Carbon prices in the Northeast have surged as data center growth increases power demand. Under the Regional Greenhouse Gas Initiative, CO2 permit costs recently jumped 31 percent to $47.56, surpassing California's previous record. This price rally is driven by expectations that Virginia will rejoin the market, coinciding with a massive expansion of AI-led data center hubs. While these markets incentivize renewable energy, the rising cost of emissions permits may lead to higher electricity bills for consumers.
