Oregon Public Broadcasting

The coalition of western states and Canadian provinces known as the Western Climate Initiative will unveil a carbon cap-and-trade  framework Tuesday. Rob Manning reports.

A number of environmental groups are worried about the Western Climate Initiative’s cap and trade system. Under cap and trade, a cap is set for how much carbon an industry, or utility can produce.

Companies can either reduce their carbon pollution to get below the cap, or use a limited number of allowances for their emissions.

The allowances, though, are controversial. Energy companies want them to be free. Environmentalists, like Doug Howell, with the National Wildlife Federation, says allowances should be sold to raise money for other climate change efforts.

Doug Howell: “The game-changer in terms of whether we meet our goals or not, could be how we use the revenue to stimulate the green energy economy that we desperately need.”

The Western Climate Initiative’s framework would need to be approved by lawmakers in all the member states and provinces that adopt it.