University of Minnesota, Morris
IN-2: Innovation 2

Participation in the Chicago Climate Exchange

The University of Minnesota is one of only seven higher education institutions to participate in the Chicago Climate Exchange (CCX), an innovative approach for limiting GHG emissions in the United States. The CCX trading system required participants to enter a voluntary but legally binding commitment to meet annual greenhouse gas reduction targets. Members included corporations representing the automotive, mining, chemical, power generation, and manufacturing sectors, as well as municipalities, counties, and universities in North America. CCX participants were required to independently verify emissions of six greenhouse gases, including carbon dioxide, methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons, and sulfur hexafluoride.

The University of Minnesota, which included the University of Minnesota, Morris (Morris) campus, committed to a 4% reduction of these emissions by 2006 and a 6% reduction by 2010 with a baseline of the average of 1998-2001 emissions. The University of Minnesota was a leader in the Exchange, reaching and exceeding these reduction goals early in the process.

The CCX Trading System allowed for real-time trading and pricing, giving entities the opportunity to learn to buy and sell carbon credits on a small scale. Although the Exchange was recently closed, it gave participants the opportunity to learn about the carbon market and also provided transparency in emissions reporting. In addition, this was the world’s first multinational and multisector marketplace for reducing and trading greenhouse gas emissions.