Renewable Energy Teleconference Series

States and regions are proposing to address the need to control greenhouse gas emissions using various strategies and different approaches. Ten Northeastern and Mid-Atlantic States have formed the Regional Greenhouse Gas Initiative (RGGI) to control greenhouse gas emissions from power plants through a cap and trade system. The first compliance period is scheduled to begin on January 1, 2009.

In California, 2006 legislation enacted as AB. 32 requires economy-wide reductions in the state's greenhouse gas emissions to 1990 levels by 2020. The initial draft of the scoping plan was presented earlier this year. Arizona, California, New Mexico, Oregon and Washington launched in 2007 a collaborative effort to develop regional strategies to address climate change. The participating states in this Western Climate Initiative have since expanded to Utah, Montana and the provinces of Manitoba, Quebec, Ontario and British Columbia and committed to achieve reductions of greenhouse gas emissions of 15 per cent below 2005 levels through market-based mechanisms.

In the Midwest, the states of Wisconsin, Michigan, Minnesota, Illinois, Iowa and Kansas, plus the province of Manitoba have committed to establishing an emissions trading system by 2010 to control greenhouse gas emissions. Ohio and Indiana are observers for major portions of this program. While no targets for the Midwestern Greenhouse Gas Reduction Accord have been reached, the commitment is likely to mean emissions cuts of 60 to 80 per cent in the Midwest.

Subjects to be covered comparatively and looking ahead in the Program include:

• Which economic sectors and which sources will fall under the caps? Are there differences by region?
• How will the cap be enforced?
• Which entities will be required to report emissions (e.g., will entities not expected to be initially subject to the cap have to report)? What greenhouse gases will entities be required to report?
• Are there differences in registries and data verification techniques?
• What method of distribution of allowances will be adopted, particularly if allowances are distributed outside an auction?
• How will allowances be allocated to each state? What about “leakage” of greenhouse gases from outside the state or region and is this managed?
• If auctions are used to allocate allowances, how will they be structured? What to do with auction revenues? What levels of pricing are expected from the auctions?
• Who will participate and what problems are expected? Is European experience with greenhouse gas allowances auctions relevant and what corrective actions are anticipated in the regions?
• What is the role of carbon offsets in cap and trade, and how will this integrate with the growing voluntary renewable energy market?
• Are there unique political issues (e.g., economic impacts, need for legislative approval; possible sources of opposition to GGI)? Is litigation pending or threatened which would affect or delay any state or regional initiative?
• What do state and regional initiatives mean for Federal and international activities? Do they fit together or will they be preempted?

Q & A Submission:
Q & A both on the teleconference and live at the host firm sites, will follow the speakers' presentations. Please email questions to abaquestions@acore.org.

Call Times:
12:00 pm - 1:30 pm Eastern
11:00 am - 12:30 pm Central
10:00 am - 11:30 am Mountain
9:00 am - 10:30 am Pacific
8:00 am - 9:30 am Alaskan

Co-Moderators:

Monica A. Schwebs, Bingham McCutchen LLP

Charlie Pratt, American Wind Power & Hydrogen LLC

Stephen Hall, Stoel Rives LLP

Speakers:

Jonathan Schrag, Executive Director, Regional Greenhouse Gas Initiative

California Climate Change Speaker, TBD

Western Climate Initiative Speaker, TBD

Midwestern Greenhouse Gas Reduction Accord Speaker, TBD