Smokestacks by Elizabeth Evitts Dickinson

Smokestacks by Elizabeth Evitts Dickinson

California’s Cap and Trade program takes effect tomorrow. Initially planned as an alliance of Western states that would create a regional market to put a price on emissions, California is now a lone pioneer with one standing ally, Quebec, Canada. With Obama’s reelection, the California Air Resources Board (CARB) expects that other states will follow California’s lead and implement climate legislation of their own. Our state’s role as a laboratory for new ideas goes on. As the 9th largest economy in the world, our local experiment is sure to have global effects.

From The Sacramento Bee
November 13, 2012
The market will work like this: California has set an overall ceiling on the amount of carbon that can be emitted. The cap will decline by 2 percent to 3 percent a year. By 2020, emissions are supposed to fall to 1990 levels.

The affected companies include more than 400 of California’s industrial heavyweights. They will get 90 percent of their emission allowances free in the first two years, but the percentage of freebies will decline in future years.

From The Washington Post
November 12, 2012
While no one believes California’s cap-and-trade program alone will remedy climate change, the system is designed to show it can be done in the world’s ninth-largest economy and provide a blueprint for other governments.