The landmark Washington climate law faces possible repeal by voters

OLYMPIA, Washington — Voters in Washington state are considering whether to repeal a landmark law that forces companies to reduce their carbon emissions while raising billions of dollars for programs that restore habitats and help communities prepare for the pandemic include climate change.

Just two years after its passage, the Climate Commitment Act, one of the most progressive climate bills ever passed by state legislatures, is drawing criticism from conservatives. They blame it for rising energy and gas costs in Washington, where gas prices have long been among the highest in the country.

The law requires major polluters to pay for their rights by purchasing “certificates.” One certificate corresponds to one ton of greenhouse gas pollution. Every year the number of certificates available for purchase decreases – with the idea of ​​forcing companies to find ways to reduce their emissions.

The law aims to reduce CO2 emissions to almost half of 1990 levels by 2030.

Supporters of keeping the policy in place say repeal not only would not guarantee lower prices, but would also jeopardize billions of dollars in government revenue for years to come. Many programs are already funded by polluters' money or will soon be – including investments in air quality, fish habitat, wildfire prevention and transportation.

For months, the group behind the repeal effort, Let's Go Washington and funded primarily by hedge fund manager Brian Heywood, has held more than a dozen events at gas stations to speak out against the so-called “hidden gas tax.”

The group said the carbon pricing program increased costs from 43 to 53 cents per gallon, citing the conservative think tank Washington Policy Center.

According to GasBuddy, the price of gasoline has risen to as much as $5.12 a gallon since the auctions began, although it was as high as $4.03 in October. And the state's all-time high of $5.54 was reached several months before auctions began in February 2023.

Without the program, the Office of Financial Management estimates nearly $4 billion would disappear from the state budget over the next five years. During the previous legislative session, lawmakers approved a budget that runs through fiscal year 2025 and includes dozens of programs funded by the carbon pricing program, with delayed start dates and a stipulation that they would not take effect if those funds were eliminated.

Washington was the second state, after California, to launch such a program with strict annual targets. A repeal would scuttle Washington's plans to connect its carbon market with others and could represent a setback to its efforts to help other states adopt similar programs.