The New York Independent System Operator has released a Carbon Pricing Straw Proposal, which would reflect the cost of carbon emissions in wholesale energy market offers via a “carbon charge.” The Proposal also considers carbon charges on electricity imports into NYISO, outlines a methodology for returning carbon charge “residuals” to consumers, and contemplates minor changes to NYISO’s capacity market and transmission planning processes. An economic impact analysis found that the carbon price may spur faster access to sufficient revenue certainty, particularly incentivizing downstate generation.
NYISO carbon pricing proposal
Cross-Cutting Approaches to Reducing Emissions → Carbon Pricing → Proposed Carbon Pricing Schemes (US)
Electricity Decarbonization → Phasing Out the Use of Fossil Fuels for the Generation of Electricity → Carbon Adders in Rates and Utility Planning