BILL NUMBER: AB 1373	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  JUNE 2, 2009
	AMENDED IN ASSEMBLY  APRIL 14, 2009

INTRODUCED BY   Assembly Member Skinner

                        FEBRUARY 27, 2009

   An act to add Chapter 11.1 (commencing with Section 25970) to
Division 15 of the Public Resources Code, relating to global warming.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1373, as amended, Skinner. Global warming potential (GWP):
refrigerants.
   Existing law requires the State Energy Resources Conservation and
Development Commission to adopt a regulation prescribing standards
for minimum levels of operating efficiency to promote the use of
energy and water efficient appliances. The commission is required to
prescribe building design and construction  ,  and
energy and water conservation standards for residential and
nonresidential buildings (building standards).
   This bill would enact the California Refrigeration and
Air-Conditioning Innovation Review Act of 2009 and would require the
commission  by December 1, 2011, as a part of the revision of
the buildings standards in 2011 and   ,  using
existing staff and funds, to develop and to conduct, in consultation
with the State Air Resources Board, a study containing specified
elements to assess the potential to  dramatically reduce
  optimize the efficiency of stationary cooling
technology while significantly reducing  the use and emissions
of high-global warming potential (GWP) compounds, as defined, in the
stationary refrigeration and air-conditioning industry. The bill
would require the commission, on or before January 1, 2012, to submit
to the Legislature and to post on its Internet Web site the findings
and results of the study.  The bill would authorize the
commission to use funds, to the extent they are available, to develop
programs encouraging the installation of reduced high-GWP charge
systems and dedicated low-GWP systems for stationary refrigeration
and air-conditioning units.  The bill would authorize the
board to use certain fees, to the extent they are available, to
develop  various  programs  and projects 
encouraging the installation of reduced high-GWP charge systems and
dedicated low-GWP systems for stationary refrigeration and
air-conditioning units, and programs to reduce or prevent the
emissions of high-GWP compounds.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  The Legislature finds and declares all of the
following:
   (a) Global warming caused by emissions of greenhouse gases
continues to pose a serious threat to the economic well-being, public
health, natural resources, and environment of California.
   (b) Due to their nature, gases that possess a high global warming
potential (GWP) value affect climate change several orders of
magnitude more than carbon dioxide  . 
   (c)  While   Since    high-GWP
gases are used in a variety of applications  and energy systems
 such as  in  refrigeration, air-conditioning,
and food and medicine preservation, stationary refrigeration and
air-conditioning systems are projected to represent the single
largest source of high-GWP gas emissions in California  in
  by  2020, an amount roughly equivalent to 30
million metric tons of carbon dioxide equivalents.
   (d) Although alternative technologies with significantly decreased
refrigerant charges and lower GWP value gases do exist for
stationary refrigeration and air-conditioning purposes, widespread
use has not occurred either in California or nationally.
   (e) Some foreign governments have urged the  phase out
  phaseout  of the use of high-GWP gases in
refrigeration and air-conditioning units.
   (f) Even though dramatically  improving the efficiency of
stationary refrigeration and air-conditioning units and 
reducing the use of high-GWP compounds  from stationary
refrigeration and air-conditioning units  in California
could provide significant  energy use and  emissions
reductions, detailed consideration of potential regulatory
approaches, safety, technology applicability and availability, energy
efficient tradeoffs, expected economic impact  ,  and
possible incentive programs  is   are 
valuable to ensure the state's goals are aligned.
   (g) While it is within the existing authority of the State Energy
Resources Conservation and Development Commission to set appliance
and building standards  on energy systems and  for energy
use, it is also within the commission's authority to consider 
the  environmental impacts  of energy systems and materials
integral to those systems  , including, but not limited to,
impacts on global warming. 
   (h) In addition to having authority to conduct research in
furtherance of establishing new standards and regulations, the State
Energy Resources Conservation and Development Commission also has the
authority within the Public Interest Energy Research, Demonstration,
and Development Program (Chapter 7.1 (commencing with Section 25620)
of Division 15 of the Public Resources Code) to conduct research on
energy intensity and efficiency of appliances and energy systems in
California.  
   (h) While it 
    (i)     It  is within the State Air
Resources Board's authority to establish regulations  to
reduce greenhouse gases   that reduce emissions of
greenhouse gases to the atmosphere, including regulations to reduce
or prevent emissions from both new and in-use   stationary
refrigeration and air-conditioning equipment. In furtherance of this
authority  , an in-depth assessment of the statewide regulatory
options, and potential impacts of those options, to dramatically
reduce emissions of  high-GWP gases would assist the board's
effort to adopt a maximum technologically feasible and cost-effective
approach.   high-GWP gases is underway pursuant to the
mandates of the California Global Warming Solutions Act of 2006
(Division 25.5 (commencing with Section 38500) of the Health and
Safety Code). Using this authority, the State Air Resources Board is
expected to address each of the significant high-GWP applications,
including refrigerants, in specific regulatory programs that are
scheduled for development and adoption.  
   (j) An analysis that builds from the knowledge and regulatory
initiatives being developed by the State Air Resources Board and
leverages the appliance and building standards knowledge of the State
Energy Resources Conservation and Development Commission and its
funding mechanisms could ensure that each of the agencies, pursuant
to its separate authority, works toward a more fully integrated
long-term approach to the challenge of ensuring that the state
continues to benefit from safe refrigeration and air-conditioning
systems, but with minimal net impact on the environment. 
  SEC. 2.  Chapter 11.1 (commencing with Section 25970) is added to
Division 15 of the Public Resources Code, to read:
      CHAPTER 11.1.  REFRIGERATION AND  AIR-CONDITIONING
  AIR-CONDITIONING 


   25970.  This chapter shall be known and may be cited as the
California Refrigeration and Air-Conditioning Innovation Review Act
of 2009.
   25970.5.  (a) For the purposes of this chapter the following terms
have the following meanings:
   (1) "Dedicated low-GWP system" means stationary refrigeration and
air-conditioning equipment containing  zero-GWP 
 zero high-GWP  gases.
   (2) "High-GWP" means a global warming potential that is greater
than 150 carbon dioxide equivalents.
   (3) "Low-GWP" means a global warming potential that is less than
or equal to 150 carbon dioxide equivalents.
   (4) "Reduced high-GWP charge system" means stationary
refrigeration and air-conditioning equipment with a gas charge
 at least 40 percent   volume  below the
business as usual charge rate for equipment of a  particular
  similar  size, use, and function.
   (b) On or before December 1, 2011,  using the information and
experience developed  as part of the revisions of the
regulations prescribed pursuant to Section 25402 in 2011 and the
research coordinated by the Public Interest Energy Research,
Demonstration, and Development Program (Chapter 7.1 (commencing with
Section 25620))  , the commission shall, to the extent allowable
utilizing existing staff and funding, develop and conduct a study to
assess the potential to  dramatically reduce  
optimize the efficiency of stationary cooling technology while
significantly reducing  the use and emissions of high-GWP
compounds in the stationary refrigeration and air-conditioning
industry in California. The study shall include, but is not limited
to, all of the following:
   (1) An analysis of the  nexus between energy efficiency
and direct greenhouse gas emissions within   energy
efficiency of reduced high-GWP charge systems and dedicated low-GWP
systems for  stationary refrigeration and air-conditioning
 systems  and an assessment of the  energy
efficiency of low-GWP systems.   nexus between their
energy efficiency and life cycle greenhouse gas emissions, including
direct and indirect emissions. 
   (2) An analysis of the current technological status of stationary
 refrigerant   refrigeration  and
air-conditioning systems using  reduced high-GWP charge and dedic
  ated  low-GWP materials  for cooling  
purposes  and their potential for use in California  ,
including, but not limited to, systems using carbon dioxide, ammonia,
hydrocarbons, synthetic refrigerant compounds, or other low-GWP
gases  .
   (3) An analysis of the economic costs  at the consumer
  and impacts at the equipment, consumer,  and
state level associated with  low-GWP installation 
 the installation of reduced high-GWP charge systems and
dedicated low-GWP systems for stationary refrigeration and  
air-conditioning  . The analysis shall include, but is not
limited to, the costs of manufacturing, equipment operation and
maintenance, personnel training, and equipment importation.
   (4) An analysis of the safety of  low-GWP materials
  high-GWP materials, low-GWP materials, reduced
high-GWP charge systems, and dedicated low-GWP systems for stationary
refrigeration and air-conditioning  .
   (5) Identification of existing laws, codes, regulations, and
incentive programs pertinent to the safety and energy efficiency of
stationary refrigeration and air-conditioning systems.
   (6) An analysis of how existing laws, codes, regulations, and
incentive programs can be modified to promote the use of 
low-GWP refrigerants and systems that use low-GWP refrigerants in
  reduced high-GWP charge systems and dedicated low-GWP
systems for  stationary refrigeration and air-conditioning
systems.
   (7)  Recommendations   An analysis of the
potential  for new incentive programs and pilot programs to
promote the use  of low-GWP refrigerants and systems that use
low-GWP refrigerants in stationary refrigeration and
air-conditioning systems.   and market capitalization of
reduced high-GWP charge systems and dedicated low-GWP systems for
stationary refrigeration and air-conditioning. 
   (8) An assessment of the potential for adoption of reduced
high-GWP charge systems and dedicated low-GWP systems in stationary
refrigeration and air-conditioning units in California by 2020. 
   (9) Recommendations for new research and development of reduced
high-GWP charge systems and dedicated low-GWP systems for stationary
refrigeration and air-conditioning. 
   (c) The commission shall conduct the study in coordination with
the State Air Resources Board  , utilizing as integral to the
study, any related work     already undertaken by
the board in conjunction with the board's implementation of the
mandates in the California Global Warming Solutions Act of 2006
(Division 25.5 (commencing with Section 38500) of the Health and
Safety Code) and related activities,  to ensure all of the
following:
   (1) The State Air Resources Board has the opportunity to
participate in the development and preparation of the findings of the
study  and has made available, within the bounds of its resource
constraints, any pertinent information gathered in the context of
the board's responsibilities pursuant to the California Global
Warming Solutions Act of 2006  .
   (2) The State Air Resources Board has the opportunity to coauthor
a portion of the final report concerning the environmental impact of
refrigerants, refrigeration systems or air-conditioning systems,
including, but not limited to, impacts on climate change and ambient
air quality.
   (3) Meetings between appointed representatives of the commission
and of the State Air Resources Board, shall be held no less
frequently than once every other month between January 1, 2010, and
the completion of the final report. The executive director of the
commission and of the State Air Resources Board shall appoint a
representative for his or her agency, respectively.
   (4) The study is conducted and finalized in an open and public
process, with meaningful opportunity for the public to participate
prior to release of the final report.
   (d) On or before January 1, 2012, the commission shall submit to
the Legislature and post on its Internet Web site the findings and
results of the study. 
   (e) The commission may utilize existing funds, to the extent they
are available, to perform both of the following:  
   (1) Develop incentive programs to promote the installation of
reduced high-GWP charge systems and dedicated low-GWP systems for
stationary refrigeration and air-conditioning units in California.
 
   (2) Develop pilot projects within California to install reduced
high-GWP charge systems and dedicated low-GWP stationary
refrigeration and air-conditioning units.  
   (f) 
    (e)  The State Air Resources Board may use funds, to the
extent they are available, generated from fees assessed on high-GWP
refrigerants used for stationary refrigeration and air-conditioning
units and on stationary refrigeration and air-conditioning units
containing high-GWP compounds to do all of the following:
   (1)  Develop incentive programs to promote  
Beginning December 1, 2011, develop and implement incentive programs
to provide partial or full funding for  the installation of
reduced high-GWP charge systems and dedicated low-GWP systems for
stationary refrigeration and air-conditioning units in California.
   (2)  Develop pilot   Beginning  
December 1, 2011, develop and implement pilo   t and
demonstration  projects within California to install reduced
high-GWP charge systems and dedicated low-GWP systems  for the
purpose of conducting research on energy efficiency, potential
environmental impact, safety, technology applicability, and
technology development  .
   (3)  Develop   Beginning December 1, 2011,
develop  worker training programs to promote the installation of
reduced high-GWP charge systems and dedicated low-GWP systems in
California.
   (4)  Develop   Beginning   January
1, 2010, develop  programs to reduce or prevent the emissions of
high-GWP compounds to the atmosphere from in-use and retired
stationary refrigeration and air-conditioning units  ,
  .  The programs may include, but are not limited
to, worker training for inspection and maintenance of in-use
equipment, destruction of high-GWP compounds, and creation of
protocols to quantify reduction of emissions. 
   (5) An incentive program, pilot and demonstration project, worker
training program, and emissions reduction program developed by the
State Air Resources Board pursuant to this subdivision for new or
in-use equipment shall be developed through an open and public
process, with meaningful opportunity for public participation, in a
manner that is consistent with the process by which regulations
implementing the California Global Warming Solutions Act of 2006 are
adopted, and in conformity with the findings of the study conducted
pursuant to this section, if any.  
   (f) The State Air Resources Board is responsible for implementing
any findings of the study conducted pursuant to this section
consistent with the board's responsibility pursuant to Section 38510
of the Health and Safety Code.  
   (g) (1) This chapter does not limit the existing authority of a
state agency to adopt or implement regulations, including regulations
pertaining to stationary refrigeration and air-conditioning
equipment.  
   (2) This chapter does not relieve a state entity of its obligation
to comply with existing law or obligations.