Washington’s First Cap & Invest Auction Raises about $300 million

Washington’s first auction of allowances under the Climate Commitment Act raised about $300 million. The Department of Ecology announced that it had sold almost all of its 6.2 million allowances, each representing one metric ton of greenhouse gas emissions. The settlement price was $48.50 per ton, more than twice the floor price of $22.20. Businesses that are regulated under the Climate Commitment Act can purchase allowances to cover a portion of their emissions. The revenue from the auctions will be used to fund greenhouse gas emissions reduction projects and research. The Governor’s two-year budget would spend about $1.7 billion in auction revenue. The state will hold up to four auctions each year. For additional information see: https://www.seattletimes.com/seattle-news/environment/was-first-greenhouse-gas-allowance-auction-raises-estimated-300-million/