REGIONAL GREENHOUSE GAS INITIATIVE: 

Update July 1, 2009

The Regional Greenhouse Gas Initiative (RGGI) is a cooperative effort by ten Northeast and Mid-Atlantic states to limit greenhouse gas emissions. The ten states participating in RGGI -- Connecticut , Delaware , Maine , Maryland , Massachusetts , New Hampshire , New Jersey , New York , Rhode Island , and Vermont -- are implementing the first mandatory cap-and-trade program in the United States to reduce greenhouse gas emissions.

Through independent rules and/or regulations (based on the " Model Rule ") each state limits emissions of CO₂ from electric power plants, creates CO₂ allowances, and establishes participation in CO₂ allowance auctions. The regulations apply to fossil fuel-fired electric generating units that have with a nameplate capacity of 25 megawatts or greater. Regulated power plants may use a CO₂ allowance issued by any of the ten participating states to demonstrate compliance with an individual state program.

In addition, CO₂ offset allowances may be used to demonstrate compliance. A RGGI CO₂ offset allowance represents a project-based greenhouse gas emission reduction outside of the capped electric power generation sector. At this time, the RGGI participating states limit the award offset allowances to the following five project categories: 

• Landfill methane capture and destruction

•   Reduction in emissions of sulfur hexafluoride (SF6) in the electric power sector.

•   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

• Avoided methane emissions from agricultural manure management operations.

To obtain offset application materials for offset projects located in Vermont , please email: dick.valentinetti@state.vt.us

IMPORTANT DOCUMENTS:

Vermont CO₂ Budget Trading Program Regulations

Procedure for Emissions Offset Projects Under Vermont's CO₂ Budget Trading Program Regulations

Offset Verifier Application for Accreditation

Accredited Offset Verifier Pre-Engagement Disclosure Submittal

More information about RGGI, the participating states, CO₂ allowance auctions, and offsets is available at: http://www.rggi.org/

For more information on how revenues from CO₂ allowance auctions are disbursed in Vermont , see http://www.state.vt.us/psb/document/RGGI/rggi.htm .