Today, the Delaware Valley Journal published a piece by Chris Woodard outlining why the “Build Back Better” plan may not be better for the energy sector.
In the coming days, Congress is expected to vote on its version of the Reconciliation bill, the “Build Back Better” bill. If passed, this bill would increase fees on methane emissions, a byproduct of oil and gas production, therefore leading to an overall costlier production process.
Increasing these fees is not the answer to climate change nor economic stability. As we’re trying to cut these emissions down through detrimental oil and gas taxes, two of the world’s biggest methane emitters— China and Russia— refused to sign the Global Methane Pledge the US just signed at the COP26 meeting in Scotland last week.
Alongside the global, competitive disadvantage “Build Back Better” would bring the oil and gas industry, the bill would strike Americans’ bank accounts at a terrible time. As costs surge for Americans’ to heat their homes this winter, and at the grocery store due to inflation, this is the wrong time to add to consumers’ utility bills.
“This is nothing more than a tax on natural gas at a time when policymakers should be focused on solutions that support affordable, reliable energy while reducing emissions,” says API Senior Vice President of Policy, Economics and Regulatory Affairs Frank Macchiarola.
The DVJ’s piece ended with two key quotes from the Marcellus Shale Coalition:
“Layering more taxes on strongly regulated domestic energy production increases costs for those who produce and rely on these essential resources, with low-and fixed-income families shouldering the disproportionate share of the tax hike.”
“Our members are fully committed to improving air quality and further reducing all emission sources, particularly methane since it is the very product we sell, through leveraging best available technologies and practices.”
Instead of taxing oil and gas companies and the American people, our government should be investing in effective energy infrastructure and the advancement of secure and reliable energy resources.