Seven Western states, along with four Canadian provinces, have pitched a plan to reduce greenhouse emissions despite the Bush administration's reluctance to do so, it was reported on Wednesday.

The Western Climate Initiative, endorsed by the 11 governors and provincial premiers, aims to slash regional greenhouse gas pollutants by about 15 percent below 2005 levels in the next 12 years, according to the Los Angeles Times.

The plan also proposes trading system in which businesses can buy and barter their way out of trimming emissions, the report said.

The initiative calls for a cap on carbon dioxide and other gases that trap heat in the atmosphere and have been blamed for raising temperatures around the globe.

Industries would be granted fixed numbers of permits to pollute under the cap, and they could trade the permits among themselves so that reductions would be achieved in the cheapest way, according to the report.

The Western initiative would allow states to distribute up to 90 percent of permits to industries for free in 2012. The ceiling would be raised to 75 percent by 2020.

Scientists say without dramatic cuts in the global burning of fossil fuels, Western states will suffer disproportionately from water shortages, severe wildfires, coastal flooding and species die-offs.

The Western plan covers about 20 percent of the U.S. economy and more than 70 percent of the Canadian economy, affecting power plants, industrial facilities and transportation, among other economic sectors.

"We're sending a strong message to our federal governments that states and provinces are moving forward in the absence of federal action," said California Governor Arnold Schwarzenegger.

The effort would spur renewable energy development and create " green jobs," he added.

The seven states are Arizona, California, Montana, New Mexico, Oregon, Utah and Washington. The Canadian provinces are British Columbia, Manitoba, Ontario and Quebec.