Crain’s: New York designs cap-and-invest program to reduce greenhouse emissions
November 28, 2023 New York is moving towards establishing a cap-and-trade program similar to those in California and Washington to raise funds toward reducing greenhouse gas emissions. This initiative, included in the state budget and passed last spring, is crucial for meeting climate targets,which include an 85% reduction of greenhouse gas emissions by 2050. However, the limitations of this Program’s build out would threaten to “shift emissions from New York to other states — thus failing to reduce GHG emissions overall — and impede New York’s economic and job growth” cautions the Citizens Budget Commission (CBC). The cap-and invest system aims to create a market in which polluting companies can purchase or obtain allowances for their emissions. Proceeds from the program would be invested in projects such as renewable energy development. The CBC wants to ensure that a broad scope of sectors participate so as not to place the burden of reducing state emissions on select industries, and to ensure cap-and-invest can link with other, neighboring state programs developed in the future, which would help to limit companies leaving New York to avoid the emissions caps.