How would the Americas Energy Security Trust Fund Act work?
This bill would impose a per-unit tax on the carbon dioxide content of fossil fuels beginning at a rate of $15 per metric ton of CO2 and increasing by 10% each year, also accounting for inflation. The rate is consistent with the broadly accepted goal of reducing greenhouse gas emissions to 80% below 1990 levels by 2050. The tax would be phased in over a ten year period to allow industries to adapt. The tax would be assessed on the CO2 content of these fuels when they enter the economy: at oil refineries, coal processing plants and points of import. Therefore it would be easy to implement and administer-only about 2,000 entities would be taxed. Demand for fossil fuels would fall in response to a carbon tax. As a result, carbon emissions would fall as well, by an estimated 700 million mt of CO2 (12.1 percent). At the same time, demand for alternative sources of energy would increase, spurring innovation and competition, and would allow producers of alternative energy technologies to achi
