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H.R. 2307 · 117th Congress

Energy Innovation and Carbon Dividend Act of 2021

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IntroducedPassed one chamberPassed both chambersBecame law (gold)Resolution agreed to (full, dark)Failed or vetoed (gray)

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Never voted on. It didn't reach a floor vote before the 117th Congress ended, so it expired. A bill has to be introduced again to be considered in a new Congress.

This bill imposes a fee on the carbon content of fuels, including crude oil, natural gas, coal, or any other product derived from those fuels that will be used so as to emit greenhouse gases into the atmosphere.

What it does: CRS summary · Introduced in House · Apr 1, 2021

Energy Innovation and Carbon Dividend Act of 2021

This bill imposes a fee on the carbon content of fuels, including crude oil, natural gas, coal, or any other product derived from those fuels that will be used so as to emit greenhouse gases into the atmosphere.

The fee is imposed on the producers or importers of the fuels and is equal to the greenhouse gas content of the fuel multiplied by the carbon fee rate. The rate begins at $15 per metric ton of CO2-e in 2021, increases by $10 each year, and is subject to further adjustments based on the progress in meeting specified emissions reduction targets.

The bill includes

  • exemptions for fuels used for agricultural or nonemitting purposes,
  • exemptions for fuels used by the Armed Forces,
  • rebates for facilities that capture and sequester carbon dioxide, and
  • border adjustment provisions that require certain fees or refunds for carbon-intensive products that are exported or imported.

The fees must be deposited into a Carbon Dividend Trust Fund and used for administrative expenses and dividend payments to U.S. citizens or lawful residents. The fees must be decommissioned when emissions levels and monthly dividend payments fall below specified levels.

Written by the nonpartisan Congressional Research Service. All summary versions on Congress.gov

About this bill and sources

Official title: Energy Innovation and Carbon Dividend Act of 2021

Latest action (Apr 2, 2021): Referred to the Subcommittee on Energy.

Policy area: Taxation · Origin: House · Introduced: Apr 1, 2021

Official page on Congress.gov · Bill text (GovInfo) · Status record (XML)

No recorded floor vote found.