Hans-Christoph Neidlein’s Post

History is a strong indicator of outcome, and this article showcases the effects quite well of an ecologically responsible but unpopular tax. https://lnkd.in/gmFSDe7i

Up to £10 billion of pre-tax value could be unlocked in the North Sea if the UK adopts an incentive-based tax policy, restoring trust between the government and the oil and gas industry. L’article A potential £10 billion at stake for the North Sea with energy tax reform est apparu en premier sur energynews.

CARBON TAX 101: What the Carbon Tax Increase Could Cost You and Your Household https://hubs.la/Q02rGrZk0

𝙋𝙚𝙧𝙨𝙞𝙨𝙩𝙚𝙣𝙩 𝘾𝙝𝙖𝙡𝙡𝙚𝙣𝙜𝙚: 𝙀𝙡𝙞𝙢𝙞𝙣𝙖𝙩𝙞𝙣𝙜 𝙁𝙤𝙨𝙨𝙞𝙡 𝙁𝙪𝙚𝙡 𝙎𝙪𝙗𝙨𝙞𝙙𝙞𝙚𝙨 𝙞𝙣 𝙩𝙝𝙚 𝙐𝙎 Despite President Biden's persistent efforts for the fourth consecutive year to eradicate federal tax breaks for the fossil fuel industry, these subsidies prove stubbornly resilient. Initially aiming to eliminate billions in annual tax breaks to oil and gas companies as a 2020 campaign promise, Biden faces opposition from the industry, Republicans, and some Democrats, making these subsidies akin to "zombies" of the US tax code. Biden's latest budget proposal seeks to remove $35 billion worth of these tax breaks over the next decade, targeting an industry that continues to reap record profits. However, entrenched tax breaks, such as those for intangible drilling costs and the depletion allowance—dating back to 1913 and 1926, respectively—underscore the deep-rooted challenge of shifting away from fossil fuel dependence. These subsidies have not only historically incentivized risky investments in oil drilling but also significantly enhanced the profitability of large and small producers alike. The debate intensifies as the fossil fuel industry, enjoying unprecedented profitability and contributing significantly to U.S. energy production, leverages these tax breaks to further its interests, often at the expense of broader environmental and economic priorities. Despite the clear acknowledgment of the need to transition towards more sustainable energy sources, efforts to remove these subsidies face stiff resistance within a politically divided Congress. Highlighting the complexity of the issue, proponents of maintaining the subsidies argue for the essential role of coal, oil, and gas in ensuring energy reliability and affordability during the transition to cleaner alternatives. Critics, however, decry the subsidies as corporate welfare that contradicts urgent climate action goals. As the global community calls for a rapid shift away from fossil fuels to address climate change, the persistent struggle to eliminate these "inefficient" subsidies in the US reflects broader challenges in aligning economic, environmental, and political priorities for a sustainable future. https://lnkd.in/gtA79f_H

Good (not perfect) article on the carbon tax, with a neat carbon tax calculator.