Putting a Price on Climate Pollution

In order to meaningfully address global warming, Oregon needs to join the global community in doing our fair share to transition climate pollution out of our everyday activities.

Courtesy of Sightline

Courtesy of Sightline

While we all take personal responsibility for reducing our impact on the environment by saving energy and getting our cars checked for smog, the companies who provide our heat, power and transportation fuels have not taken on their fair share of responsibility by offering clean options, reducing their output and accounting for the true price of climate pollution.

Science has told us how much climate pollution we need to prevent to keep on a safer and more stable path for the future. In 2007, Oregon adopted goals to match those safe targets, but we have yet to enforce them or hold anyone accountable to reach them. That’s why Oregon Environmental Council is working to enact overarching climate policies that put meaningful limits on climate pollution to protect our communities, forests, oceans, and families and hold polluters accountable for their impact on our communities.

The two best ways to comprehensively reduce climate pollution are to set enforceable limits and put a price on pollution.

Setting a Cap on Pollution

Putting a limit on pollution is fairly straightforward: set an end goal for how many reductions are needed and set a schedule to get there. This type of program creates certainty around the level of pollution that is allowed, and is the traditional method for curbing pollution. California’s cap-and-invest program uses this method. The state sets annual pollution limits.

But a cap-and-invest program also provides options for how companies reach these pollution targets. Companies that can reduce emissions quickly and inexpensively can trade their “extra” pollution reductions to companies that are making changes more slowly. This creates an economic incentive for efficient and clean energy innovation – clean companies get rewarded for their upgrades while other companies have more time to transition. As long as the total amount of pollution falls, the program is working.

California’s cap-and-invest program has worked well. It is reducing greenhouse gases while providing carbon revenue that is being reinvested in low carbon development, energy efficiency, and community-lead projects. The California program currently covers utilities and industrial emissions, and transportation fuels will be phased-in in 2015, making it the most comprehensive cap-and-trade program in the United States.

The Regional Greenhouse Gas Initiative, or RGGI, is another cap-and-invest system in New England. The first such program in the United States, the RGGI is a collaboration between 10 states and covers their electricity sector. RGGI has created significant benefits for participating states, according to the Analysis Group because these states have used permit revenue to reinvest in energy efficiency and renewable energy development:

  • The 10-state regional economy gained $1.6 billion in economic growth with RGGI in place.
  • Reinvesting auction revenue into energy efficiency will create $1.3 billion in consumer energy savings.
  • More than 16,000 net jobs have been created.
  • Reduced fossil fuel use has kept $756 million in the local economy.

Pricing Climate Pollution

Another way to significantly reduce climate pollution is to assign it a fee or tax. Currently, climate pollution is freely dumped into the atmosphere and the damage from this pollution – from asthma to increased wildfires – is paid for by the general public in the form of disaster relief, health care costs and increased risk for businesses and the public. To correct this market failure, many economists support putting a price on climate pollution to reflect its true cost and as an efficient way to achieve results.

British Columbia established the first North American carbon tax in 2008. This program has successfully reduced climate pollution while at the same time, British Columbia’s economy has performed better than the Canadian average. In Oregon, a study by the Northwest Economic Research Center shows that a tax can be good for Oregon’s economy and environment as well.

In Oregon, climate pollution revenue reinvested into clean energy and energy efficiency projects will create local jobs, accelerate our clean economy and support local services. Some revenue should also be used to support low-income households. Revenue could also be used to offset income taxes invest in strengthening the economy across the state, increase resiliency to climate change or to support education, healthcare and public safety across the state.

Leaders from across governments and business are sending a clear message that climate change is a risk that cannot be ignored. By stepping up to account for the true cost of climate pollution – through either cap-and-invest or a price – Oregon will be joining a group of prosperous, forward-thinking states and regions that are looking to the future and solving our greatest environmental challenge.

Join the push for a real price on climate pollution. Sign the Renew Oregon pledge today.

Related Posts
Filter by
Post Page
Policy Featured Climate Protection Media/PR/Statements Transportation Solutions Air Quality OEC News/Updates/Events Diversity, Equity and Inclusion Eco-Healthy Homes
Sort by
fossil fuel emissions from power plant

BREAKING: New CPP Lawsuit Draws Broad Pushback from Statewide Community, Business, Climate and Conservation Groups

On April 16, 2026, a new lawsuit led by Oregon Business & Industry was brought forward challenging the state’s authority to implement Oregon’s landmark Climate Protection Program. OEC and our coalition partners stand in firm opposition of this latest attack, and in full support of the CPP. This critical program was designed (with careful legal oversight, and input from the business community) to benefit Oregon communities most affected by the mounting
April 17, 2026, 1:39 pm
mcadmin

0

bridge in portland, OR over the willamette river

The Toll of Climate Change on Oregon’s Transportation Infrastructure

Oregon’s transportation system is at a crossroads. While the state recently passed emergency funding to address an immediate budget shortfall, the larger challenge remains: climate change is fundamentally altering how we must think about transportation infrastructure. At the same time, a potential referendum threatens to suspend the very funding needed to maintain safe roads and bridges. As Oregon looks toward long-term solutions, the stakes have never
December 17, 2025, 3:03 pm
kristopherf

0

"stop trump

Joining Oregon’s Climate Advocates in Washington DC

This month, I joined a Climate Action Campaign advocacy trip to DC—my first time participating in this critical work since the coalition began organizing these efforts 13 years ago. This “big green” coalition has real influence, having helped pass the Inflation Reduction Act, and brings together a
September 18, 2025, 2:30 pm
ben230983240923480923

0

Split screen with two arrows in the center pointing in opposite directions at illustrations on either side. Left half is in magenta tones showing illustrations of a heat pump, of a globe piggy bank with a coin being added, and a community center for climate emergencies. The right half is in green tones showing a home with solar panels, transmission lines, and a child drawing a globe. The title text says "Energy Affordability Advances While Climate Action Stalls - 2025 Session"

Mixed Results on Climate in 2025: Energy Affordability Advances While Climate Action Stalls

The 2025 Oregon Legislative session delivered a tale of two climate stories. While lawmakers made meaningful progress on energy affordability and grid modernization, they failed to advance policies that would actually cut climate pollution—and worse, abandoned funding for p
July 30, 2025, 1:11 pm
ben230983240923480923

0

4 images side-by-side. and elderly woman overheated in her home, a little boy sweating while drinking from a water fountain, a scene from an Oregon wildfire, a man wiping sweat off his brow.

You Can’t Put a Price on Saving Lives

Oregon state lawmakers are entering the final weeks of the legislative session. As our elected officials make tough decisions about what bills will pass or die this session, one thing is clear: there’s not enough money to go around. Against this budget-constrained backdrop, already this month Oregon has already faced a heatwave, wildfires, and a smog warning. People across our state need h
June 18, 2025, 2:24 pm
ben230983240923480923

0

The words Action Alert: One Click with an image of the Oregon state capitol and dollar bills with the earth as the center of the bill.

ACT! Fund a STRONG Climate Justice Budget for Oregon

Lawmakers are finalizing the state budget for the next two years. Now is the time to speak up for a strong Climate Justice Budget that protects the environment, uplifts communities, lowers energy bills, and creates clean energy jobs across the state. Use the form below to email your state legislators and urge them to invest in proven programs that deliver for Oregonians. **Please Note: We recommend you
May 16, 2025, 12:34 pm
robinr

0

Image of a semi truck entering Oregon on the highway with the words "Breaking News. Clean Truck Rules Delayed. Read Our Joint Statement on the Impact to Oregon."

BREAKING: Polluters Push Oregon Backward on Clean Air, Public Health, and Climate Action

Today, Oregon’s Advanced Clean Trucks (ACT) rule was delayed by two years. Predictably, oil and gas interests orchestrated a multi-state campaign to derail similar policies in other states. Their successful attacks now include Oregon’s ACT rules.
May 15, 2025, 10:42 am
robinr

0

Illustrated image of a kitchen featuring an induction stovetop and wall mounted heat pump. Graphics include table/chairs kitchen sink, fridge and include a visual burst to callout the electric devices that are helping the home be more energy efficient.

A Climate Solution You Can Live In: Q&A on Building Resilience

Sometimes big-impact solutions to the climate crisis can feel beyond our control – other times they’re right within reach, like upgrading our homes and buildings. This Q&A with Brad Reed, Director of Building Resilience, highlights how we can transform our homes and communities into climate-resilient havens. From heat pumps to insulation, Brad explains how basic upgrades can protect our health and our communities, while also saving money on
March 3, 2025, 11:38 am
robinr

0

Modern, graphic illustration showing snow capped mountains in blue tones on the left that transitions to a coastal beach scene with a haystack rock in orange and green hues to the right. Large text says "Big Oregon Climate Win!"

Oregon’s Climate Protection Program is Restored!

Oregon just scored a major environmental victory! In a unanimous vote, the Environmental Quality Commission (ECQ) adopted the newly revised Climate Protection Program, reinstating the landmark policy at a time when climate action is critical. This marks the most significant climate action taken in the wake of the federal election.  Now, Oregon’s most influential climate policy is back on the bo
November 21, 2024, 2:13 pm
robinr

0

Climate Protection Program - New CPP Rules Coming Soon

OEC and Allies Push Back Against Fossil Fuel Industry in Climate Battle

As we eagerly await the release of the final rules for Oregon’s Climate Protection Program (CPP), OEC and our partners in the Coalition for Climate and Economic Justice extend a sincere “Thank YOU” to everyone who took the time to submit public comments to help restore this vital program. Together, we’ve taken critical, local action in the glo
October 22, 2024, 2:21 pm
robinr

0

1 Reply to "Putting a Price on Climate Pollution"

  • Wendy Fitzgerald
    April 9, 2015 (5:11 pm)

    I learned that writing legislators a personal email can be more effective than simply signing an online petition, and I wanted to do so in support of the Carbon Pricing initiative, especially since I can’t be in Salem at the hearing. It’s unclear to me, however, what specific legislation and bill number I should write about to support. Is there a specific bill I can support and write about to my representative and legislator? (You might ask folks to write to their legislators in addition to signing the petitions in all events.)

    Thanks for your help and all your good work.