Environment DEC
From the April 2010 issue
Latest CO2 Emissions Auction Yields $32.7 Million for Clean Energy in New York State
DEC recently 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 the 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. The term vintage refers to when the purchased CO2 emission allowances must be used. For example, 2012-14 vintage allowances can only be used from January 1, 2012 through December 31, 2014.
Building a Clean Energy Economy
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 roll out 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.
Solar panels cover the roof of a BJ's wholesale club. RGGI auctions will provide more than $300 million for energy efficiency and renewable energy technologies. (Photo: NYSERDA)
Earlier this month, the New York State Energy Research and Development Authority (NYSERDA) approved a RGGI spending plan that will provide more than $300 million for energy efficiency, renewable energy and advanced technology. Of that, approximately $177 million would go toward energy audits and energy-efficiency installation measures in homes and businesses. The plan also identifies $112 million to fulfill the commitments of Governor David A. Paterson's Green Jobs/Green NY legislation. Under this part of the plan, NYSERDA will work with community colleges, unions and other groups to build and expand training and certification programs for emerging workers, building remodelers, HVAC technicians, energy auditors and engineers. The plan will also launch a competitive program for encouraging greenhouse gas reductions. About $15 million would be provided for industrial-sector proposals to achieve the most cost-effective carbon reductions in the state.
"The successful operation of the RGGI auctions is laying the groundwork for environmental and economic progress," Commissioner Grannis said. "The future benefits for New York are clear: reduced carbon pollution, cleaner air, more energy-efficient homes and businesses, and a more diversified workforce."
More Information
For the comments of other officials present at the announcement, as well as more information about RGGI and NYSERDA, see the full press release and "Related Links" below.
Related Links:
Regional Greenhouse Gas Initiative (leaving DEC's site)
New York State Energy Research and Development Authority (leaving DEC's site)
