SB 760, as amended, Wright. Electrical generation facility: emission reduction credits.
Existing law requires every air pollution control and air quality management district board to establish a system by which all reductions in the emission of air contaminants that are to be used to offset certain future increases in the emission of air contaminants to be banked prior to use to offset future increases in emissions. Existing law designates the State Air Resources Board as the responsible agency for the preparation of the state implementation plan required by the federal Clean Air Act.
This bill would prohibit every air pollution control and air quality management district that has established an emission reduction credit program, as specified, from imposing any conditions to physically destroy existing equipment that may be currently operating, not operating, or retired at an electrical generation facility that applies for an emission reduction credit. By imposing new duties on air pollution control and air quality management districts, this bill would impose a state-mandated local program.begin insert The bill would authorize the repowering of previously retired electrical generation facility equipment that generated emission reduction credits from the shutdown of the equipment if the Governor declares a state of emergency due to a sudden and severe energy shortage and the energy shortage can only be alleviated by the repowering of the equipment. The bill would authorize an air pollution control district or air quality management district to seek civil penalties under the federal Clean Air Act, if the repowering of the previously retired electrical generation facility results in a violation of the federal act.end insert
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, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.
Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.
The people of the State of California do enact as follows:
Section 40709.8 is added to the Health and Safety
2Code, to read:
begin insert(a)end insertbegin insert end insert Notwithstanding any other law, a district that
4has established a system pursuant to Section 40709 by which
5reductions in emissions may be banked or otherwise credited to
6offset future increases in the emissions of air contaminants, or
7which utilizes a calculation method that enables internal emissions
8reductions to be credited against increases in emissions, shall not
9impose any conditions to physically destroy existing equipment
10that may be currently operating, not operating, or retired at an
11electrical generation facility that applies
for an emission reduction
12credit.
13(b) Except as provided in subdivision (c), equipment at an
14electrical generation facility permanently shutdown or retired as
15a condition of generating emission reduction credits shall not be
16operated or used in any way that releases air emissions.
17(c) Notwithstanding subdivision (b), the repowering of
18previously retired electrical generation facility equipment that
19generated emission reduction credits from the shutdown of that
20equipment shall be authorized if both of the following conditions
21are met:
P3 1(1) The Governor, pursuant to California Emergency Services
2Act (Chapter 7 (commencing with Section 8550) of Division 1 of
3Title 2 of the Government Code) has declared a state of emergency
4due to a sudden and severe energy shortage, within the meaning
5of Section 8558 of the Government Code.
6(2) The Governor declares that the energy shortage can only
7be alleviated by the repowering of the equipment.
8(d) Notwithstanding
subdivision (a), a district may require an
9electrical generation facility to make changes to its existing
10equipment, as is necessary, to ensure that emissions reductions
11used to create the emission reduction credit are permanent. The
12district shall submit to the United States Environmental Protection
13Agency for approval a protocol specifying the types of changes
14the district may require and the district may only require those
15changes that are consistent with the approved protocol.
16(e) Notwithstanding the California Emergency Services Act,
17during any period of operation authorized pursuant to subdivision
18(c) that constitutes a violation of the federal Clean Air Act (42
19U.S.C. Sec. 7401 et seq.), the district may seek civil penalties
20
against the electrical generation facility pursuant to Section 7420
21of Title 42 of the United States Code. Penalties collected shall,
22upon appropriation by the Legislature, be expended by the district
23on emission reduction projects and to reimburse the district for
24its costs of enforcement.
If the Commission on State Mandates determines that
26this act contains costs mandated by the state, reimbursement to
27local agencies and school districts for those costs shall be made
28pursuant to Part 7 (commencing with Section 17500) of Division
294 of Title 2 of the Government Code.
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