Over the coming months, Rhode Islanders will be hearing about the implementation of the Transportation & Climate Initiative (TCI), a cap-and-trade scheme for the northeastern states to impose a new tax on gasoline. A brief that the RI Center for Freedom & Prosperity released last week gives some of the details, including a quick look at TCI’s predecessor scheme, the Regional Greenhouse Gas Initiative (RGGI), which is directed at energy production, whereas TCI focuses on gasoline:
[Then-Governor Donald Carcieri’s] assurances that his policies would not severely hurt Rhode Islanders have proven unreliable. As he made his announcement, Rhode Island was enjoying the second-lowest cost per kiloWatthour for ultimate customers’ electricity in New England, at $13.08. By January 2019, this average price had increased to $20.12, by far the highest in the region. This 54% increase compares with an 18% increase nationwide over the same period (to just $10.47 per kWh) and 17% in New England overall (to $18.22 per kWh).
Despite enduring an increased cost for energy, RGGI states have experienced “no added emissions reductions or associated health benefits from the RGGI program,” when compared with different states that have otherwise similar energy policies, according to David Stevenson, Director of the Center for Energy Competitiveness at the Caesar Rodney Institute in Delaware.
It looks probable that these programs harm the economy and fail to achieve their stated objectives. Why would the governor charge forward with another one?