Does Chevron support a carbon tax or “cap–and–trade” policy?
A. A carbon tax is a tax on energy sources that emit carbon dioxide into the atmosphere. An emissions trading program or “cap–and–trade” provides economic incentives for achieving reductions in emissions of pollutants. We are not advocating a specific solution at this time. We do see the conceptual benefit of having the known cost of a carbon tax, particularly as we wrestle with so many other unknowns. “Cap–and–trade” offers additional flexibility for companies to achieve their GHG reduction goals. What is most important in either approach is that the principles of broad and equitable treatment across all sectors of the economy and transparency be applied. Policy–makers need to examine all available policy options, be thorough in the assessment of the impacts and consequences, and be open to revisions later on if unintended consequences appear. Whatever the eventual policy, it should first maximize energy efficiency and conservation opportunities for mitigation emissions.
