The Climate Protection Program
The Climate Protection Program uses a declining limit, or cap, to reduce greenhouse gas emissions from fossil fuels used throughout Oregon. This includes covered emissions from fossil fuels used in transportation, residential, commercial, and industrial settings.
Each year DEQ distributes compliance instruments to the companies regulated by the program. The number of compliance instruments distributed by DEQ is equal to that year's cap. A compliance instrument allows a regulated company to emit one ton of greenhouse gas pollution. As the cap declines, DEQ distributes fewer compliance instruments each year.
Community Climate Investments
Companies regulated by the program can also choose to use a limited number of Community Climate Investment credits. Regulated companies can choose to earn these credits by contributing funds to DEQ-approved Community Climate Investment entities. These entities will then invest those funds in projects that reduce greenhouse gas emissions in Oregon's environmental justice communities.
Community Climate Invetment entities
CCI entities have to be 501(c)(3) nonprofits, but subcontractors can be for-profit companies. CCI entities must demonstrate appropriate administrative processes and financial controls to hold and spend CCI funds on approved projects. A 4.5% fee on CCIs entities, approved by the Legislature in 2023 will be used for program administration. The fee will enable DEQ oversight of any CCI funds and their use, transparency and accountability of investments, their effects, and program efficiency. DEQ will engage independent audits as needed of CCI contributions and greenhouse gas emission reductions.
DEQ is now accepting applications from non-profits interested in becoming third party Community Climate Investment entities. The application period closes March 20, 2026. All application materials, any amendments, and questions with their responses will be posted to this page.
Pre-application conference #1
Jan. 15, 10 a.m. to 11 a.m. PST
Pre-application conference #2
Feb. 11, 2 p.m. to 3 p.m. PST
Equity and environmental justice
Environmental justice community engagement and representation is crucial for ensuring that Community Climate Investments are invested as intended and meet program goals. Project priorities are:
- Reducing greenhouse gas emissions and on average at least one ton per CCI credit
- Reducing emissions of other air pollution, particularly in or near environmental justice communities
- Promoting public health, environmental, and economic benefits for environmental justice communities
- Accelerating the transition to clean energy particularly in or near environmental justice communities
A CCI entity must also use a minimum of 15% of CCI funds that are used for implementing eligible projects for projects that benefit federally recognized Tribes and Tribal communities in Oregon.
For the program, environmental justice communities are communities of color, communities experiencing lower incomes, communities experiencing health inequities, tribal communities, rural communities, remote communities, coastal communities, communities with limited infrastructure and other communities traditionally underrepresented in public processes and adversely harmed by environmental and health hazards, including seniors, youth and persons with disabilities.