Cap and trade is an environmental policy tool that delivers results with a mandatory cap on emissions while providing sources flexibility in how they comply. Successful cap and trade programs reward innovation, efficiency, and early action and provide strict environmental accountability without inhibiting economic growth.
Examples of successful cap and trade programs include the nationwide Acid Rain Program and the regional NOx Budget Trading Program in the Northeast. Additionally, EPA issued the Clean Air Interstate Rule (CAIR) on March 10, 2005, to build on the success of these programs and achieve significant additional emission reductions.
- Acid Rain Program
- Allowance Trading
- Cap and Trade Markets
- Cap and Trade Simulation
- Clean Air Interstate Rule
- Climate Change
- Environmental Monitoring
- Emissions Monitoring
- NOx Budget Trading Program
- Power Sector Analysis
- Progress and Results
- Resource Center
For more: http://www.epa.gov/capandtrade/
California’s landmark global warming law becomes real this week with first cap-and-trade auctions
11/10/2012 By Paul Rogers – mercurynews
For more than 40 years, California has led the nation in environmental regulation, from passing the toughest coastal protection laws to America’s first rules banning leaded gasoline.
Now, this week — after Hurricane Sandy pushed the issue of climate change back into the national spotlight — California will become the first state to begin requiring a broad range of businesses to reduce their greenhouse gas pollution.
At 10 a.m. Wednesday, the California Air Resources Board is scheduled to hold its first auction to sell pollution allowances under the state’s landmark cap-and-trade law.
The idea is simple: The state sets an overall “cap” for California’s greenhouse gas emissions, and companies must buy or sell credits to account for how much they pollute. Those that pollute more must clean up or pay more.
“For the first time, business will begin to understand what it means to put a price on carbon,” said Stanley Young, a spokesman for the California Air Resources Board. “The program rewards efficiency. It will help move California away from its dependence on fossil fuels and toward a clean-energy economy.”
The event comes six years after former Gov. Arnold Schwarzenegger signed AB32, the law that required California to lower its greenhouse gas emissions by 2020 to 1990 levels — the equivalent of a 17 percent reduction.
“It’s the largest carbon market in the United States, and the second largest in the world, behind the European Union,” Young said.