The state Senate continued to dig in its heels against the controversial plan to bring Pennsylvania into the Regional Greenhouse Gas Initiative (RGGI) this week by passing a resolution to disapprove a new regulation that would have the state join the 11-state RGGI without the approval of the General Assembly.
Opponents in the Republican-led Assembly have opposed Gov. Tom Wolf’s 2019 executive order to make Pennsylvania the 12th state to join RGGI on the grounds it will result in a tax on carbon emissions and fossil fuels, which legally requires legislative approval. The prospect of lawmakers’ approval is considered slim given the potential impact it would have on the energy industry, particularly the loss of jobs and tax revenue.
The RGGI is based on a mandatory auction system that would require Pennsylvania’s fossil-fuel power plants to buy carbon credits, which critics say would result in higher energy prices for consumers and also handicap the state’s ability to continue exporting both natural gas and electricity to other states. The result, they warn, will be the closure of several power plants that run on gas or coal as well as pinching off demand for gas produced in the state’s Marcellus Shale fields.
Republicans along with high-profile allies in organized labor and the business community have steadfastly opposed RGGI and accused Wolf of railroading his proposal by cutting out the legislative branch in violation of the state constitution.
“The reality is this is a carbon tax being imposed without legislative approval,” said Sen. Gene Yaw (R-23), chair of the Senate Environmental Resources and Energy Committee. “The reality is that we have nothing in common with RGGI states – states that need natural gas but continually block efforts to build the infrastructure needed to get clean-burning, Pennsylvania natural gas where needed.”
Coincidentally, Yaw was the sponsor of a separate bill that was approved by the Senate Wednesday and would bar Pennsylvania communities from implementing building codes that bar new residential gas hookups in favor of electric appliances and heating.
Wednesday’s RGGI vote focused on the official regulation drafted by the Department of Environmental Protection that would accommodate the state formally becoming a RGGI member. The state House of Representatives now has 10 legislative days or 30 calendar days to pass the resolution and send it to Wolf to either sign or veto. The Senate could override a veto with a two-thirds majority vote.
Wolf did not have any official response to the Senate vote, but environmental groups this week urged Wolf to use his veto power should the resolution reach his desk. The Natural Resources Defense Council (NRDC) also argued that the House has had its own resolution of disapproval pending since Sept. 2 and has taken no action, therefore the resolution is “a dead letter” and that giving the House more time is a stalling tactic.
Senate Republicans, however, contend the clock in the House didn’t begin ticking until the Senate vote was taken and have asked Attorney General Josh Shapiro to agree on the additional time.
Shapiro, who announced two weeks ago that he was running for governor in 2022, gave the GOP some new hope this week by indicating he was not sold on RGGI. Shapiro had been endorsed by Wolf, who is not running for re-election due to term limits. Shapiro said that, if elected, he would consult with “workers and affected communities” before making any final decisions on RGGI.
“We need to take real action to address climate change, protect and create energy jobs and ensure Pennsylvania has reliable, affordable and clean power for the long term,” Shapiro said in the statement reported by The Associated Press. “As governor, I will implement an energy strategy which passes that test, and it’s not clear to me that RGGI does.”
In response, lawmakers called on Shapiro to follow through with his doubts in an official capacity as well as on the campaign stump. “His office could have another chance to review this regulation in the future if the legislature’s efforts to stop this regulation through the concurrent resolution process is unsuccessful,” said Yaw. “We hope the actions of Attorney General Josh Shapiro match the words of candidate Josh Shapiro if or when he has another chance to put a stop to the devastating impacts of RGGI.”