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California Unveils Global Warming Plan

By SAMANTHA YOUNG
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Posted 31 August 2006 @ 10:25 pm AEST

California will impose broad caps on its greenhouse-gas emissions under a landmark plan that marks a clear break with the federal government and which backers hope will become a national model.

State Senate President Pro Tem Don Perata, D-Oakland, center, accompanied by Assembly Speaker Fabian Nunez, D-Los Angeles, and Assemblywoman Fran Pavley, D-Agoura Hills, right, discusses a landmark global warming agreement reached with Gov. Arnold Sc...
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Republican Gov. Arnold Schwarzenegger, who helped assemble the plan, called Wednesday's agreement "an example for other states and nations to follow as the fight against climate change continues."

The plan came after weeks of difficult negotiations and was sent to the state Senate, which approved it late Wednesday with a 23-14 vote. If approved by the Democratically-controlled Assembly, which is expected, the bill would then go to the governor's desk.

"My main objective was getting a bill that the environmental community can champion around the country and say, 'California did this, and you should be too.' And we did that," said Assembly Speaker Fabian Nunez, a Democrat.

The bill requires the state's major industries _ such as utility plants, oil and gas refineries, and cement kilns _ to reduce their emissions carbon dioxide and other greenhouse gases by an estimated 25 percent by 2020.

One of the key mechanisms designed to drive the reductions is a market program that will allow businesses to buy, sell and trade emission credits with other companies.

"Today it feels as if the whole world is watching, and I hope they are," said Ann Notthoff of the Natural Resources Defense Council, one of the environmental groups involved in the negotiations.

The agreement was announced simultaneously by the governor's office and Democratic leaders in the Senate and Assembly. It gives the governor a key environmental victory as he seeks re-election this fall.

The bill states that the California Air Resources Board _ an 11-member panel appointed by the governor _ must identify "market-based compliance mechanisms" that might be used as part of its plan to reach the cap.

The cap was praised by environmentalists as a step toward fighting global climate change. It was criticized by some business leaders, who say it will increase their costs and force them to scale back their California operations.

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