1. Regional Initiatives to Reduce GHG Emissions in the United States Dr. WilBurns Spring 2011

2. ROADMAP Regional Greenhouse Gas Initiative (Northeast) Western Climate Initiative Mid-Western Greenhouse Gas Accord Brief assessment of programs State initiatives

3. RGGI: Member States Members: Connecticut Delaware Maine Maryland Massachusetts New Hampshire New Jersey New York Rhode Island Vermont

4. RGGI MOU: State Implementation MOU, Sec. 3(B.) Legislation and/or Rulemaking. Each Signatory State commits to seek to establish in statute and/or regulation the Program and have that State’s component of the regional Program effective as soon as practicable but no later than December 31, 2008.

5. RGGI: Cap and Trade Plan Stabilization of power sector carbon dioxide emissions at 188 million tons per year, which is about 4% above average regional emissions between 2000-2004; Emissions decline from power sector of 2.5% annually from 2015-2018, resulting in emissions levels that is 10% below initial 2009 cap. Regional Annual CO2 Emissions Budget (short tons) 2009-2014: 188,076,976 2015: 183,375,052 2016: 178,673,127 2017: 173,971,203 2018: 169,269,278

6. RGGI: Individual State Allocations State 2000 2001 2002 Average 2000-02 Cap 2009-2014 CT 11.9 10.9 9.7 10.9 10.7 DE 7.4 7.6 7.7 7.6 7.6 MA 25.4 25.4 25.1 25.4 26.7 ME 3.2 5.5 5.8 4.8 5.9 NH 5.2 4.9 5.6 5.2 8.6 NJ 22 20.2 21.1 21.1 22.9 NY 69.8 65.6 61.4 65.6 64.3 - RI 3 1.8 3.2 2.7 2.7 VT 0.03 0.005 0.02 0.02 1.2 MD 38.4 37 38.1 37.5 37.5 ============================================ Total 186.3 178.9 176.7 180.6 188.1

7. RGGI: Auction Protocols At least 25% of allowances (one ton per allowance) to be auctioned to support consumer benefit programs; NY, MA, VT, RI, CT, and ME have all publicly stated their commitment to auction 100%, or nearly 100%, of their allowances to support “consumer benefit programs”

8. RGGI Offset Options Landfill methane capture and destruction; Reduction in emissions of sulfur hexafluoride (SF6); Sequestration of carbon due to afforestation; Reduction or avoidance of CO2 emissions from natural gas, oil, or propane end use combustion due to end use energy efficiency in the building sector; and, Avoided methane emissions from agricultural manure management operations.

9. RGGI: Leakage MOU, Sec. 6(A.)(5) if at any point after the launch of the program there is a determination that the Program has led to a significant increase in emissions from electric generating units outside the Signatory States, the Signatory States shall, after taking into account the analyses and findings called for under Section 6(a)(1), implement appropriate measures to mitigate such emissions.

10. RGGI: Integration into Federal Programs MOU, Sec. 6(C.) Federal Program. When a federal program is proposed, the Signatory States will advocate for a federal program that rewards states that are first movers. If such a federal program is adopted, and it is determined to be comparable to this Program, the Signatory States will transition into the federal program.

11. RGGI: Review and Future Commitments MOU, Sec. 6(D.) Comprehensive 2012 Review. In 2012, the Signatory States will commence a comprehensive review of all components of the Program, including but not limited to: (1) Program Success. The Signatory States will review whether the Program has been successful in meeting its goals. (2) Program Impacts. The Signatory States will review the impacts of the Program as to price and system reliability. (3) Additional Reductions. The Signatory States will consider whether additional reductions after 2018 should be implemented.

12. U.S. Constitution Art. I, Sec. 10 No State shall, without the Consent of Congress . . . enter into any Agreement or Compact with another State . . .

13. RGGI: Regional Organization Functions MOU, Sec. 4 Regional Organization comprised of two representatives from each Signatory State; Functions: “Act as the forum for collective deliberation and action among the Signatory States in implementing the Program;” Act on behalf of each of the Signatory States in developing, implementing and maintaining the system to receive and store reported emissions data from sources and track allowance accounts for the Program; Provide technical support for development of offset sources and implementation of program; (5) The RO is a technical assistance organization only. The RO shall have no regulatory or enforcement authority with respect to the Program, and such authority is reserved to each Signatory State for the implementation of its rule.

14. WCI Partners & Observers

15. Western Climate Initiative: Emissions Goals 15% reduction in greenhouse gas emissions below 2005 levels by 2020; Signatory States agree to commit to long-term reductions sufficient to “significantly lower the risk of dangerous threats to climate change.” Cited 50-80% reductions required by 2050; Does not replace Signatory States existing goals

16. Western States and Provinces Goals

17. WCI: Coverage of Action in the Goal Sec. 3: Statement of Regional Goal Emissions reduction activities by which partners achieve the regional reduction goal should be comprehensive and economy-wide, including: a. Regional multi-sector market-based mechanisms; b. Actions in all sectors, including but not limited to: stationary sources, energy supply, residential, commercial, industrial, transportation, waste management, agriculture, and forestry; and c. Reduction in emission of any GHG reported to the UN Framework Convention on Climate Change by the USEPA and Environment Canada, i.e., carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), and sulfur hexafluoride (SF6).

18. WCI: New Entrant Criteria Can be additional U.S. States, tribes, Canadian provinces, Mexican States; Must have adopted economy-wide greenhouse gas reduction goal; Must have committed to greenhouse gas tailpipe standards for passenger vehicles

19. WCI: Load-Based Emissions Standard Annex A, Statement of Regional Goal Consumption-based (or “load-based”) emissions estimates for the electricity sector, except where such estimates are currently unavailable, in which case production-based estimates are used (British Columbia). Consumption-based estimates reflect the emissions associated with generating the electricity delivered to consumers in each state or province whether the electricity was generated in state/province or out of state/province.

20. Midwestern Greenhouse Gas Reduction Accord (MGGRA)

21. Regional Climate Initiatives

22. State Renewable Portfolio Standards

23. State Initiatives

24. State Alternative Fuel Policies

25. State Emission Targets