The California Air Resources Board (CARB) this week took the next step in the rulemaking process of updating the state’s ETS, which in turn increases the ambition and extends the timeframe of the world’s second largest carbon market by volume, the Western Climate Initiative, through 2045. CARB issued a 15‑Day Notice describing modifications to its proposed rules for the market from 2026-2045, called the Initial Statement of Reasons (ISOR). The ISOR has been open for a 45‑day public comment period, during which stakeholders have submitted input, and is accompanied by draft regulatory text that incorporates that input – barring further changes, this text will be approved at CARB’s May hearing.