Indeck Corinth, L.P. v. Paterson

A settlement was reached concerning a lawsuit that had been brought by the operator of a New York power plant against several New York State agencies concerning the state’s implementation of the Regional Greenhouse Gas Initiative (RGGI). According to the New York State Energy Research and Development Authority (NYSERDA) and the New York State Department of Environmental Conservation (DEC), the settlement left intact the mechanisms to achieve the goals of the RGGI program. Under the settlement, the plaintiff company will withdraw the lawsuit and in return the utility Con Edison will pay the company and other power producers for the amount of pollution allowances that they do not receive directly from DEC from a pool of allowances that were set aside under the regulations for qualifying power generators bound by long-term contracts. In addition, NYSERDA will allot a portion of the RGGI proceeds to offset Con Edison’s costs.