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Today marks a major development in U.S. climate policy. Gov. Newsom, the CA Assembly & Senate just released the final cap-and-trade—now called cap-and-invest—reauthorization bill: AB 1207. 1/ #climatesky #energysky

AB 1207 reauthorizes the core of CA’s carbon market and reinforces it in 5 key ways. Here’s what’s new: 3/

1. Extension to 2045
 Past renewals every 10 yrs cause market crashes & uncertainty.
 AB 1207 extends program to 2045.
 A 20 year carbon price signal for clean investment in the world’s 4th-largest economy. 4/

2. Explicit link to CA climate targets
 For the first time, CA carbon market is explicitly tied to CA GHG goals: -40% cut by 2030 (vs 1990) -85% cut (vs 1990) & net-zero by 2045 This means financial consequences if CA fall short 5/