The U.S. is joining the carbon trading movement

Compliance market

The United States currently has three regional carbon cap and trade programs divided into three regions of the United States: East Region, Mid Region, and West Region.

East Region of the United States: Regional Greenhouse Gas Initiative
Mid Region of the United States: Midwestern Greenhouse Gas Accord
Western Region: Western Climate Initiative

Regional Greenhouse Gas Initiative (RGGI, or ReGGIe)
An initiative by ten states in the Northeastern United States region to reduce greenhouse gas emissions. The RGGI is designing a cap and trade program for greenhouse gas emissions reduction from geared towards power plants affecting fossil fuel power plants with 25 MW or greater generating capacity. Emissions permit auctioning began in September 2008, and the first three - year compliance period began on January 1, 2009. Proceeds will be used to promote energy conservation and renewable energy.

Midwestern Greenhouse Gas Accord
A regional agreement by six governors of states in the US Midwest who are members of the Midwestern Governors Association (MGA) and the Premier of one Canadian province to reduce greenhouse gas emissions to combat climate change. Signatories to the Accord are the US states of Minnesota, Wisconsin, Illinois, Iowa, Michigan, Kansas, and the Canadian Province of Manitoba. The Accord is the fourth tier of the MGA Energy Security and Climate Stewardship Summit Platform, signed on November 15, 2007.

Western Climate Initiative (WCI)
1.An initiative started by the western rim states of the US to combat climate change caused by global warming. The purpose of the WCI is to identify, evaluate and implement ways to collectively reduce greenhouse gas emissions in the region. The initiative requires partners to set an overall regional goal to reduce emissions, develop a market-based multi-sector mechanism to help achieve that goal, and participate in a cross-border greenhouse gas registry. The Western Climate Initiative plans to lay the foundation for an international cap and trade program that would involve both the United States and Canada. The first phase of this plan would be implemented on January 1, 2012, followed three years later by broader cap on carbon emission in 2015. On August 22, 2007, the WCI set a goal of reducing green house gas emissions by 15% from 2005 levels by 2020.

Currently there is discussion regarding the merger of the carbon cap and trade programs into one national plan.

Voluntary Market

Chicago Climate Exchange (CCX) CCX/CCFX
CCX is North America's only voluntary legally binding greenhouse gas (GHG) reduction and trading system for emission sources and offset projects. CCX employs independent verification, includes six greenhouse gases, and has been trading greenhouse gas emission allowances since 2003. Companies joining the exchange committed to reducing their aggregate emissions by 6% by 2010. CCX is operated by the public company Climate Exchange PLC, which also owns the European Climate Exchange. CCX started trading October 2003, trading in emissions of the six gases (GHG): carbon dioxide, methane, nitrous oxide, sulfur hexafluoride, per-fluorocarbons and hydro-fluorocarbons.

Over the Counter Market

     California Climate Action Registry
Created on October 13, 2001 when Gray Davis signed the legislation (Senate Bills 1771 and 527) establishing a non-profit voluntary registry for greenhouse gas emissions by California statute. The purpose of the Registry is to help companies and organizations with operations in the state to establish GHG emissions baselines against which any future GHG emissions reduction requirements may be applied. The California Registry provides leadership on climate change by developing and promoting credible, accurate and consistent GHG reporting standards and tools for organizations to measure, monitor, third-party verify and reduce their GHG emissions consistently across industry sectors. In turn, the State of California offers its best efforts to ensure that California Registry members receive appropriate consideration for early action in light of future state, federal or international GHG regulatory programs.

     Voluntary Carbon Standard
The VCS Program provides a robust, new global standard and program for approval of credible voluntary offsets

Programs Objectives

Standardize and provide transparency and credibility to the voluntary offset market.
Enhance business, consumer and government confidence in voluntary offsets
Create a trusted and tradable voluntary offset credit; the Voluntary Carbon Unit. (VCU)
Stimulate additional investments in emissions reductions and low carbon solutions
Experiment and stimulate innovation in emission reduction technologies and offer lessons that can be build into future regulation. Provide a clear chain of ownership over voluntary offsets that prevent them being used twice. This is achieved through
     multiple VCS registries and a central project database that is open to the public.