‘This is bad policy’: Low-carbon fuel bill in Olympia would raise cost of gas, diesel

A bill addressing climate change, one of Gov. Jay Inslee’s goals for this legislative session, passed in the Washington House of Representatives on Saturday with support from Democrats. During a virtual floor debate, Republicans opposed the measure.

After five hours of debate, the vote on House Bill 1091 was 52-46. The bill would authorize the state Department of Ecology to establish the “Clean Fuels Program” to limit greenhouse gas emissions from transportation fuels, according to the bill’s text.

The Clean Fuels Program would reduce carbon in fuels to 10% by 2028 and 20% by 2035, according to the bill’s text. Certain types of transportation fuel, like fuel used by railroad locomotives and aircraft, would be exempt from the program.

Democrats say the move to limit greenhouse gas emissions is long overdue. Republicans say it could raise the price of gasoline for every Washingtonian by 57 cents and diesel by 63 cents per gallon.

“This is a bad bill. This is bad policy,” Rep. Tom Dent, R-Moses Lake, said during the virtual floor debate. “We can’t afford it right now where we’re at with the economic condition of this state.”

Rep. Joe Fitzgibbon, D-Burien, is HB 1091’s primary sponsor. Fitzgibbon said during the virtual floor debate transportation fuels are the largest pollutant in the state, and the legislature has not taken steps to address it.

“I hear concerns about what this is going to do to the price of fuel. If those were true ... you would not see me here advocating for this bill,” Fitzgibbon said.

Rep. Mary Dye, R-Pomeroy, said during the virtual floor debate HB 1091 impacts most of the producers in the state — friends and neighbors who raise the goods people take for granted.

“This bill gives the keys to the kingdom to the Department of Ecology,” Dye said.

Dent said during the virtual floor debate he represents a district that is agricultural from one end to the other.

“I’ve been part of agriculture all my life, and I’m proud of the fact that we — the farmers and ranchers and the folks that work in agriculture — we feed the world,” Dent said.

The COVID-19 pandemic has been a burden to agricultural producers because it leaves some consumers unable to afford their products, Dent said. When producers lower their prices, they start struggling, too.

Fitzgibbon said Oregon adopted a policy similar to HB 1091 in 2015 and it did not lead to the loss of agricultural or trucking jobs. The state’s policy has reduced pollution even more than predicted.

“If we care about what kind of world we’re going to leave for our children and our grandchildren, is it worth it to pay two cents on a gallon of gasoline or a gallon of diesel?” Fitzgibbon said.

Rep. Kirsten Harris-Talley, D-Seattle, said during the virtual floor debate she lives in a district near two major highways, the Seattle-Tacoma International Airport and two Boeing airfields — one of the districts with the worst air quality in the state.

“There are times when the smell of fossil fuels from air traffic in our district is so heavy that my two children can’t play outside because we’re concerned about the air quality,” Harris-Talley said.

HB 1091 can expand job opportunities and, at the same time, improve air quality in her district and other parts of the state, Harris-Talley said.

Rep. Brad Klippert, R-Kennewick, said during the virtual floor debate HB 1091 would negatively impact vulnerable families, including a family he had to do a welfare check on in the past.

Klippert said he was assigned to do a welfare check on twin siblings who had not been in school for two weeks. Little did he know, the twins’ single mother was also simultaneously taking care of a 4-year-old child, their grandmother and uncle.

“All of these costs that we’re putting on to our fuels are going to be passed on to the consumer,” Klippert said. “For (the) mom, I think it’s even more toxic to tell her that everything she has to buy now is going to be going up.”

Dye attempted to exclude diesel from the Clean Fuels Program with an amendment to the bill. Dye said diesel provides the energy needed to do most agricultural work, like vehicles that help growers plant and harvest crops.

The amendment “asks to recognize the people that produce important things for the state of Washington,” Dye said. The amendment was not adopted.

Dye has been using diesel at her family farm, and the family found ways to reduce greenhouse gas emissions, she said. The only thing HB 1091 does is increase the cost of fuel.

“We burn hundreds of gallons of fuel every day during harvest, and it’s a major expense,” Dye said. “You’re constraining the well-being of the very people that put food on your plate.”

Rep. Davina Duerr, D-Bothell, said during the virtual floor debate diesel is toxic and makes up 10% of the state’s greenhouse gas emissions. HB 1091 needs to ensure the safety of the most vulnerable.

Rep. Keith Goehner, R-Dryden, said during the virtual floor debate diesel is a “working fuel” that keeps the state’s economy moving. Adding additional costs to acquiring diesel would pose a challenge for farmers like him.

“As a farmer, my profit margin is very slim. In fact, we’ve just come off some years where we’ve lost money,” Goehner said. “Just because you farm, it doesn’t mean that you’re going to make money.”

Legislators need to look carefully at the unintended consequences bills like HB 1091 may bring, Goehner said. Potentially raising the cost of diesel by 63 cents per gallon would be devastating to the agricultural sector.

Goehner proposed an amendment to terminate the Clean Fuels Program if it does not reach the goal to reduce carbon by 10% in 2028. The amendment would also require the DOE to notify the public, governor and legislature before termination.

“This is about government accountability, transparency and effectiveness,” Goehner said. “If people are paying more, they deserve to get results. If we promise to see a difference, we should quantify it. If we can’t, we shouldn’t continue the practice.”

Duerr said Goehner’s amendment is the wrong approach. When something is not working as anticipated, which often happens, legislators should take the time to reflect.

“You make appropriate changes to make policy better,” Duerr said. “You don’t scrap it.”

The amendment was not adopted.

Of the 27 proposed amendments, 12 were rejected, nine were adopted and six were withdrawn.

The bill’s companion, SB 5231, had its first reading in the Senate Environment, Energy and Technology Committee on Jan. 15.