Repeal CO 2 Budget Trading Program as required by Executive Order 9 (Revision A22)|
Ended on 3/31/2023|
I am writing today to urge the Virginia state government not to leave the Regional Greenhouse Gas Initiative (RGGI). Climate change has the potential to completely end human existence. Now is not the same time to indulge in short-sighted, misguided thinking and avoid the issue. The RGGI has been a great means of stopping global warming and moving to a decarbonized economy:
• It benefits incumbent utilities with a flexible and responsibly paced instrument for decarbonizing its energy resources that is cost-neutral to the utility
• RGGI’s market-based approach to reduce GHG emissions allows utilities to meet electricity demands without requiring a specific mix of generation sources, while allowing for flexible decision-making. Utilities can meet the environmental performance requirements of the program in the most cost-effective manner with the flexibility to plan and phase implementation in a responsible path toward a clean energy resource portfolio.
• The allowance market enables utilities to optimize their approach to decarbonization, encouraging early GHG reductions through allowance banking and multi-year compliance periods.
• The cost containment reserve mechanism of RGGI mitigates any risk associated with high allowance costs, thus limiting price volatility so utilities can plan energy generating resources for the future with limited uncertainty.
• At the same time, RGGI is a tailored, mission-specific program that will cease operation once decarbonization goals and defined outcomes are achieved.
I strongly urge the state government to put a halt to this process of exiting Virginia from the RGGI immediately!