The Marathon Anacortes Refinery, operated by Marathon Petroleum, is seen on March 8, 2022 in Anacortes, Washington. (David Ryder/Getty Images)
Washington’s largest air polluters snapped up all available carbon emission allowances in this month’s state-run auction – and they did so at a relatively low price for a third consecutive time.
The Sept. 4 auction was the last regular sale before voters decide the fate of the Climate Commitment Act and its cap-and-trade program in November.
Opponents of the climate law say uncertainty tied to the looming initiative is the reason for the drop in auction prices over the last year. But supporters say the decline follows trends seen in other cap-and-trade markets where allowance costs stabilize after a year or so.
During Washington’s auction last week, 7,939,271 allowances were sold at $29.88 each. Sales generated more than $237 million, of which $157 million will go to the state and the remaining will go toward utilities to help their low-income customers.