President Barack Obama is expected to propose a $10-a-barrel tax on oil companies in his last budget proposal. The initiative aims to create a new clean transportation plan prioritizing the reducing of greenhouse gases.
The White House released a fact sheet on Thursday, where it claims the new plan, which is expected to phase in throughout five years, will reduce carbon pollution, strengthen the economy and make transportation easier for American families.
The administration claims it will use the revenue from these companies to "speed goods to the market," develop autonomous vehicles, and build high-speed rails that could be an alternative to flying to major regional corridors, the White House said.
However, greater tax on oil may implicate higher prices for both companies and consumers.