California Issues Preliminary Draft Regulation for a Greenhouse Gas Cap-And-Trade Program
By Tom Mounteer, Elizabeth Deane, and Matt Raeburn
Californias Air Resources Board (ARB) recently issued preliminary draft regulations to implement Californias greenhouse gas (GHG) cap-and-trade program pursuant to the States Global Warming Solutions Act of 2006. While the proposed regulations signal how ARB anticipates implementing much of the program, many key issues are yet to be resolved. Comments on the preliminary draft regulations are due by January 11, 2010. ARB will make the final proposed draft regulations available for review in Summer 2010 and expects to consider the final draft regulations at its October 2010 meeting. An initial auction of allowances is expected to occur in Fall 2011, with the overall cap-and-trade program going into effect on January 1, 2012.