Delaware is a participant in a multi-state carbon dioxide cap-and-trade program developed as a cooperative effort among the states of Connecticut, Delaware, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, Rhode Island, Vermont and Virginia to cap and reduce carbon dioxide (CO2) emissions from the power sector. Carbon dioxide is a greenhouse gas that contributes to global warming. This effort is known as the Regional Greenhouse Gas Initiative (RGGI).
Division of Air Quality
Delaware’s portion of the RGGI program is established in Delaware regulations as the CO2 Budget Trading Program (7 DE Admin. Code 1147), which is designed to initially stabilize and then reduce CO2 emissions in an economically efficient manner. Delaware and other states have developed the emission budget trading programs based on a model rule developed by the RGGI participating states since 2009 to reduce CO2 emissions from fossil-fuel fired power plants.
Money raised through the initiative is returned to participating states to invest in energy efficiency, renewable energy and other consumer benefit programs. These programs are spurring innovation in the clean energy economy and creating green jobs in the RGGI states.
In 2019, $217 million in RGGI proceeds were invested in programs including energy efficiency, clean and renewable energy, greenhouse gas abatement, and direct bill assistance. Over their lifetime, these 2019 investments are projected to provide participating households and businesses with $1.3 billion in energy bill savings and avoid the emission of 2.5 million short tons of CO2.
In the fall of 2021, the RGGI states began a comprehensive evaluation of the program, a process known as Program Review.
The Program Review process has been conducted twice (2012 and 2016) and offers the opportunity to assess the progress of the current program as well as consider changes to the program in the future.
These periodic reviews have resulted in greater emissions reductions from applicable electricity generating units within the RGGI region and have provided benefits to the participating states. Past reviews have incorporated reductions to the regional CO2 emission cap, revisions to design elements, and the addition of new program mechanisms.
The upcoming Program Review is set to take place over 2021 and 2022. Relevant materials including a broad overview and a basic timeline are available on the RGGI website. The website will be updated with new materials as applicable.
Program Review provides opportunities for stakeholder and public input. In the fall and early winter of 2021, RGGI, Inc. and the participating states held four virtual public meetings to solicit comments on general program provisions and more detailed technical aspects. The meetings held additional accessibility options including closed captioning and in some instances were simulcast in Spanish.
All meeting recordings so far are available on the RGGI Program Review website.
To support the state CO2 Budget Trading Program, the RGGI participating states have implemented a regional auction platform to sell CO2 allowances. The allocation format will be conducted as a sealed bid, uniform price auction. For more information, please refer to the RGGI Auction Materials page which is updated before each auction.
|June 1||$2.44||2022||685,377||Remainder of 328,078||Remainder of 328,078|
|September 7||$2.44||2022||685,377||Remainder of 328,078||Remainder of 328,078|
|December 7||$2.44||2022||685,376||Remainder of 328,078||Remainder of 328,078|
|Total 2022 Allowances||2,741,507|
|*This column represents the maximum number of allowances that may be withheld from auctions in 2022, if certain conditions are met; please refer to 7 DE Admin. Code 1147|
The Greenhouse Gas Inventory reports present data and analyses on the following greenhouse gases (GHGs): carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), sulfur hexafluoride (SF6), and nitrogen trifluoride (NF3).
The DNREC Division of Air Quality prepares the inventory to characterize Delaware’s historical and projected GHG emissions, and thereby inform the policy option development process.
The reports provide information on the activities that caused emissions and removals, as well as background information on the methods used to estimate the emissions.
The GHG inventory has four key objectives: