Farmers, Truckers, Sue WA State over Carbon Credit Exemptions

When WA state passed the Climate Commitment Act in 2021, farmers and transporters were told they would have some carve-outs or exemptions to the exorbitant costs we are now seeing at the gas pump.  It hasn't happened.

WA State Farm Bureau, WA Trucking Association file lawsuit

These two parties have filed a lawsuit in Thurston County Superior Court, claiming exemptions they were supposed to receive from the impacts of the CCA are not happening. The lawsuit is against the Department of Ecology.

According to The Center Square:

(the lawsuit) "the agency has improperly adopted regulations which eliminate tax exemptions on diesel fuel used in farming and ranching operations and truckers hauling agricultural products on public roadways."

Due to the massive fuel demands of farming and transportation, they were supposed to be exempt. The Farm Bureau and Trucking Association say the CCA has specific exemptions for agriculture and transportation concerning the moving of ag products.

The lawsuit says DOE was supposed to maintain this exemption for five years, to allow the ag industry and transportation to find ways to manage or adapt to the massive cost shifts now being felt due to the carbon credit auctions and the program.

Data from the Washington Policy Center shows WA fuel prices have risen $.75 cents for a gallon of regular unleaded fuel (on average) since January,  it's nudged even higher for diesel.

According to The Center Square:

"The farm bureau and trucking association contend that the CCA-imposed charges, implemented in January, have increased ag-related diesel costs between 45 cents and 70 cents per gallon, resulting in an estimated $74 million increase in fuel prices “that should be exempt.”"

When the CCA was being touted by Gov. Inslee and DOE last winter, they said it would only result in pennies on the gallon increases, but that has not happened.

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The Center Square reports, as of Thursday, no response from the WA State AG's office. AG Bob Ferguson is tasked with defending the state when it is sued.