California's Carbon Market Crashes, Raising Budgetary Concerns
2025-06-05
Results from California's latest carbon allowance auction, released on May 29th, sent a warning signal: prices plummeted to the floor. Companies purchase credits to offset greenhouse gas emissions quarterly, but weak demand led to lower auction revenues, exacerbating the state's $12 billion budget deficit. This poor performance indicates a lack of confidence in the long-term viability of California's cap-and-trade program, the world's fourth-largest carbon market.
Tech
carbon trading