Press release: State Rep. Eric Burlison Encourages Governor Nixon to Sign Important Tax Clarification for Missouri’s Electricity Providers
Contact Rep. Eric Burlison
State Rep. Eric Burlison Encourages Governor Nixon to
Sign Important Tax Clarification for Missouri’s Electricity Providers
Burlison says measure is important step to contain rate costs for Missouri consumers
JEFFERSON CITY, Mo. – As states brace for the potentially devastating impact of new federal EPA regulations on coal-fired plants, state Rep. Eric Burlison says it is important for the governor to proactively protect Missourians from skyrocketing electricity rates.
Burlison said the governor should sign SB 584 into law to provide tax relief to Missouri providers, which will help offset some of the costly new regulations that are on the horizon. SB 584 would clarify that a state sales and use tax exemption for manufacturing also applies to utilities, materials, and machinery used to generate or transmit electricity. The current tax code exempts manufacturing, including the transmission and delivery of signals for telephone service and radio and television broadcasters.
“These new regulations have the potential to destroy jobs and cause massive rate hikes as our energy providers undertake extremely expensive steps to comply with these burdensome mandates,” said Burlison, R-Springfield. “By signing our tax relief measure into law, the governor can offset at least some of the financial burden that is about to fall squarely on the shoulders of electricity providers in Missouri. These savings will help to contain costs and protect Missouri consumers from excessive rate spikes.”
Burlison said a new report issued by the U.S. Chamber of Commerce states the new regulations could incur $50 billion in annual costs through 2030, and diminish the nation’s coal-fired energy capabilities by a third. The study reveals that U.S. consumers would pay almost $290 billion more for electricity between 2014 – 2030, an average of $17 billion more per year. Missouri consumers would pay on average $65.4 billion more in that time frame.