WASHINGTON – Sen. John Kennedy (R-La.) today introduced a joint resolution under the Congressional Review Act (CRA) to overturn the Biden administration’s final guidance on voluntary carbon credits.

The Biden-era Commodity Futures Trading Commission (CFTC) final guidance would legitimize and pave the way for regulating the voluntary trade of carbon credits, also known as carbon offsets. Voluntary carbon credit schemes function by allowing companies to “offset” their own carbon dioxide emissions by funding purportedly “green” projects elsewhere. The state of California and much of Europe have adopted controversial laws that force certain companies to cut emissions, many of which opt to buy voluntary carbon credits.

“The American people rejected Pres. Biden’s radical green agenda, but the last administration’s bureaucratic schemes could still force California- and European-style climate craziness on the rest of the country. Congress should join me in voting to stop radical policies that put unrealistic expectations on American businesses,” said Kennedy.

The CRA allows Congress to overturn certain federal agency regulations and actions through a joint resolution of disapproval. If both houses of Congress approve such a joint resolution and the president signs it, or if Congress successfully overrides a presidential veto, the final guidance at issue becomes invalid.

Sen. Tim Sheehy (R-Mont.) cosponsored the resolution.

Text of the resolution is available here.