The House Environmental Resources and Energy Committee has advanced a resolution formally opposing Gov. Tom Wolf’s plan to enter Pennsylvania into the Regional Greenhouse Gas Initiative (RGGI).
If adopted by the chamber, House Resolution 1088, introduced by State Rep. Jim Struzzi (R-Indiana), would be sent to the Independent Regulatory Review Commission (IIRC) as the House’s formal disapproval of Wolf’s plan.
“If Pennsylvania joins RGGI, we will quickly see thousands of family-sustaining jobs lost in our Commonwealth due to the closure of coal-fired electric generating units and older natural gas plants,” Struzzi said. “The economic repercussions would be felt throughout Pennsylvania as we see thousands of jobs and millions of dollars in local and state tax revenue lost.”
Wolf issued an executive order on Oct. 3, 2019 directing the Pennsylvania Department of Environmental Protection to begin the process of joining RGGI. The carbon dioxide (CO2) cap and trade program would establish a regional cap on the amount of CO2 pollution that power plants can emit.
Each unit of trade, known as an allowance, would represent authorization for a power plant to emit one short ton (2,000 pounds) of CO2. Power plants in RGGI member states can trade allowances, preventing the total amount of CO2 emissions in the region from increasing. RGGI essentially establishes a carbon tax on fossil fuel users for the resulting CO2 emissions.
“The jobs that we lose will go directly to our neighboring states who are not a part of RGGI, and our remaining natural gas-fired plants will be put at a competitive disadvantage because of our participation,” Struzzi said.
Struzzi said that a carbon tax can only be initiated by the General Assembly, outlining the governor’s lack of statutory authority to join RGGI through regulation.
On Sep. 24, Wolf vetoed House Bill 2025, also authored by Struzzi, which would have required legislative approval before Pennsylvania could join RGGI or any similar multi-state agreement. The General Assembly has passed the bill 130-71 in the House and 33-17 in the Senate.
“This initiative is a major energy and fiscal policy decision, which must be made by the legislative branch of government with the input of the people,” he said.