BILL NUMBER: SB 210 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY JULY 10, 2007
AMENDED IN SENATE APRIL 30, 2007
AMENDED IN SENATE MARCH 20, 2007
INTRODUCED BY Senator Kehoe
FEBRUARY 8, 2007
An act to amend Section 38505 of, to add Section
43866.5 to, and to add Part 5.5 (commencing with Section 38575) to
Division 25.5 of, the Health and Safety Code, relating to air
pollution.
LEGISLATIVE COUNSEL'S DIGEST
SB 210, as amended, Kehoe. Greenhouse gas emissions: fuel
standard.
(1) The California Global Warming Solutions Act of 2006 designates
the State Air Resources Board as the state agency charged with
monitoring and regulating sources of emissions of greenhouse gases
that cause global warming in order to reduce emissions of greenhouse
gases. Under the act, the state board is required to adopt a
statewide greenhouse gas emissions limit equivalent to the statewide
greenhouse gas emissions levels in 1990 to be achieved by 2020, as
specified, and requires the state board to adopt rules and
regulations in an open public process to achieve the maximum
technologically feasible and cost-effective greenhouse gas emission
reductions, as specified. The act authorizes the state board to adopt
market-based compliance mechanisms, as defined, meeting specified
requirements. The act makes violations of measures adopted by the
state board punishable as a crime.
This bill would require the state board to adopt, implement, and
enforce a low-carbon fuel standard that achieves the maximum
technologically feasible and cost-effective greenhouse gas emissions
reductions, and at least a 10% reduction in , life cycle
greenhouse gas emissions. The state board, in consultation with
other specified state agencies would be required to develop
environmental reporting requirements to be imposed upon those subject
to the low-carbon fuel standard. The California Environmental
Protection Agency, in partnership with, and in consultation with,
other state agencies would be required to issue an assess
ment on the actual and expected environmental impacts associated with
implementation of the low-carbon fuel standard, and would be
required to promulgate best management practices, standards,
incentives, regulations, or certification programs to
avoid or reduce to the maximum extent practicable negative
environmental impacts associated with implementation of the
low-carbon fuel standard. The bill would provide that fuel produced
from biomass that is derived from certain sources would not meet the
low-carbon fuel standard. Because
Because violations of the low-carbon fuel standard
would be a crime, the bill would impose a state-mandated local
program.
The bill would also require the State Energy Resources
Conservation and Development Commission to update and reissue a
specified report on alternative fuels.
(2) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that no reimbursement is required by this
act for a specified reason.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. The Legislature finds and declares all of the
following:
(a) California is the 12th largest source of emissions that cause
climate change.
(b) California's transportation sector accounts for over 40
percent of these emissions.
(c) The California Global Warming Solutions Act of 2006 creates a
statewide greenhouse gas emissions limit that would reduce emissions
by 25 percent by the year 2020.
(d) In order to achieve this reduction goal, approximately 13
million tons of greenhouse gas emissions must be reduced from the
transportation sector, the equivalent of 3 million passenger vehicles
being removed from the road.
SEC. 2. Section 38505 of the Health and
Safety Code is amended to read:
38505. For the purposes of this division, the following terms
have the following meanings:
(a) "Allowance" means an authorization to emit, during a specified
year, up to one ton of carbon dioxide equivalent.
(b) "Alternative compliance mechanism" means an action undertaken
by a greenhouse gas emission source that achieves the equivalent
reduction of greenhouse gas emissions over the same time period as a
direct emission reduction, and that is approved by the state board.
"Alternative compliance mechanism" includes, but is not limited to, a
flexible compliance schedule, alternative control technology, a
process change, or a product substitution.
(c) "Carbon dioxide equivalent" means the amount of carbon dioxide
by weight that would produce the same global warming impact as a
given weight of another greenhouse gas, based on the best available
science, including from the Intergovernmental Panel on Climate
Change.
(d) "Cost-effective" or "cost-effectiveness" means the cost per
unit of reduced emissions of greenhouse gases adjusted for its global
warming potential.
(e) "Direct emission reduction" means a greenhouse gas emission
reduction action made by a greenhouse gas emission source at that
source.
(f) "Emissions reduction measure" means programs, measures,
standards, and alternative compliance mechanisms authorized pursuant
to this division, applicable to sources or categories of sources,
that are designed to reduce emissions of greenhouse gases.
(g) "Greenhouse gas" or "greenhouse gases" includes all of the
following gases: carbon dioxide, methane, nitrous oxide,
hydrofluorocarbons, perfluorocarbons, and sulfur hexaflouride.
(h) "Greenhouse gas emissions limit" means an authorization,
during a specified year, to emit up to a level of greenhouse gases
specified by the state board, expressed in tons of carbon dioxide
equivalents.
(i) "Greenhouse gas emission source" or "source" means any source,
or category of sources, of greenhouse gas emissions whose emissions
are at a level of significance, as determined by the state board,
that its participation in the program established under this division
will enable the state board to effectively reduce greenhouse gas
emissions and monitor compliance with the statewide greenhouse gas
emissions limit.
(j) "Leakage" means a reduction in emissions of greenhouse gases
within the state that is offset by an increase in emissions of
greenhouse gases outside the state.
(k) "Life cycle greenhouse gas emissions" means the aggregate
quantity of greenhouse gases emitted during the entire life cycle of
a fuel, including production, extraction, cultivation,
transportation, and storage of feedstock; production, manufacturing,
distribution, marketing, transportation, and storage of the fuel; and
vehicle operation including refueling, combustion, and conversion.
This quantity includes emissions from the use and transportation of
water in each phase of the cycle and from changes in land use and
land cover associated with feedstock and fuel production.
(k)
(l) "Market-based compliance mechanism"
means either of the following:
(1) A system of market-based declining annual aggregate emissions
limitations for sources or categories of sources that emit greenhouse
gases.
(2) Greenhouse gas emissions exchanges, banking, credits, and
other transactions, governed by rules and protocols established by
the state board, that result in the same greenhouse gas emission
reduction, over the same time period, as direct compliance with a
greenhouse gas emission limit or emission reduction measure adopted
by the state board pursuant to this division.
(l)
(m) "State board" means the State Air
Resources Board.
(m)
(n) "Statewide greenhouse gas emissions"
means the total annual emissions of greenhouse gases in the state,
including all emissions of greenhouse gases from the generation of
electricity delivered to and consumed in California, accounting for
transmission and distribution line losses, whether the electricity is
generated in state or imported. Statewide emissions shall be
expressed in tons of carbon dioxide equivalents.
(n)
(o) "Statewide greenhouse gas emissions
limit" or "statewide emissions limit" means the maximum allowable
level of statewide greenhouse gas emissions in 2020, as determined by
the state board pursuant to Part 3 (commencing with Section
38850 38550 ).
SEC. 2. SEC. 3. Part 5.5 (commencing
with Section 38575) is added to Division 25.5 of the Health and
Safety Code, to read:
PART 5.5. Greenhouse Gas Emissions Fuel Standards
38575. (a) On or before January 1, 2010, the state board shall
adopt, implement, and enforce a low-carbon fuel standard that
achieves the maximum technologically feasible and cost-effective
greenhouse gas emissions reductions, and at least a 10 percent
reduction in life cycle greenhouse gas emissions, in
furtherance of the limit established pursuant to Section 38550.
(b) The low-carbon fuel standard adopted pursuant to this section
shall do all of the following:
(1) For gasoline, maintain Maintain
or improve upon emissions reductions and air quality
benefits achieved by the California Phase 2 Reformulated Gasoline
Program as of January 1, 1999, including emissions reductions for all
pollutants and precursors identified in the State Implementation
Plan for ozone, and emissions of potency weighted air toxics
compounds and particulate matter.
(2) For diesel
fuel, matter as measured on a life cycle basis, or
maintain or improve upon the emissions reductions and air
quality benefits achieved by the California diesel fuel regulations
in Article 2 (commencing with Section 2280) of Chapter 5 of Division
3 of Title 13 of the California Code of Regulations as measured
on a life cycle basis .
(2) Minimize to the maximum extent practicable, any negative
environmental impacts from the sourcing, production, and use of
low-carbon fuels in California.
(3) Ensure that the adoption, implementation, and enforcement of
the low-carbon fuel standard is consistent with environmental justice
as defined in Section 65040.12 of the Government Code.
38575.5. (a) Except as provided in subdivision (b), a fuel
produced from biomass that is derived from any of the following does
not meet the low-carbon fuel standard:
(1) Any national wildlife refuge, national park, national
monument, national forest, national grassland, or federal wilderness
study area.
(2) Any lands within California in any of the following
categories:
(A) Late succession forest stands, as defined in Section 895.1 of
Title 14 of the California Code of Regulations.
(B) State parks, reserves, and forests.
(C) Intact, rare, threatened, or endangered ecosystems identified
in the California Natural Diversity Database.
(D) Lands owned or managed by the Department of Fish and Game.
(E) Crops and crop residue from land where native forest, riparian
areas, or native grasslands were cleared for agricultural production
after January 1, 2008, or wetlands were drained for agricultural
production after January 1, 2008.
(b) Notwithstanding subdivision (a), biomass derived from any of
the following may meet the low-carbon fuel standard, if all required
environmental reviews are carried out and all applicable
environmental laws and regulations are complied with:
(1) Fallow, nonforested agricultural lands.
(2) Harvest residue, mill waste, or precommercial thinnings from
lands assigned to timber production within state forests and national
forests outside of inventoried roadless areas.
(3) Within 150 feet of buildings and other regularly occupied
areas or as designated by the state fire marshal.
(4) Within 150 feet of public infrastructure within state or
national forests, wilderness study areas on Bureau of Land Management
lands, and late succession forest stands, as defined in Section
895.1 of Title 14 of the California Code of Regulations.
(c) The state board may not create any exemptions from any law
designed to protect the environment, including the Roadless Area
Conservation Rule of 2001, for biomass production, transportation,
growth, harvesting, or distribution to meet the low-carbon fuel
standard.
38576. By January 1, 2010, the state board, in consultation with
the State Energy Resources Conservation and Development Commission,
the Department of Food and Agriculture, and the Department of
Forestry and Fire Protection, shall develop environmental reporting
requirements to be imposed upon those persons subject to the
low-carbon fuel standard. The reporting requirements shall include,
but not be limited to, the impacts associated with producing the
feedstock and fuel, including fertilizer use, pesticide use, water
use, land conversion, and the quantity and type of waste products
emitted into the air or water.
38577. (a) By January 1, 2012, the California Environmental
Protection Agency, in partnership with the State Energy Resources
Conservation and Development Commission, and in consultation with the
state board, the Resources Agency, and other relevant state
agencies, shall issue an assessment on the actual and expected
environmental impacts associated with implementation of the
low-carbon fuel standard, including, but not limited to, all of the
following:
(1) The effects on habitat and ecosystem health, long term
sustainability in land management, air quality, water quality, water
supply, food production, and generation of toxic byproducts from
actual or projected increases in transportation energy production
resulting from implementation of the low-carbon fuel standard,
including impacts associated with production, handling, and
transportation of these fuels.
(2) Information on adverse environmental impacts related to the
production of feedstocks and fuels outside of California, including
elsewhere in the United States and globally, for import into the
California.
(3) A comparison between the impacts of the low-carbon fuel
standard and changes to the environment associated with an increase
in the extraction, production, and use of petroleum-based
transportation fuels that have been displaced by low-carbon fuels
because of the low-carbon fuel standard. This comparison shall
include specific information on changes in air and water quality and
emissions of toxics into California communities that are currently
disproportionately impacted by the existing infrastructure for the
production, handling, and transportation of conventional fuels.
(b) The assessment shall be updated and reissued every three
years, to take into account, among other things, new information,
updated or revised quantification methods, and evolving scientific
understanding concerning all of the following:
(1) The life cycle greenhouse gas emissions of any fuels that meet
the low-carbon fuel standard.
(2) The environmental impacts associated with implementation of
the low-carbon fuel standard.
(3) The impact and adequacy of measures implemented pursuant to
Section 38577.5.
(c) The California Environmental Protection Agency shall make the
assessment available to the public on its Internet Web site.
38577.5. No later than June 1, 2013, the California Environmental
Protection Agency, in partnership with the State Energy Resources
Conservation and Development Commission, and in consultation with
other relevant agencies, shall promulgate best management practices,
standards, incentives, regulations, or certification programs to
avoid or reduce to the maximum extent practicable negative
environmental impacts associated with implementation of the
low-carbon fuel standard and to avoid or minimize negative
environmental impacts from the sourcing and production of low-carbon
fuels.
38579.5. The provisions of this part are severable. If any
provision of this part or its application is held invalid, that
invalidity shall not affect other provisions or applications that can
be given effect without the invalid provision or application.
SEC. 3. SEC. 4. Section 43866.5 is
added to the Health and Safety Code, to read:
43866.5. The State Energy Resources Conservation and Development
Commission shall by June 30, 2009 update and reissue the report
prepared pursuant to Section 43866 with revisions and additional
recommendations.
SEC. 4. SEC. 5. No reimbursement is
required by this act pursuant to Section 6 of Article XIII B of the
California Constitution because the only costs that may be incurred
by a local agency or school district will be incurred because this
act creates a new crime or infraction, eliminates a crime or
infraction, or changes the penalty for a crime or infraction, within
the meaning of Section 17556 of the Government Code, or changes the
definition of a crime within the meaning of Section 6 of Article XIII
B of the California Constitution.