Amended in Assembly August 1, 2016

Amended in Senate March 28, 2016

Senate Bill No. 1425

Introduced by Senator Pavley

February 19, 2016

An act to add begin delete Section 39732 to the Health and Safety end delete begin insert Part 6 (commencing with Section 71420) to Division 34 of the Public Resources end insert Code, relating to greenhouse gases.

LEGISLATIVE COUNSEL’S DIGEST

SB 1425, as amended, Pavley. Water-energy nexus registry.

The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and begin delete regulations end delete begin insert regulating end insert sources of emissions of greenhouse gases. begin insert Existing law creates the California Environmental Protection Agency, consisting of various boards, offices, and departments, including the state board. end insert

Existing law, until 2008, established the former California Climate Action Registry to carry out specified actions, including, among others, helping various entities in the state to establish emissions baselines, encourage voluntary actions to increase energy efficiency and reduce greenhouse gas emissions, and recognize, publicize, and promote participants in the registry.

This bill would require the begin delete state board, in consultation with relevant state agencies and a specified nonprofit organization, end delete begin insert agency end insert to begin delete develop end delete begin insert oversee the development of end insert a registry begin delete of end delete begin insert for end insert greenhouse gas emissions resulting from the water-energy nexus using the best available begin delete data, as specified, including end delete begin insert data. The bill would require the agency to enter into a contract with the Climate Registry to develop and administer the registry, which would include, among other things, end insert the above-stated actions of the former California Climate Action Registry as those relate to the water-energy nexus.

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) Water and energy resources are inextricably connected. This
relationship is known as the water-energy nexus.

(b) The energy used to drive the state’s water system accounts
for nearly 20 percent of the total electricity usage and 30 percent
of nonpower-related natural gas consumed and includes, among
other things, the fuels used to power groundwater pumps,
transportation, and treatment and disposal systems for water and
wastewater; the heating and cooling of water in buildings and other
facilities; the delivery of water; and end uses. There are known
gaps in quantifying greenhouse gas emissions associated with that
energy usage.

(c) The water used to drive the state’s energy system represents
a substantial portion of our state water demand and includes, among
other things, the water used to turn turbines for hydropower, to
produce steam and cooling systems for thermoelectric power, and
to extract and refine oil and begin delete gas, end delete begin insert gas. end insert

(d) Consequently, saving water saves energy and vice versa.

(e) Because the production of energy often results in the
emission of greenhouse gases, there is substantial potential for
emissions reductions in the water system.

(f) While energy usage has historically been a fundamental
element in the planning and development of the state’s water supply
systems, there are new opportunities for improving this linkage to
reduce water-related greenhouse gas emissions. New projects that
best serve water and energy investments can maximize greenhouse
gas emissions reductions.

(g) It is the intent of the Legislature, in enacting this begin delete act, end delete
begin insert measure, end insert to do both of the following:

(1) More closely integrate the planning for begin delete water, energy, and end delete
begin insert water and energy to reduce end insert greenhouse gas begin delete emissions reductions. end delete

begin insert emissions. end insert

(2) Recognize innovative projects and programs that reduce the
begin delete carbon end delete begin insert greenhouse gas end insert intensity of our water system.

begin delete

SEC. 2.  

Section 39732 is added to the Health and Safety Code,
to read:

39732.  

(a) For purposes of this section, the following terms
have the following meanings:

(1) “The Climate Registry” means the nonprofit organization
that is a successor to the California Climate Action Registry
(former Chapter 6 (commencing with Section 42800) of Part 4, as
added by Section 1 of Chapter 1018 of the Statutes of 2000).

(2) “Registry” means the water-energy nexus registry established
pursuant to this section.

(b) (1) The State Air Resources Board, in consultation with
other relevant state agencies and The Climate Registry, shall
develop and administer a registry of greenhouse gas emissions
resulting from the water-energy nexus using the best available
data.

(2) Participation in the registry shall be voluntary and open to
any entity conducting business in the state. A participating entity
may register its emissions, including emissions generated outside
of the state, on an entitywide basis and may utilize the services of
the registry.

(c) In administering the registry, the State Air Resources Board
shall do all of the following:

(1) Help participating entities in the state to establish emissions
baselines.

(2) Encourage voluntary actions to increase water and energy
efficiency measures to reduce the carbon intensity of the state’s
water system.

(3) Enable participating entities to record voluntary entitywide
greenhouse gas emissions reductions made after 1990 in a
consistent format that is supported by third-party verification.

(4) Ensure that sources in the state receive appropriate
consideration for entity-level verified emissions reductions under
potential future regulatory regimes or qualification for financing
opportunities relating to greenhouse gas emissions.

(5) Recognize, publicize, and promote participating entities
making voluntary reductions of greenhouse gas emissions.

(6) Recruit broad participation in the registry from all economic
sectors and regions of the state.

end delete

begin insert

begin insert SEC. 2. end insert   

end insert

begin insert Part 6 (commencing with Section 71420) is added to
Division 34 of the end insert begin insert Public Resources Code end insert begin insert , to read: end insert

begin insert

 

PART  begin insert 6. end insert   Water-Energy Nexus Registry

 

begin insert 71420. end insert   

For purposes of this part, the following terms have the
following meanings:

(a) “Agency” means the California Environmental Protection
Agency.

(b) “The Climate Registry” means the nonprofit organization
that is a successor to the California Climate Action Registry
(former Chapter 6 (commencing with Section 42800) of Part 4 of
Division 26 of the Health and Safety Code, as added by Section 1
of Chapter 1018 of the Statutes of 2000).

(c) “Registry” means the water-energy nexus registry developed
pursuant to this part.

begin insert 71422. end insert   

(a) (1) The agency shall oversee the development of
a registry for greenhouse gas emissions that result from the
water-energy nexus using the best-available data.

(2) Participation in the registry shall be voluntary and open to
any entity conducting business in the state. A participating entity
may register its emissions, including emissions generated outside
of the state, on an entitywide basis and may utilize the services of
the registry.

(b) The agency shall enter into a contract with the Climate
Registry to do all of the following:

(1) Develop, in consultation with the agency and other relevant
state agencies, the registry through a public stakeholder process,
as determined by the agency. In developing the registry, the
Climate Registry shall consider greenhouse gas emissions
accounting methodologies developed as part of programs
authorized pursuant to the California Global Warming Solutions
Act of 2006 (Division 25.5 (commencing with Section 38500) of
the Health and Safety Code).

(2) Help participating entities in the state to establish emissions
baselines.

(3) Encourage voluntary actions to increase water and energy
efficiency measures to reduce the greenhouse gas intensity of the
state’s water system.

(4) Enable participating entities to record voluntary entitywide
greenhouse gas emissions reductions in a consistent format that
is supported by third-party verification.

(5) Recognize, publicize, and promote participating entities
making voluntary reductions of greenhouse gas emissions.

(6) Recruit broad participation in the registry from all economic
sectors and regions of the state.

(7) Facilitate streamlined data reporting for relevant entities
already reporting to the Climate Registry as part of its voluntary
corporate greenhouse gas emissions reporting program.

begin insert 71424. end insert   

Entities participating in the registry may qualify for
financing opportunities that provide incentives to reduce
greenhouse gas emissions and are consistent with Section 39712
of the Health and Safety Code.

end insert