Signed by Governor John Lynch

Vote Smart's Synopsis:

Vote to pass a bill creating a cap-and-trade program for carbon dioxide (CO2) emissions, to comply with the regional greenhouse gas initiative (RGGI).

Highlights:

-Establishes an annual statewide CO2 budget of 8,620,460 tons during the years 2009 through 2014, and decreases the annual CO2 budget by 215,512 each year from 2015 through 2018 (Sec. 2). -Requires the Department of Environmental Services to auction carbon credits one or more times throughout each compliance year (Sec. 2). -Requires affected power plants to obtain operational permits by January 1, 2009 to comply with the RGGI (Sec. 2). -Permits the governor to declare an emergency supply crisis with a recommendation by the public utilities commission and the consent of the executive council, allowing power plants to forgo compliance with the emissions caps (Sec. 2). -Establishes a greenhouse gas emissions reduction fund to be continually appropriated to the public utilities commission to be used to increase energy efficiency and reduce emissions (Sec. 2). -Establishes for threshold prices for tons of CO2 with 2009 $6 per ton, 2010 at $8 per ton, 2011 and 2012 at $9 per ton, 2013 and 2014 at $12 per ton and 2015 at $15 per ton (Sec. 2). -Establishes an energy conservation and efficiency board to coordinate energy efficiency, review available energy efficiency and conservation programs, and greenhouse gas emission reductions in the state (Sec. 9).

Full Bill Text

Vote Smart's Synopsis:

Vote to pass a bill that includes New Hampshire in the Regional Greenhouse Gas Initiative (RGGI): an agreement among regional states to reduce the level of carbon dioxide emissions by requiring fossil fuel burning, electricity generating power plants to obtain carbon dioxide emissions allowances.

Highlights:

- Enumerates the the primary functions of the RGGI (Sec. 1):

- Establishing a carbon dioxide emissions allowance cap for the region and individual state allowance budgets; - Allocating 25 percent of the state's allowances for consumer benefit and other energy efficiency purposes; - Limiting carbon dioxide emissions outside of the electric power sector; - Cooperating with other states in implementing RGGI.

- Establishes a Carbon Dioxide Emissions Budget Trading Program, administered by the Department of Environmental Services, that requires power plants to obtain a quantity of RGGI emissions allowances equal to its carbon dioxide emissions for each three-year compliance period beginning January 1, 2009 (Sec. 2). - Allows power plants to obtain allowances by purchasing them at auction and/or through qualified carbon dioxide emissions reducing projects (Sec. 2). - Establishes a total budget allowance of 8.6 million tons for the years 2009 through 2014. For the years 2015 through 2018, the budget will be reduced by 10 percent (215,512 tons) each year. The budget will remain unchanged beginning 2019 until further legislative action (Sec. 2). - Allows the Governor, upon recommendation of the Public Utilities Commission, to declare an emergency supply crisis, thereby exempting power plants from strict compliance with the budget trading program, as long as the power plants compensate by obtaining additional allowances during the next compliance period (Sec. 2). - Establishes a Greenhouse Gas Emissions Reduction Fund where the revenue derived from the budget trading program will be deposited. The funds will be used to support energy efficiency, conservation, and demand response programs to reduce greenhouse gas emissions (Sec. 2). - Establishes an Energy Conservation and Efficiency Board to help coordinate energy efficiency and demand response programs. The board will review the current programs, develop a plan to achieve energy efficiency potential for all fuels, expand upon state energy efficiency programs, and annually report to the Public Utilities Commission on the administration and allocation of energy efficiency funds (Sec. 9).

Full Bill Text