A federal PBF will both encourage and support the creation of these programs at the State level and can be structured to give States the flexibility to allocate such funding in a manner that addresses unique State or local needs. The Administration Proposal, cont'd. Make all consumers eligible for net metering and require that all distribution service providers assure the availability of interconnection, subject to appropriate nondiscriminatory safety standards. No change is proposed to existing EPA authority to determine geographic coverage or level of reductions required in addressing regional transport contributions . Our restructuring proposal is likely to provide net benefits to the environment by reducing emissions of nitrogen oxides and carbon dioxide relative to baseline projections for 2010.
Electric generators are a major source of NOx emissions.
Our proposal will allow these NOx reductions to be achieved through efficient market-based mechanisms. The Administration believes that retail competition will deliver cleaner air and a down-payment on greenhouse gas emissions reductions. We estimate that our Competition Plan will reduce greenhouse gas emissions by 25 to 40 million metric tons by the year 2010. These reductions result from the specific provisions outlined above that support renewable energy sources and efficiency as well as the incentive provided by retail competition itself to improve efficiency both in the supply and use of electricity. We intend to coordinate across federal agencies regarding data on emissions from the utility sector and with the Congress to ensure that any unanticipated adverse consequences are addressed quickly and in keeping with the Administration s climate change policy.