Chicago -- The Chicago Board of Trade plans to apply market principles to the U.S. Environmental Protection Agency's clean air allowance program by giving power plants and others the ability to trade their pollution emission allowances at the exchange.

The exchange, which submitted a plan in September to its regulator -- the Commodity Futures Trading Commission -- already has the support of the EPA. Dave Ryan, a press officer with the EPA, said, "We're behind it. We want [trading in allowances to be] market-based and run by the private sector."

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