US State Registries and Programs

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WRAP, April 5 2006 Salt Lake City
US State Registries and Programs Background,
Overview, and Perspective Presented by Pankaj
Bhatia, World Resources Institute
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Summary of the Presentation Topics

• Part I Background and Context
• Emissions measurement and reporting
• GHG emissions unique aspects
• GHG management - key business drivers
• Types, relationship, and examples of different
  climate initiatives
• Brief overview on the GHG Protocol Initiative
• Part II US Registries/Programs Overview
• US state and national registries/program
• Key common features, differences, and issues in
  US registries
• Part III Registry Collaboration and Linked GHG
  Programs
• Emerging Need for a Multi-state Registry
  Collaboration
• Relationship between a Registry, Program, and
  Applications

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Emissions Measurement and Emissions Management
What you measure, you can manage What you measure
WELL, you can manage WELL
Measurement
Management
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GHG Emissions Measurement and ManagementUnique
Context

• Not a Localized Impact
• Tracking global emissions is meaningful
• No National Regulation to Facilitate Emissions
  Management and Reductions
• Applying comprehensive measurement approaches
  (e.g. direct and indirect facility and
  corporate) focused on multiple management
  objectives (including voluntary reporting,
  mandatory reporting, cap and trade, reduction
  programs etc) becomes highly relevant

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Key Business Drivers for GHG Management

• Realize Co-benefits of Existing Programs
• Improve Investors Relationships
• Capture New GHG Market Opportunities
• Manage and Reduce GHG Risks
• Prepare for Future Regulations
• Develop New Products/Technologies

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Emissions Measurement and Management Types of
Climate Initiatives

• GHG Standards
• Set of commonly accepted concepts, terminologies,
  and framework to establish a true and fair
  account of GHG emissions
• GHG Registries
• A database to receive and store a credible and
  comprehensive set of GHG data
• GHG data collected at various levels including
  unit/source, facility, corporate
• Based on the international standards such as the
  GHG Protocol
• GHG Programs
• An application using the GHG information provided
  by a registry
• Examples Public reporting Cap and trade
  Voluntary GHG reduction targets Voluntary
  emissions trading scheme

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Relationship between a GHG Standard, Registry,
and Program
GHG Registry
GHG Standards
Measurement
GHG Registry
GHG Programs
Management
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An International GHG Standard GHG Protocol
Initiative

• Convened in 1998 by WBCSD WRI
• Mission to develop international GHG
  measurement reporting standards for business
  through an inclusive transparent
  multi-stakeholder process
• Published two modules corporate standard
  project protocol
• Provides 16 calculation tools on the website
  (www.ghgprotocol.org)

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Climate Initiatives (based on or informed by GHG
Protocol)

• Voluntary GHG Reduction Programs  
• U.S. EPA Climate Leaders Program
• WWF Climate Savers Program
• Respect Europe BLICC Program
• USAID GHG Pollution Prevention Program
• Climate Neutral Network
• GHG Registries
• California Climate Action Registry
• Eastern Climate Registry
• WEF Global Registry
• Reporting Programs
• Global Reporting Initiative
• CERES Sustainable Governance Initiative

• Industry GHG Protocols  
• International Industry Associations IAI, IISI,
  IPIECA, IFFPA, WBCSD Sustainable Cement
  Initiative
• NZ BCSD
• European, Japanese, Canadian, and Australian
  Cement Industry Associations
• French REGES Protocol
• Trading Programs
• UK and EU Emissions Trading Scheme
• Chicago Climate Exchange
• Other
• International Standards Organization
• EBRD

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Existing Emerging U.S. State GHG Registries

• California Climate Action Registry
• Approximately 71 members
• Follows WRI/WBCSD GHG Protocol
• Eastern Climate Registry
• 10 Northeast and Mid-Atlantic states
  participating - CT, DE, ME, MA, NH, NJ, NY, PA,
  RI, VT
• Scheduled to become operational by Fall 2006
• Follows WRI/WBCSD GHG Protocol
• Midwest States (LADCO)
• Six states participating in process - WI, OH, MI,
  IL, IN, MN
• Goal to develop registry by Fall 2006
• Plans to follow WRI/WBCSD GHG Protocol

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Other U.S. GHG Registries/Programs

• US EPA Climate Leaders Program
• Not a GHG Registry
• Designed as a Voluntary Reduction Program
• Completely Based on the GHG Protocol Standards
• Chicago Climate Exchange (CCX)
• Designed as a GHG Reduction and Trading program
• Largely Based on the GHG Protocol Standards
• DOEs 1605(b) Voluntary GHG Registry
• Meant to serve as a GHG Registry
• Final guidelines slated for release in March 2006
• Criticized by industry and environmental groups
  as too flexible
• Not Based on the GHG Protocol Standards

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Existing/Emerging US State Registries/Programs
Some Observations

• Provide a platform on measurement and reporting
  (i.e. serve at least one key function of a
  Registry)
• Support a variety of program applications
  including voluntary public reporting, voluntary
  corporate reduction targets, and cap and trade
  program
• Use the GHG Protocol Standards

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Multiple US State or Regional RegistriesKey
Issues

• Different programs and requirements leading to
• Increased reporting burden on businesses
• De-standardization and uncertainty
• Reinventing the wheel leading to
• Waste of resources
• Delay in the launch of new programs

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A Multi-state GHG Registry Collaboration
withLinked GHG Programs

• Primary Goal of the Multi-state Registry
  Collaboration
• Receiving and storing a credible and
  comprehensive set of GHG information prepared
  based on the international standards such as the
  GHG Protocol
• Primary Goal of GHG programs
• Developing and implementing city, state,
  regional, or national applications using the
  information provided by such a registry

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Registry, GHG Program, and Potential Applications
Long-term Vision
Voluntary Entity Reductions
City Programs
Offset Projects
Voluntary Reporting
National Programs
Multi-state GHG Registry
Regional Programs
State Programs
Mandatory Cap Trade
Voluntary Cap Trade
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Long-term Relevance and Evolution in the Design
of Registries - Summary

• Multiple Objectives
• Support a wide range of applications including
  voluntary programs, efficiency standards, RPS
  etc.
• Integrated Emissions Quantification
• GHGs, Energy Use, Other Criteria Pollutants (Sox,
  NOx, etc.)
• Broad Emissions Assessment
• Direct, Energy use indirect, and Other indirects
• Multi-level Entity Reporting
• Allow tracking at unit/source, facility, and
  company levels
• Linkages with GHG Programs
• Facilitate data transfer and applications

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Questions?

• Contact Information
• Pankaj Bhatia
• Manager, GHG Protocol Initiative
  (www.ghgprotocol.org)
• World Resources Institute, Washington DC, USA
• pankaj_at_wri.org
• 1-202-729-7629