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Friday, November 15, 2024

Ranking Member Capito Opposes PROVE IT Act, Citing Potential Costs and Failed European Policies

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Shelley Moore Capito - Ranking member of the Environment and Public Works committee | Official U.S. Senate headshot

Shelley Moore Capito - Ranking member of the Environment and Public Works committee | Official U.S. Senate headshot

WASHINGTON, D.C. - Ranking Member Shelley Moore Capito of the U.S. Senate Environment and Public Works (EPW) Committee expressed her opposition to the PROVE IT Act, a piece of legislation that aims to implement a domestic carbon tax. In her remarks at a committee business meeting, Capito criticized the bill for potentially burdening American families and consumers with increased costs and following the failed climate policies of many European countries.

Capito, who has previously worked with Chairman Tom Carper on several climate-related bills, highlighted the importance of finding common ground on climate legislation. While acknowledging her respect for the bill's sponsors, she stated that the PROVE IT Act does not align with her vision for climate policy.

One of Capito's main concerns with the bill is its directive to the Department of Energy to report on the average emissions of different industrial sectors and compare them to those of other countries, including China. She raised questions about the lack of clarity regarding the authorities to be used for this review and expressed skepticism about aligning with Europe's carbon border adjustment mechanism.

Capito argued against the need for another greenhouse gas emissions data study, pointing out that the federal government already collects such data through repositories like the Greenhouse Gas Inventory and the Greenhouse Gas Reporting Rule. She emphasized the importance of understanding and utilizing the existing data before burdening American industry with additional studies.

Drawing from her past experience opposing certain provisions of the Inflation Reduction Act, Capito expressed concerns about the potential misuse of innocuous data collection responsibilities. She warned that such data could be weaponized to implement damaging partisan policies, including taxes. Capito used the example of Subpart W and the methane emissions reduction program, which started as a reporting requirement but later became a tool to impose a tax on the American oil and gas industry.

While acknowledging that the revised version of the PROVE IT Act includes a provision stating that it does not directly authorize new taxes or fees, Capito argued that it does not prevent Congress from imposing such measures through future legislation. She expressed concerns about the potential use of studies and reports generated under the PROVE IT Act to justify taxes or tariffs, particularly through the partisan reconciliation process.

In conclusion, Capito stated her intention to offer amendments to address the bill's issues but ultimately expressed her opposition to it. She emphasized the potential costs for American households and businesses and the need to avoid following Europe's failed environmental and trade policies.

The PROVE IT Act continues to be a topic of discussion and debate within the U.S. Senate EPW Committee.

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