Location: Isle of Man
Author: Richard Sandor
Date: Wednesday, May 30, 2007
Chicago Climate Exchange, Inc. (CCX) announced yesterday that it is forming the California Climate Exchange (CaCX) to develop and trade financial instruments relevant to the California Global Warming Solutions Act, AB32, recently signed by Governor Arnold Schwarzenegger, which calls for a mandatory reduction in California's greenhouse gas emissions as of 2012, with mandatory reporting of emissions to commence in 2008.
"We congratulate the pioneering initiative of the great State of California, the legislature and the people of California and know that implementing any emissions trading that may ensue will require price transparency and efficient, exchange-based systems for maximum success," said Dr. Richard L. Sandor, Chairman and CEO of Chicago Climate Exchange.
He added, "CCX has uniquely already accomplished a demonstration linkage between CCX, the only operational cap-and-trade greenhouse gas system in the United States, and the only other operational trading system, the European Union's Emissions Trading Scheme, through our member, Baxter Pharmaceuticals. To the extent a market emerges in California, CCX and the California Climate Exchange can easily and cost-efficiently accomplish linkage with other national, regional and global markets."
Product development will be ready for operation in accordance with the evolution and needs of California and AB32. CCX has a number of members with headquarters and operations in California, including Sacramento County, the cities of Oakland and Berkeley, Safeway, Cloverland, Environmental Credit Corporation, Intel, and Sony Electronics.
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