SB 1213, as amended, Wieckowski. Renewable energy: biosolids: matching grants.
Existing law requires the State Energy Resources Conservationbegin insert and Developmentend insert Commission to administer various grant programs, including a program to provide incentives for liquid fuels fermented from biomass and biomass-derived resources.
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. The act authorizes the state board to include the use of market-based compliance mechanisms to achieve its goals. Existing law requires all moneys, except for fines and penalties, collected by the state board from the auction or sale of allowances as part of a market-based compliance mechanism to be deposited in the Greenhouse Gas Reduction Fund.
This bill would require the commission to develop and implement the Biosolids to Clean Energy Grant Program to provide 50% matching funds to local wastewater agencies for biosolids to clean energy capital projects.begin delete Theend deletebegin insert Beginning with the 2016end insertbegin insert-17 fiscal year, theend insert bill would continuously appropriate $20,000,000 annually from the fund to the commission for purposes of the program.begin delete The bill would, for the 2016-17 fiscal year, appropriate an additional $12,000,000 from the fund to the Bay Area Biosolids to Energy Coalition for the design and construction of a regional biosolids to clean energy project located in the San Francisco Bay Area.end delete
Vote: majority. Appropriation: yes. Fiscal committee: yes. State-mandated local program: no.
The people of the State of California do enact as follows:
The Legislature finds and declares all of the
2following:
3(a) California wastewater agencies generate 2.75 million tons
4of biosolids each year.
5(b) Biosolids management primarily consists of agricultural
6land application and landfill disposal.
7(c) Agricultural land application is discouraged by many local
8governments, leading to increased landfill disposal and methane
9emissions. Most agricultural land application sites are located far
10from urban areas and wastewater treatment facilities, causing
11biosolids to be trucked
many miles, resulting in increased
12petroleum consumption andbegin delete greenhouse gas emissions.end deletebegin insert emissions
13of greenhouse gases.end insert
14(d) The Legislature, pursuant to Section 41780.01 of the Public
15Resources Code, established the policy goal of the state that not
16less than 75 percent of solid waste generated be source reduced,
17recycled, or composted by year 2020, and annually thereafter.
18(e) In his 2015 inaugural address, the Governor called upon the
19state to reduce fuel consumption by 50 percent by 2030.
20(f) In the San Francisco Bay area, hauling of biosolids by only
2119
wastewater agencies contributes to one million trucking miles
22and consumption of 153,000 gallons of petroleum.
23(g) Chapter 547 of the Statutes of 2015 requires electric utilities,
24by 2030, to increase to 50 percent the amount of electricity derived
25from renewable resources.
26(h) Biosolids are a renewable resource for energy generation
27and can be converted to energy and useful byproducts without
P3 1incineration using various technologies, including, but not limited
2to, supercritical water oxidation technology, which utilizes oxygen
3and high pressure to create steam or hot waterbegin delete which,end deletebegin insert that,end insert in turn,
4can generate
electricity.
5(i) Biosolids are generated locally and biosolids to energy
6projects can be deployed regionally as part of expanded regional
7distributed generation projects serving local microgrids.
8(j) California leads the nation in innovation and research and
9development. Conversion of biosolids to energy has been proven
10on a small scale. A public-private partnership among local
11agencies, state government, and private enterprises to demonstrate
12a commercial scale biosolids to energy project is consistent with
13California’s leadership in promoting and creating renewable
14energy.
Section 39719.3 is added to the Health and Safety
16Code, to read:
Notwithstanding Section 13340 of the Government
18Code,begin insert beginning with the 2016end insertbegin insert-17 fiscal year,end insert the sum of twenty
19million dollars ($20,000,000) annually is hereby continuously
20appropriated from the fund to the State Energy Resources
21Conservation and Development Commission for the Biosolids to
22Clean Energy Grant Program developed pursuant to Chapter 7.8
23(commencing with Section 25680) of Division 15 of the Public
24Resources Code.
Chapter 7.8 (commencing with Section 25680) is added
26to Division 15 of the Public Resources Code, to read:
27
For purposes of this chapter, “biosolids to clean energy
31capital project” or “project” means a capital project that uses
32biosolids to generate useful heat energy or electricity, liquid or
33gaseous fuels, or useful byproducts using nonincineration
34technology in a manner or location that also reduces the emissions
35of greenhouse gases as compared with biosolids management
36practices in use at the time of the enactment of this chapter, such
37as through a reduction in trucking biosolids to offsite landfill or
38land application sites.
The commission shall develop and implement the
40Biosolids to Clean Energy Grant Program to award, on a
P4 1competitive basis, grants to local wastewater agencies providing
250-percent matching funds for biosolids to clean energy capital
3projects.
An applicant for a grant shall submit to the commission
5an application on a form prescribed by the commission. The
6applicant shall specify the sources of the matching funds for the
7project.
begin insert(a)end insertbegin insert end insert In awarding a grant pursuant to this chapter, the
9commission shall consider the following:
10(a)
end delete11begin insert(1)end insert The cost-effectiveness of the project.
12(b)
end delete13begin insert(2)end insert Any other factors deemed appropriate by the commission.
begin insert
14
(b) The commission shall not award grants pursuant to this
15chapter to local wastewater agencies that are subject to a
16compliance obligation pursuant to regulations implementing a
17market-based compliance mechanism described in Part 5
18(commencing with Section 38570) of Division 25.5 of the Health
19and Safety Code.
The commission shall implement this chapter using
21moneys appropriated pursuant to Section 39719.3 of the Health
22and Safety Code and from any other moneys appropriated for
23purposes of this chapter.
(a) In addition to the amount appropriated pursuant
25to Section 39719.3 of the Health and Safety Code, for the 2016-17
26fiscal year, the sum of twelve million dollars ($12,000,000) is
27hereby appropriated from the Greenhouse Gas Reduction Fund,
28established pursuant to Section 16428.8 of the Government Code,
29to the State Energy Resources Conservation and Development
30Commission to provide 50-percent matching funds to the Bay Area
31Biosolids to Energy Coalition for the design and construction of
32a regional biosolids to clean energy project located in the San
33Francisco Bay area.
34(b) For purposes of this section, “biosolids to clean energy
35project” means a project that generates electricity by creating steam
36or hot water
through the conversion of biosolids without
37incineration using supercritical water oxidation technology utilizing
38oxygen and high pressure.
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