As recently reported to the Globe and
Mail newspaper by government sources, Ontario Premier Kathleen
Wynne is preparing to implement a cap-and-trade system for
greenhouse gas emissions as part of the Province's strategy to
combat climate change. The initiative would be tied to Quebec and
California's existing cap-and-trade system, which held its
first joint auction of greenhouse gas
allowances in December, 2014, and its second in March, 2015. An
official announcement is expected by Ontario Environment Minister
Glen Murray in the near future, with further details to come later
this spring and summer.
Under a cap-and-trade system, Ontario would limit the amount of
carbon that can be emitted by certain businesses and raise money by
selling or auctioning emissions permits that represent the right to
emit a specific volume of carbon. Permits are then traded on
secondary markets. Companies that wish or need to emit more carbon
than the regulated cap or than the permits
