Washington carbon market under consideration
Governor Jay Inslee recently launched a program to study different avenues for the state to reduce its emissions back to 1990 levels by 2020, including a Washington carbon market.
Attention will be paid to the neighboring California cap-and-trade market that just held its second carbon allowance auction, generating over $223 in revenue.
Washington will also look into other options to reduce emissions such as a carbon tax similar to that used in British Columbia.
The state was an original member of the Western Climate Initiative, a group of several US and Canadian states that aimed to reduce their greenhouse gas emissions.
So far California is the only member of the WCI that is proceeding with a carbon market, but Quebec plans to join this year.
Should Washington join as well it would increase the size of the carbon market and improve liquidity.