At the annual winter meeting of the National Governors Association, the governors of California, Arizona, New Mexico, Oregon and Washington signed an agreement to develop a regional target for reducing greenhouse gases within the next six months.
During the next 18 months, they will devise a market-based program, such as a load-based cap and trade program to reach the target, Green Car Congress reports.
The five states also have agreed to participate in a multi-state registry to track and manage greenhouse gas emissions in their region.
“This MOU sets the stage for a regional cap and trade program, which will provide a powerful framework for developing a national cap and trade program,” said Governor Schwarzenegger. “This agreement shows the power of states to lead our nation addressing climate change.”
Last year, the public utilities commissions of California, Oregon, Washington and New Mexico signed an agreement to cooperate to promote energy efficiency and reduce greenhouse gas emissions from power plants.