Europe's carbon trading system gets a boost - from U.S. break-away states.

The leaders of three U.S. states, California, New York and New Jersey announced today in Portugal their intention to join the European Union's carbon trading system. All three states say they are taking the action out of frustration with Washington's failure to create a U.S. carbon trading system.

California Governor Arnold Schwarzenegger told a conference that he regretted Washington's lack of engagement on global warming but said the states were leading the way.

"Just because you don't see Washington leading this issue, don't be thinking that America is shirking its responsibilities," he said in a video message. The Emissions Terminator, as he is called these days, was unable to attend the conference due to the California wild fires. Florida Governor Charlie Crist was also invited to join the group, but was unable to participate due to a special legislative session in Tallahassee. Crist says he also plans to introduce a carbon trading system in Florida.

The newly-formed International Carbon Action Partnership (ICAP) also includes Norway, New Zealand, and the Canadian province of British Colombia.

In a press release, the ICAP says it is designed to:

•    Rigorously and accurately monitoring, reporting and verifying emissions and working to determine reliable sources appropriate for inclusion in a globally linked program.

•    Encouraging common approaches and furthering partners’ ability to link together to expand the global carbon market, helping to prevent leakage.

•    Creating a clear price incentive to innovate, develop and use clean technologies.

•    Encouraging private investors to chose low carbon projects and technologies, generating the flow of money needed to support a shift to a low-carbon future.

•    Providing flexible compliance mechanisms that ensure reliable reductions at the fastest
pace and lowest cost.

Click here for more news from AP in Lisbon.

Click here to read my Oct 22 story on how the states are leading the charge on global warming in the U.S.

- David Adams