Regional Greenhouse Gas Initiative (RGGI)
What is RGGI?
The Regional Greenhouse Gas Initiative (RGGI) is a cooperative effort among the states of Connecticut, Delaware, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, Rhode Island, and Vermont, to cap and reduce power sector carbon dioxide (CO2) emissions.
How does RGGI Work?
The program establishes a regional budget (cap) for CO2 emissions and each state's allocation of CO2 allowances under the budget. RGGI is composed of individual CO2 Budget Trading Programs in each participating state and these programs require electric power generators with a capacity equal to or greater than 25 MWe (megawatt electrical), to surrender a tradable CO2 allowance for each ton of CO2 they emit. Through quarterly allowance auctions, allowances are purchased and States invest the proceeds from the auctions into energy efficiency, renewables, and clean energy programs. Additional information on the investment of proceeds can be found on the Investment of Proceeds webpage. In Rhode Island, the Office of Energy Resources, with guidance from RIDEM, determines the allocation and distribution of RI’s RGGI auction proceeds.
What is Program Review?
Regular, comprehensive program review has been a key factor in the success of the RGGI program. It has enabled the RGGI states to periodically take stock of program successes, as well as potential areas for improvement. The participating states have conducted three comprehensive program reviews in 2013 , 2017 and most recently in 2025.
What’s Happening Now?
The RGGI participating states completed the Third Program Review in July 2025. To learn more about the Program Review changes, please visit the RGGI Inc. website. Currently, the RGGI states are updating their state regulations to incorporate the changes to the program. All changes will be effective on January 1, 2027.
In addition, the RGGI states commit to beginning a Fourth RGGI Program Review no later than 2028. The Fourth Program Review will provide an early opportunity to evaluate the performance of the changes agreed to in the Third Program Review and to adjust RGGI elements, if needed, to ensure the initiative’s continued success in contributing to a reliable, affordable, clean electricity supply.
What is RGGI Inc.?
The Regional Greenhouse Gas Initiative, Inc. is a 501(c)(3) non-profit corporation which provides technical and administrative services to the Participating States. The RGGI website is a comprehensive clearinghouse for this regional program. The design and benefits of the program, auction-related information, program review information and general news can all be found on the RGGI website.
Which Rhode Island power plants participate in RGGI?
- Manchester Street Power Station
- Rhode Island State Energy Center
- Ocean State Power
- Tiverton Power
Rhode Island Power Plants Map
Additional Resources
- Rhode Island RGGI Regulations:
- RGGI 101 Factsheet
- RGGI Inc. Website
- RGGI Project Series
Questions? Contact Dena Gonsalves at (401) 537-4377 or email DEM.AirRGGI@dem.ri.gov