Table 7. Bubble Transactions by Type of Pollutant
use of improved technology and 15 resulted in emission reductions
through fuel switching. Many offsets were made available when plants
closed down.The vast majority of offset and bubble transactions in all states have
involved sources under a common ownership. It has been estimated that
only about 50 offset transactions have involved credits created by one
owner being transferred for consideration to another owner. Furthermore, only two SIP revision bubble transactions prior to 1984 involved
trades between plants controlled by different owners.Emissions banking is in its infancy. As of September 1983, only 19
states and local districts had or were developing emissions banking programs. Four additional states were considering development of a bank.
The majority of states did not yet have a banking program. One knowledgeable source estimated that fewer than a handful of trades had been
facilitated by banking.Though the amount of information available on state experiences with
the netting program is very limited, to date it probably has had very little
impact. Not only is it the newest of the programs, but it has been under
a legal cloud, which has caused states to be very cautious in using it until
the legal issues had been resolved.
|Type of pollutant|
|Bubble application||Sulfur||organic||Total suspended||Nitrogen|
Barry Elman, Status Report on Emissions Trading Activity ( Washington, D.C., U.S. Environmental Protection Agency, November 1983).|
|The potential for actual cost savings by emissions trading programs
depends on how expensive the command-and-control allocation is relative to the least-cost allocation and how closely the allocation resulting from the emissions trading program approximates the least-cost
Questia, a part of Gale, Cengage Learning. www.questia.com
Book title: Emissions Trading, an Exercise in Reforming Pollution Policy.
Contributors: T. H. Tietenberg - Author.
Publisher: Resources for the Future.
Place of publication: Washington, DC.
Publication year: 1985.
Page number: 56.
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