A Multi-State Approach to Changing How We Travel: The Case for the Transportation Climate Initiative
By Anastasia Gordon
On December 1, New York State Governor Andrew Cuomo announced the adoption of new regulations for the Regional Greenhouse Gas Initiative (RGGI). One of the nation’s first cap-and-invest programs, this multi-state initiative is designed to reduce carbon dioxide emissions from power generation. Separately, ACE NY, as part of the NY for TCI coalition sent a letter to Governor Cuomo urging him to sign on to a similar multi-state regional effort last week. As the deadline fast approaches, New York State has a prime opportunity to join the Transportation and Climate Initiative (TCI) which will limit emissions from the transportation sector.
RGGI is a success story. It set a declining cap on regional carbon dioxide emissions. Power plants within the RGGI Northeast and Mid-Atlantic states then buy allowances for their emissions, either through quarterly auctions run by the states, from other generators, or offsets. The money from these sales is invested into renewable energy, energy efficiency and other consumer benefit programs. Since 2009, RGGI has been a profound success. Carbon emissions in the region have decreased by 47% - outperforming the rest of the US by 90% and produced environmental, public health, and net economic benefits for all of the RGGI states, which includes New York.
The new RGGI regulations, which have just been adopted by NYSDEC and NYSERDA, strengthen the program by setting a 30 percent regional greenhouse gas emissions reduction cap from 2021 to 2030, 65 percent below the 2009 starting level. This ensures that New York’s cap aligns with other RGGI participating states as well as supports the state’s economy-wide climate goals to reduce 85% of greenhouse gas emissions by 2050 under the Climate Leadership and Community Protection Act (CLCPA). In short, total pollution from power plants goes down.
DEC Commissioner Basil Seggos reiterated that "The first-of-its-kind, lead-by-example RGGI program is a textbook example of how we can tackle the climate crisis while boosting our economy. During the last few years, Governor Cuomo has shown the nation the climate leadership we need by further reducing emissions under this program and advancing the nation's most ambitious climate law."
The next foundational step in Governor Cuomo’s inspiring climate leadership is to sign on to the Transportation Climate Initiative (TCI), another multi-state initiative, but this time for the transportation sector. Transportation is the largest source of greenhouse gas emissions contributing to 36% of total emissions in New York State. The TCI regional program among Northeast and Mid-Atlantic states, which was modelled after RGGI, will reduce carbon emissions and pollution from the sector. Preliminary modelling indicates that TCI could also yield public health benefits amounting to $11.1 billion by 2032, preventing 4,700 childhood asthma cases and 1,100 deaths under a 25% carbon reduction cap.
Moreover, TCI proceeds generated could be up to $1.4 billion for the period 2022-2023.If TCI is adopted, these funds will be invested into mass transit, electric vehicles of all types and purposes, charging infrastructure, and biking and pedestrian infrastructure. This will result in overall net savings for consumers, new jobs, and much-needed economic growth as the state recovers from the COVID-19 pandemic. Moreover, TCI should include a suite of provisions including a minimum requirement of 35% of investments to be directed towards mass transit, transportation electrification, energy efficiency and other complementary programs that equitably benefit disadvantaged communities most impacted by transportation pollution, as required by the New York’s climate law, the CLCPA.
Time is of the essence. Less than a week is left for New York and other states to sign on to the final Memorandum of Understanding (MOU) to participate in the regional program. Without TCI, New York would struggle to fund the recommendations related to transportation by the Climate Action Council (CAC). The CAC is a committee charged with developing a scoping plan to implement the CLCPA by the end of 2021. Endorsement of the regional program should not wait for this process to be completed since all of the new policies that the CAC will recommend – whatever they may be – will require funding and TCI is the way to generate those funds. It is also critical New York join the MOU right away as it will also take more than a year to analyze, develop, and implement this policy in the state.
New York has made tremendous progress instituting policies that promote renewable electricity than other jurisdictions, but less so with respect to transportation. Recent polling also demonstrates that there is broad public support by New Yorkers for this policy to reduce emissions from the sector. It is clear that TCI will be crucial for implementing the CLCPA and securing the transition to a clean and equitable transportation future for New York State.
