The National Law Review: Transportation and Climate Initiative Issues Draft Cap-and-Investment MOU, Seeks Public Comment

December 23, 2019

Yesterday, the Transportation and Climate Initiative (TCI), comprising 12 East-coast states and the District of Columbia, issued a draft Memorandum of Understanding (MOU) that would lay the framework for a cap-and-investment program covering transportation fuels across all participating jurisdictions. The draft MOU, as written, leaves unresolved many key points of the proposed program and seeks public comment by Friday, February 28, 2020. The participating jurisdictions plan to release a draft model rule sometime in 2020, and a final model rule by the end of 2020. Interested stakeholders should consider preparing comments on the MOU, which is the first step in the rulemaking process.

TCI was formed in 2012 to “work to reduce greenhouse gas emissions, minimize the transportation system’s reliance on high-carbon fuels, promote sustainable growth and address the challenges of vehicle-miles traveled.” The group comprises 11 states (Connecticut, Delaware, Maine, Maryland, Massachusetts, New Jersey, New York, Pennsylvania, Rhode Island, Vermont, and Virginia) and the District of Columbia. New Hampshire was formerly a TCI participant, but following the release of the MOU, NH Governor Chris Sununu unexpectedly announced that New Hampshire would no longer participate in the program. Throughout 2019, TCI participating jurisdictions, with support and guidance from the Georgetown Climate Center, have held a series of public workshops and other meetings to gather preliminary input on the design of the TCI program. The MOU represents the culmination of those efforts.

Read the full article by Brook J. Detterman and Bejamin E. Apple in The National Law Review