Results of Ontario's first cap-and-trade auction expected today

The results of Ontario's first cap-and-trade auction are expected today.

The auction is part of the province's cap-and-trade system aimed at lowering greenhouse gas emissions.

The system caps the amount of pollution businesses can emit, with the limit being reduced each year.

Companies that go over the limits can buy permits or allowances through auctions or from other companies that come in under their limits.

Other provinces have said they'd be watching the results closely as they consider their own carbon pricing plans.

The cap-and-trade system, which came into effect Jan. 1, added 4.3 cents per litre to the price of gasoline and about $80 a year to natural gas home heating costs, in addition to indirect costs that will be passed onto consumers.