Apr 15, 2021 2 min read

Allen Landis tried to clear the air, from his perspective, on the Regional Greenhouse Gas Initiative.

“We see RGGI as a key piece of the puzzle on reducing emissions,” Landis said Wednesday morning, during a webinar presented by Washington & Jefferson College’s Center for Energy Policy and Management.

Landis is executive director of the Pennsylvania Energy Development Authority, a branch of the state Department of Environmental Protection. His specialties include clean energy financing at DEP and development of the state’s regulation to participate in RGGI, which he discussed as the featured speaker in the latest installment of CEPM’s Energy Lecture Series.

RGGI, which went into effect on Jan. 1, 2009, strives to reduce carbon emissions by creating a cap-and-trade program for the electricity generation sector. It is the first mandatory market-based program in the nation designed to reduce greenhouse gas emissions.

Known informally as “Reggie,” RGGI is a cooperative effort among 11 states – 10 in the Northeast, plus Virginia. Pennsylvania is poised to be No. 12. Gov. Tom Wolf signed an executive order in October 2019, directing DEP to start a rule-making process that would enable the state to participate.

“We want to join in January 2022,” Landis said.

But while Wolf and many environmental advocates favor the initiative, it is not universally embraced. Many people in the energy industry oppose RGGI, maintaining that if the Keystone State does join, rates for consumers and businesses will rise and numerous jobs will be lost – without significantly cutting greenhouse gas emissions, as supporters claim.

There is no central authority with RGGI, with a coalition of participating states jointly setting limitations on CO2 emissions from all power plants. States offer allowances on the caps, which plants buy to meet the amount of pollution they create. States then can invest the proceeds into related programs, such as energy efficiency, clean and renewable energy, greenhouse gas abatement, and direct bill assistance.

“This spurs further growth,” Landis said. “Facilities that emit more pollution pay higher costs. The key is to get regional limits to decrease.”

Based on modeling, he said his group projected that 188 million tons of CO2 could be eliminated in Pennsylvania by 2030, limiting deaths and decreasing lost work days, emergency room visits and the number of children with asthma.

“We could have a better economy if we join RGGI,” Landis said, projecting possible boosts in jobs and the gross state product.