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Title: California's Carbon Market Reaches an Inflection Point

Link: https://news.slashdot.org/story/25/06/05/1523...

California's carbon allowance auction results released May 29th revealed
prices had hit rock bottom, signaling weak corporate demand and casting doubt
over the future of the nation's fourth-largest carbon market. Companies that
typically purchase quarterly credits to cover their greenhouse gas emissions
are skipping auctions while waiting to see whether the cap-and-trade program
will survive beyond its current 2030 expiration date. The poor auction
performance compounds California's existing $12 billion budget deficit, as
the state relies on carbon credit revenues to fund climate programs. Governor
Gavin Newsom is pushing to reauthorize the program through the annual budget
bill, which must pass by mid-June, but lawmakers are debating fundamental
changes to pricing mechanisms and spending priorities. The uncertainty
extends beyond California's borders, with Washington state exploring whether
to link its carbon market to California's system and Oregon lawmakers
reviving their own cap-and-trade legislation.

Read more of this story at Slashdot.

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