Searching for middle ground between environmentalists and the business industry, Governor Schwarzenegger told attendees at today's global warming summit that he would prefer to delay any hard cap on emissions from polluting industries until 2010, at the earliest.

The comment from the governor came early in the Q&A at the San Francisco event, carried live online (after a one-hour delay of the governor's flight because of bad weather).

The idea of new caps on emissions arose in both the climate report presented to Schwarzenegger last week, and legislation just introduced by Democrats in the Legislature. But it's an unpopular idea with many in the business community, who see caps on emissions as driving up their costs.

Schwarzenegger, perched on a barstool on stage this afternoon with both sides seated beside him at large tables, delicately sought out a position in the middle. He suggested that state officials first conduct extensive tests to see how much "greenhouse gas" pollution is really being released, and only afterwards create a system that would cap emissions. That, he suggested, will give industry leaders time to adjust, while also making sure scientists know exactly what problems the emissions are creating.

"The trick is to find a happy medium," said Schwarzenegger, who later added, "I want to take cautious steps." The governor did, however, endorse a new program that would require large companies to report carbon emissions.