California Cap-and-Trade Program Renewal Sets Up Lobbying Fight

Jan. 28, 2025, 10:01 AM UTC

California lawmakers are aiming to reauthorize the state’s cap-and-trade program ahead of its expiration in 2030, setting up a major lobbying battle with billions of dollars at stake for the state government and companies covered by the program.

Launched in 2012, the program serves as a key part of the state’s multibillion-dollar effort to curb carbon emissions and covers major emitters in industries such as oil refining, electricity generation, and cement manufacturing.

Prices tied to emissions under the market-based system have decreased, spurring calls from environmentalists and Gov. Gavin Newsom (D) to extend the program’s life earlier, potentially boosting prices ...

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