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Friday, February 15, 2013

California Offset Program Upheld

California’s carbon offset program was upheld on January 25, 2013 when Superior Court Judge Ernest Goldsmith rejected an effort by environmental groups in Citizens Climate Lobby and Our Children’s Earth Foundation v. California Air Resources Board, Case No. CGC-12-519554 (Citizens Climate Lobby) to invalidate the California Air Resources Board’s (“CARB”) offset rule.

Two public interest groups had challenged the rule on grounds that it failed to meet the so-called “additionality” requirement, which ensures that offsets will provide “additional” carbon reduction benefits over and above “business-as-usual.” Offsets are a key element of the state’s controversial cap-and-trade climate change regulation. The decision gives encouragement to offset producers and buyers, although CARB continues to face litigation and it will be some time until all the challenges are heard. (Marten Law)

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