Ahead of the governor’s budget address on Tuesday, the Stop New Energy Taxes Coalition urged Gov. Josh Shapiro and the Pennsylvania General Assembly to prioritize policies that support the state’s energy sector and to avoid imposing new or increased energy taxes.
“The natural gas industry provides hundreds of thousands of family-sustaining jobs, attracts investment, and drives economic growth across the commonwealth,” the coalition wrote in a Jan. 30 letter sent to Shapiro. “With our abundant natural resources, innovative industries, and skilled workforce, Pennsylvania is uniquely positioned to thrive — so long as our tax, regulatory, and competitiveness landscapes support this critical sector.”
The coalition is led by the Pennsylvania Chamber of Business and Industry and includes 16 other key industry associations from across the state, such as the Pennsylvania Manufacturers’ Association, the Pennsylvania Forest Products Association, the Keystone Contractors Association, the Pennsylvania Independent Oil & Gas Association, the Consumer Energy Alliance, and Associated Pennsylvania Constructors, among others.
In the letter, the coalition members emphasize the vital role Pennsylvania’s energy sector, and natural gas industry in particular, play in the state and they warn that new energy taxes would increase costs for families and businesses, making the state less competitive for investment.
“The resulting higher costs will exacerbate the challenges Pennsylvania employers are already facing and reduce our ability to compete for investment and opportunities in the future,” the coalition wrote.
Bipartisan collaboration on pro-growth policies — like maintaining tax stability and encouraging innovation and establishing efficient permitting processes — is key to keeping Pennsylvania competitive, wrote the group.
“Sound, growth-oriented public policy fosters business investment, supports emerging technologies, and drives economic innovation without creating undue financial strain for our state’s residents or job creators,” according to the letter.
The coalition also highlighted the success of the state’s natural gas Impact Fee, which has generated over $2.7 billion in revenue for Pennsylvania communities since 2012.
“A budget that preserves Pennsylvania’s energy tax structure,” the coalition wrote, “reinforces the commonwealth’s commitment to fostering economic growth and opportunity. Prioritizing stability in this area will help us retain existing businesses, attract new and innovative industries, and secure our commonwealth’s long-term economic success.”