To: The Honorable Josh Shapiro
Governor
225 Main Capitol
Harrisburg, PA 17120
Date: March 28, 2023
Dear Governor Shapiro:
The undersigned members of Clean Power PA, the statewide coalition of conservation, business, clean energy, faith-based, and environmental organizations, strongly supports your commitment to Pennsylvania reaching net-zero emissions by 2050. We stand ready to assist you in these efforts and appreciate your effort to make Pennsylvania a leader in the fight against climate change and dangerous air pollution and in the clean energy economy.
While we are excited to work closely with your administration to implement your pollution reduction and clean energy policy goals, we are also very concerned about the likelihood of continued attacks on much-needed climate solutions from some in the Pennsylvania General Assembly. Of particular concern is the continued onslaught of attacks on the Regional Greenhouse Gas Initiative (RGGI), which has occurred for years in both the state House and Senate. We assume these efforts to undermine Pennsylvania's ability to participate in RGGI, largely based on falsehoods, will continue to surface in the 2023-2024 legislative session and will require constant vigilance.
As you know, we believe that the state’s participation in RGGI is an important component of an overall plan to achieve your goals. RGGI is the most effective single action for Pennsylvania to tackle the climate crisis while improving public health, creating jobs, and providing for clean, reliable, and affordable energy alternatives. It will allow Pennsylvania to secure its energy independence and keep energy costs low for families.
Reducing Pollution & Protecting Public Health
It is no secret that Pennsylvania’s energy sector is a major contributor to pollution, emitting millions of tons of harmful pollutants annually and causing significant long-term damage to the environment and to the health of Pennsylvanians. In 2021, Pennsylvania's power sector alone emitted nearly 85 million tons of carbon dioxide, and thousands of tons of other harmful pollutants. The presence of these pollutants in our air, water, and soil exacerbates the climate crisis and increases the risk of illness, respiratory issues, asthma attacks, heart attacks, and premature death particularly in disadvantaged and frontline communities.
There is no lower-cost way to reduce emissions than RGGI. RGGI limits carbon emissions through a binding, declining limit on how much power plants can emit, and the numbers show that the initiative improves and even saves lives. A study of RGGI-participating states over a five-year period has shown that RGGI made a positive impact on public health. RGGI improved air quality and decreased pollution, leading to hundreds of lives saved and thousands more avoiding increased risk for illness.
Creating Jobs, Strengthening the Economy, and Protecting Consumers
As we continue to navigate uncertain economic times and a period of transition in the energy sector, RGGI’s market-based design is Pennsylvania’s best bet for both transitioning to a lowest-cost, cleaner energy future and boosting Pennsylvania’s economy, all while significantly reducing negative economic impacts on businesses, workers, and consumers.
In order to bring certainty to the market for energy producers, the RGGI states have established a Cost Containment Reserve (CCR), consisting of a quantity of allowances in addition to the cap which are held in reserve. These are sold if allowance prices exceed predefined price levels, so that the CCR will only trigger if emission reduction costs are higher than projected. Proceeds from RGGI auctions are then invested into programs to help consumers save money on utility bills, create new clean energy jobs, and further reduce pollution.
In its 14-year history, RGGI has invested $2.8 billion towards energy efficiency, leading to nearly $13.5 billion in consumer energy bill savings–a return on investment of nearly $5 for every dollar invested. Importantly, overall electricity prices have fallen by 5.7% in RGGI states. RGGI is proven to have reduced consumer electricity bills while significantly reducing emission levels in participating states, and has done so at minimal cost to the energy sector.
Pennsylvania also stands to benefit from investments into modernizing our energy sector and transitioning to newer and cleaner technologies. Expert estimates indicate that RGGI proceeds in this area can create 30,000 good-paying jobs and boost the Pennsylvanian economy by $2 billion. Such investments can also make up for the losses in coal communities, bolstering local economies as Pennsylvania’s reliance on coal-powered electricity plummets, as has been the case for more than a decade now (obviously without RGGI participation). You said in your recent budget address that we must “reject the false choice between protecting jobs and protecting our planet,” and we could not agree more.
Given RGGI’s long-standing record of success in reducing climate pollution, generating proceeds to invest in jobs and clean energy, and containing consumer costs, it's not surprising that it has had strong bipartisan support across its member states and has had only one state withdraw, only to rejoin later.
Pennsylvania Has an Opportunity
Our government has a vested interest in conserving our environment and investing in programs like RGGI from which Pennsylvanians stand to greatly benefit over the long term. Participation in RGGI has positioned Pennsylvania to benefit during a time of inevitable energy transition, and as the federal government and Environmental Protection Agency put new complementary regulations in place to fight the climate crisis.
In sum, RGGI is crucial to securing Pennsylvania’s economic, environmental, and energy-independent future. We appreciate your approach bringing diverse RGGI stakeholders together to ensure that it meets our collective goals and look forward to working with you and your Administration to that end.
Sincerely,
Pennsylvania Interfaith Power & Light
PA Jewish Earth Alliance
Keystone Energy Efficiency Alliance (KEEA)
Philadelphia Solar Energy Association
Moms Clean Air Force Pennsylvania
League of Women Voters Pennsylvania
Working for Justice Ministry, St. Paul's United Methodist Church
Sierra Club Pennsylvania Chapter
The Climate Reality Project: Philadelphia and Southeastern PA Chapter
Pennsylvania Environmental Council (PEC)
Environmental Defense Fund (EDF)
POWER Interfaith
PennEnvironment
Evangelical Environmental Network
Clean Air Council
Physicians for Social Responsibility Pennsylvania
Conservation Voters of PA
Natural Resources Defense Council (NRDC)
Clean Water Action
Chestnut Hill United Church
The Sustainable Business Network of Greater Philadelphia
Energy Coordinating Agency
Audubon Mid-Atlantic
Evergreen Action
Ceres
Solar United Neighbors
Environmental Health Project
PennFuture
The Nature Conservancy, Pennsylvania
CASA Pennsylvania