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Straight Talk: Rationalizing a Severance Tax

Posted on February 14, 2017 by gvinski

In his budget address last week, the Governor called for a 6.5% severance tax on shale gas development.  To add to the merit of the severance tax, the Commonwealth would be on sustainable ground to dedicate a slice off the top of severance proceeds to comprise a fund to support investments in renewable energy, energy efficiency and conservation, and retraining for workers to participate in the fast growing numbers of jobs associated with clean energy.  Taxing natural gas should correspond with investment in transition to a more sustainable energy future.

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