PETER CAVE: When Britain's Prime Minister Tony Blair signed a landmark transatlantic agreement to combat climate change last year, it wasn't with his Iraq War partner, US President George Bush, but with California's Republican Governor Arnold Schwarzenegger, who runs the world's fifth largest economy.

The Governator has dumbfounded conservationists and conservatives alike with laws to slash greenhouse emissions by 80 per cent of 1990 levels by 2050.

One of the men responsible is the Governor's Special Adviser, Terry Tamminen...

Terry Tamminen spoke to David Mark.

DAVID MARK: Terry Tamminen why has a Republican Governor, Arnold Schwarzenegger been the one to lead the way with legislation to combat climate change?

TERRY TAMMINEN: Well I think, first of all it comes from his European background. He's got a much broader perspective than many American leaders or politicians.

Secondly, he's got four kids of his own so he tends to think about things in longer terms and the future. And he wants to leave them a sustainable California.

And I think the last point I'd make is that he sees tremendous opportunity here. This is the chance of solving climate change by developing our renewable energy sources like wind and solar and new technologies.

This is very exciting; it's about building a 21st Century economy.

DAVID MARK: Well you just mentioned renewables, but the suite of legislation goes beyond just energy production in California doesn't it?

TERRY TAMMINEN: Well it does. And of course we're trying to lower all of our greenhouse gas emissions, but really you do that by saving energy in the first instance. I mean you can reduce your greenhouse gases literally overnight by changing out inefficient, incandescent light bulbs for example for compact fluorescents or by putting in more energy-efficient appliance or getting a more energy-efficient car.

And then of course there's longer-term things but all of this is like picking up hundred dollar bills off the sidewalk.

DAVID MARK: There's been an enormous amount of discussion in Australia about the idea of introducing a carbon trading scheme here. Is that focus too narrow?

TERRY TAMMINEN: Well I think if it's the only thing you're talking about it is too narrow. Because remember that emissions come from a lot of different sources, not all of them lend themselves to being closely monitored and then allowing that sort of trading of pollution credits.

So things like the carbon emissions that come from your cars might need some sort of regulation or just get more energy efficiency.

But the major emitters, the smokestacks that you think of the electricity generators and other industries, those do lend themselves to being capped and then allowing trading as a flexible way of complying to get your greenhouse gas reductions...

For the complete article, please visit the Australian Broadcasting Corporation website.