The Regional Greenhouse Gas Initiative (RGGI) has announced that it raised $106.5 million for allowances on December 17, 2008.
RGGI is the first regional market-based, mandatory cap and trade program for greenhouse gas emissions in the US. Ten states are participating in the program: Connecticut, Delaware, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, Rhode Island and Vermont.
RGGI is meant to reduce the region's greenhouse gas emission in two ways. Under RGGI, utilities need to buy allowances to emit greenhouse gases. Reducing the emissions cap will eventually force utilities to cut their emissions, primarily through energy efficiency or renewable energy....wind, solar.
Some of the revenue is earmarked for participating states to beef up the energy efficiency programs.