Boulder the first in the U.S.A. to impose an energy tax
July 25, 2007
Boulder (Colorado, U.S.A.) is the first city in the U.S.A. to have imposed an energy tax – the Climate Action Plan tax – as part of its greenhouse gas reduction strategy.
The energy tax is also referred to as a carbon tax, since most of
Boulder’s electricity comes from the burning of coal; it will be collected by the local electricity company and be based on the amount of electricity used. The tax will then serve to support the city’s Climate Action Plan.
The average household will pay $US 1.3 per month, and an average business will pay $US 3.80 per month. The tax will generate about $US 1 million annually through 2012 when the tax is set to expire. Estimated energy cost savings from implementing the Climate Action Plan are $US 63 million over the long term.
Fossil-fuel based power are a major source of greenhouse gas emissions. Green power from renewable energy sources emit no or low greenhouse gas emissions and other pollutants. Green power can include electricity generated exclusively from renewable resources including wind, hydro-electric or solar power – or electricity produced from a combination of fossil and renewable resources. For more information on the generation and use of green power at the local level, please visit www.iclei.org/ccp.
Boulder is one of 190 local governments in the U.S.A. that are currently Members of ICLEI – Local Governments for Sustainability. For more information on ICLEI and its activities in the U.S.A., please visit www.iclei.org/usa.
Source: “Boulder voters pass first energy tax in the nation”, City of Boulder press release, 8 November 2006.