States Initiate 4th RGGI Bidding Process
The 10 Northeast and Mid-Atlantic states participating in the Regional Greenhouse Gas Initiative (RGGI) on April 13 released the Auction Notice, Qualification Application, and Intent to Bid for RGGI's fourth carbon dioxide (CO2) allowance auction, scheduled for June 17.
The release initiates the bidder qualification process and publicizes auction details, including reserve price and number of allowances offered for sale.
The June auction will be the second held since compliance obligations under the 10-state RGGI CO2 Budget Trading Programs took effect on Jan. 1, 2009 and the second to offer allowances from current (2009-2011) and future (2012-2014) control periods. States will offer for sale 30,887,620 million current control period allowances (all for the 2009 vintage) and 2,172,540 million allowances for the future control period (all for the 2012 vintage).
Given the early stage of the RGGI CO2 allowance market, the Participating States (Connecticut, Delaware, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, Rhode Island, and Vermont) will continue to use a reserve price of $1.86 for all allowances.
Potential bidders must successfully complete the qualification process to participate. The necessary documents can be found here.