Federal Energy Regulator Kicks Off Conversation on How Carbon Pricing in Competitive Power Markets Could Spur Cost-Effective Emissions Reductions
Washington, D.C. – June 18, 2020 -The Federal Energy Regulatory Commission (FERC) on Wednesday seized a timely opportunity to facilitate a conversation on how competitive power markets can cost-effectively achieve carbon emissions reduction goals, says the Carbon Price Coalition, a diverse group of power generators, trade associations and think tank experts that in April called on FERC to explore the issue. FERC’s decision to hold a Technical Conference September 30 comes at a pivotal moment for the industry and the future of wholesale power markets, as stakeholders seek to reconcile markets and state policies related to reducing carbon emissions. The Coalition issued the following statement:
“Carbon pricing in organized markets could be a powerful and cost-effective tool to drive down emissions and achieve state policy goals while preserving the benefits of competition. There is overwhelming support for a FERC-led conference on carbon pricing from all corners, including state regulators. We applaud Chairman Chatterjee’s leadership and the support of his fellow commissioners in kick-starting this important discussion exploring the practical and technical implementation issues related to how organized markets can facilitate state policy goals through carbon pricing.”
The Coalition, which provided additional statements in an April press release, includes: Advanced Energy Economy, the American Council on Renewable Energy, the American Wind Energy Association, Brookfield Renewable, Calpine Corporation, Competitive Power Ventures, the Electric Power Supply Association, PJM Power Providers Group, the Independent Power Producers of New York, the Natural Gas Supply Association, LS Power, the R Street Institute and Vistra Energy.