Potential linkage of Washington’s Cap-and-Invest carbon market with the joint California-Québec carbon market
Agency
Ecology, Department of
Title of action
Potential linkage of Washington’s Cap-and-Invest carbon market with the joint California-Québec carbon market
Date significant agency action was initiated
Thursday, June 13, 2024
Category
Other
Brief description of significant agency actions for which the agency is initiating an environmental justice assessment.
As required by the Climate Commitment Act (CCA), Ecology is investigating the option of linking Washington’s Cap-and-Invest carbon market with the California-Québec carbon market. Through linkage, Washington’s carbon market would combine with the joint California-Québec market to create a single shared market with joint allowance auctions and a common allowance price across all jurisdictions. Allowances could be traded across jurisdictions and used to cover emissions in any of the three jurisdictions. The law also requires Ecology to evaluate specific criteria to ensure linkage would benefit Washington’s communities, economy, and climate goals.
Ecology is pursuing linkage with California and Québec based on a preliminary analysis that joining a larger carbon market will lead to lower and more consistent allowance prices, benefitting businesses and consumers in Washington.
This Environmental Justice Assessment is separate from the Environmental Justice Assessment being conducted on the Cap-and-Invest Linkage Rulemaking. Additionally, Ecology previously conducted an Environmental Justice Assessment on the 2024 carbon market linkage agency request legislation (Senate Bill 6058). We will consider input received through those other linkage related Environmental Justice Assessments in this Assessment.
While the completion of each of these Environmental Justice Assessments is a separate legal obligation, Ecology intends to approach them as a comprehensive, iterative process of engagement and consultation that will continually inform our awareness and understanding of potential impacts as well as potential methods to minimize or eliminate harms and maximize benefits for vulnerable populations and overburdened communities. All of these processes must be complete before Ecology can sign a linkage agreement.
Methods for providing public comment for agency consideration as part of the environmental justice assessment.
Ecology plans to conduct public engagement starting in summer 2024, with outreach focused on people from overburdened communities, vulnerable populations, and Tribes, for the purpose of developing this Environmental Justice Assessment. Ecology will provide a variety of ways for the public to provide input to inform this Environmental Justice Assessment, including: online public meetings, individual and small group meetings with interested parties, and online public comments. We will also reach out to groups with an environmental and environmental justice focus and community-based groups by email and phone to see if they would like to provide input for this assessment. We will also ask if groups are hosting meetings that Ecology can participate in to share information, answer questions, and continue to gather input.
As we schedule opportunities for feedback and participation, we will share them through our website and email distribution list. Visit the linkage webpage at cca.wa.gov/linkage for updates or email us at CCALinkage@ecy.wa.gov with comments or questions.
Link to agency webpage where the action is posted.
Status