Environmental Update (Project Finance)

Seven northeastern states have taken a major step toward constructing the largest greenhouse gas emissions control program in the United States.

The states entered into a memorandum of understanding in December for a new regional program to combat global warming by reducing carbon dioxide emissions from power plants. The states would establish a cap for CO2 emissions and create a program for trading CO2 offset credits to achieve compliance with emission requirements.

The memorandum of understanding caps two years of negotiations among nine northeastern states and was approved by seven states (New Jersey, New York, Delaware, Connecticut, New Hampshire, Vermont and Maine). Massachusetts and Rhode Island chose not to join the program at this time.