Polluters Pay Climate Fund Act of 2025

The Polluters Pay Climate Fund Act of 2025 aims to establish a federal fund to address the economic and environmental impacts of climate change. The bill proposes to raise $1 trillion over a 10-year period by requiring the world’s largest fossil fuel extractors and refiners to pay an assessment based on their historical greenhouse gas emissions. This requirement would specifically target companies responsible for more than 1 billion metric tons of carbon dioxide emissions between 2000 and 2023, including both U.S.-based firms and foreign companies doing business in the United States.

If enacted, the revenue would be used to fund a variety of public projects, such as upgrading infrastructure to withstand extreme weather, cleaning up pollution in heavily impacted communities, and providing disaster assistance. The legislation proposes that 40% of these funds be dedicated to "environmental justice" communities that have historically borne a disproportionate share of pollution and climate-related risks. The bill also aims to ensure that these costs are not passed on to consumers, though critics of the proposal often express concern regarding potential impacts on energy prices and the legality of retroactive assessments.