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We use economics and law to support smart policies for the environment, public health, and consumers.

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Featured Publication

Carbon Pricing in Wholesale Electricity Markets

An Economic and Legal Guide

This report explains how carbon-pricing rules in organized wholesale electricity markets can improve economic efficiency. It then explores the economic principles and legal requirements for RTOs, states, and the Federal Energy Regulatory Commission to consider when implementing a carbon-pricing rule in organized wholesale electricity markets. And it identifies several policy-design approaches that, to varying degrees, meet those economic principles and are likely to be found legally permissible.

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