Washington drivers feel higher gas prices as carbon costs soar

Carbon prices for air pollution allowances have climbed again, impacting drivers with higher gas prices across the state.

The Department of Ecology announced that allowances sold for $50 each at the March auction, a 24% increase from December. According to the Washington State Standard, this latest sale will generate an additional $230 million for the state.

But as carbon prices soar, so too does the burden on drivers. Todd Myers, vice president for research at the Washington Policy Center, said the increase is expected given the design of the Climate Commitment Act.

“It’s a punishment for using CO2-emitting fuel,” Myers told the Washington State Standard. “The only question is, how rapidly it goes up? And, you know, a 24% jump is kind of a lot.”

Climate Commitment Act continues to drive up costs

Critics of the Climate Commitment Act, including the Washington Policy Center and the Western States Petroleum Association, said the program is driving up fuel and utility costs. They note it adds about .40 cents to a gallon of gasoline and .50 cents for diesel. …