SYDNEY – Australia's plans for an emissions trading system to combat global warming were scuttled Wednesday in Parliament, handing a defeat to a government that had hoped to set an example at international climate change talks next week.
The Senate, where Prime Minister Kevin Rudd's government does not hold a majority, rejected his administration's proposal for Australia to become one of the first countries to install a so-called cap-and-trade system to slash the amount of heat-trapping pollution that industries pump into the air.
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