Posted on 12/26/2008 1:38:25 PM PST by shielagolden
Delaware will receive $2.55 million from the state’s successful participation in the Regional Greenhouse Gas Initiative (RGGI) auction of carbon dioxide (CO2) emissions allowances held Dec. 17. The entire 31,505,898 allowances offered by the 10 RGGI states were sold at a clearing price of $3.38 per allowance generating approximately $106.5 million for distribution among the 10 states.
Delaware offered 755,979 CO2 allowances for sale in this second RGGI auction and will receive the proceeds once all payments are made by successful bidders early next year. The revenues from the sale of RGGI allowances are dedicated to public benefit purposes as outlined in legislation passed last year by the Delaware General Assembly.
By law, auction proceeds are directed to energy efficiency and renewable energy efforts to be conducted by the new Sustainable Energy Utility (SEU) to low income weatherization and heating programs and to carbon emission abatement projects to be conducted in Delaware. Up to 10 percent of auction proceeds may be used to administer RGGI and climate change programs in DNREC. “The success of this week’s RGGI auction demonstrates how a market-based program can address one of our most pressing environmental challenges ��“ climate change,” said Delaware DNREC Secretary John Hughes. “RGGI’s environmental co-benefits are impressive ��“ significant and measurable reductions in greenhouse gas emissions, as well as investment funds for consumer-focused programs to help reduce long-term energy demand and costs.”
RGGI Inc. reported that 69 participants from the energy, financial and environmental sectors took part in the bidding, indicating a strong performance for RGGI CO2 allowance auctions. The demand for the allowances was “robust” at 3.5 times the available supply.
Delaware is one of ten Northeast states (Connecticut, Delaware, Maine, Maryland, Massachusetts, New Jersey, New Hampshire, New York, Rhode Island and Vermont) pioneering RGGI ��“ the first market-based, mandatory cap-and-trade program in the U.S. to reduce greenhouse gas emissions.
The participating states adopted regulations to cap and then reduce the amount of CO2 that power plants in each state are allowed to emit, limiting the region’s total contribution of atmospheric greenhouse gas levels. Under RGGI, the 10 states will stabilize power sector carbon emissions at their capped level, and then reduce the cap by 10 percent at a rate of 2.5 percent each year between 2015 and 2018. The groundbreaking program may serve as a model for a possible federal cap-and-trade program.
RGGI intends to hold quarterly auctions during the first RGGI three-year compliance period, Jan. 1, 2009 to Dec. 31, 2011. The third auction will be held March 17, 2009.
All RGGI auctions are overseen by an independent market monitor, Potomac Economics, a leader in the field of monitoring and competitive assessment of wholesale electricity markets in the U.S. Allowance transactions are recorded on the Carbon Dioxide Allowance Tracking System (COATS) developed by Perrin Quarles Associates, which designs and builds emissions database tracking systems.
By participating in the auction, Delaware has met the commitment it made in Dec. 2005 when Governor Ruth Ann Minner joined with other Northeast governors and signed a Memorandum of Understanding. In the MOU, participating states committed to have the RGGI program in place by Jan. 1, 2009.
In July 2008, Governor Minner signed into law Senate Bill 263 that authorizes Delaware to participate in RGGI. The legislation, sponsored by Senator Harris McDowell and Representative Pam Thornburg, established the framework for Delaware’s program and authorized DNREC to adopt regulations to implement the law. On Oct. 15, 2008, Secretary Hughes approved Delaware’s RGGI regulation.
For more information on Delaware’s RGGI program, visit http://www.awm.delaware.gov/AQM/Pages/RegionalGreenhouseGasInitiative.aspx or for RGGI, Inc., visit http://www.rggi.org.
I can’t sell carbon dioxide allowances, but I would be willing to sell people carbon dioxide if they want it.
I’ll be happy to sell them as many CO2 “allowances” as they’d like to buy!!
Just let them know how to wire the funds to my bank account please.
They now have a tax on air.
The northeast should be purged from the union. They have become the enemy.
“It was especially interesting for me to see how little expenditure it requires to lead credulous humanity around by the nose.” Albert Einstein ... From “The Warburgs” by Ron Chernow, page 283
When this market needs a bailout, will AlGore write the check?
This is all Bovine Excrement.
BOHICA, rate payers. If Florida is part of this or tries, I will lead the recall effort. Word to the wise, Charlie.
I consider the fact that they did this and think it is something they should do a failure, not a success.
| name | office | location |
|---|---|---|
| Patton, David | President | Fairfax |
| Wander, Michael | Vice President | Fairfax |
| Sinclair, Robert | Vice President | Fairfax |
| LeeVanSchaick, Pallas | Vice President | Fairfax |
| Jones, Daniel | Vice President | Austin |
| Chiasson, Michael | Vice President | Carmel |
Has anyone heard of these people? What were their political contributions last year?
When is SOMEBODY going to stand up and declare to the world that, “Carbon Dioxide is an essential part of the life cycle of all humanity, the entire animal kingdom, the entire plant kingdom and a great many inorganic reactions that take place in the earth’s crust, oceans, atmosphere, and the interior of the planet, and MUST be preserved at all costs”?
Maybe on some far distant planet, beneath a much different sky, carbon dioxide MIGHT be considered a pollutant. But that planet shall not have carbon-based life forms.
Come on, people, do your duty. Feed your poor starving plants, that DEPEND on you to provide sufficient carbon dioxide, that they may thrive and grow to their complete fulfillment of purpose.
Which is to produce a replenishing supply of oxygen, and to bind the carbon dioxide into various carbohydrates and cellulosic fibers.
Who bought the allowances? How much money was spent all told? Whose money was used to buy the allowances?
"RGGI Inc. reported that 69 participants from the energy, financial and environmental sectors took part in the bidding ..."
It would be interesting to know the names of the 69 bidders. I would stay away from anything they are involved in.
I would also like to see the check that RGGI is promising once all the participants pay up "sometime early next year". Hey Del. its in the mail.
Delaware DNREC Secretary John Hughes is either a thief or a fool (OK, maybe he is both a thief and a fool), on so many levels. You really have to throw away logic and reason to bastardize the meaning of "market-based" in this fashion. It's like the idiotic term, "managed competition" that the Hillarycare enthusiasts used to bandy about. In this case, the governments set an arbitrary cap, and then coerces energy producers to bid against each other for this artifically-scarce "resource". There is no legitimate benefit to either the people of the states or to the energy producers. Rather, it is a con game a la three-card monte - the foolish citizens end up paying more (and more, and even more) for their energy and for anything and everything that uses energy in its production. But the state governments get millions of dollars in their pockets. A classic case of government of, by, and for the government. So, it is just another government swindle...
You have not figure it out yet. The US lost all their assets in the Wall Street melt down. We have nothing to sell to the world except clean air credits and our military (Hessians anybody?). The ruling class of our country (Dems and GOP) have no option but to support the concept of global warming in order to legitimize the concept of cap and trade. This is one of the few products the US can sell to China and India to recoup our loss dollars due to trade deficit. Like or not, global warming and cap n trade is the wave of the future. It is no longer about science, it is about making money. Once the Wall Streeters get set up on this new scheme, no amounts of data will be able to stop it and any GOP wants to make it as POTUS will have to accept it or Wall Street will withhold political contributions. Anyone who wants to have a successful career in science, academia, media and etc may be told that if they do not toll the global warming line, corporate America will silence them by withholding employment, credit, etc, etc. Worst corporate financed, Dem sponsored brownshirts will harass your home and family. Any developing nation that wants to opt out of the system may face military threat from US/EU because the collapse of cap n trade may impact the US/EU financial system. Who knows, our grand children may have to fight and die over the belief of global warming (even if it is proven to be wrong).
I'd rather give them methane.
An auction is a process by which people or entities compete to see who is willing to pay the most for an asset.
They are competing to see how much taxpayer money they can waste. This is outrageous at a time when most state governments are deep in the red.
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