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The Carbon Bridge Compact

Accelerating regional greenhouse gas reductions

The Carbon Bridge Compact

US wholesale electricity markets are at a crossroads. State efforts to address climate change through carbon pricing are confronted with the reality of emissions leakage that occurs when there are competing decarbonization policies within a multi-state wholesale market.

This creates suboptimal outcomes for states, consumers, and resources – and slows global greenhouse gas reductions. States actively deploying decarbonization initiatives are seeing more costly outcomes for constituents without commensurate reductions in carbon emissions, states beginning their decarbonization journey are rightly wary of unintended outcomes for their economies, and other states are concerned about current movement towards decarbonization.

Within this confederation of diverse interests, Vistra Corp. (Vistra), with independent analysis from PA Consulting Group, Inc. (PA), outline an equitable path forward that preserves the many benefits of the PJM marketplace while accelerating carbon reductions in the Eastern US.

The Carbon Bridge Compact

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