US Announces National Carbon Registry

The US Environmental Protection Agency (EPA) announced, yesterday, plans for a wide-ranging national reporting system for greenhouse gases, including carbon dioxide.

The carbon registry would include chemical companies, fossil fuel suppliers, major emitters of harmful gases, and automakers that emit more than 25,000 tonnes of gases annually.

This would cover around 13,000 facilities and 85 to 90% of US emissions.

The measures would not cover most small businesses, their emissions being far below the ceiling.

The EPA proposes that the first annual report be in 2011 for the year 2010, excluding vehicle and engine builders, which would start reporting for 2011.

EPA believes the plan would cost the private sector $160 million in the first year, reducing to $127 million annually thereafter.

EPA is planning the rule using the power of the Clean Air Act.

The rule will be available for public comment for 60 days after publication in the Federal Register.

Two public hearings will be held during this time.

Lisa P. Jackson, EPA Administrator, said that by using the new reporting, EPA would have complete and precise data about the emission of greenhouse gases, which is a vital step in the protection of the environment and health.

The majority of states, 41, now report greenhouse gas emissions voluntarily via the Climate Registry.

David Rich from World Research Institute, which developed the EPA proposal, said truckers would not be included as the rule is proposed at present although large motor carriers might be included in due course.

Rich said the emissions information might be a first move to a cap-and-trade scheme which would allow the government to impose a limit on the quantity of gases a company can emit.

The Obama administration and Congress are enthusiastic about such a scheme.

Companies would need permits or credits for the total pollution they can release.

Some companies could meet or exceed their pollution limit, so they could sell their extra permits or credits to companies emitting more pollution than allowed.

Democrat Representative for California, Henry Waxman, Chairman of the House Energy and Commerce Committee, said he hopes to see a cap-and-trade motion being debated in Congress this year.

Democrat Senator for California, Barbara Boxer, who chairs the Senate Committee on Environment and Public Works, said she will submit a cap-and-trade proposal.