FRESNO, Calif. (KMJ) — A California Appeals Court panel has upheld the state’s controversial fee for carbon emissions, a key piece of legislation aimed at combating climate change.
A coalition of businesses filed a lawsuit in 2012, alleging that the State Air Resources Board lacks authority to impose fees on polluters.
The suit also led to a substantial drop in demand at cap-and-trade auctions, which had been annually generating hundreds of millions of dollars.
However, in a 2-1 ruling, the panel has upheld the state’s authority, a decision which is likely to be appealed.
