Picture: A world ravaged by immense hurricanes, mass extinction of species, and the erosion of all coastal regions of our earth. Our earth is in the midst of a climate crisis in which these seemingly fantastical scenarios could very likely become reality. This crisis is global warming and science definitively shows that mankind’s greenhouse gas emissions are cause of current climate change. The fate of our planet and the quality of life for future generations lies in our hands and the jurisdiction of the United States of America, the World’s largest contributer to greenhouse gasses. It is a economic and moral imperative that we take actions to curb global warming by taking effective steps to curb our greenhouse gas emissions without throwing the equipoise of fiscal responsibility and environmental policy out of balance. The fairest and most viable way of doing this is through and increase in gasoline taxation. Yes, I know most people's immediate reaction to hearing this -- "Ugh, I DO NOT want to pay any more than I already have to for transportation." However, if done correctly (using tax rebates etc.), a gas tax can be an effective tool in reducing greenhouse gas emissions.
For those of you who don't know what it is, a gasoline tax is set amount of money that is tacked onto the price of each gallon of gasoline. In America, the current federal fuel tax is 18.4¢ per gallon. In addition to this, each state has its own gasoline tax. Therefore, here in California (where I live), if the price of oil absent any taxes is about $2.30, the price of oil with the 32¢ state tax and the 18.4¢ federal gasoline tax, the price of gasoline would be $2.80 per gallon.
Of all the nations in the world, the United States is the largest contributer to greenhouse gases, responsible for more greenhouse gas emissions that South American, Africa, the Middle East, Australia, Japan, and Asia, combined. Being the world’s largest contributer of greenhouse gasses, what has the United States done to reduce its emissions? Nothing, besides asking companies to voluntarily cut their emissions. It is time the US stepped up and passed legislation that would curb its greenhouse gas emissions -- legislation for a higher gas tax.
Gas taxes have been implemented in many other countries and have been successful in doing several things, primarily, reducing fuel use, increasing fuel efficiency, and decreasing overall carbon dioxide emissions, without adversely effecting the economy. Fuel taxes are very popular in Europe, with most countries having high gas taxes. They have had the effect of reducing fuel consumption. That is, as gas taxes go up, fuel use goes down (pretty simple). Gas taxes have also had the effect of increasing fuel efficiency. Europe is known (at least in environmental circles) for its sleek, low-emissions vehicles. Firthermore, CO2 emissions from new European cars fell by 12% from 1995 to 2003, according to Dolf Gielen of the International Energy Agency. The major result of these effects is a reduction in carbon dioxide emissions.
For these reasons, I propose that the United States Congress pass a law similar to the one I've constructed here:
Because an increase in the gas tax is the best way to decrease carbon dioxide emissions, I propose the following legislation: Be it enacted by Congress that, SECTION 1: The federal gasoline tax shall immediately be raised 82.6¢ on all commercial purchases of gasoline, totaling $1.01 per gallon. SECTION 2: 50% of the revenues acquired from this tax increase shall be rebated to every person in American annually. 25% will be allocated to research into alternative fuels and increasing fuel-efficient vehicles, and the remaining 25% will be allocated to education. SECTION 3: The Department of the Treasury will be in charge of tax rebates, the Department of Energy shall be in charge of all money allocated towards research into alternative energy, and the Department of Education shall be in charge of all money allocated towards improving schools. SECTION 4: This bill will take effect January 1, 2009.
There have been concerns about overburdening the poor with increasing the gas tax. They have been addressed in the above bill. Extrapolating from calculations of Harvard economist, Dr. Manikiw, the proposed gas tax increase would bring in $101 billion in revenue. Half of this would go towards a rebate, which would be $168.33 for each American. This rebate makes this bill as progressive as possible, eliminating any added burden to the lowest quintile of the United States. According to data extrapolated from internationally known energy economist, author, and founder of Carbon Tax Center, the poorest quintile of the United States would pay and average of $151.50 per year in gasoline costs. The rebate of $168.33 would more than offset this added burden.
The other 50% of revenue not put towards rebates could go to the Dept. of Energy (to increase research into alt. energy and fuel efficiency) and the Dept. of Education, or any other source deemed worthy of this money (I'm a student at a public school, so I naturally chose the Dept. of Education).
The other scenario is a world preserved for future generations, untainted by the negligence of past generations. The fuel tax is the fairest, easiest, and most effective way to reduce America’s greenhouse gasses. It would decrease greenhouse gas emissions, increase fuel efficiency, and produce government revenue, all without overburdening the Americans.
Think about it...
