S2444-119

In Committee

End Polluter Welfare Act of 2025

119th Congress Introduced Jul 24, 2025

Analysis under review: This bill has generated analysis that may be too generic or incomplete. Clause-level evidence remains available below.

Summary

What This Bill Does

This legislation systematically eliminates federal financial support for fossil fuel companies. It ends tax credits and deductions for oil, gas, and coal production, raises royalty rates on federal lands, removes liability caps for oil spills, and prohibits federal agencies from funding fossil fuel projects.

Who Benefits and How

Renewable energy companies face less competition from subsidized fossil fuels. Federal taxpayers may see increased revenue from higher royalty rates (raised from 12.5-16.67% to 18.75%) and eliminated tax expenditures. Environmental groups and communities near drilling sites benefit from unlimited liability for oil spills and pollution cleanup.

Who Bears the Burden and How

Oil, gas, and coal companies lose numerous tax benefits including the enhanced oil recovery credit, percentage depletion, intangible drilling cost deductions, and accelerated depreciation. Coal mining companies face higher reclamation costs without the special tax treatment. Large financial institutions (banks with $10B+ in assets, investment firms with $250B+ under management) lose CERCLA liability protections when lending to polluting facilities.

Key Provisions

  • Terminates 15+ specific fossil fuel tax credits and deductions effective upon enactment
  • Raises federal royalty rates on oil, gas, and coal leases from 12.5-16.67% to 18.75%
  • Removes $75 million liability cap for offshore oil spills
  • Prohibits DOE, USDA, Export-Import Bank, and DFC from funding fossil fuel projects
  • Eliminates lender liability protections under CERCLA for large financial institutions

Evidence Chain:

This summary is generated from the full bill text using AI analysis. Expand "Detailed Analysis" below for identified beneficiaries/burden bearers.

At a Glance

What This Bill Does

Eliminates federal subsidies, tax breaks, and financial support for fossil fuel production, refining, and transportation while increasing royalty rates and environmental liability for the industry.

Who Benefits

  • Renewable Energy Companies
  • Federal Treasury
  • Environmental Groups

Who Bears Costs

  • Oil & Gas Extraction Companies
  • Coal Mining Companies
  • Petroleum Refineries

Key Policy Areas

Energy, Taxation, Environment, Federal Spending, International Finance

Primary Purpose

Eliminates federal subsidies, tax breaks, and financial support for fossil fuel production, refining, and transportation while increasing royalty rates and environmental liability for the industry.

Policy Domains

Energy Taxation Environment Federal Spending International Finance

Legislative Strategy

"Comprehensive elimination of fossil fuel subsidies through both direct spending cuts and tax code changes to increase industry costs and level the playing field with renewables"

Legislative Progress

In Committee
Introduced Committee Passed
Jul 24, 2025

Mr. Sanders (for himself, Ms. Warren, Mr. Merkley, Mr. Welch, …

Jul 24, 2025

Read twice and referred to the Committee on Finance.

Jul 24, 2025

Introduced in Senate

Stakeholder Effects

cui bono?

How this legislation distributes effects. Mention counts reflect frequency, not effect magnitude.

Oil & Gas
45 mentions across 36 clauses
-45 negative

Carbon capture and sequestration project developers, Carbon capture technology developers, Enhanced oil recovery operations using captured carbon

Mining
9 mentions across 9 clauses
-9 negative

Advanced coal project developers, Coal mining and processing companies, Coal mining companies

Manufacturing
5 mentions across 3 clauses
+2 positive -3 negative

Blue hydrogen producers (fossil-derived hydrogen), Blue hydrogen producers (steam methane reforming with carbon capture), Fossil-derived hydrogen producers

Positive-direction: Green hydrogen producers using new renewable electricity, Green hydrogen producers using renewable electricity

Negative-direction: Blue hydrogen producers (fossil-derived hydrogen), Blue hydrogen producers (steam methane reforming with carbon capture), Fossil-derived hydrogen producers

Utilities
3 mentions across 3 clauses
+2 positive ?1 uncertain

Geothermal energy producers, International renewable energy projects, Rural renewable energy projects

Research & Science
2 mentions across 2 clauses
+1 positive -1 negative

Clean energy research organizations, Fossil energy research organizations and contractors

Positive-direction: Clean energy research organizations

Negative-direction: Fossil energy research organizations and contractors

Transportation
2 mentions across 1 clause
-2 negative

Coal and oil transportation railroads, Fossil fuel export terminals and ports

General Public
2 mentions across 2 clauses
+2 positive

Environmental advocacy organizations, Oil Spill Liability Trust Fund

Government
1 mention across 1 clause
+1 positive

Federal government royalty revenues

41/53
sections analyzed
Full impact breakdown

Bill Structure & Actor Mappings

Who is "The Secretary" in each section?

Domains
Energy Environment Federal Spending International Finance
Actor Mappings
"the_secretary_energy"
→ Secretary of Energy
"the_secretary_treasury"
→ Secretary of the Treasury
"the_secretary_agriculture"
→ Secretary of Agriculture
Domains
Taxation Energy
Actor Mappings
"the_secretary"
→ Secretary of the Treasury

Key Definitions

Terms defined in this bill

2 terms
"fossil fuel" §101

Coal, petroleum, natural gas, or any derivative of coal, petroleum, or natural gas that is used for fuel.

"fossil fuel activities" §202(b)

The exploration, development, mining or production, processing, refining, transportation (including pipelines transporting gas, oil, or products thereof), distribution, or marketing of coal, petroleum, natural gas, or any derivative that is used for fuel.

We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.

Learn more about our methodology