Regulating Greenhouse Gas Emissions in the United States

Companies that operate internationally are well aware of mandatory reporting of greenhouse gas (GHG) emissions in the countries in which they operate. However, many in the United States have yet to realize that the regulation of GHG emissions has also begun in this country.

Legislation has recently been passed in several states requiring companies to report on the quantities of GHGs they emit. While initially focusing on the largest emitters such as power plants and large industrial sources, the regulations will affect smaller facilities in the near future. In some states, such as Oregon and Massachusetts, certain electricity generators are already required to reduce or offset their emissions.

In fact, recent legislation passed in Connecticut exemplifies this trend. Beginning in 2006, any facility that reports air pollutant emissions data to the state or federal government will also have to report GHG emissions to the state. Beginning two years later, any facility that has more than 10,000 tons of GHG emissions—counting both direct emissions and indirect emissions resulting from purchased electricity or other energy resources—will also have to report.

Connecticut is not alone in this type of reporting. New Jersey requires hundreds of companies that report emissions of regulated air pollutants to also report emissions of carbon dioxide and methane. Maine and Massachusetts require GHG emissions reporting for some types of facilities, and Wisconsin requires large emitters to report.

While most of the action on GHG emissions is occurring at the state level, federal legislative activity regarding this issue should not be overlooked. Numerous bills have been introduced in Congress, including the bipartisan McCain-Lieberman Climate Stewardship Act in the Senate and the corresponding Gilchrest-Olver Act in the House. Unlike U.S. ratification of the Kyoto Protocol on climate change, these bills have some chance of passage. In addition to requiring GHG emission reductions, these bills will require extensive reporting of emissions.

Battelle is assisting companies with developing rigorous GHG emission inventories, enabling them to voluntarily report their emissions while also preparing them for mandatory reporting in the future. Focusing on the energy industry, Battelle experts led the development of the SANGEA™ energy and greenhouse gas emissions inventory system, which is being made available through the American Petroleum Institute. Additionally, Battelle will be providing training and technical support on this tool, as well as developing a Web site and accompanying user’s manual.

For more information about Battelle’s GHG emissions inventory work, contact Mr. Christopher Loreti at (781) 869-1419, loretic@battelle.org.