Oct 10, 2019

Why the Northeast's carbon pricing system matters

Data: Regional Greenhouse Gas Initiative; Chart: Axios Visuals

The consortium of Northeast and mid-Atlantic states that have a carbon pricing system for power plants is out with a new report that shows there the money raised is going.

Where it stands: States that belong to the Regional Greenhouse Gas Initiative (RGGI), which auctions pollution "allowances" under its cap-and-trade system, have steered a total of $2.4 billion into those areas since the program launched in 2009, the report shows.

Quick take: The report underscores how carbon pricing can raise substantial revenue for initiatives that help reduce emissions, even if the CO2 prices themselves are too low to directly cause changes in the power mix.

  • And that has arguably been the case with RGGI, which has seen fairly low prices at its pollution allowance auctions over the years.
  • Other forces, namely the rise of cheap natural gas and renewables' growth, have been key drivers of changes to the electricity mix and emissions cuts in RGGI states.

Go deeper: The semantics of carbon pricing ahead of 2020

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The IMF wants major carbon taxes to fight climate change

IMF managing director Kristalina Georgieva. Photo: Mark Wilson/Getty Images

The International Monetary Fund is calling on major greenhouse gas-emitting countries to implement carbon taxes that reach $75-per-ton by 2030 to bolster today's "inadequate" responses to climate change.

Why it matters: Their new report says the window for keeping temperature rise to manageable levels is "closing rapidly" and that "limiting global warming to 2°C or less requires policy measures on an ambitious scale."

Go deeperArrowOct 11, 2019

The coal industry hits natural gas on climate change concerns

Illustration: Sarah Grillo/Axios

America's beleaguered coal industry is attacking natural gas for its role in fueling climate change.

Between the lines: It’s ironic because coal is considered far more damaging to the climate than gas.

Go deeperArrowOct 10, 2019

To meet climate goals, oil producers must slash production

Illustration: Sarah Grillo/Axios

The world's biggest publicly traded oil and natural gas companies would have to cut production by roughly a third on average by 2040 to meet the goals of the Paris climate deal, according to a new report.

The big picture: The opposite is occurring. Most oil and gas producers are expanding production in response to growing demand and the fact that the world is not on track to meet the Paris ambitions.

Go deeperArrowNov 1, 2019