1. Phillip F. Fargotstein Environmental Attorney F ennemore C raig

2. Source: Arizona Climate Action Plan, Executive Summary

4. Source: Arizona Climate Action Plan

5. The Climate Change Pyramid AZ Climate Action Plan Western Climate Initiative The Climate Registry Other Regional Efforts Federal Efforts International Efforts

6. Climate Change Reality Chicago Climate Exchange Midwest GGA The Climate Registry WCI California RGGI DOE EPA Climate Leaders Pending Federal Legislation EPA Omnibus Reporting Kyoto Protocol Bali Accord ?

8. Source: Arizona Climate Action Plan

9. Source: WRI – U.S. Climate Targets

10. SHOULD GHG EMISSIONS/REDUCTIONS BE REPORTED?  Shareholder Resolutions  SEC Requirements  Competition  State/Regional Initiatives  Potential Profit

11. WHERE SHOULD GHG EMISSIONS/REDUCTIONS BE REPORTED?  EPA Climate Leaders Program  Dept. of Energy § 1605 Program  EPA Omnibus Bill Reporting 9-18 months  Chicago Climate Exchange  California Climate Action Registry  The Climate RegistryJune 2008

12. WESTERN CLIMATE INITIATIVE "CAP & TRADE"  Sectors Under Consideration  What Threshold Will Apply?  Reporting Requirements?  The Role of Off-Sets?  Allocation vs. Auction?  Target Date: August 2008