US sulfur dioxide emissions trading program: Results and further applications

The use of emissions trading (cap and trade) is gaining worldwide recogniti on as an extremely effective policy tool. More than 4 million tons of SO2 h ave been reduced annually from sources participating in the US SO2 emission s trading program. Ambient SO2 levels and sulfate deposition have decreased by over 25 percent in the most sensitive ecosystems. By harnessing market forces, the program has led to significant cost savings. This paper discuss es the results of the US SO2 emissions trading program arid emerging effort s in the US and around the world to use emissions trading.