BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | SB 804| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- THIRD READING Bill No: SB 804 Author: Lara (D) Amended: 5/8/13 Vote: 21 SENATE ENVIRONMENTAL QUALITY COMMITTEE : 6-1, 5/1/13 AYES: Hill, Gaines, Calderon, Corbett, Jackson, Leno NOES: Fuller NO VOTE RECORDED: Hancock, Pavley SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8 SUBJECT : Solid waste: energy SOURCE : California State Association of Counties County of Los Angeles DIGEST : This bill includes other conversion technologies in the definition of "biomass conversion," and clarifies that "composting" includes aerobic and anaerobic decomposition of organic wastes. ANALYSIS : Existing law, under the California Integrated Waste Management Act (Act): 1.Requires each city or county source reduction and recycling element to include an implementation schedule that shows a city or county must divert 50% of solid waste from landfill disposal or transformation by January 1, 2000, through source reduction, recycling, and composting activities. CONTINUED SB 804 Page 2 2.Establishes a state policy goal that 75% of solid waste generated be diverted from landfill disposal through source reduction, recycling or composting by 2020. 3.Defines "biomass conversion" to mean the controlled combustion, when separated from other solid waste and used for producing electricity or heat of specified biomass, including, agricultural crop residues, bark, lawn, yard, garden clippings, leaves, silvicultural residue, tree and brush pruning, wood, wood chips, and wood waste and non-recyclable pulp or non-recyclable paper materials. 4.Specifies that "biomass conversion" does not include the controlled combustion of recyclable pulp or recyclable paper materials, or materials that contain sewage sludge, industrial sludge, medical waste, hazardous waste, or either high-level or low-level radioactive waste. 5.Defines "composting" to mean the controlled or uncontrolled biological decomposition of organic wastes. This bill: 1.Includes other conversion technologies in the definition of "biomass conversion." 2.Clarifies that "composting" includes aerobic and anaerobic decomposition of organic wastes. Background Conversion technologies . According to CalRecycle, conversion technologies are processes that can convert organic materials into usable forms of energy including heat, steam, electricity, natural gas, and liquid fuels. Conversion technologies are grouped into three primary classes: thermochemical, biochemical, and physiochemical. Thermochemical conversion processes include combustion, gasification, and pyrolysis. Thermochemical conversion is characterized by higher temperatures and faster conversion rates. It is best suited for lower moisture feedstock. Thermochemical routes can convert all of the organic portion of CONTINUED SB 804 Page 3 suitable feedstock. The inorganic fraction of a feedstock does not contribute to the energy products produced, but may result in fouling of high temperature equipment. Inorganic constituents may also accelerate some of the conversion reactions. Biochemical conversion processes include aerobic conversion (i.e., composting), anaerobic digestion (AD) (which occurs in landfills and controlled reactors or digesters), and anaerobic fermentation (for example, the conversion of sugars from cellulose to ethanol). Biochemical conversion proceeds at lower temperatures and lower reaction rates. Higher moisture feedstocks are generally good candidates for biochemical processes. The lignin fraction of biomass cannot be converted by anaerobic biochemical means and only very slowly through aerobic decomposition. As a consequence, a significant fraction of woody and some other fibrous feedstock exits the process as a residue that may or may not have market value. The residue called digestate can be composted. Physiochemical conversion involves the physical and chemical synthesis of products from feedstock (for example, biodiesel from waste fats, oils, and grease-known as FOG) and is primarily associated with the transformation of fresh or used vegetable oils, animal fats, greases, tallow, and other suitable feedstock into liquid fuels or biodiesel. The definition of transformation in existing law captures many thermochemical, biochemical and physiochemical conversion technologies, except those processes which are specifically excluded, namely composting, gasification and biomass conversion. Under existing law, only 10% of solid waste that undergoes transformation may count as diversion, for purposes of compliance by local governments with the 50% solid waste diversion mandate. Biomass conversion, currently defined as the controlled combustion of specified biomass feedstock when separated from municipal solid waste, is excluded from the definition of transformation, and is not counted as disposal. Composting and anaerobic digestion . Both composting and AD refer to the biological decomposition of organic material. AD is a fermentation technique that operates without free oxygen and results in a biogas containing mostly methane and carbon dioxide, with some fraction of impurities including hydrogen CONTINUED SB 804 Page 4 sulfide and ammonia. AD occurs in manure lagoons (covered or not), controlled reactors, or digesters and is the principal process occurring in landfills. In contrast, composting is an aerobic process, using oxygen, primarily used to produce nutrient rich soil. CalRecycle regulates solid waste handling, processing and disposal, including the operation of landfills, transfer-processing stations, material recovery facilities, compost facilities and waste-to-energy facilities, or conversion facilities (transformation). CalRecycle's regulatory structure is designed to provide a level of regulatory oversight commensurate with the impacts associated with a solid waste handling or disposal activity. Transformation facilities, including incineration and pyrolysis, use municipal solid waste (MSW) as their feedstock, and are required to obtain a full solid waste facility permit, which entails the greatest level of review and oversight due to the potential hazards associated with processing MSW. Because of the extensive permitting requirements, full solid waste facility permits are much more costly and time consuming to obtain for the owner or operator. The definition for transformation includes "other biological conversion other than composting" and because existing law lacks a definition for AD, concerns have been raised that anaerobic digestion could fall under the definition of high-heat technologies commonly identified with transformation, making such facilities more difficult to permit in the state. An organic (and, therefore compostable) feedstock is used for AD, and for that reason, AD facilities do not pose the same hazards as transformation facilities handling MSW. FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes Local: No SUPPORT : (Verified 5/22/13) California State Association of Counties County of Los Angeles County of Santa Barbara County of Ventura Los Angeles County Solid Waste Management Committee/Integrated Waste Management Task Force CONTINUED SB 804 Page 5 ARGUMENTS IN SUPPORT : According to the author, "Existing California law defines "biomass conversion" as the direct combustion of certain listed types of biomass materials. This definition excludes conversion technologies that can more efficiently generate electricity from biomass with lower air emissions. Additionally, existing law is unclear regarding how AD facilities should be permitted. This hampers the state's goals of diverting additional organic materials from disposal." (RM:nl):ej 5/22/13 Senate Floor Analyses SUPPORT/OPPOSITION: SEE ABOVE **** END **** CONTINUED