John McCain emphasized the role of the private sector and called for a cap-and-trade system in a prepared speech he delivered today in Oregon, indicating that his policies will differ greatly from those of the Bush Administration, if he is elected.

McCain praised wind, solar and other renewable energy technologies as affordable and attractive alternatives to fossil fuels that could help revamp the country’s failed energy policies and significantly reduce its greenhouse gas emissions.

In an effort to sway moderate and independent voters, McCain stressed his environmental bona fides and sought to distance himself from the Bush administration’s record — calling for a return to 1990 emissions levels by 2020 and for a 60% cut below 1990 levels by 2050.

Citing the success of the sulphur emissions trading program, instituted under the Clean Air Act, in reducing acid rain, McCain said a cap-and-trade system would have an “equally dramatic and permanent effect on carbon emissions by setting clear limits on emissions levels, while giving companies a financial incentive to reduce them.

Such a system would have the added benefit of fostering innovation and entrepreneurship among companies looking to make a profit from the sale of their permits, McCain said. “It is very hard to picture venture capitalists, corporate planners, small businesses and environmentalists all working to the same good purchase. But such cooperation is actually possible in the case of climate change,” he added.

Over time, the government would sell an increasing fraction of permits through an auctioning system to maximize federal revenues. Some of these proceeds would be used to fund advanced carbon capture systems and renewable energy projects, as well as promote the development of promising new technologies like hydrogen-powered vehicles. The rest would be invested in the country’s creaking electrical infrastructure, or used to bring clean energy to the states that need them.

A working cap-and-trade system would also help bring China, India and other developing nations to the table by demonstrating the U.S.’s firm commitment to emissions reduction. The U.S. will need to lead by example by fulfilling its obligations under a future successor to the Kyoto Protocol and by pushing for closer technological and political cooperation. While he stressed the importance of speaking to different nations’ interests, he called any comprehensive plan that did not include China and India a failure.

A McCain administration would use the government’s full purchasing power to encourage greater demand and adoption of the “best technologies and practices in energy conservation” and lean on Congress to eliminate some of the energy bill’s subsidies and tax breaks — even those for clean energy. When interviewed by Grist last October, he said he was opposed to subsidies for wind and solar technologies.

The Arizona senator is a strong advocate of nuclear energy, however, and has hinged his support for the Lieberman-Warner climate bill in part on a provision granting nuclear operators more perks. In fact, McCain has made nuclear energy a central component of his climate agenda, arguing that the U.S. — which currently has 104 reactors in operation — should ramp up the construction of new reactors.

He mentioned the progress made by France and Belgium, which derive over half their electricity from nuclear energy, in reducing their emissions. Under a cap-and-trade system, he said, the costs of building new plants would be much lower. Further research and technological innovation would help overcome nuclear energy’s main drawback — the storage and disposal of waste.

We won’t know for sure what a renewable energy infrastructure could look like under a McCain administration until early June, when he will deliver a speech dedicated solely to his energy policy. At that time, he will lay out some more specifics on his government’s approach to fossil fuels, nuclear energy and renewables. Given his strong backing for the nuclear sector, however, it’s likely that we would see a lot more nuclear reactors