A report
released today highlights the economic benefits of programs funded
with carbon dioxide (CO2) allowance auction proceeds through the
Regional Greenhouse Gas Initiative (RGGI). The report finds that,
overall, RGGI participating states are investing 80 percent of
$789.2 million in CO2 allowance proceeds in consumer benefit and
strategic energy programs.

Energy efficiency programs account for the largest share of RGGI
investments. Evaluations of energy efficiency and renewable energy
programs in the RGGI participating states show $3-$4 in benefits
for every $1 invested.

The report analyzes two years of program investments through
2010 across four categories: energy efficiency, renewable energy,
energy bill payment assistance, and additional greenhouse gas
emissions reduction programs. The analysis is based on each state‟s
plan for the investment of CO2 allowance proceeds and on
evaluations of strategic energy programs. Key findings include:

• Across the region, states are investing 52 percent of CO2
  allowance proceeds in energy efficiency; 11 percent in renewable
  energy; 14 in energy bill payment assistance, and 1 percent in a
  variety of additional greenhouse gas emissions reduction
  programs.
  
  
  
  



• State investments create jobs and train the workers needed to
  fill them. States are investing proceeds as part of a two-pronged
  strategy to create jobs in clean energy trades and industries, and
  to train energy auditors, contractors and engineers to fill them.
  Several graduates of RGGI-funded job training programs have started
  successful businesses of their own. 
  
  
  
  



• Investments in energy efficiency are reducing energy costs for
  consumers and businesses. Many consumers who participate in
  RGGI-funded weatherization and retrofitting programs realize energy
  bill savings of 15 to 30 percent. Several businesses have realized
  energy cost savings great enough to retain or add new
  employees.
  
  
  
  



• Investments are generating significant economic returns, in the
  form of energy savings and improved electric system reliability.
  Several RGGI states are finding that energy efficiency and
  renewable energy programs provide $3-$4 in savings for every $1
  invested. When macroeconomic benefits are considered, the returns
  are even greater.

The 10 Northeast and Mid-Atlantic states participating in
RGGI (Connecticut, Delaware, Maine, Maryland, Massachusetts, New
Jersey, New Hampshire, New York, Rhode Island and Vermont) have
implemented the first market-based, mandatory cap-and-trade program
in the U.S. to reduce greenhouse gas emissions. Power sector CO2
emissions are capped at 188 million short tons per year through
2014. The cap will then be reduced by 2.5 percent in each of the
four years 2015 through 2018, for a total reduction of 10
percent.

Amey Marrella, Commissioner of the Connecticut Department of
Environmental Protection, said: “Our investments in energy
efficiency and renewable energy show that utilities, businesses and
municipalities working together can achieve significant energy
savings while at the same time creating good jobs in
Connecticut.  In 2010, Connecticut‟s energy efficiency
programs created direct employment for more than 2,500 people and
saved enough electricity to power 442,476 homes for a year. These
same programs also helped 1,886 commercial and industrial customers
boost their bottom line with $5.8 million in annual energy
savings.”

Collin O‟Mara, Secretary of the Delaware Department of Natural
Resources and Environmental Control, said: “RGGI is helping to
improve air quality in Delaware while also helping make our economy
more competitive. Delaware‟s leveraging of RGGI proceeds into
energy efficiency programs in partnership with the Delaware
Sustainable Energy Utility has helped numerous households and
businesses save money, bolster their bottom line, create local jobs
and reduce their environmental footprint.”

Strategic energy programs funded with RGGI CO2 auction proceeds
represent just one component of states‟ efforts to reduce
greenhouse gas emissions and build a clean energy economy. To learn
more about RGGI, visit: href=”http://www.rggi.org”>www.rggi.org.  For more
information about the programs being funded with RGGI auction
proceeds please visit href=”http://www.rggi.org/rggi_benefits/program_investments”
target=”_blank”>here:

href=”http://www.rggi.org/docs/Investment_of_RGGI_Allowance_Proceeds_ES.pdf”
target=”_blank”>The full report is available here.