Harry Klodowski, Esq. Betts, Hull & Klodowski LLC Betts, Hull & Klodowski LLC
Legal Basis for Regulation of GHGs Kyoto Treaty, CDM & JI Federal Legislation State & Regional Programs Betts, Hull & Klodowski LLC
Massachusetts v. EPA 127 S. Ct (2007) Not Regulating GHG from vehicles is arbitrary and capricious GHGs are Pollutants Under CAA and Can be Regulated Regulate or Tell Us Why Not Betts, Hull & Klodowski LLC
2007 U.S. Bills on GHG Regulation Major Proposals Regulate 6 Kyoto GHGs All Sectors Betts, Hull & Klodowski LLC
Regional Programs Registration (Baseline, Offsets, Verification, Registration) Regulation (Covered Sources, Gasses, Cap, Allocation) Betts, Hull & Klodowski LLC
RGGI Midwest Regional Accord Other Regions, States Chicago Climate Exchange Other Emission Brokers Betts, Hull & Klodowski LLC
RGGI 7+1 States (CT, DE, MN, NH, NJ, NY, VT & MD) Cap & Trade for EU’s, 25 MW, CO2 Only Betts, Hull & Klodowski LLC
RGGI Offsets Outside RGGI Region Covers 6 GHGs Betts, Hull & Klodowski LLC
RGGI Offset Projects Methane Capture – Farms Methane Capture – Natural Gas Gas/Oil Energy Efficiency Afforestation SF6 from Utility, Industrial Betts, Hull & Klodowski LLC
RGGI Offset Requirements Real Additional Verifiable Enforceable Permanent Betts, Hull & Klodowski LLC
RGGI Status Betts, Hull & Klodowski LLC 2003 Formation Model Rules & MOU 2009 – 14 cap 2015 – 18 cap 2008 Allowances – June (???)
Midwest Regional GHG Reduction Accord Announced November 2007 Draft Rules August 2008 Regulatory Program April 2010 Betts, Hull & Klodowski LLC
Multi Sector Multi Gas Betts, Hull & Klodowski LLC
Chicago Climate Exchange Inc. Formed 2003 Voluntary Registration & Trading Reductions (3%) (3%) Betts, Hull & Klodowski LLC
For Profit Fees for Membership, Trades Too Industry Friendly? Baseline Annual Reports Bogus Offsets Verification Betts, Hull & Klodowski LLC
300 Members 200 Page Agreement 6 GHG Offsets – some questionable Created a U.S. Market Betts, Hull & Klodowski LLC
Federal Program State & Regional Programs DOE/EIA 1605(b) USEPA Climate Leaders The Climate Registry Betts, Hull & Klodowski LLC
USEPA Multi Sector GHG Inventory One Page of December 2007 U.S. Budget Draft June 2008 Operating 2009 Betts, Hull & Klodowski LLC
USEPA Climate Leaders Voluntary 158 “Leaders” 6 GHGs Multi Sector Good Emission Inventory Tools Betts, Hull & Klodowski LLC
The Company We Keep
GHG Inventory, Offset Quantification 2007 Forms Reporting Software SEIT Good Tool for Energy Efficiency Reductions Verification “recommended” Betts, Hull & Klodowski LLC
39 States, 2 Provinces 80% Population Voluntary Registration Betts, Hull & Klodowski LLC
Common Accounting Standard Credible & Consistent Emission Reporting North American Industry Sectors Betts, Hull & Klodowski LLC
Climate Registry Benefits Cost Effective Document Early Action Prepare for Regulation Employee Education Save Energy Software & Support Recognition Betts, Hull & Klodowski LLC
6 Gases Direct & Indirect Facility Level Reporting Betts, Hull & Klodowski LLC
Climate Registry General Reporting Protocol (April 2008?) Verification Protocol (June 2008?) Reporting Software Betts, Hull & Klodowski LLC
GHG Preservation Under PA ERC Rules “Emission Reductions” Reciprocity NY, MD May 2008 Amnesty to 2002 Two Years to File Lower Cost? Betts, Hull & Klodowski LLC
Legal Standard ERC Surplus Quantified Enforceable Permanent RGGI Real Additional Verifiable Enforceable Permanent Betts, Hull & Klodowski LLC
What Are They Worth? CO2 – CCX - $4.50 CH3 – CCX - $94.50 NOX – CCX- $ NOX – Pa ERC - $ NOX – NOX SIP Call - $ Betts, Hull & Klodowski LLC