WASHINGTON – An ambitious Eastern states plan for a regional cap-and-trade program to curb greenhouse gas emissions from cars and trucks got off to a sluggish start on Monday after just three states – Connecticut, Massachusetts and Rhode Island – plus Washington, DC. formally agreed to accept it.
The supporters of the program had originally aimed for broader participation and expressed the hope that other countries could join later. Last year, 11 northeastern and mid-Atlantic states, which make up one-fifth of the population of the United States, signed a draft plan that aims to set a cap on the total amount of carbon dioxide that can be reduced over time that can be released from vehicles who use gasoline or diesel as fuel.
So far, however, only a few states have announced that they will start implementing the policy. In a separate statement on Monday, eight other states left open the possibility of joining at a later date, but would not commit themselves for the time being. These states include Delaware, Maryland, New Jersey, New York, North Carolina, Pennsylvania, Vermont, and Virginia.
Under the cap-and-trade program for cars and trucks, which would begin in 2023, fuel companies would buy allowances from participating states for every tonne of carbon dioxide their fuel will produce, either directly or on a secondary market. The states would then invest the proceeds in efforts to reduce emissions from modes of transport such as trains, buses or charging infrastructure for electric vehicles.
In the initial phase of the program, vehicle emissions in the participating countries are to be reduced by 26 percent by 2032. The plan’s backers estimated it could increase gasoline prices by about 5 to 9 cents a gallon and generate sales of around $ 300 million a year for Connecticut, Massachusetts, Rhode Island and Washington, DC for the next decade
“We’re at the point where climate action can’t wait,” said Kathleen A. Theoharides, secretary of the Massachusetts Executive Bureau for Energy and Environment, explaining why Massachusetts is making progress. Republican governor of the state Charlie Baker has set himself a goal this year to bring national emissions to zero by 2050.
Ms. Theoharides said she expected more states to join the program over time, which has the advantage of creating a steady source of revenue for cleaner transportation options when public transportation across the country faces massive funding shortages due to the coronavirus pandemic .
“The window to participate in the program opens today and that window will remain open,” said Ms. Theoharides. “States can join at a time that works best for them.”
The new transport initiative is modeled on a similar intergovernmental cap-and-trade program that limits pollution from power plants and is known as the regional greenhouse gas initiative. This plan began in 2005 with the participation of only seven states, including Connecticut, Massachusetts and New York.
In the meantime, 10 states have passed the power plant program, with which so far 3.7 billion US dollars have been raised for state efficiency and renewable programs. Other major issuers, including Virginia and Pennsylvania, are currently in talks to join.
However, the idea of charging cars and trucks higher prices for their climate pollution remains controversial. Last year, New Hampshire Governor Christopher Sununu, a Republican, announced he would step back from the transport initiative and said he would “not force granite staters to pay more for their gas just to subsidize the crumbling infrastructure of other states.”
In January Vermont Republican Phil Scott expressed some skepticism about the program, saying that many Vermonters have no choice but to drive long distances and that he “simply cannot support proposals that make things more expensive for them “. Democrat Janet Mills, governor of Maine, said she was “reasonably cautious” in deciding whether to join the plan.
Governor Mills’ spokeswoman Lindsay Crete said via email that Maine will “continue to monitor” the initiative as it develops, but “we remain concerned about the lack of detail on how it will be implemented and the potential impact on consumers Maine.” A spokesman for Governor Scott did not respond to the request for comment.
Transport initiative supporters say the climatic benefits of the program, as well as the health benefits of reducing vehicle emissions, would outweigh the costs. A study by Harvard University’s TH Chan School of Public Health estimated that a full implementation of the plan could help prevent up to 1,000 fewer premature deaths per year in the Northeast and Central Atlantic.
However, the plan has also been criticized by some groups who say it doesn’t go far enough to help color communities that live disproportionately near highways and suffer from the effects of exhaust pollution. While the states participating in the initiative have announced that they will spend at least 35 percent of the new income on underserved communities, this has not reassured many critics.
In New Jersey, some had urged the state governor not to join the initiative and instead take a different approach that enforced mandatory pollution reduction in vulnerable areas, said Maria Lopez-Nuñez, deputy director of organization and advocacy at Ironbound Community Corporation, a not-for-profit organization based in New Jersey.
“I’m proud to see that New Jersey has not signed up,” she said. “We need bolder steps and we can’t always pretend incremental solutions are the answer.”
Alexandra Altman, a spokeswoman for New Jersey Governor Phil Murphy, said the state will “continue to evaluate” the transport initiative but also noted, “It is especially important that we reduce emissions in communities that have historically been caused by disproportionate amounts were polluted. ” which are also among the communities most vulnerable to the negative effects of climate change. “
The transport initiative comes at a time when many state climate policy-makers are shifting their attention away from the power generation sector – where emissions have fallen rapidly as utilities shut down coal-fired power plants in favor of cleaner, cheaper natural gas – to transport, where gasoline and diesel engines remain ubiquitous.
Transport is now responsible for a third of the country’s carbon dioxide emissions, the largest single sector. Experts say that many states are unlikely to meet their broader climate change goals without convincing people to switch to cleaner electric vehicles or alternative modes of travel such as public transportation or cycling.
President-elect Joseph R. Biden Jr. has vowed to pursue tougher federal standards for new automobiles and trucks, implementation of which could help reduce gasoline consumption and make electric vehicles more financially attractive.
“The steps we are taking will complement any federal support,” said Katie Dykes, commissioner for the Connecticut Department of Energy and Environment.
Still, the final impact of the cap-and-trade program on vehicles could depend on how many states end up joining, analysts said. The four jurisdictions that joined on Monday account for less than 3 percent of the country’s transportation emissions, while the eight states that are considering their options account for an additional 18 percent.
“Right now, a lot of states are really focused on their Covid-19 responses and the economic recovery that is demanding a lot of attention from the governor’s offices,” said Jordan Stutt, director of carbon programs at the Acadia Center, a research and public interest group in New England pushing for cleaner energy. “Now, as the program progresses, more states are likely to jump on board, but I don’t want to make any assumptions just yet.”
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