Week in Insights: Rethink Carbon Capture’s Role in Tax Policy

Curated by Daniel Xu

From electric vehicle tax credits for consumers to clean energy credits for manufacturers, tax dollars are being injected into the economy to reduce our reliance on non-renewable resources.

But not every dollar may be pulling in the same direction. Tax credits for carbon capture projects, often owned by oil and gas companies, may inadvertently prolong the extraction and use of fossil fuels. Carbon capture is a useful weapon in the arsenal against climate change—but not if emissions continue to outstrip capture.

Think of atmospheric carbon as household debt. We have accrued debt and are ...