"A state appeals court on Thursday ruled California's high profile market system for reducing greenhouse gas emissions does not amount to an illegal tax, a decision that could lift a pall over the so-called cap-and-trade program's marketplace for buying and selling pollution allowances.

The California Chamber of Commerce and others had filed a pair of lawsuits challenging the anti-pollution program, which requires large producers of greenhouse gases to either lower their emissions or purchase pollution rights from the state or others.

The system is called cap-and-trade because it puts a cap on the amount of emissions for the state but allow polluters to purchase or trade pollution allowances."

Sharon Bernstein reports for Reuters April 6, 2017. [2]