Challenges and Opportunities for Regulating Greenhouse Gas Emissions at the State, Regional and Local Level

Abstract

ABSTRACT Addressing climate change is one of the great challenges of our age. While the current president has signaled that this will be a top priority under his administration, previous administrations have not pursued a comprehensive regulatory or diplomatic strategy to counteract the causes and consequences of climate change. Until recently, the federal government's efforts in this area have been limited almost exclusively to climate-related research, energy research, and voluntary emission reduction programs to curb greenhouse gas emissions. As a result, states such as Wisconsin--as well as tribes and local governments--have taken the lead to explore solutions to the challenges posed by global warming. Wisconsin, in particular, boasts a nationally recognized, utility funded, statewide energy efficiency program; a renewable portfolio standard; and mandatory carbon dioxide emission reporting. Governor Jim Doyle's Global Warming Task Force has recommended dozens of additional steps to further address climate change at the state level, and Wisconsin's legislature is poised to act on that package of proposals during its current session. Other states around the country are also active in adopting proposals of their own, and several regional efforts are underway, in various stages, to design and implement regional cap-and-trade programs. With new leadership in Washington, national climate change policy appears poised to catch up with what has already been happening in states like Wisconsin. This emerging federal policy will present new challenges and opportunities for states. Because of the progress it already has made, Wisconsin is in a very good position to help inform the federal debate, and ultimately, decide for itself how best to craft state initiatives going forward in a way that complements a comprehensive and national approach to the challenge of climate change. This Article highlights some of the actions Wisconsin has taken and how we can move forward alongside a more engaged federal government in the area of climate change policy. I. INTRODUCTION II. WISCONSIN'S POLICY RESPONSE TO CLIMATE CHANGE A. Focus on Energy: Wisconsin's Statewide Energy Efficiency Program B. Promoting Renewable Energy C. Governor's Task Force on Global Warming D. Merging Clean Energy with Economic Development & Energy Security E. Wisconsin's Role in Regional, National and International Climate Change Initiatives and Cooperative Efforts III. AN EMERGING ROLE FOR STATES IN THE FACE OF FEDERAL ACTION A. The Role of States in Designing a Federal Cap-and-Trade Program B. States Should Innovate on Complementary Policies C. States Should Play a Role in Investing Cap-and-Trade Program Revenues D. States Should Share Lessons Learned IV. CONCLUSION I. INTRODUCTION The challenge of climate change remains a global problem requiring a global solution. While President Obama has signaled his desire to lead on this issue, the previous administration failed to develop a comprehensive regulatory or diplomatic strategy to counteract its causes and consequences. As a result, states have for years been adopting their own climate change measures. Wisconsin has been one of those states. We have one of the most well-established and successful energy efficiency programs in the country, a renewable portfolio standard that has been on the books since 2006, and mandatory, carbon dioxide emissions reporting that has been required for over fifteen years. My Global Warming Task Force last year recommended a package of over fifty additional policy measures that garnered broad support from a variety of sectors, and I look forward to our Legislature acting on that reasonable package this year. Though progress at the state level is important, federal action is needed--specifically, the enactment of a nationwide, multisector cap-and-trade program. …