The Regional Greenhouse Gas Initiative (RGGI)

The Regional Greenhouse Gas Initiative (RGGI) is a cooperative effort among several U.S. states to reduce carbon dioxide emissions from power plants. It works by setting a cap on total emissions and selling allowances to emitors through auctions. Power plants must hold enough allowances for their emissions, creating a financial incentive to pollute less. Funds generated are often invested in clean energy and energy efficiency projects. RGGI aims to lower greenhouse gases, promote sustainable energy solutions, and support economic growth while addressing climate change collaboratively across participating states.