"Today, I am happy to announce we have reached a historic agreement on legislation to combat global warming," the governor said in a statement e-mailed to Xinhua.

    "We can now move forward with developing a market-based system that makes California a world leader in the effort to reduce carbon emissions," he said.

    The agreement marks a clear break with the Bush administration and puts California on a path to reducing its emissions of carbon dioxide and other greenhouse gases by an estimated 25 percent by 2020.

    The success of the system will be an example for other states and nations to follow as the fight against climate change continues, the governor said.

    The move strengthens the economy, cleans the environment and once again, establishes California as the leader in environmental protection, he added.

    "Throughout the negotiations, my primary concern was that the Legislature passed a bill that provided the flexibility to address unforeseen circumstances," he said.

    "When I ran for office, I promised to not only help protect the environment, but also help turn back the clock to make sure that the environment we leave for our children is better than the one we have today," he said.

    California is the 12th largest carbon emitter in the world despite leading the nation in energy efficiency standards and its lead role in protecting its environment.

    "Reducing greenhouse gas emissions is an issue we must show leadership on," the governor noted. Enditem