Governor Wolf’s massive energy tax increase proposal would give Pennsylvania the highest effective tax on natural gas development in the country, the non-partisan Independent Fiscal Office confirmed for the third time in three years this week. In fact, the governor’s tax hike – far from “moderate” or “sensible” – would set Pennsylvania’s natural gas tax rate at more than double that of major oil and gas producing states Texas, Oklahoma and Louisiana.
With more Pennsylvanians turning to clean-burning, reliable natural gas to heat and power their homes, hard-working families, manufacturers, and small businesses would shoulder the burden of this massive energy tax hike through higher energy costs, the agency found.
(Source: Independent Fiscal Office)
Commenting on the report, MSC’s Dave Spigelmyer told Natural Gas Intelligence that IFO’s analysis should “send off alarm bells” to Harrisburg politicians.
Pennsylvania’s Independent Fiscal Office (IFO) said this week that Democratic Gov. Tom Wolf’s renewed proposal for a severance tax on natural gas production would give the state the highest effective rate in the country. … The Marcellus Shale Coalition said Wolf’s proposal would be a “job-crushing tax burden” that “would restrict energy production” in the state. The trade group said the IFO’s “research should send off alarm bells to policymakers in Harrisburg.” (Natural Gas Intelligence, 4/6/17)
The obsession with enacting even higher energy taxes by some Harrisburg politicians further undercuts the Commonwealth’s competitiveness and ability to attract job-creating capital investment, putting Pennsylvania at disadvantage to states with lower taxes as companies decide where to invest. Coupled with a worsening “regulatory logjam” recently reported by the Associated Press, and new unnecessary regulatory changes, Pennsylvania is moving backwards in the fierce global competition for job-creating capital.
With the IFO confirming for three straight years that the governor’s energy tax increase will sting Pennsylvania families and hurt the Commonwealth’s competitiveness, WATCH this flashback to one of the IFO’s previous analysis.
Click HERE to watch this video online.