May 22, 2008 - A proposed global-warming fee for businesses operating in California's San Francisco Bay Area has been approved by the region's air board, San Jose Mercury News reports.

Bay Area businesses will now be required to pay 4.2 cents for each metric ton of carbon dioxide they release into the atmosphere. The levy is considered a fee, not a tax, because revenues will be used to pay for the air district's climate research.

The program is expected to bring in $1.1 million in annual fees from 2,500 businesses. Five area oil refineries will shoulder most of the burden, with most businesses paying as little as $1 a year.

The measure passed by an overwhelming 15-1 margin.

In December, California became the first state to require that heavy industry report their greenhouse gas emissions. Emissions reporting and reduction is largely voluntary in the U.S.