State Environmental Commissioner Pete Grannis announced New York’s successful participation in another quarterly auction of carbon dioxide ( CO2 ) pollution allowances. This auction, the seventh conducted by the 10 states participating in the Regional Greenhouse Gas Initiative ( RGGI ), generated $88 million to invest in the clean energy economy. New York’s share of the proceeds is approximately $32.7 million.
All 40,612,408 allowances offered by the 10 RGGI states for the current compliance period ( 2009-2011 ) sold at a clearing price of $2.07 per allowance in this week’s auction. In a parallel offering, the RGGI states also auctioned allowances for the next three-year compliance period ( 2012-2014 ): 2,091,000 of these allowances sold for $1.86 per allowance. New York sold 15,136,022 of the 2009-11 vintage allowances and 740,167 of the 2012-14 vintage.
Overall, the 10 RGGI states have now raised a total of $582.3 million since the first RGGI auction in September 2008. New York’s share is approximately $213.4 million. States are investing proceeds to improve energy efficiency, accelerate the rollout of renewable energy technology and build the clean energy economy. New York’s innovative investments will drive demand for new products and services and help train a new workforce.
About the Regional Greenhouse Gas Initiative
The 10 Northeast and Mid-Atlantic states participating in RGGI ( Connecticut, Delaware, Maine, Maryland, Massachusetts, New Jersey, New Hampshire, New York, Rhode Island and Vermont ) have designed and implemented the first market-based, mandatory cap-and-trade program in the U.S. to reduce greenhouse gas emissions. Power sector CO2 emissions are capped at 188 million short tons per year through 2014. The cap will then be reduced by 2.5 percent in each of the next four years ( 2015 through 2018 ) for a total reduction of 10 percent.
