Connecticut moves closer to joining regional climate pact

A Connecticut legislative committee has taken a step toward enacting a plan to aid transportation work and limit emissions from road, rail and air sources. Fuel tax increases are expected to result.

The Joint Committee on Environment voted to advance a bill to formally join a regional climate pact dubbed the Transportation and Climate Initiative Program.

TCIP background

Gov. Ned Lamont, the governors of Massachusetts and Rhode Island and the mayor of Washington, D.C., signed a memorandum of understanding late last year stating their intention to bolster transportation funding and reduce emissions.

Participating states are responsible for approving the final transportation aid plan. The expectation is fuel costs could initially increase from 5 to 17 cents per gallon.

According to a news release, the Transportation and Climate Initiative Program requires large fuel suppliers to buy what are called allowances in a “cap-and-trade” plan. After reaching its cap, a company could pay the government a certain amount of money to go beyond that limit.

The program is expected to cut greenhouse gas emissions from vehicles in that region by 26% from 2022 to 2032.

Over the next decade, the program is estimated to generate about $1 billion. Participating states are expected to use that money to invest in “clean transportation” options.

Committee Co-chair Christine Cohen, D-Guilford, told the committee that states would be required to use at least 50% of proceeds to ensure communities underserved by the transportation system and overburdened by pollution would benefit equitably from clean transportation projects and programs. States expect about $100 million annually for those efforts.

In order to make up for allowance purchases, fuel prices are expected to rise.

Critics voice concerns

Opponents on the committee voting against SB884 say the program is essentially a fuel tax increase that would burden road users and business owners.

Rep. Stephen Harding Jr., R-Brookfield, said “it truly is a gas tax increase” of at least 5 cents. LL

Staff Writer Tyson Fisher contributed to this report.