Mnuchin Questions Need for Carbon Tax



Mnuchin Questions Need for Carbon Tax
U.S. Treasury Secretary Steven Mnuchin called it "a tax on hard working people."

(Bloomberg) -- U.S. Treasury Secretary Steven Mnuchin weighed in on the debate about a carbon tax in Davos, saying technological developments would make it redundant.

“If you want to put a tax on people, go ahead and put a carbon tax. That is a tax on hard working people. I personally think the costs are going to be a lot lower 10 years from now because of technology,” Mnuchin said, speaking on a panel alongside European Central Bank President Christine Lagarde on Friday.

His comments go against the grain of other participants at this year’s World Economic Forum meetings. European Commission President Ursula von der Leyen used Davos to warn China and other fossil fuel producers to put a price on carbon emissions at home or risk being hit with a planned greenhouse gas tax on products imported into the EU. The U.K.‘s Prince Charles also voiced support.

A carbon tax could test Europe’s ties with China just as the leadership in Beijing faces pressure to set ambitious climate targets in its next five-year plan. At the same time, China’s fractious relationship with the U.S. could challenge any effort to rein in emissions, with the trade war and the U.S. withdrawal from the Paris Agreement taking away the pressure.

“I don’t mean to minimize this issue, there’s lots of other issues we could talk about,” Mnuchin said. “The world is dependent upon having reasonable-priced energy for the next 10 or 20 years, or we’re not going to create growth, we’re not going to create jobs.”

--With assistance from Saleha Mohsin and Carolynn Look.

To contact the reporter on this story: Jill Ward in London at jward98@bloomberg.net

To contact the editors responsible for this story: Fergal O'Brien at fobrien@bloomberg.net, Brian Swint

©2020 Bloomberg L.P.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



WHAT DO YOU THINK?


Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.