SACRAMENTO, CA (AP) - A conservative group is suing California over the state's system of limiting greenhouse gas emissions from industrial sources by putting a price on carbon.
The Pacific Legal Foundation filed suit Tuesday in Sacramento County Superior Court, arguing the state's so-called cap-and-trade system is an illegal tax.
Cap-and-trade is a key part of the California's global warming law, AB 32, and sets a limit on the carbon that can be released from industrial polluters.
The system issues permits for each ton of carbon, which are sold at auction.
PLF argues that if the court finds that AB 32 authorized the auctions, then the entire law should be found unconstitutional as an illegal tax.
A separate California Chamber of Commerce lawsuit is seeking to invalidate just cap-and-trade as an illegal tax.
The Associated Press