II 

108TH CONGRESS 

1ST SESSION S. 194

To amend the Clean Air Act to establish an inventory, registry, and information system of United States greenhouse gas emissions to inform the 

public and private sector concerning, and encourage voluntary reductions 

in, greenhouse gas emissions. 

IN THE SENATE OF THE UNITED STATES 

JANUARY 17, 2003

Mr. CORZINE (for himself, Mr. JEFFORDS, and Mr. LIEBERMAN) introduced 

the following bill; which was read twice and referred to the Committee 

on Environment and Public Works 

A BILL

To amend the Clean Air Act to establish an inventory, registry, and information system of United States greenhouse gas emissions to inform the public and private 

sector concerning, and encourage voluntary reductions 

in, greenhouse gas emissions.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘National Greenhouse 

5 Gas Emissions Inventory and Registry Act of 2003’’. 

6 SEC. 2. FINDINGS AND PURPOSE. 

7 (a) FINDINGS.—Congress finds that—
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1 (1) human activities have caused rapid in2 creases in atmospheric concentrations of carbon di3 oxide and other greenhouse gases in the last century; 

4 (2) according to the Intergovernmental Panel 

5 on Climate Change and the National Research 

6 Council—

7 (A) the Earth has warmed in the last cen8 tury; and 

9 (B) the majority of the observed warming 

10 is attributable to human activities; 

11 (3) despite the fact that many uncertainties in 

12 climate science remain, the potential impacts from 

13 human-induced climate change pose a substantial 

14 risk that should be managed in a responsible man15 ner; and 

16 (4) to begin to manage climate change risks, 

17 public and private entities will need a comprehen18 sive, accurate inventory, registry, and information 

19 system of the sources and quantities of United 

20 States greenhouse gas emissions. 

21 (b) PURPOSE.—The purpose of this Act is to estab22 lish a mandatory greenhouse gas inventory, registry, and 

23 information system that—

24 (1) is complete, consistent, transparent, and ac25 curate; 
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1 (2) will create accurate data that can be used 

2 by public and private entities to design efficient and 

3 effective greenhouse gas emission reduction strate4 gies; 

5 (3) will encourage greenhouse gas emission re6 ductions; and 

7 (4) can be used to establish a baseline in the 

8 event of any future greenhouse gas emission reduc9 tion requirements affecting major emitters in the 

10 United States. 

11 SEC. 3. GREENHOUSE GAS EMISSIONS. 

12 The Clean Air Act (42 U.S.C. 1701 et seq.) is amend13 ed by adding at the end the following: 

14 ‘‘TITLE VII—GREENHOUSE GAS 

15 EMISSIONS 

16 ‘‘SEC. 701. DEFINITIONS. 

17 ‘‘In this title: 

18 ‘‘(1) COVERED ENTITY.—The term ‘covered en19 tity’ means an entity that emits more than a thresh20 old quantity of greenhouse gas emissions. 

21 ‘‘(2) DIRECT EMISSIONS.—The term ‘direct 

22 emissions’ means greenhouse gas emissions from a 

23 source that is owned or controlled by an entity. 
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1 ‘‘(3) ENTITY.—The term ‘entity’ includes a 

2 firm, a corporation, an association, a partnership, 

3 and a Federal agency. 

4 ‘‘(4) GREENHOUSE GAS.—The term ‘greenhouse 

5 gas’ means—

6 ‘‘(A) carbon dioxide; 

7 ‘‘(B) methane; 

8 ‘‘(C) nitrous oxide; 

9 ‘‘(D) hydrofluorocarbons; 

10 ‘‘(E) perfluorocarbons; and 

11 ‘‘(F) sulfur hexafluoride. 

12 ‘‘(5) GREENHOUSE GAS EMISSIONS.—The term 

13 ‘greenhouse gas emissions’ means emissions of a 

14 greenhouse gas, including—

15 ‘‘(A) stationary combustion source emis16 sions, which are emitted as a result of combus17 tion of fuels in stationary equipment such as 

18 boilers, furnaces, burners, turbines, heaters, in19 cinerators, engines, flares, and other similar 

20 sources; 

21 ‘‘(B) process emissions, which consist of 

22 emissions from chemical or physical processes 

23 other than combustion; 

24 ‘‘(C) fugitive emissions, which consist of 

25 intentional and unintentional emissions from—
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1 ‘‘(i) equipment leaks such as joints, 

2 seals, packing, and gaskets; and 

3 ‘‘(ii) piles, pits, cooling towers, and 

4 other similar sources; and 

5 ‘‘(D) mobile source emissions, which are 

6 emitted as a result of combustion of fuels in 

7 transportation equipment such as automobiles, 

8 trucks, trains, airplanes, and vessels. 

9 ‘‘(6) GREENHOUSE GAS EMISSIONS RECORD.—

10 The term ‘greenhouse gas emissions record’ means 

11 all of the historical greenhouse gas emissions and 

12 project reduction data submitted by an entity under 

13 this title, including any adjustments to such data 

14 under section 704(c). 

15 ‘‘(7) GREENHOUSE GAS REPORT.—The term 

16 ‘greenhouse gas report’ means an annual list of the 

17 greenhouse gas emissions of an entity and the 

18 sources of those emissions. 

19 ‘‘(8) INDIRECT EMISSIONS.—The term ‘indirect 

20 emissions’ means greenhouse gas emissions that are 

21 a consequence of the activities of an entity but that 

22 are emitted from sources owned or controlled by an23 other entity. 

24 ‘‘(9) NATIONAL GREENHOUSE GAS EMISSIONS

25 INFORMATION SYSTEM.—The term ‘national green-
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1 house gas emissions information system’ means the 

2 information system established under section 702(a). 

3 ‘‘(10) NATIONAL GREENHOUSE GAS EMISSIONS

4 INVENTORY.—The term ‘national greenhouse gas 

5 emissions inventory’ means the national inventory of 

6 greenhouse gas emissions established under section 

7 705. 

8 ‘‘(11) NATIONAL GREENHOUSE GAS REG9 ISTRY.—The term ‘national greenhouse gas registry’ 

10 means the national greenhouse gas registry estab11 lished under section 703(a). 

12 ‘‘(12) PROJECT REDUCTION.—The term 

13 ‘project reduction’ means—

14 ‘‘(A) a greenhouse gas emission reduction 

15 achieved by carrying out a greenhouse gas 

16 emission reduction project; and 

17 ‘‘(B) sequestration achieved by carrying 

18 out a sequestration project. 

19 ‘‘(13) REPORTING ENTITY.—The term ‘report20 ing entity’ means an entity that reports to the Ad21 ministrator under subsection (a) or (b) of section 

22 704. 

23 ‘‘(14) SEQUESTRATION.—The term ‘sequestra24 tion’ means the long-term separation, isolation, or 

25 removal of greenhouse gases from the atmosphere, 
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1 including through a biological or geologic method 

2 such as reforestation or an underground reservoir. 

3 ‘‘(15) THRESHOLD QUANTITY.—The term 

4 ‘threshold quantity’ means a threshold quantity for 

5 mandatory greenhouse gas reporting established by 

6 the Administrator under section 704(a)(3). 

7 ‘‘(16) VERIFICATION.—The term ‘verification’ 

8 means the objective and independent assessment of 

9 whether a greenhouse gas report submitted by a re10 porting entity accurately reflects the greenhouse gas 

11 impact of the reporting entity. 

12 ‘‘SEC. 702. NATIONAL GREENHOUSE GAS EMISSIONS INFOR13 MATION SYSTEM. 

14 ‘‘(a) ESTABLISHMENT.—In consultation with the 

15 Secretary of Commerce, the Secretary of Agriculture, the 

16 Secretary of Energy, States, the private sector, and non17 governmental organizations concerned with establishing 

18 standards for reporting of greenhouse gas emissions, the 

19 Administrator shall establish and administer a national 

20 greenhouse gas emissions information system to collect in21 formation reported under section 704(a). 

22 ‘‘(b) SUBMISSION TO CONGRESS OF DRAFT DE23 SIGN.—Not later than 180 days after the date of enact24 ment of this title, the Administrator shall submit to Con-
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1 gress a draft design of the national greenhouse gas emis2 sions information system. 

3 ‘‘(c) AVAILABILITY OF DATA TO THE PUBLIC.—The 

4 Administrator shall publish all information in the national 

5 greenhouse gas emissions information system through the 

6 website of the Environmental Protection Agency, except 

7 in any case in which publishing the information would re8 veal a trade secret or disclose information vital to national 

9 security. 

10 ‘‘(d) RELATIONSHIP TO OTHER GREENHOUSE GAS

11 REGISTRIES.—To the extent practicable, the Adminis12 trator shall ensure coordination between the national 

13 greenhouse gas emissions information system and existing 

14 and developing Federal, regional, and State greenhouse 

15 gas registries. 

16 ‘‘(e) INTEGRATION WITH OTHER ENVIRONMENTAL

17 INFORMATION.—To the extent practicable, the Adminis18 trator shall integrate information in the national green19 house gas emissions information system with other envi20 ronmental information managed by the Administrator. 

21 ‘‘SEC. 703. NATIONAL GREENHOUSE GAS REGISTRY. 

22 ‘‘(a) ESTABLISHMENT.—In consultation with the 

23 Secretary of Commerce, the Secretary of Agriculture, the 

24 Secretary of Energy, States, the private sector, and non25 governmental organizations concerned with establishing 
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1 standards for reporting of greenhouse gas emissions, the 

2 Administrator shall establish and administer a national 

3 greenhouse gas registry to collect information reported 

4 under section 704(b). 

5 ‘‘(b) AVAILABILITY OF DATA TO THE PUBLIC.—The 

6 Administrator shall publish all information in the national 

7 greenhouse gas registry through the website of the Envi8 ronmental Protection Agency, except in any case in which 

9 publishing the information would reveal a trade secret or 

10 disclose information vital to national security. 

11 ‘‘(c) RELATIONSHIP TO OTHER GREENHOUSE GAS

12 REGISTRIES.—To the maximum extent feasible and prac13 ticable, the Administrator shall ensure coordination be14 tween the national greenhouse gas registry and existing 

15 and developing Federal, regional, and State greenhouse 

16 gas registries. 

17 ‘‘(d) INTEGRATION WITH OTHER ENVIRONMENTAL

18 INFORMATION.—To the maximum extent practicable, the 

19 Administrator shall integrate all information in the na20 tional greenhouse gas registry with other environmental 

21 information collected by the Administrator. 

22 ‘‘SEC. 704. REPORTING. 

23 ‘‘(a) MANDATORY REPORTING TO NATIONAL GREEN24 HOUSE GAS EMISSIONS INFORMATION SYSTEM.—

25 ‘‘(1) INITIAL REPORTING REQUIREMENTS.—
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1 ‘‘(A) IN GENERAL.—Not later than April 

2 30, 2004, in accordance with this paragraph 

3 and the regulations promulgated under section 

4 706(e)(1), each covered entity shall submit to 

5 the Administrator, for inclusion in the national 

6 greenhouse gas emissions information system, 

7 the greenhouse gas report of the covered entity 

8 with respect to—

9 ‘‘(i) calendar year 2003; and 

10 ‘‘(ii) each greenhouse gas emitted by 

11 the covered entity in an amount that ex12 ceeds the applicable threshold quantity. 

13 ‘‘(B) REQUIRED ELEMENTS.—Each green14 house gas report submitted under subparagraph 

15 (A)—

16 ‘‘(i) shall include estimates of direct 

17 stationary combustion source emissions; 

18 ‘‘(ii) shall express greenhouse gas 

19 emissions in metric tons of the carbon di20 oxide equivalent of each greenhouse gas 

21 emitted; 

22 ‘‘(iii) shall specify the sources of 

23 greenhouse gas emissions that are included 

24 in the greenhouse gas report; 
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1 ‘‘(iv) shall be reported on an entity2 wide basis and on a facility-wide basis; and 

3 ‘‘(v) to the maximum extent prac4 ticable, shall be reported electronically to 

5 the Administrator in such form as the Ad6 ministrator may require. 

7 ‘‘(C) METHOD OF REPORTING OF ENTITY8 WIDE EMISSIONS.—Under subparagraph 

9 (B)(iv), entity-wide emissions shall be reported 

10 on the bases of financial control and equity 

11 share in a manner consistent with the financial 

12 reporting practices of the covered entity. 

13 ‘‘(2) FINAL REPORTING REQUIREMENTS.—

14 ‘‘(A) IN GENERAL.—Not later than April 

15 30, 2005, and each April 30 thereafter (except 

16 as provided in subparagraph (B)(vii)), in ac17 cordance with this paragraph and the regula18 tions promulgated under section 706(e)(2), each 

19 covered entity shall submit to the Administrator 

20 the greenhouse gas report of the covered entity 

21 with respect to—

22 ‘‘(i) the preceding calendar year; and 

23 ‘‘(ii) each greenhouse gas emitted by 

24 the covered entity in an amount that ex25 ceeds the applicable threshold quantity. 
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1 ‘‘(B) REQUIRED ELEMENTS.—Each green2 house gas report submitted under subparagraph 

3 (A) shall include—

4 ‘‘(i) the required elements specified in 

5 paragraph (1); 

6 ‘‘(ii) estimates of indirect emissions 

7 from imported electricity, heat, and steam; 

8 ‘‘(iii) estimates of process emissions 

9 described in section 701(5)(B); 

10 ‘‘(iv) estimates of fugitive emissions 

11 described in section 701(5)(C); 

12 ‘‘(v) estimates of mobile source emis13 sions described in section 701(5)(D), in 

14 such form as the Administrator may re15 quire; 

16 ‘‘(vi) in the case of a covered entity 

17 that is a forest product entity, estimates of 

18 direct stationary source emissions, includ19 ing emissions resulting from combustion of 

20 biomass; 

21 ‘‘(vii) in the case of a covered entity 

22 that owns more than 250,000 acres of 

23 timberland, estimates, by State, of the tim24 ber and carbon stocks of the covered enti-
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1 ty, which estimates shall be updated every 

2 5 years; and 

3 ‘‘(viii) a description of any adjust4 ments to the greenhouse gas emissions 

5 record of the covered entity under sub6 section (c). 

7 ‘‘(3) ESTABLISHMENT OF THRESHOLD QUAN8 TITIES.—For the purpose of reporting under this 

9 subsection, the Administrator shall establish thresh10 old quantities of emissions for each combination of 

11 a source and a greenhouse gas that is subject to the 

12 mandatory reporting requirements under this sub13 section. 

14 ‘‘(b) VOLUNTARY REPORTING TO NATIONAL GREEN15 HOUSE GAS REGISTRY.—

16 ‘‘(1) IN GENERAL.—Not later than April 30, 

17 2004, and each April 30 thereafter, in accordance 

18 with this subsection and the regulations promulgated 

19 under section 706(f), an entity may voluntarily re20 port to the Administrator, for inclusion in the na21 tional greenhouse gas registry, with respect to the 

22 preceding calendar year and any greenhouse gas 

23 emitted by the entity—

24 ‘‘(A) project reductions; 
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1 ‘‘(B) transfers of project reductions to and 

2 from any other entity; 

3 ‘‘(C) project reductions and transfers of 

4 project reductions outside the United States; 

5 ‘‘(D) indirect emissions that are not re6 quired to be reported under subsection 

7 (a)(2)(B)(ii) (such as product transport, waste 

8 disposal, product substitution, travel, and em9 ployee commuting); and 

10 ‘‘(E) product use phase emissions. 

11 ‘‘(2) TYPES OF ACTIVITIES.—Under paragraph 

12 (1), an entity may report activities that reduce 

13 greenhouse gas emissions or sequester a greenhouse 

14 gas, including—

15 ‘‘(A) fuel switching; 

16 ‘‘(B) energy efficiency improvements; 

17 ‘‘(C) use of renewable energy; 

18 ‘‘(D) use of combined heat and power sys19 tems; 

20 ‘‘(E) management of cropland, grassland, 

21 and grazing land; 

22 ‘‘(F) forestry activities that increase car23 bon stocks; 

24 ‘‘(G) carbon capture and storage; 

25 ‘‘(H) methane recovery; and
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1 ‘‘(I) carbon offset investments. 

2 ‘‘(c) ADJUSTMENT FACTORS.—

3 ‘‘(1) IN GENERAL.—Each reporting entity shall 

4 adjust the greenhouse gas emissions record of the 

5 reporting entity in accordance with this subsection. 

6 ‘‘(2) SIGNIFICANT STRUCTURAL CHANGES.—

7 ‘‘(A) IN GENERAL.—A reporting entity 

8 that experiences a significant structural change 

9 in the organization of the reporting entity (such 

10 as a merger, major acquisition, or divestiture) 

11 shall adjust its greenhouse gas emissions record 

12 for preceding years so as to maintain year-to13 year comparability. 

14 ‘‘(B) MID-YEAR CHANGES.—In the case of 

15 a reporting entity that experiences a significant 

16 structural change described in subparagraph 

17 (A) during the middle of a year, the greenhouse 

18 gas emissions record of the reporting entity for 

19 preceding years shall be adjusted on a pro-rata 

20 basis. 

21 ‘‘(3) CALCULATION CHANGES AND ERRORS.—

22 The greenhouse gas emissions record of a reporting 

23 entity for preceding years shall be adjusted for—

24 ‘‘(A) changes in calculation methodologies; 

25 or 
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1 ‘‘(B) errors that significantly affect the 

2 quantity of greenhouse gases in the greenhouse 

3 gas emissions record. 

4 ‘‘(4) ORGANIZATIONAL GROWTH OR DECLINE.—

5 The greenhouse gas emissions record of a reporting 

6 entity for preceding years shall not be adjusted for 

7 any organizational growth or decline of the reporting 

8 entity such as—

9 ‘‘(A) an increase or decrease in production 

10 output; 

11 ‘‘(B) a change in product mix; 

12 ‘‘(C) a plant closure; and 

13 ‘‘(D) the opening of a new plant. 

14 ‘‘(5) EXPLANATIONS OF ADJUSTMENTS.—A re15 porting entity shall explain, in a statement included 

16 in the greenhouse gas report of the reporting entity 

17 for a year—

18 ‘‘(A) any significant adjustment in the 

19 greenhouse gas emissions record of the report20 ing entity; and 

21 ‘‘(B) any significant change between the 

22 greenhouse gas emissions record for the pre23 ceding year and the greenhouse gas emissions 

24 reported for the current year. 
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1 ‘‘(d) QUANTIFICATION AND VERIFICATION PROTO2 COLS AND TOOLS.—

3 ‘‘(1) IN GENERAL.—The Administrator and the 

4 Secretary of Commerce, the Secretary of Agri5 culture, and the Secretary of Energy shall jointly 

6 work with the States, the private sector, and non7 governmental organizations to develop—

8 ‘‘(A) protocols for quantification and 

9 verification of greenhouse gas emissions; 

10 ‘‘(B) electronic methods for quantification 

11 and reporting of greenhouse gas emissions; and 

12 ‘‘(C) greenhouse gas accounting and re13 porting standards. 

14 ‘‘(2) BEST PRACTICES.—The protocols and 

15 methods developed under paragraph (1) shall con16 form, to the maximum extent practicable, to the best 

17 practice protocols that have the greatest support of 

18 experts in the field. 

19 ‘‘(3) INCORPORATION INTO REGULATIONS.—

20 The Administrator shall incorporate the protocols 

21 developed under paragraph (1)(A) into the regula22 tions promulgated under section 706. 

23 ‘‘(4) OUTREACH PROGRAM.—The Adminis24 trator, the Secretary of Commerce, the Secretary of 

25 Agriculture, and the Secretary of Energy shall joint-
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1 ly conduct an outreach program to provide informa2 tion to all reporting entities and the public on the 

3 protocols and methods developed under this sub4 section. 

5 ‘‘(e) VERIFICATION.—

6 ‘‘(1) PROVISION OF INFORMATION BY REPORT7 ING ENTITIES.—Each reporting entity shall provide 

8 information sufficient for the Administrator to 

9 verify, in accordance with greenhouse gas accounting 

10 and reporting standards developed under subsection 

11 (d)(1)(C), that the greenhouse gas report of the re12 porting entity—

13 ‘‘(A) has been accurately reported; and 

14 ‘‘(B) in the case of each project reduction, 

15 represents actual reductions in greenhouse gas 

16 emissions or actual increases in net sequestra17 tion, as applicable. 

18 ‘‘(2) INDEPENDENT THIRD-PARTY

19 VERIFICATION.—A reporting entity may—

20 ‘‘(A) obtain independent third-party 

21 verification; and 

22 ‘‘(B) present the results of the third-party 

23 verification to the Administrator for consider24 ation by the Administrator in carrying out 

25 paragraph (1).
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1 ‘‘(f) ENFORCEMENT.—The Administrator may bring 

2 a civil action in United States district court against a cov3 ered entity that fails to comply with subsection (a), or a 

4 regulation promulgated under section 706(e), to impose a 

5 civil penalty of not more than $25,000 for each day that 

6 the failure to comply continues. 

7 ‘‘SEC. 705. NATIONAL GREENHOUSE GAS EMISSIONS INVEN8 TORY. 

9 ‘‘Not later than April 30, 2004, and each April 30 

10 thereafter, the Administrator shall publish a national 

11 greenhouse gas emissions inventory that includes—

12 ‘‘(1) comprehensive estimates of the quantity of 

13 United States greenhouse gas emissions for the sec14 ond preceding calendar year, including—

15 ‘‘(A) for each greenhouse gas, an estimate 

16 of the quantity of emissions contributed by each 

17 key source category; 

18 ‘‘(B) a detailed analysis of trends in the 

19 quantity, composition, and sources of United 

20 States greenhouse gas emissions; and 

21 ‘‘(C) a detailed explanation of the method22 ology used in developing the national green23 house gas emissions inventory; and 

24 ‘‘(2) a detailed analysis of the information re25 ported to the national greenhouse gas emissions in-
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1 formation system and the national greenhouse gas 

2 registry. 

3 ‘‘SEC. 706. REGULATIONS. 

4 ‘‘(a) IN GENERAL.—The Administrator may promul5 gate such regulations as are necessary to carry out this 

6 title. 

7 ‘‘(b) BEST PRACTICES.—In developing regulations 

8 under this section, the Administrator shall seek to leverage 

9 leading protocols for the measurement, accounting, report10 ing, and verification of greenhouse gas emissions. 

11 ‘‘(c) NATIONAL GREENHOUSE GAS EMISSIONS IN12 FORMATION SYSTEM.—Not later than January 31, 2004, 

13 the Administrator shall promulgate such regulations as 

14 are necessary to establish the national greenhouse gas 

15 emissions information system. 

16 ‘‘(d) NATIONAL GREENHOUSE GAS REGISTRY.—Not 

17 later than January 31, 2004, the Administrator shall pro18 mulgate such regulations as are necessary to establish the 

19 national greenhouse gas registry. 

20 ‘‘(e) MANDATORY REPORTING REQUIREMENTS.—

21 ‘‘(1) INITIAL REPORTING REQUIREMENTS.—Not 

22 later than January 31, 2004, the Administrator 

23 shall promulgate such regulations as are necessary 

24 to implement the initial mandatory reporting re25 quirements under section 704(a)(1). 
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1 ‘‘(2) FINAL REPORTING REQUIREMENTS.—Not 

2 later than January 31, 2005, the Administrator 

3 shall promulgate such regulations as are necessary 

4 to implement the final mandatory reporting require5 ments under section 704(a)(2). 

6 ‘‘(f) VOLUNTARY REPORTING PROVISIONS.—Not 

7 later than January 31, 2004, the Administrator shall pro8 mulgate such regulations and issue such guidance as are 

9 necessary to implement the voluntary reporting provisions 

10 under section 704(b). 

11 ‘‘(g) ADJUSTMENT FACTORS.—Not later than Janu12 ary 31, 2004, the Administrator shall promulgate such 

13 regulations as are necessary to implement the adjustment 

14 factors under section 704(c).’’.

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