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Preface The border region is experiencing rapid economic and population growth that is currently not sustainable. Without rapid action, air quality can be expected to deteriorate. At the same time, many of the twin cities on the U.S.-Mexican border share a common geographical air basin. The daily airflows across the border make these air basins international, thus requiring binational solutions to air quality problems. Officials on both sides of the border have increasingly come to recognize this and are attempting to develop a response. Developing solutions to border air quality problems requires a binational dialog that must involve federal and local officials, non-governmental organizations (NGOs), and the private sector. Such a dialog is beginning to develop. Starting with the La Paz Agreement in 1983 and continuing through the Border XXI and Border 2012 programs of the U.S. Environmental Protection Agency (EPA) and Mexico’s Secretaría de Medio Ambiente y Recursos Naturales (SEMARNAT), the conversation about border environmental issues has proceeded with increasing effectiveness. But much work remains. The process will continue and will require a sustained effort by both the United States and Mexico. As a small part of the binational dialog, the authors held a series of workshops on emissions trading, sponsored by the Southwest Consortium for Environmental Research and Policy (SCERP). Workshops were held in Mexicali, Nuevo Laredo, Reynosa, Matamoros, and Ciudad Juárez. Participants were from Canada, the United States, and Mexico; from state and federal governments; and from NGOs, academia, and the business community. Overall, more than 200 people participated in the five workshops. During the workshops, it became clear that there was considerable confusion about the air quality problems of the U.S.-Mexican border region and emissions trading. This monograph is a response to that confusion. It documents the environmental problems that xiii
Improving Transboundary Air Quality with Binational Emission Reduction Credit Trading face the border stemming from air quality problems, and shows that emissions trading is an important option for solving those problems. The essence of our research begins on page 121 in the section titled “Emissions Trading on the U.S.-Mexican Border.” Academics and government officials will find information of interest within this monograph, but it is especially hoped that the general public will find it useful. To this end, care is taken to explain the issues in nontechnical terms and with minimal use of jargon. The most important contribution of this monograph is the juxtaposition of information about air quality problems on the U.S.-Mexican border with information about emissions trading. The social, economic, and legal issues unique to emissions trading on the border are explored and explained. The authors of this monograph believe that 20 years of successful emissions trading both in the United States and internationally are sufficient to demonstrate that emissions trading works. By allowing flexibility in how emission standards are to be met, an emissions trading program provides an efficient and cost-effective method for reducing air emissions to the benefit of the public, industry, and society as a whole. Some environmentalists are skeptical of emissions trading. They view capitalism and markets as the problem, not the solution. The authors show, however, that the evidence does not support this negative view. Indeed, many environmentalists have come to support emissions trading as one option for achieving environmental goals (see Daly 1996). Many people have contributed to this work. The authors thank SCERP for providing generous support over many years and several grants. J. Dámaso Miguel Alcántara Carrillo provided able assistance. Tom Fullerton, who read this manuscript, gave excellent feedback and his comments were always helpful, as were the comments of three other technical reviewers. Erin Ward was the SCERP contact person at New Mexico State University. The authors thank Rick Van Schoik of SCERP for his patience, and Paul Ganster, who is chair of SCERP’s Management Committee. The authors also thank Preeti Bahkta for able proofreading of the original draft, and Amy Conner, SCERP’s Managing Editor of Publications, for copyediting the final draft and coordinating the production of this volume. Lic. Patricia Vázquez Zarate of the Instituto Tecnológico de Matamoros, xiv
Page 1 and 2: THE SCERP MISSION The Southwest Con
Page 3 and 4: Authors SCERP Monograph Series, no.
Page 5 and 6: Published by San Diego State Univer
Page 8: Contents Foreword v Prefacio ix Pre
Page 11 and 12: Improving Transboundary Air Quality
Page 14 and 15: Prefacio “Si vale la pena tener u
Page 16: Prefacio pudiera ser difícil, cost
Page 22 and 23: I Introduction THE VIEW FROM EL PAS
Page 24 and 25: Introduction Resource Conservation
Page 26 and 27: Introduction approaches to correcti
Page 28 and 29: Introduction into the environment.
Page 30 and 31: Introduction maquiladoras, to hire
Page 32 and 33: Introduction (PM 10 and PM 2.5 )—
Page 34 and 35: Introduction installing scrubbers,
Page 36 and 37: Introduction The existence of emiss
Page 38 and 39: Introduction would require an initi
Page 40 and 41: Introduction EPE generated emission
Page 42 and 43: OVERVIEW Introduction This volume i
Page 44 and 45: II A Snapshot of the Border THE MEA
Page 46 and 47: A Snapshot of the Border states—B
Page 48 and 49: A Snapshot of the Border Table 1. U
Page 50 and 51: A Snapshot of the Border Interestin
Page 52 and 53: Table 3. Percentage Change in Borde
Page 54 and 55: A Snapshot of the Border Another so
Page 56 and 57: A Snapshot of the Border plants tha
Page 58 and 59: A Snapshot of the Border Air Qualit
Page 60 and 61: A Snapshot of the Border quality. T
Page 62 and 63: A Snapshot of the Border million in
Page 64: A Snapshot of the Border THE ENVIRO
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Improving Transboundary Air Quality
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Appendix A Excerpts from the Border
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Environmental Regulation and the Bo
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Environmental Regulation and the Bo
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Nearly 90% think Mexican environmen
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Appendix B Survey Instrument Encues
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Manquiladora Attitudes 13) ¿Tu com
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Manquiladora Attitudes 22)¿Habías
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V Designing a Transborder Trading S
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Designing a Transborder Trading Sch
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abatement activities, 4, 6-7, 16, 1
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automobile and truck, 47 banking, 2
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nitrogen oxide (NO x), 9-10, 16-18,
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