MONTREAL -- The governments of Quebec and Ontario will strike a deal this week to move ahead with an interprovincial carbon trading system they hope will pressure Ottawa to bring its climate change plan in line with global standards, The CP has learned.

Well-placed sources in both governments said Premiers Jean Charest and Dalton McGuinty will sign a memorandum of understanding on climate change when their cabinets meet in Quebec City tomorrow.

The memorandum will include a basic framework for a cap-and-trade system with a 1990 baseline for emission levels.

It will also opt for "real reductions," as opposed to the federal government's "intensity-based" plan to reduce greenhouse gas emissions.

"We hope the framework will put some pressure on the federal government to recognize the past efforts of our businesses and government," said a senior Quebec government source.