Energy Report: States that Limit Carbon Emissions through Markets See Economic Benefits
July 14, 2015
States participating in the Regional Greenhouse Gas Initiative (RGGI) have found that regulating carbon emissions from power plants through market-based mechanisms can generate economic benefits, according to a study by Analysis Group energy experts. Findings from the report, released today at the National Association of Regulatory Utility Commissioners (NARUC) conference in New York, NY, provide valuable lessons for states across the country now evaluating their options under the Clean Power Plan, the EPA's proposed effort to limit carbon emissions from power plants across the country.
The report, "The Economic Impacts of the Regional Greenhouse Gas Initiative on Nine Northeast and Mid-Atlantic States," found that implementing RGGI from 2012-2014 adds $1.3 billion in economic value to the nine-state RGGI region, leads to the creation of more than 14,000 new jobs, and cuts electricity and heating bills, saving consumers $460 million. Each individual state sees economic benefits as the region cuts annual carbon emissions by more than a third from 2008 (133 million tons) to 2014 (86 million tons), according to the report.
The report is the second prepared by the Analysis Group team, led by Vice President Paul Hibbard and including Senior Advisor Susan Tierney, Vice President Andrea Okie, and Manager Pavel Darling. The prior analysis focused on the economic impacts of RGGI's first three years (2009-2011).
Read the report and executive summary
Read the press release
Read the original report on RGGI's first three years (2009-2011)