Energy Facility Siting Council Carbon Monetary Offset Rules

ORS 469.470 authorizes the Council to adopt standards and rules for the siting of energy facilities and for the implementation of Oregon's energy policy. ORS chapter 183 outlines the steps an agency must take to adopt rules.

Carbon Monetary Offset Rules

Summary of Proposed Rule	At its June 26, 2026 meeting, the Energy Facility Siting Council authorized the Oregon Department of Energy to initiate formal rulemaking to increase the carbon dioxide monetary offset rate in OAR 345-024-0580 from $6.40 to $9.60 per ton of carbon dioxide emissions. The proposed 50 percent increase is the maximum adjustment permitted during a two-year period under ORS 469.503(2)(c)(C). Because the current rate became effective October 30, 2024, the increased rate could not take effect before October 30, 2026. The monetary offset rate is used to calculate the amount a qualifying fossil-fueled or other carbon dioxide-emitting facility must provide when it elects the monetary pathway to satisfy the Council's carbon dioxide emissions standards. Staff concluded that the proposed rate is supported by available carbon-market pricing data and remains economically achievable for natural gas-fired power plants.
Statement of Fiscal Impact on Proposed Rule	Click to view.
Any Relevant FAQ Documents	Notice of Proposed Rulemaking Staff Report
Rulemaking Advisory Committee Meeting Notes / Recording	No RAC for this rulemaking.
Public Comments Received	None received to date
Most Recent Activity	The public comment period is now closed, final decision on this rulemaking is tentatively scheduled for November 19-20, 2026, Council meeting.

August 6, 2026: Notice of Proposed Rulemaking Filed And Comments Requested
On July 30, 2026, the Oregon Department of Energy filed a Notice of Proposed Rulemaking with the Oregon Secretary of State for proposed amendments to the carbon dioxide monetary offset rate in OAR 345-024-0580. The proposed rule would increase the monetary offset rate from $6.40 to $9.60 per ton of carbon dioxide emissions. This is a 50 percent increase, which is the maximum adjustment allowed during a two-year period under Oregon law. Because the current rate took effect on October 30, 2024, the proposed rate would not take effect before October 30, 2026. The Energy Facility Siting Council (EFSC) will hold a public hearing on the proposed rule during its August 21, 2026 meeting. Members of the public may provide oral comments at the hearing or submit written comments to ODOE. Information about how to attend that hearing will be posted on EFSC's meeting webpage prior to the meeting. Written comments must be received by September 25, 2026. Comments may be submitted by email to tom.jackman@energy.oregon.gov or mailed to: Oregon Department of Energy Attn: Tom Jackman, EFSC Rules Coordinator 550 Capitol St. NE Salem, OR 97301 Please include “Carbon Dioxide Monetary Offset Rate Rulemaking" in the subject line or at the beginning of the comment. The Notice of Proposed Rulemaking and proposed rule language are available in the documents section of this webpage.
June 26, 2026: Council Considers Proposed Carbon Monetary Offset Rules
At its meeting on June 26, 2026, Council approved the initiation of formal proceedings to adopt proposed amendments to the Carbon Monetary Offset Rules found in OAR 345 Division 24 Rule 0580. Please see the staff reports and materials below for additional information. The notice of proposed rulemaking (NOPR) is expected to be filed in July, which will begin the public comment period. July 26 2026, Council Meeting, Agenda Item G

Resources

For more information, please contact:

Tom Jackman
Rulemaking Coordinator

To request an interpreter for the hearing impaired or accommodations for persons with disabilities, please contact the Oregon Department of Energy at least 72 hours before the meeting at 1-800-221-8035 or fax 503-373-7806. TTY users should call the Oregon Relay Service at 711.