Push to end New York’s subsidies to fossil fuelers with surging profits – NEWS10 ABC

Report on Proposed Repeal of Fossil Fuel Subsidies in New York State

Introduction: Legislative Action for Climate and Sustainability

A legislative initiative in New York State, the Stop Climate Polluter Handouts Act (S3606A/A3675A), proposes the repeal of an estimated $350 million in annual subsidies to the fossil fuel industry. Proponents, including state legislators and climate activists, argue the measure is a critical step towards achieving several Sustainable Development Goals (SDGs), particularly SDG 13 (Climate Action) and SDG 7 (Affordable and Clean Energy), by redirecting public funds away from polluting industries.

Analysis of the Proposed Legislation and its Alignment with SDGs

Fiscal Responsibility and Economic Growth (SDG 8)

Advocates for the bill emphasize its potential to enhance fiscal responsibility and promote sustainable economic models, in line with SDG 8 (Decent Work and Economic Growth). Key arguments include:

• The legislation would generate state revenue by eliminating tax breaks, rather than imposing new taxes.
• The estimated $350 million saved could address budget deficits and support an affordability crisis faced by New Yorkers.
• This action is contrasted with a reported $1.2 trillion in profits netted by major oil and gas producers from January 2021 to September 2025, suggesting the subsidies are unnecessary for industry viability.

The bill specifically targets several provisions in the tax code for repeal, which would impact consumption and production patterns, a key target of SDG 12 (Responsible Consumption and Production).

1. Repeal of language related to “manufacturing gallonage” for tax imposition.
2. Elimination of reimbursement provisions for motor fuel and petroleum.
3. Repeal of a utility credit or reimbursement provision.
4. Removal of an exemption for aviation fuel businesses.
5. Repeal of a tax law subparagraph for services to oil and gas property.
6. Elimination of a tax exemption for fuel sold to airlines, valued at $140 million in 2025.

Public Health and Sustainable Communities (SDG 3 & SDG 11)

The initiative directly addresses public health and environmental justice concerns, contributing to SDG 3 (Good Health and Well-being) and SDG 11 (Sustainable Cities and Communities). Assemblymember Jessica González-Rojas linked fossil fuel production in her district to adverse local impacts, including increased flooding and high rates of asthma. By disincentivizing fossil fuel use, the bill aims to improve air quality and reduce environmental hazards that disproportionately affect vulnerable communities, thereby supporting SDG 10 (Reduced Inequalities).

Stakeholder Perspectives and Counterarguments

Concerns Regarding Economic Impact

Opponents of the bill, including the Business Council of New York State, express concern that its passage would negatively affect SDG 8 (Decent Work and Economic Growth). They argue that repealing the tax provisions would:

• Increase the cost of doing business in New York, as many employers lack immediate alternative energy sources.
• Lead to higher prices for consumers as costs are passed on by manufacturers, airlines, and utility companies.
• Potentially result in job cuts to offset increased operational expenses.

These stakeholders reframe the tax breaks not as “subsidies” but as a necessary cost-sharing structure essential for maintaining economic stability.

Governance and Institutional Integrity (SDG 16)

The debate highlights challenges related to SDG 16 (Peace, Justice, and Strong Institutions), particularly concerning lobbying and government transparency. A report by the LittleSis Public Accountability Initiative alleged that fossil fuel interests spent nearly $16 million on lobbying from 2021 to August 2025 to influence state policy. This raises questions about the influence of private interests on public policy intended to advance climate goals. The Hochul administration has defended its record, citing investments in clean energy and an “all-of-the-above energy approach” to ensure a reliable and affordable power grid.

Global Context and New York’s Energy Future

Alignment with International Climate Commitments

The proposed legislation aligns with the objectives of the Paris Agreement, which is central to SDG 13 (Climate Action). Reports from Oil Change International and Carbon Tracker indicate that major fossil fuel producers are planning to increase production, a trajectory inconsistent with the agreement’s goals. The push to end subsidies in New York is presented as a necessary local action to help close the global “Production Gap.”

Transition to a Clean Energy Economy

The discussion occurs alongside positive developments in New York’s clean energy sector, which supports progress toward SDG 7 and SDG 8. As of December 2023, the sector employed 178,000 New Yorkers, with job training programs aimed at integrating individuals from disadvantaged communities into this growing workforce. This demonstrates a viable pathway for economic transition that supports both environmental sustainability and social equity.

Analysis of Sustainable Development Goals in the Article

1. Which SDGs are addressed or connected to the issues highlighted in the article?

The article discusses issues that are directly and indirectly connected to several Sustainable Development Goals (SDGs). The primary focus on repealing fossil fuel subsidies and addressing climate change links to goals concerning climate action, clean energy, and responsible consumption. Furthermore, the article touches upon the health, economic, and institutional aspects of this debate, connecting to additional SDGs.

• SDG 3: Good Health and Well-being: The article connects fossil fuel production to negative health outcomes, specifically mentioning “high rates of asthma.”
• SDG 7: Affordable and Clean Energy: The core debate is about shifting financial incentives from fossil fuels to cleaner energy sources, which is central to this goal. The article discusses the state’s clean energy mandates and investments in clean energy jobs.
• SDG 8: Decent Work and Economic Growth: The economic implications of the proposed legislation are discussed from multiple angles, including the creation of jobs in the clean energy sector (“178,000 New Yorkers working in the clean energy sector”) and potential job cuts or increased business costs cited by opponents.
• SDG 12: Responsible Consumption and Production: The proposed “Stop Climate Polluter Handouts Act” directly targets inefficient fossil fuel subsidies, which is a key component of this SDG.
• SDG 13: Climate Action: This is the most prominent SDG in the article. The entire legislative push is framed as a climate action measure (“Stop Climate Polluter Handouts Act”). The article repeatedly references climate change, climate-driven disasters, and the Paris Climate Agreement.
• SDG 16: Peace, Justice and Strong Institutions: The article details extensive lobbying efforts by the fossil fuel industry (“spent almost $16 million lobbying state government”) and raises questions about potential conflicts of interest within the government, which relates to the goal of building effective, accountable, and transparent institutions.

2. What specific targets under those SDGs can be identified based on the article’s content?

Based on the issues discussed, several specific SDG targets can be identified:

1. Target 12.c: Rationalize inefficient fossil-fuel subsidies that encourage wasteful consumption by removing market distortions, in accordance with national circumstances, including by restructuring taxation and phasing out those harmful subsidies, where they exist, to reflect their environmental impacts.
   • Explanation: The article is centered on the “Stop Climate Polluter Handouts Act,” a legislative effort aimed at repealing an estimated “$350 million in annual fossil fuel subsidies.” The bill explicitly targets various tax breaks and credits for the fossil fuel industry, such as exemptions for aviation fuel and manufacturing fuel, which is a direct implementation of this target.
2. Target 13.2: Integrate climate change measures into national policies, strategies and planning.
   • Explanation: The proposed state-level bill is a clear example of integrating climate change measures into policy and fiscal planning. Proponents argue that repealing subsidies is a necessary step to align the state’s budget with its climate goals and the “Climate Leadership and Community Protection Act.”
3. Target 3.9: By 2030, substantially reduce the number of deaths and illnesses from hazardous chemicals and air, water and soil pollution and contamination.
   • Explanation: The article mentions a direct health impact of fossil fuel production. Assemblymember Jessica González-Rojas alleges that it “causes problems like… high rates of asthma in her own district.” This links the push against fossil fuels to the public health goal of reducing illnesses caused by pollution.
4. Target 16.5: Substantially reduce corruption and bribery in all their forms.
   • Explanation: While not explicitly alleging corruption, the article highlights significant lobbying expenditures by fossil fuel companies (“almost $16 million lobbying state government”) and points to potential conflicts of interest, such as a top aide’s husband working for a lobbying firm representing fossil fuel projects. This scrutiny of industry influence on policymaking relates to the goal of ensuring transparent and accountable institutions free from undue influence.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

Yes, the article contains several quantitative and qualitative indicators that can be used to measure progress.

1. Indicator for Target 12.c (Amount of fossil-fuel subsidies):
   • Explanation: The article provides specific monetary values for the subsidies in question, which directly corresponds to indicator 12.c.1 (Amount of fossil-fuel subsidies per unit of GDP). The text quantifies the total annual subsidies at “$350 million” and breaks down specific tax breaks, such as the “$140 million” sales tax exemption for fuel sold to airlines and “$5 million” for the manufacturing fuel exemption. Progress can be measured by tracking the reduction or elimination of these specific amounts.
2. Indicator for SDG 13 (Climate Action Policies):
   • Explanation: The primary indicator is the status of the “Stop Climate Polluter Handouts Act (S3606A/A3675A).” Its passage and implementation would serve as a direct measure of the state’s progress in integrating climate change measures into its fiscal policy. The article also references the Paris Agreement, and reports from Carbon Tracker and Oil Change International project that fossil fuel producers are not aligned with its goals, providing a benchmark against which policy effectiveness can be measured.
3. Indicator for SDG 8 (Clean Energy Jobs):
   • Explanation: The article provides a direct data point: “as of December 2023, there were 178,000 New Yorkers working in the clean energy sector.” This number serves as a baseline indicator to track the growth of decent work in the renewable energy industry as the state transitions away from fossil fuels.
4. Indicator for SDG 3 (Health Outcomes):
   • Explanation: The article implies an indicator by mentioning “high rates of asthma.” Progress could be measured by tracking the incidence rates of respiratory illnesses like asthma in districts with significant fossil fuel infrastructure, both before and after the implementation of climate-friendly policies.
5. Indicator for SDG 16 (Lobbying and Institutional Integrity):
   • Explanation: The article provides data on lobbying spending, stating that fossil fuelers and their trade groups “spent almost $16 million lobbying state government” over a specific period. Tracking this spending serves as an indicator of the level of influence exerted by specific industries on government policy.

4. Table of SDGs, Targets, and Indicators

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