Carbon Sequestration projects often are initiated in response to government regulations, mandates, and incentives.  Other factors may include a desire to increase familiarization with new technology, to evoke positive public relations, and mitigate concern about environmental impacts of greenhouse gas emissions.  The primary reason listed by carbon sequestration project developers is the presence of a regulatory emission reduction, cap and trading programs, or a need to avoid financial risks associated with the possibility of future regulations.

Listed below are some of the most prominent regulatory drivers relating to carbon sequestration.

International

• The Kyoto Protocol to the United Nations Framework Convention on Climate Change: 140 countries
• Chicago Climate Exchange: 300 members from all sectors

National

• U.S. Department of Energy’s Voluntary Reporting of Greenhouse Gases Program
• U.S. Environmental Protection Agency’s Climate Leaders Program
• Global Climate Change Initiative

Regional

• Regional Greenhouse Gas Initiative: CT, DE, ME, NH, NJ, NY, VT*
• Western Regional Climate Action Initiative: AZ, CA, NM, OR, WA, UT, and the Canadian Provinces of British Columbia and Manitoba*

State

• Oregon Carbon Dioxide Standard for New Energy Facilities and The Climate Trust
• California Climate Action Registry; California Global Warming Solutions Act
• Greenhouse gas emissions targets: AZ, CA, CT, IL, MA, ME, MN, NH, NJ, NM, NY, OR, RI, VT, WA*
• Carbon caps or offset requirements for power plants: CA, MA, NH, OR, WA*