Washington carbon market under consideration

 

Governor Jay Inslee recently launched a program to study different avenues for the state to reduce its emissions back to 1990 levels by 2020, including a Washington carbon market.

 

Attention will be paid to the neighboring California cap-and-trade market that just held its second carbon allowance auction, generating over $223 in revenue.

 

Washington will also look into other options to reduce emissions such as a carbon tax similar to that used in British Columbia.

 

The state was an original member of the Western Climate Initiative, a group of several US and Canadian states that aimed to reduce their greenhouse gas emissions.

 

So far California is the only member of the WCI that is proceeding with a carbon market, but Quebec plans to join this year.

 

Should Washington join as well it would increase the size of the carbon market and improve liquidity.

 

 

 

(2/27/13)