Home > State Info > Innovative Legislation > Greenhouse Gas Reporting & Reduction Strategies
Back to Policy Issues Package

ISSUE: GREENHOUSE GAS REPORTING & REDUCTION STRATEGIES

Introduction

States are creating greenhouse gas (GHG) registries in response to the inadequacies of the federal registry embedded in the Energy Policy Act of 1992. California, New Hampshire, New Jersey, Wisconsin, and Chicago, Illinois, have existing registry programs. Illinois, Maine, New York, Oregon, and Washington have passed legislation requiring new or improved registry programs. Georgia, Maryland, North Carolina, and Vermont have also rallied around this issue and introduced various bills to address greenhouse gas production, while nine Northeast and Mid-Atlantic states are working to establish a cooperative effort to reduce greenhouse gas emissions with the ultimate goal of a regional cap-and-trade market for carbon dioxide.

Federal Action

At the federal level, a greenhouse gas reduction registry was established under Section 1605(b) of the Energy Policy Act of 1992. In 2001, over 175 companies registered a total of 1705 projects. The Federal Registry is not fully functional, however, because it only covers reductions from specific projects, not the business’s entire emissions footprint. This allows registrants to receive credit for reductions in one sector of their business while they might be producing increased levels of greenhouse gases overall. The data is self-reported with no standardization or third-party certification, making it less reliable. Participation in the registry is completely voluntary, which lets many of the biggest emitters keep on polluting without any public disclosure.

In November 2001, the Natural Resources Defense Council (NRDC) published a report, “Reporting ‘Reductions,’ Rising Emissions,” which shows that the federal voluntary reductions program allowed companies to claim reductions while emissions actually increased by 25 percent from 1990 to 2000. More recently, the U.S. Department of Energy (DOE) has been accepting comments on how to revise the voluntary 1605(b) program to make it more effective. However, if the DOE were to increase the accountability of the program and its reporting guidelines, it would be unlikely to gain new reporting entities/projects. As long as such programs remain voluntary, increasing the stringency of reporting guidelines is not likely to increase participation.

The Climate Stewardship Act, S 139, introduced in 2003 by U.S. Senators Joseph Lieberman (D-CT) and John McCain (R-AZ), would have required reductions from power plants, vehicles, and other major emissions sources. The bill was narrowly defeated in the Senate but received a surprisingly strong 43 votes. U.S. Representatives Wayne Gilchrest (R-MD) and John Olver (D-MA) introduced a House companion on March 30, 2004. The bill has strong support from a large, bipartisan group of Representatives.

State Action

GHG Reporting Programs

California
In 2001, SB 1771 and SB 527 established the California Climate Action Registry. The registry maintains a record of greenhouse gas emissions baselines for its registrants. The program opened in October 2002 and has 34 registrants, including the Pacific Forest Trust, Southern California Gas Company, BP Oil, Environmental Defense, and the Natural Resources Defense Council. For the first three years of the program, only carbon dioxide emissions will be tracked; all of the greenhouse gases will be tracked after that phase-in period. California also chaptered a bill in 2002 requiring the California Air Resources Board to establish regulations reducing GHG emissions from cars and light trucks, beginning in the model year 2009. The bill, AB 1493, also required the Climate Action Registry to adopt procedures for reporting greenhouse gas emissions from mobile sources.

Maine
In 2003, the Maine legislature enacted legislation, PL 237, to reduce the state’s contribution to global warming. The law entitled, “An Act to Provide Leadership in Addressing the Threat of Climate Change,” requires the state’s Department of Environmental Protection (DEP) to develop a climate action plan to reduce GHG emissions. The goal of the action plan will be to reduce GHG emissions to 1990 levels by 2010, to 10% below 1990 levels by 2020, and to levels “sufficient to eliminate any dangerous threat to the climate” by 2030. The state’s first action toward this goal is to accurately inventory greenhouse gas emissions from stationary sources. Through rulemaking, the DEP is currently developing a statewide inventory by adding GHGs to the list of emissions that entities are required to report under Chapter 137 (Emission Statements). For more information, visit the Maine Greenhouse Gas Initiative web site.

New Hampshire
SB 159 established New Hampshire’s voluntary greenhouse gas registry in 1999, but participation has been minimal.

New Jersey
In 2003, New Jersey expanded its Emissions Statement Program to include mandatory reporting of carbon dioxide and methane emissions from stationary sources.

Wisconsin
Emissions reporting, including emissions of greenhouse gases, has been required in Wisconsin since 1993. The state’s strong community right-to-know ethic makes the information readily available to the public via the Internet. In 1999, SB 287 established the Wisconsin Voluntary Emission Reduction Registry, a registry of voluntary reductions of greenhouse gases without third party verification, because reporting is part of a formal fee permitting process. In 2003, the registry became fully operational, although underfunded. To date, one business is registered.

Regional Programs

Regional Greenhouse Gas Initiative (RGGI)

RGGI is a cooperative effort by nine Northeast and Mid-Atlantic states to reduce carbon dioxide emissions. RGGI participating states include Connecticut, Delaware, Maine, Massachusetts, New Hampshire, New Jersey, New York, Rhode Island, and Vermont. In addition, Maryland, the District of Columbia, Pennsylvania, and the Eastern Canadian Provinces and New Brunswick are observers in the process and may work toward joining the collaborative in the future. Member states are committed to developing a regional strategy for controlling emissions, with the goal of implementing a multi-state cap-and-trade program, initially covering carbon dioxide emissions from power plants in the region. In the future, RGGI may be extended to include other sources of greenhouse gas emissions, and greenhouse gases other than CO2.

Enacted Legislation

Connecticut
On 6/14/04, the Connecticut legislature enacted SB 595, which establishes GHG goals for 2010, 2020, and beyond; establishes reporting requirements for GHG emissions; establishes a Governor’s Steering Committee on Climate Change; and, requires the Department of Administrative Services to maintain information about products, services, and practices to be used by state government that minimize the impact on global warming.

Georgia
On 5/11/04, the Georgia Carbon Sequestration Registry Act (SB 356) was enacted. The statute provides for a registry of offsetting reductions in greenhouse gases obtained by carbon sequestration; provides legislative findings and declarations; establishes the Georgia Carbon Sequestration Registry; and, provides for purposes of the registry, functions, procedures and protocols, construction, voluntary participation, reporting procedures, and standardized forms and software.

Maine
On 5/21/03, Maine enacted Public Law 237 (HP 622 / LD 845), which directs the Department of Environmental Protection to create a greenhouse gas emissions inventory for state-owned facilities and state-funded programs; seeks to establish carbon emission reduction agreements with businesses and nonprofit organizations; and, sets goals for statewide GHG emission reductions.

Oregon
In 2001, Oregon enacted HB 2200, to create a forestry carbon offset accounting system to increase carbon sequestration in state forests. It requires a CO2 registry and inventory.

Washington
In 2002, Washington enacted HB 2326, establishing the Washington Climate and Rural Energy Development Center within the Washington State University energy program. It is non-regulatory, but gathers greenhouse gas emissions information and voluntary reduction information, and is intended to be a clearinghouse of scientifically-based information on addressing climate change and clean energy.

Introduced Legislation

Arizona
SB 1227, introduced 1/27/04, would create a Global Climate Change Study Committee to study the impact of climate change, establish a statewide inventory of GHG sources, and make recommendations for GHG reductions.
Status: 2/10/04 From Senate Committee on Natural Resources and Transportation.

Hawaii
HCR 113 (HR 77, SCR 168, SR 88), introduced 3/23/04, would require the Department of Business, Economic Development, and Tourism to review the feasibility of the state to enroll in the Chicago Climate Exchange.
Status: 4/19/94 To Senate Committee on Energy and Environment.

Minnesota
HF 2656 (SB 2580), introduced 3/1/04, would require the development of a state plan for reducing GHG emissions from electric generation facilities and other sources.
Status: 3/1/04 To House Committee on Regulated Industries.

New York
AB 10049, introduced 3/2/04, would require the Commissioner of Environmental Conservation to promulgate rules and regulations implementing reductions in emission of carbon dioxide by major electric generating facilities.
Status: 4/19/04 Passed Assembly; to Senate Committee on Environmental Conservation.

Rhode Island
H 7246, introduced 1/15/04, would direct the Department of Environmental Management to develop plans for fossil fuel and greenhouse gas reduction and exempt certain alternative energy equipment from taxations.
Status: 1/15/04 To House Committee on Environment and Natural Resources.

H 7375, introduced 1/27/04, would establish renewable energy portfolio standards and energy source disclosure requirements by requiring the public utilities commission to adopt regulations specifically relating thereto.
Status: 3/18/04 To House Committee on Environment and Natural Resources.

Vermont
S 291, introduced 1/13/04, would establish goals of greenhouse gas reduction from the 1990 baseline; would establish a climate neutral working group; would investigate feasibility of a carbon emissions cap-and-trade program; would develop an emissions tracking protocol; and, would require state government entities to purchase energy efficient energy-consuming devices and vehicles.
Status: 1/13/04 To Senate Committee on Natural Resources and Energy.

This package was last updated on June 15, 2004.

For more information about SERC, or to use our services, contact our national headquarters at: