Cap and trade (CAT) programs are a type of flexible environmental regulation that allows organizations and markets to decide how best to meet policy targets. This is in contrast to command-and-control environmental regulations (such as best available technology (BAT) standards and government subsidies).
The bill proposed a cap and trade system, under which the government would set a limit (cap) on the total amount of greenhouse gases that can be emitted nationally. Companies then buy or sell (trade) permits to emit these gases, primarily carbon dioxide CO 2. The cap is reduced over time to reduce total carbon emissions.
- A bill to create clean energy jobs, achieve energy independence, reduce global warming pollution and transition to a clean energy economy.
People also ask
What is cap and trade?
What is the key takeaway of cap and trade?
What is California cap and trade program?
How does cap and trade reduce emissions?
Under the 'cap and trade' principle, a maximum (cap) is set on the total amount of greenhouse gases that can be emitted by all participating installations. EU Allowances for emissions are then auctioned off or allocated for free, and can subsequently be traded.
Overall, the Program's cap and trade program has been hailed as successful by the EPA, industry, economists and certain environmental groups such as the Environmental Defense Fund, while skeptical environmentalists have argued that reduction in emissions occurred due to broad trends unconnected to the program.
Cap and trade is a government regulatory system designed to give companies an incentive to reduce their carbon emissions. California has one now.
Cap and trade is an approach that harnesses market forces to reduce emissions cost-effectively. Like other market-based strategies, it differs from “command-and-control” approaches where the government sets performance standards or dictates technology choices for individual facilities.
The Cap-and-Trade Program is a key element of California’s strategy to reduce greenhouse gas emissions. It complements other measures to ensure that California cost-effectively meets its goals for greenhouse gas emissions reductions. More about this program
課本上排污交易可被形容為“最高限度、貿易”，英語："cap & trade"方式；成立污染來源的總最高限度可以互相交易，來決定真正高量污染的源頭。这里的"cap"(帽子)是指, 每年对于指定的化学排放物排放量的限制。
The cap on greenhouse gas emissions that drive global warming is a firm limit on pollution. The cap gets stricter over time. The trade part is a market for companies to buy and sell allowances that let them emit only a certain amount, as supply and demand set the price. Trading gives companies a strong incentive to save money by cutting emissions in the most cost-effective ways.
Cap trade refers to a system that requires industries to cap the amount of carbon emissions that are released into the atmosphere over a specific time period. For businesses that cannot achieve this cap, they can trade with other companies that won’t reach their cap limits.