-Ohio) in introducing the legislation.

Congressman August Pfluger (R-Texas) introduced the companion legislation in the U.S. House of the Representatives, which passed earlier in the 118th Congress.

This legislated is supported by the American Public Gas Association, the Independent Petroleum Association of America, the American Exploration & Production Council (AXPC), Permian Basin Petroleum, the Alabama Municipal Electric Authority, Huntsville Utilities, and Electric Cities of Alabama.

Under the IRA, the EPA will use emissions data to assess a tax for emissions exceeding 25,000 tons of CO2e. The methane emissions charge under the IRA starts in calendar year 2024 at $900/ton of methane, increases to $1,200/ton in 2025, and increases to $1,500/ton in 2026 and subsequent years. The fee on methane emissions will impact pipeline operators and both oil and gas producers.

Tuberville's office warned that if EPA's natural gas tax is implemented, it will handicap technological innovation, reduce supplies of affordable energy, and increase both costs and emissions while driving up prices for ordinary American families.

They warn that estimates indicate that the tax alone will drive up the cost of household energy bills for the 180 million Americans and 5.5 million businesses that rely on natural gas.

President Joseph R. Biden (D) is using executive branch rule making authority to ram a radical plan for reshaping energy policy through administratively knowing that none of this could ever pass a vote in the U.S. Congress.

 

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