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Answers to frequently asked questions about climate and energy policy     Issue 2

By mid-2008, the U.S. Environmental Protection Agency must develop a national

REgistries it is already law. This fact sheet answers the questions many are asking about GHG
registries and the role of a mandatory GHG reporting program in the United States.

What is a greenhouse gas (ghg) emissions Are there any registries currently
registry? collecting ghg data in the United States?
A GHG registry is a database for collecting, verifying, and Currently, there are voluntary registries in the United States
tracking emissions data from emitters, such as facilities or that collect company GHG data. Some examples include the
companies. Registries of different types can serve a variety of Climate Registry (Figure 1), the California Climate Action
objectives and inform a variety of decision makers. Registry, and the Department of Energy’s 1605(b) Voluntary
Reporting Program.
What is the difference between a registry There is a patchwork of mandatory GHG data collection
and a national/state/municipal inventory? systems throughout the United States, rather than a single,
A registry is a database that collects bottom-up data from comprehensive repository for emissions data. These existing
individual emitters, such as facilities or companies. A national data collection programs include:
or state GHG inventory is a top-down comprehensive summary
of the total emissions of a state or country. A national GHG n The U.S. Environmental Protection Agency’s Acid Rain Pro-
inventory, such as the U.S. Environmental Protection Agency’s gram, which requires that electric generating units regulated
Inventory of U.S. Greenhouse Gas Emissions and Sinks is critical under the sulfur dioxide (SO2) cap-and-trade program also
for identifying aggregate and sectoral trends in emissions, but measure and report carbon dioxide (CO2) emissions data
does not attribute those emissions to individual parties. In con- n State-level, mandatory reporting for large facilities in Maine,
trast, a registry collects facility or corporate-level data. New Jersey, and Connecticut (and developing in California,
New Mexico, Nevada, Oregon, and other states)
Are registries mandatory or voluntary? The majority of GHG emissions in the United States, such as
Depending on their intended purpose, registries can be emissions from industry, are not tracked at the individual emit-
voluntary or mandatory. Voluntary registries collect data from ter level.
businesses and organizations seeking to demonstrate emissions
reduction efforts, typically at the corporate or organization-
What purpose would a registry serve in a cap-
wide level. Mandatory registries primarily serve a regulatory
and-trade program?
purpose, such as tracking progress and ensuring compliance
A cap-and-trade program would require an emissions registry
with regulatory programs, typically at the facility level.
to which affected facilities under the program could regularly
submit emissions data. This would be a critical component of a
cap-and-trade program as it would:
n Ensure compliance, such that each facility does not emit in
excess of its allowances
n Ensure the emissions market functions effectively and effi-
ciently by providing accurate and transparent data to market
participants and the public
n Allow policymakers to make appropriate allocation decisions
n Verify facilities’ claims that they achieved early action reduc-
tions that may qualify for early action credit in the program
Figure 1. As of Februrary 2008, 39 states have signed on to the Climate Registry.
n Build public confidence in the emissions reduction program

10 G Street, NE Tel: 202-729-7600 March 2008 For other issues in this series, go to
Washington, DC 20002 www.wri.org www.wri.org/climate/usclimate
World Resources Institute                 The Bottom Line on GHG Emissions Registries page 2

When will a mandatory ghg registry and How are emissions reported to a registry
reporting program take effect? verified?
In December 2007, Congress passed an appropriations bill that Reported emissions data must also be verified to ensure that
included $3.5 million in funding for the U.S. Environmental emissions data is accurate and complete. The EU Emission
Protection Agency to establish a mandatory GHG reporting Trading Scheme and California’s mandatory reporting program
program in the United States. The legislation requires the both require independent third-party verification of emis-
U.S. Environmental Protection Agency to establish a draft rule sions. Alternatively, the regulatory agency may itself verify
for this registry within nine months and a final rule within 18 that reported data is accurate and complete. Under the Acid
months. Rain Program, for example, the U.S. Environmental Protection
Agency conducts extensive quality assurance checks on submit-
What data are collected by a ghg registry? ted data and performs periodic on-site audits of facilities.
Data collection depends on the policy need that the data will
serve. To support a cap-and-trade program, a GHG emissions Will information submitted to a registry be
registry may collect emissions data from stationary combustion publicly disclosed?
of fossil fuels from large facilities, such as power plants and To be most useful, emissions data submitted to the registry
large industrial sources. Depending on the purpose of the reg- must be made publicly available in a transparent and timely
istry, additional emissions data from each reporting entity can fashion. Public disclosure is necessary to:
be collected. Such data could include emissions from industrial
n Ensure an efficient and well-functioning market in which all
processes, fugitive emissions from intentional or unintentional
market participants have access to transparent, up-to-date
releases, or emissions from motor vehicles. GHGs that are
information
tracked and reported may include carbon dioxide (CO2), meth-
ane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFCs), n Build public confidence in the program by transparently
perfluorocarbons (PFCs), and sulfur hexafluoride (SF6). A reg- documenting emissions trends and compliance
istry may also include additional data such as fuel production or n Provide public accountability, such that public perception
electricity use. In addition, registries supporting cap-and-trade becomes an additional driver for companies and facilities to
programs will need to collect and track information on emis- reduce emissions
sions allowances and offset projects in addition to emissions.
Although the mandatory registry established in Congress’ 2008 Will voluntary registries still serve a
appropriations package calls for emissions reporting for all function after there is mandatory GHG
sectors of the economy, the legislation does not specify which reporting?
facilities, or which emissions, will be subject to reporting. Voluntary corporate-wide registries, such as the Climate Reg-
istry, are still expected to be useful after there is mandatory
reporting to support regulatory programs. While mandatory
How are emissions data collected and
reporting is likely to collect emissions data for individual facili-
quantified?
ties, voluntary registries typically collect data at the corporate
Rigorous monitoring guidelines form the foundation of the
level. To serve the needs of investors, consumers, and public
registry. Reported data should be accurate, complete, transpar-
advocates interested in corporate financial risk and corporate
ent, consistent, and verified. All sources and gases must be
responsibility, there will remain a need for disclosure channels
quantified either through direct measurement, such as continu-
that shed light on corporate-level environmental performance.
ous emissions monitoring systems (CEMS), or through calcula-
tions using emission factors and activity data such as fuel use or
production data. Additional References
n The Climate Registry: http://www.theclimateregistry.org/
To ensure that a cap-and-trade market functions properly,
monitoring guidelines must ensure consistent measurement of n WRI Issue Brief Designing a GHG Emissions Registry:
emissions such that “a ton is a ton” throughout the program, http://www.wri.org/publication/designing-a-greenhouse-gas-
whether it is emitted in Alaska or Florida and whether it is emissions-registry#
from a power plant, a manufacturing facility, or in the trans- n WRI’s US Climate Policy Resources:
portation sector. Consistency depends on uniform and rigorous http://www.wri.org/climate/usclimate
monitoring procedures.

This series is a product of WRI’s climate and business engagement projects including the Green Power Market Development Group and the U.S. Climate Business
Group. Through these projects, WRI works with leading companies to pioneer low-carbon business strategies and advance markets for renewable energy.