California officials announced Tuesday that the state will expand its newly adopted carbon-trading program to three Canadian provinces, creating the largest regional cap-and-trade system in North America.
California will be joined by British Columbia, Quebec and Ontario in a cap-and-trade program aimed at limiting planet-heating greenhouse gases from industrial plants and transportation fuel, and that allows companies to buy and sell emissions allowances among themselves to cut their costs.
The Western Climate Initiative, launched by former Gov. Arnold Schwarzenegger, was originally designed in 2008 to engage seven Western states and four Canadian provinces in a trading program. That program, it was hoped, would eventually fold into a broader federal cap-and-trade system to be enacted by Congress.