Size Thresholds for Greenhouse Gas Regulation Who Would Be Affected by a 25,000-ton CO2 Emissions Rule?

Author(s): Freyr Sverrisson

Published: August 2009

download: policy brief (.pdf) >

One of the first questions posed when new regulations of any kind are being considered is, who is regulated? Lack of clarity on the point of regulation can lead to incorrect assumptions and policy decisions. Opponents of action on climate change have warned that jobs might be lost to a cap-and-trade system that encompasses small businesses. This concern is especially prevalent in the manufacturing sector, where most facilities currently do not measure emissions, and are unsure how they would be affected by a cap-and-trade system. It is critical, therefore, to understand what type and size of business entities might be subject to regulation, both to allay concerns and to design policy that can assist those most affected.