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WASHINGTON – On Thursday, the Senate Environment and Public Works (EPW) Committee marked up several bills, including U.S. Senator Kevin Cramer’s (R-ND) Providing Reliable, Objective, Verifiable Emissions Intensity and Transparency (PROVE IT) Act. The legislation passed the Senate EPW Committee by a vote of 14 to 5.
The bipartisan PROVE IT Act, introduced in June by Cramer and U.S. Senator Chris Coons (D-DE), would require the U.S. Department of Energy (DOE) to conduct a comprehensive study and submit a report on the greenhouse gas emissions intensity of certain products produced in the United States and in certain foreign countries. Existing data shows the United States has a distinct carbon advantage over its global competitors.
During the markup, Cramer emphasized the PROVE IT Act is not a carbon tax or tariff, stating if it was either of those, it would be under the Finance Committee’s jurisdiction. He reiterated his opposition to a domestic carbon fee and quoted the legislation, which precludes the use of PROVE IT to authorize any such tax. Cramer reminded the committee a carbon border adjustment is not theoretical. It is being implemented today in Europe. He also stressed the need to give credit where credit is due, specifically to the American workers who abide by the highest standards. The PROVE IT Act ensures their compliance is not undercut by foreign competitors with lower environmental standards.
With the looming implementation of the European Union and United Kingdom’s carbon border adjustment mechanism (CBAM), certain American goods and products exported to Europe will be unfairly taxed. The PROVE IT Act study will compile the necessary date to rebut these tariffs. If the United States does not complete its own study, American businesses will be subject to whatever calculations Europe determines. The legislation makes clear this study does not authorize any new carbon taxes or regulations on domestic producers.
“Today’s markup is a productive step toward gathering the data we need to prove what we already know: we produce energy and manufacture goods cleaner than anyone else in the world,” said Cramer. “If the goal is to reduce global emissions, the answer is to produce more in America. Our bipartisan PROVE IT Act acknowledges American excellence while protecting workers and businesses from unfair tariffs and foreign competitors seeking to undercut them.”
“I’m delighted to see the Environment and Public Works committee embrace the PROVE IT Act and the reliable data it will provide that’s needed to quantify the climate benefits of the United States’ investments in cleaner, more efficient manufacturing practices and hold nations like China accountable for their emissions-heavy production,” said Senator Coons. “Demonstrating our comparative advantage in emissions intensity, working with our allies and partners on data sharing, and building on that with future legislation will be a win for the climate, a win for American workers and manufacturers, and a win for global cooperation.”
The PROVE IT Act is supported by several stakeholders including: United States Chamber of Commerce, American Petroleum Institute, American Iron and Steel Institute, Industrial Energy Consumers of America, Steel Manufacturers Association, Bipartisan Policy Center Action, Climate Leadership Council, American Conservation Coalition Action, Center for Climate and Energy Solutions, Third Way, Ultra Low-Carbon Solar Alliance, Citizens for Responsible Energy Solutions, Independent Petroleum Association of America, Forging Industry Association, Progressive Policy Institute, Citizens Climate Lobby, and Ceres.