The Lewis County Public Utility District PUD Board has approved a resolution to support repealing Washington’s Climate Commitment Act CCA this November.
At the Aug. 20 meeting, the board stated that the CCA would lead to higher power costs for the district because of the pricing of carbon allowances. These allowances increase the cost of power for the district.
The board’s resolution backs Initiative 2117, which aims to end the Carbon Tax Credit Trading system.
Initiative 2117 is one of four initiatives voters in Washington will decide on in the upcoming general election. If passed, it would stop state agencies from imposing carbon tax credit trading and would repeal laws related to the cap-and-invest program designed to reduce greenhouse gas emissions.
According to the state’s Attorney General, the CCA’s goal is to cut greenhouse gas emissions across the state. Washington aims to reduce emissions by 45% by 2030 and by 95% by 2050.
The CCA requires large polluters to either lower their emissions or buy allowances through auctions run by the Department of Ecology. In 2023, these auctions raised $1.8 billion.
Supporters of the initiative argue that the costs from the auctions are being passed on to consumers.
If the initiative passes, the last auction will be held on Sept. 4, and three others scheduled for 2025 will be canceled.
A flyer from Gov. Jay Inslee’s office says the state allocated $3.2 billion from the CCA for the 2023-2025 budget, mainly for transportation and building projects, which are major sources of pollution.
The Office of Financial Management estimates that passing Initiative 2117 would reduce state revenue from carbon auctions by $3.8 billion and cut spending by $1.7 billion by 2029.
The No on 2117 campaign is backed by more than 450 groups, including Amazon, AAA of Washington, and BP America. The campaign has raised $12.9 million to fight the initiative.
Washington state House Majority Leader Joe Fitzgibbon said the initiative would reverse major steps toward cleaner air taken since the 1990 Clean Air Act. He warned that going backward would harm vulnerable groups, such as seniors, children, and people with respiratory issues.
Republicans, however, blame the CCA and other climate laws for rising gas and energy prices.