In this post we will more closely examine the details of
Ontario's recently announced draft cap-and-trade system in
combination with its counterparts in California and Quebec. You
will recall that last year we suggested that Ontario's system
would follow closely in the footsteps of the existing cap-and-trade
systems found within California and Quebec. The link to the May
2015 piece can be found here.
As a result of Ontario's desire to join the Western
Climate Initiative (WCI) and the benefits of a
harmonized approach to the salient details of a cap-and-trade
system that Ontario would introduce with the programs in Quebec and
California, we suggested that any proposed cap-and-trade system
must follow the detailed policy architecture of the WCI and
accordingly, would mimic to a large extent the content, scope and
design of the systems within Quebec and California. We further
hypothesized that, based on existing public disclosure, the Ontario
government had already
