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U.S. Oil Lobby Backs Carbon Fee as Substitute for Regulation

  • American Petroleum Institute backs ‘transparent’ carbon price
  • Blueprint swaps carbon price for rollback of other regulations
     
Photographer: Eddie Seal/Bloomberg

The American Petroleum Institute board voted Thursday to endorse putting a tax or other price on carbon dioxide emissions, a shift for the oil industry that could influence the Biden administration’s plans for a government-wide assault on global warming.

The largest U.S. oil industry lobbying group cast its support for a so-called carbon price as part of a broader plan for combating climate change, including efforts to standardize reporting of sustainability efforts and propel emissions-reducing technologies. But API support for the carbon price hinges on the policy being applied economy-wide and replacing existing regulations on greenhouse gases -- a trade-off seen as key to luring support from Republicans on Capitol Hill.