California and Mexico Sign Climate and Energy Agreements

on August 07, 2014 at 10:00 AM

Border Security Unaffected By US Government Shutdown

During a Trade and Investment Mission to Mexico, California Governor Brown signed agreements with Mexico to enhance cooperation on environmental issues and encourage cross-border clean energy investments.

On July 28, 2014, California Governor Edmund G. Brown, Mexico’s Ministry of Environment and Natural Resources Undersecretary Rodolfo Lacy, and Mexican National Forestry Commission Director General Jorge Rescala Pérez signed a Memorandum of Understanding (MOU) to cooperate and coordinate efforts on environmental issues related to climate change, wildfires, air quality, and clean vehicles.  On July 29, Governor Brown and Mexico’s Secretary of Energy Pedro Joaquín Coldwell signed an MOU to foster cross-border investments for clean energy development.

Among the major areas of cooperation, the comprehensive climate agreement calls for technical cooperation to strengthen greenhouse gas (GHG) inventory and reporting programs, alignment of GHG reduction programs, and implementation of carbon pricing systems and market-based instruments.  The agreement includes coordination to fight wildfire emergencies at the shared border in an efficient and timely manner using existing bilateral instruments and strengthening capacities.  It calls for air quality improvements by reducing criteria pollutants and expanding the market for efficient energy technologies.  To reduce vehicle emissions, particularly in shared air basins, the agreement calls for stronger vehicle standards, including common standards, green freight initiatives, and vehicle market analysis at the border.  The agreement also covers waste management improvement and aims to include biodiversity, green building, and sustainable cities in the future.


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To facilitate cooperation, the climate agreement calls for sharing information on proven GHG reduction and climate adaptation programs, sharing policy design, inviting comments for policy design and rulemaking, discussing policy and program alignment possibilities, and organizing joint symposia, among others.  The agreement also includes collaboration through California’s innovation hubs (iHubs) that promote entrepreneurship, economic growth, and job creation.  To achieve the MOU objectives, California and Mexico intend to develop a Joint Action Plan and annual work plans focused on the areas of cooperation.

The clean energy agreement calls for bilateral cooperation and joint implementation actions in the fields of low-carbon energy, clean technologies, biofuels, and energy efficiency to enhance diversity, reliability, and affordability of energy supplies.  It will facilitate scientific and technical staff exchange in areas such as energy sector regulation, grid operation and management, energy efficiency, demand response, energy storage, and biofuels.  It will also promote joint R&D projects and implement regional iHubs to encourage collaboration on innovation.

California has a record of adopting landmark climate change strategies in the U.S., including the first state-administered cap-and-trade system launched in November 2012.  The 2006 California Global Warming Solutions Act (AB 32) requires California to reduce emissions to 1990 levels by 2020.  In January, California linked its emissions-trading program with that of Quebec facilitating joint carbon auctions.  In September 2013, California and China signed an agreement to coordinate efforts on low carbon development.

Originally published by EnerKnol.

Founded in 2011, EnerKnol provides U.S. energy policy research and data services to support investment decisions across all sectors of the energy industry. Headquartered in New York City, EnerKnol is proud to be a NYC ACRE company.