June 9, 2020
EnerKnol’s Visual Primer – RGGI Carbon Auction Signals Steady Market Defying COVID-19 Impacts
Solid results indicate efficacy of RGGI’s emissions trading model while the collapse in California’s auction revenue shows need for reform.
Prices in the 10-state Regional Greenhouse Gas Initiative’s latest carbon auction rose to the highest since 2015, defying impacts from the COVID-19 pandemic as two more states gear up to join the initiative. Meanwhile, revenues from California’s post-pandemic auction tumbled to $25 million, less than 5 percent of the previous auction proceeds, pointing to a need for reforms for predictable outcomes and a long-term strategy to fund climate programs.