RGGI is a multi-state market-based program designed to cap and reduce carbon dioxide emissions from fossil fuel power plants. Collectively, the RGGI states establish an annual regional limit (cap) on carbon dioxide emissions from their combined electric power sector. The fossil fuel power plants in each state participate in auctions to buy allowances for their annual carbon dioxide emissions. Funds from the RGGI auction are invested in energy efficiency, renewable energy, direct energy bill assistance and other greenhouse gas reduction strategies to advance the clean energy economy and create local green jobs.
The first quarterly RGGI CO2 auction of 2024 took place on March 13th, allocating a total of $71+ million to New Jersey in 2024 for investment in clean energy and greenhouse gas reduction strategies in the State. The three agencies, New Jersey Department of Environmental Protection, New Jersey Board of Public Utilities, and New Jersey Economic Development Authority released the RGGI Strategic Funding Plan identifying how the RGGI auction proceeds will be distributed for the 3-year funding period (years 2020 through 2022). To learn more about how the agencies develop this plan and how they plan to implement it, visit RGGI.