BILL ANALYSIS
AB 1373
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Date of Hearing: April 29, 2009
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Kevin De Leon, Chair
AB 1373 (Skinner) - As Amended: April 14, 2009
Policy Committee: Natural
ResourcesVote:6-3
Urgency: No State Mandated Local Program:
No Reimbursable: No
SUMMARY
This bill requires the California Energy Commission (CEC), to
the extent existing staff and funding is available, to assess
the potential to reduce use of and emission of high global
warming potential (HGWP) compounds in refrigeration and air
conditioning. Specifically, this bill:
1)Requires CEC, by December 1, 2011, to include as part of its
revision of regulatory building standards for energy and water
efficiency, to assess the potential to reduce the use and
emission of HGWP compounds in and from California's stationary
refrigeration and air-conditioning industry.
2)States that CEC is to complete the assessment required by this
bill only to the extent that existing funding and staff allow.
3)Requires CEC to complete its assessment in coordination with
the Air Resources Board (ARB).
4)Requires CEC to report its assessment to the Legislature by
January 1, 2012.
5)Authorizes CEC and ARB to offer incentives and develop pilot
projects and, in the case of ARB, worker training programs, to
encourage the use of low global warming potential
refrigerants.
FISCAL EFFECT
1)Minor, absorbable costs to CEC to complete the assessment
required by this bill.
AB 1373
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2)Cost pressure amounting to several hundred thousands of
dollars annually, to CEC and ARB to implement programs to
encourage use of low global warming potential refrigerants, as
authorized by this bill. (Energy Resources Program Account;
Public Interest Research, Development, and Demonstration Fund;
Air Pollution Control Fund)
COMMENTS
1)Rationale. According to ARB, the approximately 200,000
California facilities that use HGWP compounds release the
global warming emission equivalent to roughly six million
cars. The author notes that ARB, under its authority to
reduce the state's emissions of greenhouse gases to 1990
levels by 2020, seeks to limit leakage of these compounds into
the atmosphere. ARB's regulatory efforts, however, do not
adequately seek to promote alternatives to the use of these
HGWP compounds, which the author notes are currently beginning
to be used in parts of Australia and Europe. The author
contends that the assessment and activities authorized by this
bill will begin the process of moving California to use
alternatives to HGWP compounds.
2) ARB's Regulation of HGWP Compounds. AB 32 (N??ez, Chapter
488, Statutes of 2006) charged ARB with monitoring and
regulating California's emission of greenhouse gases in order
to reduce those emissions to their 1990 level by 2020. As
part of that effort, ARB adopted or is developing regulations
to reduce greenhouse gas emissions from a variety of sources,
including those emissions resulting from the use HGWP
compounds-substances that, pound for pound, typically have
global warming effects that are thousands of times the effect
of carbon dioxide. ARB has adopted regulations, effective
January 1, 2010, that seek to reduce leakage of HGWP
compounds. In addition, ARB has proposed imposing a fee on
the sale of HGWP compounds.
3)CEC's Building Efficiency Standards. Current law requires the
CEC to adopt regulatory energy efficiency standards for
residential and nonresidential buildings. The standards were
established in 1978 in response to a legislative mandate to
reduce California's energy consumption. The standards are
updated periodically to allow consideration and possible
incorporation of new energy efficiency technologies and
AB 1373
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methods. CEC updated the Title 24 standards in 2008. CEC
currently is working on the next update of the standards, to
be adopted in July of 2011, in which CEC plans to include
greenhouse gas performance standards for commercial buildings
with large refrigeration systems.
Analysis Prepared by : Jay Dickenson / APPR. / (916) 319-2081