Kansas Republicans Propose Carbon Tax

February 5, 2008

The stealthy carbon tax, to be introduced by the Republican majority in both chambers of the Kansas state legislature this week, would pose a number of problems to KS businesses. SB2711 (http://www.kansaschamber.org/forms/08/Energylegislation.pdf), intended to stop regulation that would prevent a coal-powered electrical plant from being built in Western Kansas, goes overboard by creating a new tax statute, imposing mandatory emmissions caps, and allowing government to intrude into the market, undoubtably favoring existing assets over expansion and new assets. State governments should not be in the business of picking winners and losers. This is especially troubling because Kansas would be the first state to enact such a tax and it would set a dangerous precedent, with Republicans leading the way to more government intrusion.

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