Law Commons^™

Why Climate Law Must Be Federal: The Clash Between Commerce Clause Jurisprudence And State Greenhouse Gas Trading Systems, Joseph Macdougald

Faculty Articles and Papers

Absent Federal legislation or leadership on regulatory responses to greenhouse gas (“GHG”)-based climate problems, the states have sought, either on their own or through regional agreements, to restrict the amount of GHG released by the electric power plants within their states. These systems are subject to “leakage,” the ability of power providers to receive electricity from an “extra-regional” and hence unregulated source. While practical considerations may limit the immediate impact of leakage, in the long term, state-based systems perversely provide competitive advantages to unrestricted GHG-emitting power sources that do not have the burden of compliance. One logical avenue to address …