If New Mexico’s Governor enjoys a friendly competition with Arnold Schwarzenneger he’d better get cracking. California introduced a plan today to reduce greenhouse gas emissions to 1990 levels by 2020, an overall 28 percent cut in emissions that the New York Times calls "…the most comprehensive effort in the country to devise an economy-wide program to reduce heat-trapping gases."



The emissions reduction goal was set 18 months ago in a new California law. Beyond 2020, the law calls for an overall reduction of 80 percent by 2050. To put this into perspective, the economy of the state of California alone is generally believed to be anywhere from No. 7 to No. 10 in the world when it comes to size. It also represents 13 percent of U.S. gross domestic product, and pays into the federal system more than it gets back from direct monetary transfers.



The new plan relies on a mix of things, including greater energy efficiency and emissions standards on new products, buildings and cars, plus greater reliance on renewable energy sources. It also implements a cap and trade system. Through the cap and trade system, a utility or other business is given permits allowing them to emit pollutants into the air up to an authorized amount. The company could buy and sell the permits in a trading system covering seven Western states and three Canadian provinces, according to the Times report.



The regional cap and trade system that is a cornerstone to the California plan derives from the Western Climate Initiative which includes New Mexico, Arizona, California, Oregon, Washington State, Montana, Utah, and the Canadian provinces of British Columbia, Manitoba, and Quebec. The draft framework for the regional cap and trade system was presented to the public back in March.