An Act establishing the Pennsylvania Climate Emissions Reduction Program; imposing powers and duties on the Environmental Quality Board, the Pennsylvania Public Utility Commission and the Department of Environmental Protection; and establishing the Consumer Protection Account, the Pennsylvania Energy Transformation Account, the Workforce Enhancement Fund, the Workforce Enhancement Fund Board and the Low-income Support Account.

HB 503 establishes the Pennsylvania Climate Emissions Reduction (PACER) Program, creating a state-run "cap-and-invest" system to reduce carbon dioxide emissions from the power sector. The program requires the Department of Environmental Protection to conduct Pennsylvania-run auctions for CO2 allowances, with specific rules for eligible participants, such as electricity generators and financial institutions. Revenue from these auctions will be directed into several designated accounts, including those for consumer protection, energy transformation, workforce enhancement, and low-income support. Upon the program's establishment, Pennsylvania would cease participation in other carbon auction programs related to the electric generation sector.