RGGI carbon auction prices fall 40% on Clean Power Plan uncertainty

By Robert Walton, Utility Dive.

  • The price of carbon in the Northeast's Regional Greenhouse Gas Initiative (RGGI) has taken a tumble since the courts injected uncertainty into the Clean Power Plan's outlook, with prices in the June auction falling to $4.53 per metric ton of CO2 compared with $7.50 in December, a 40% decline. 
  • Following the Court's decision to delay the implementation of the Clean Power Plan, a subsequent RGGI auction in April saw carbon prices fell to $5.25 per ton, but experts disagree about the direction of where the prices will go from there, Climate Central reports. 
  • According to the U.S. Energy Information Administration (EIA), RGGI has not set targets beyond the current cap of 78.2 million metric tons of CO2 emission by 2020, "adding to uncertainty about the future value of emissions allowances."