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The world needs to reduce carbon levels, and one way is through a carbon tax, a strategy the U.S. has been debating for decades.   

With urgent calls to lower greenhouse gas emissions globally, putting a price on carbon was one of the major points of discussion among world leaders at the COP26 conference in Glasgow earlier this month. Consensus on a global carbon price is growing, according to Lord Greg Barker, executive chairman at EN+ and co-chair of the Carbon Pricing Leadership Coalition. 

“We need countries to come together to agree on international standards in order to make that big shift to the low carbon economy,” Barker told CNBC in an interview from COP26 last week. ”It would be much better for the world if there was a common carbon price.” 

As of now, Barker says there are 69 countries with a carbon price ranging from $1 to $139 per metric ton. The U.S. is not one of them.  

Barker told CNBC most economists agree that carbon pricing is the most effective tool there is to transition to a low carbon economy. Carbon pricing shifts the liability for the consequences of climate change to the polluters who are responsible, according to the World Bank.

The Biden administration has outlined $555 billion in spending to confront climate change, though the plan does not address carbon pricing. The bill does include a proposed methane fee incentivizing oil and gas companies to reduce their methane emissions. 

A policy to apply a carbon tax was considered as a “plan B” during negotiations over the current climate package, according to the New York Times, after Biden’s clean electricity program was cut from the spending bill last month.

If the U.S. administration can’t get behind the rest of the world on carbon pricing, there are other ways to follow through with the initiative, says Barker, such as regulations, taxes, and emissions trading. 

The U.S. has considered carbon import fees and emissions trading that would apply to carbon-intensive products imported to the country. “But carbon import fees only make sense if you have some kind of domestic U.S. carbon policy,” says Richard Newell, president of Resources for the Future, a nonpartisan energy and environment research organization.   

He thinks a price on carbon ultimately is achievable as part of U.S. policy as the world grapples with the seriousness of climate change and turns more to financial incentives to reach a low-carbon ecosystem that supports the entire economy.

The Biden administration has a government-wide plan addressing how climate change could affect all sectors of the U.S. economy. The plan was part of a larger agenda to eliminate greenhouse gas emissions in half by 2030 and transition to a net-zero emissions economy.  

“There is also going to be a desire to raise revenue to deal with climate change, and for other public purposes, and carbon pricing does all those things,” Newell said. He added that while an economy-wide carbon fee would be the best solution, the administration could start by applying carbon fees to individual sectors. 

As the U.S. decarbonizes areas like the power sector and automotive sector, Newell says pressure on government regulation will intensify. “There will be an increasing recognition that to really decarbonize the economy, across all sectors, there is going to be a need for some comprehensive policies,” he said.

“There has been a significant shift across the country in terms of the seriousness with which people and legislators are confronting climate change,” Newell said. ”And that will continue to build beyond the focus on particular sectors.”  

The debate over a carbon pricing mechanism right now takes place at a time of rising concerns about inflation and prices at the gas pump that have led to discussions about whether the government should tap the Strategic Petroleum Reserve. The methane fee sparked a debate with some worrying that raising the price of methane would increase electric and heating costs for individual consumers.  

Fears of rising prices for low-income households and increasing costs for businesses will need to be considered. 

“If politicians are smart and anticipate that they need to compensate, say families that might see their bills go up as a result of a carbon price, you can drive [carbon pricing] through,” Barker said.  

In a plan put together by the Climate Leadership Council, a climate advocacy group co-founded by former Secretary of State James Baker, who served in the Bush and Reagan administrations, the idea isn’t to fund government efforts to fight climate. The Climate Leadership Council’s plan outlines that revenue collected from a carbon fee is “to be returned to American households,” said Carlton Carroll, Climate Leadership Council spokesperson.  

“Nothing would do more to accelerate innovation and invest all citizens in a clean energy future than an economy-wide carbon fee, with corresponding dividends for the American people,” Carroll said. 

The group’s carbon dividends plan cites four major benefits to consumers, including an increase in household disposable income nationwide.  

Increasing carbon pricing could be done by taxing greenhouse-gas intensive goods and services, like gasoline, or by taxing carbon emitters individually. The Climate Leadership Council is among groups advocating for pricing carbon-intensive goods as part of a U.S. climate plan, “because it will go further, faster than any other single climate policy intervention,” says Carroll, “while also driving innovation throughout the economy and making families better off financially.” 

Historically, there has been some bipartisan support for a carbon tax. The first carbon pricing proposal was introduced in 1990, and there have been several other propositions since. Though none have passed, Newell said the most recent carbon pricing proposal in Biden’s social safety and climate plan piqued the interest of Congress far more than anticipated. 

The carbon tax proposed as part of the Build Back Better plan would impose a $20 fee per metric ton of carbon.

“I would say there was a surprisingly strong interest in a carbon fee as part of the ongoing budget reconciliation process,” Newell said. 

But Mindy Lubber, CEO of sustainability investment organization Ceres, told CNBC earlier this year that while a carbon tax is one way to prevent the U.S. from being locked into a fossil fuels economy and spur the development of new energy and transportation systems, it has proven controversial in the past, and is a complicated policy tool, making it harder for all sides to reach agreement on, especially in a Senate where the votes are so tight.

A carbon tax could be closer than some people think, says Flannery Winchester, spokeswoman for the progressive Citizens Climate Lobby. ”It has gone from a hopeful idea to one that is on the verge of becoming a reality,” she said.  

The White House and 49 senators were on board with a carbon tax, but not the key vote from West Virginia Democratic Senator Joe Manchin. 

“But there is clearly a lot more consensus than there’s ever been that this policy is effective for meeting America’s climate goals,” Winchester said. 

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Day 1 of the Electrek Formula Sun Grand Prix 2025 [Gallery]

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Day 1 of the Electrek Formula Sun Grand Prix 2025 [Gallery]

Today was the official start of racing at the Electrek Formula Sun Grand Prix 2025! There was a tremendous energy (and heat) on the ground at NCM Motorsports Park as nearly a dozen teams took to the track. Currently, as of writing, Stanford is ranked #1 in the SOV (Single-Occupant Vehicle) class with 68 registered laps. However, the fastest lap so far belongs to UC Berkeley, which clocked a 4:45 on the 3.15-mile track. That’s an average speed of just under 40 mph on nothing but solar energy. Not bad!

In the MOV (Multi-Occupant Vehicle) class, Polytechnique Montréal is narrowly ahead of Appalachian State by just 4 laps. At last year’s formula sun race, Polytechnique Montréal took first place overall in this class, and the team hopes to repeat that success. It’s still too early for prediction though, and anything can happen between now and the final day of racing on Saturday.

Congrats to the teams that made it on track today. We look forward to seeing even more out there tomorrow. In the meantime, here are some shots from today via the event’s wonderful photographer Cora Kennedy.

Stay tuned for more!

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Tesla sold 5,000 Cybertrucks Q2, Optimus is in chaos, plus: the Infinity Train!

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Tesla sold 5,000 Cybertrucks Q2, Optimus is in chaos, plus: the Infinity Train!

The numbers are in and they are all bad for Tesla fans – the company sold just 5,000 Cybertruck models in Q4 of 2025, and built some 30% more “other” vehicles than it delivered. It just gets worse and worse, on today’s tension-building episode of Quick Charge!

We’ve also got day 1 coverage of the 2025 Electrek Formula Sun Grand Prix, reports that the Tesla Optimus program is in chaos after its chief engineer jumps ship, and a look ahead at the fresh new Hyundai IONIQ 2 set to bow early next year, thanks to some battery specs from the Kia EV2.

Prefer listening to your podcasts? Audio-only versions of Quick Charge are now available on Apple PodcastsSpotifyTuneIn, and our RSS feed for Overcast and other podcast players.

New episodes of Quick Charge are recorded, usually, Monday through Thursday (and sometimes Sunday). We’ll be posting bonus audio content from time to time as well, so be sure to follow and subscribe so you don’t miss a minute of Electrek’s high-voltage daily news.

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Drop us a line at tips@electrek.co. You can also rate us on Apple Podcasts and Spotify, or recommend us in Overcast to help more people discover the show.


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Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. Get started here.

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Tesla launches Oasis Supercharger with solar farm and off-grid batteries

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Tesla launches Oasis Supercharger with solar farm and off-grid batteries

Tesla has launched its new Oasis Supercharger, the long-promised EV charging station of the future, with a solar farm and off-grid batteries.

Early in the deployment of the Supercharger network, Tesla promised to add solar arrays and batteries to the Supercharger stations, and CEO Elon Musk even said that most stations would be able to operate off-grid.

While Tesla did add solar and batteries to a few stations, the vast majority of them don’t have their own power system or have only minimal solar canopies.

Back in 2016, I asked Musk about this, and he said that it would now happen as Tesla had the “pieces now in place” with Supercharger V3, Powerpack V2, and SolarCity:

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All of these pieces have been in place for years, and Tesla has now discontinued the Powerpack in favor of the Megapack. The Supercharger network is also transitioning to V4 stations.

Yet, solar and battery deployment haven’t accelerated much in the decade since Musk made that comment, but it is finally happening.

Last year, Tesla announced a new project called ‘Oasis’, which consists of a new model Supercharger station with a solar farm and battery storage enabling off-grid operations in Lost Hills, California.

Tesla has now unveiled the project and turned on most of the Supercharger stalls:

The project consists of 168 chargers, with half of them currently operational, making it one of the largest Supercharger stations in the world. However, that’s not even the most notable aspect of it.

The station is equipped with 11 MW of ground-mounted solar panels and canopies, spanning 30 acres of land, and 10 Tesla Megapacks with a total energy storage capacity of 39 MWh.

It can be operated off-grid, which is the case right now, according to Tesla.

With off-grid operations, Tesla was about to bring 84 stalls online just in time for the Fourth of July travel weekend. The rest of the stalls and a lounge are going to open later this year.

Electrek’s Take

This is awesome. A bit late, but awesome. This is what charging stations should be like: fully powered by renewable energy.

Unfortunately, it will be much harder to open those stations in the future due to legislation that Trump and the Republican Party have just passed, which removes incentives for solar and energy storage, adds taxes on them, and removes incentives to build batteries – all things that have helped Tesla considerably over the last few years.

The US is likely going to have a few tough years for EV adoption and renewable energy deployment.

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