Cap and trade programs are government mandated and are designed to reduce GHG emissions. They set a firm limit, or cap, on GHGs to help cities, states, and countries meet GHG emissions goals by 2020 and beyond.
The government allocates permits for pollutants at specific quantities and each business under the program must hold permits equal to their emissions. They may purchase permits from other business if they need to increase emissions.
We provide market data and analysis for all North American mandatory CO2 cap and trade programs, such as the California Air Resources Board, the Quebec Carbon Cap and Trade Program, the Regional Greenhouse Gas Initiative (RGGI), and European Union Allowances (EUAs).