History
In 2003 George Pataki, then Governor of New York, sent a letter to the governors of Northeastern and Mid-Atlantic states seeking "to develop a strategy that will help the region lead the nation in the effort to fight global climate change."
In August 2005, the RGGI staff working group proposed an emissions reduction program that would start in 2009 and lead to a stabilization of emissions at current levels (an average of 2002-2004 levels) by 2015. This would be followed by a 10% reduction in emissions between 2015 and 2020. The proposal would also allow participants to purchase offsets to meet 50% of their emission reductions.
As of December 20, 2005, seven Northeastern US states were involved in the Regional Greenhouse Gas Initiative. Massachusetts and Rhode Island dropped out at the last minute; Massachusetts Governor Mitt Romney objected to a lack of opt-out provisions if energy prices exceeded a certain threshold. He went on to attack Senator John McCain for his positive position on cap-and-trade during the 2008 presidential election. The seven states still involved (Delaware, New Jersey, New York, Connecticut, Vermont, New Hampshire and Maine) signed a "Memorandum of Understanding" committing themselves to move forward with the program. Special provisions were made in that document for Massachusetts and Rhode Island to join the effort at any time prior to January 1, 2008.
Massachusetts rejoined on January 18, 2007, on the order of newly elected Governor Deval Patrick.
Rhode Island rejoined on January 30, 2007. Governor Donald L. Carcieri used his State of the State address to make the announcement. "I have been assured that those costs can be offset by credits we will receive from other states," he said.
On April 20, 2007, Maryland Governor Martin O’Malley signed an agreement to join.
New Hampshire joined on June 12, 2008, when Gov. John Lynch signed a law implementing RGGI.
On December 30, 2009, the governors of the participating states and Pennsylvania signed a "Memorandum of Understanding" to "work to develop a low-carbon fuel standard to reduce greenhouse gas emissions from cars and trucks despite objections from the oil industry." The accord establishes "an early 2011 deadline for a proposed framework to be completed" and mirrors plans in California "to reduce the carbon footprint of transportation fuels."
On May 26, 2011 New Jersey Governor Chris Christie announced that his state would pull out of the program by the end of the year.
Read more about this topic: Regional Greenhouse Gas Initiative
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