Nearly $33 billion has been raised to fund climate solutions in communities across the state with money from the state’s Cap-and-Trade Program, according to a new report published by the California Air Resources Board (CARB).
“California is proving that cutting pollution creates jobs and boosts communities. By holding polluters accountable, we’re sending billions of dollars back to communities and back to people’s wallets through credits on utility bills,” says Governor Gavin Newsom. “And we’ve got the receipts: healthier and cleaner communities and thousands of good paying jobs.”
Key takeaways:
· In 2024, $1.9 billion was invested in nearly 12,000 new projects with $1.2 billion directly benefiting priority populations, including low-income communities and households.
· Since the program’s inception 11 years ago, more than $18 billion in funding provided by the Governor, with nearly $13 billion supporting over half a million projects that are complete or in progress.
· Project funding already on the ground is expected to wipe out emissions equivalent to taking more than 80% of the state’s gas cars off the road for a year, with billions of dollars more in the process of being disbursed.
· Cap-and-trade is a foundational part of California’s climate policy portfolio and needs to be extended to help achieve the state’s goal of carbon neutrality by 2045.
· In 2006, the legislature approved Assembly Bill 32, which established the state’s 2020 climate pollution reduction goal and authorized CARB to adopt the Cap-and-Trade Program, along with other programs, as a mechanism to help achieve it. In 2017, the legislature extended the program to 2030.
· Cap-and-trade establishes a declining limit on major sources of climate pollution throughout California. It covers the largest polluters, including large factories, energy companies, and oil and gas suppliers, accounting for 80% of the state’s total climate emissions.
· Examples of investments include:
Tribal land stewardship and wildfire resilience in the North Coast.
Workforce development for zero-emission vehicle careers in Fresno.
A composting effort supporting migrant and refugee farmers in West Sacramento.
