Texas legislator files bill to tax solar and wind but not natural gas

  • November 12, 2020

A Texas legislator filed a bill this week that would impose a new tax on electricity produced from wind, solar, coal and nuclear power. Electricity generated from natural gas would be exempt from the tax.

A Texas legislator prefiled a bill this week proposing an additional tax on wind, solar, coal and nuclear generation. But the bill by Rep. Ken King of Canadian, Texas in the Panhandle would not increase taxes on natural gas.
The Houston Chronicle reported that King, a Republican proposed an additional one cent tax to every kilowatt hour of energy generated.  As a result, monthly consumer bills would increase about $12 a month on average for those households that use 1,200  kilowatt hours of renewable power sources every month.
Under King’s bill, natural gas would be exempt from the tax.
A breakdown of electricity production in Texas showed that 47% came from natural gas while wind produced an estimated 20%. That’s according to the Electric Reliability Council of Texas which manages the state’s grid.
Rep. King’s bill drew immediate opposition from Environment Texas, a clean energy advocacy group based in Austin. Executive Director Luke Metzger told the Chronicle the bill makes no sense.

“It flies against the rhetoric of Texas’ market-based system of electricity, putting the thumb on the scale for natural gas and raising taxes on Texans by $2.3 billion every year,” said Metzger in a prepared statement. “It would also discourage wind and solar power, which are reducing pollution, helping us tread more lightly on the planet, and boosting rural economies.”

Source: Houston Chronicle

Jerry Bohnen