By Isaac Vergun
Washington D.C. — Sen. Chris Van Hollen (D-MD) and U.S. Representative Jerry Nadler, ranking member of the House Judiciary Committee, recently announced the introduction of the Polluters Pay Act of 2024 in a press conference on the southeast lawn of Capitol Hill.
The proposed bill would authorize the Treasury Department to impose a fee over 10 years on the largest fossil fuel producers and refiners to create a $1 trillion Polluters Pay Climate Fund.
Fossil fuel companies, both U.S.-based and foreign entities operating in the U.S., that generated over 1 billion tons of carbon dioxide (CO2) emissions between 2000 and 2022 would be subject to the fee.
The amount each company would contribute to the fund would be proportional to emissions exceeding 1 billion metric tons of CO2.
The fund would support climate change mitigation by financing efforts such as rebuilding infrastructure, cleaning up pollution in frontline communities, and providing disaster relief for climate-related events. Notably, 40% of the fund would be earmarked for environmental justice initiatives aimed at communities disproportionately affected by climate change.
Critics have argued that the act might burden American taxpayers and lead to higher energy costs. However, Van Hollen countered, saying, “It should have virtually no impact on energy costs for a couple of reasons. It doesn’t add to the marginal cost the marginal cost of production #1, and it only hits the biggest fossil fuel companies, leaving many other companies in the market to compete with price.”
In a press release issued by Senator Van Hollen’s office, Zanagee Artis, Executive Director of Zero Hour, said, “For over sixty years, the oil and gas sector has known about the threat that fossil fuels pose to life on earth. Big Oil is still fighting to entrench oil and gas in our energy system, and the youngest generations of people on Earth could inherit a world devastated by catastrophic climate change as a result. The Polluters Pay Climate Fund Act of 2024 is accountability for an industry that has escaped it for far too long, and every member of Congress who wants a livable planet should fight to pass this bill.”
Sen. Chris Van Hollen and Rep. Jerry Nadler’s bill draws similarities to The United Nations Green Climate Fund. The Green Climate Fund born from the 2010 Cancún Agreements acts as the financial backing of the United Nations Framework Convention on Climate Change (UNFCCC) and the Paris Agreement. The fund has made significant strides between the reported years of 2020–2023, with over 200 projects and over 12 billion USD committed to support initiatives in 129 countries.
The United States was the most significant contributor to the Green Climate Fund at its inception by committing over 2 billion dollars for its initial resource mobilization, as The Department of State reported. It is beyond reason why the United States would contribute to the UN initiative. Still, many Americans would like to see tangible change within their own communities within the borders.
Entities responsible for the commitment of US funds for international matters should be the ones just as forcefully advocating for policy that will directly affect our population by supporting the Polluters Pay Act of 2024. Constituents from states and territories would have the ability to have the necessary funds to support climate change mitigation efforts and environmental justice efforts without having it be funded off the back of American taxpayers.
Holding fossil fuel companies responsible for paying a small dividend for their predatory habits of exploiting vulnerable communities is the most sensible situation.
Support the Polluters Pay Act of 2024!
