BILL ANALYSIS                                                                                                                                                                                                    




                                                                  AB 2562
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          Date of Hearing:   April 27, 2010

           ASSEMBLY COMMITTEE ON ENVIRONMENTAL SAFETY AND TOXIC MATERIALS
                                  Pedro Nava, Chair
                AB 2562 (Fuentes) - As Introduced:  February 19, 2010
           
          SUBJECT  :   Landfill gas: vinyl chloride.

           SUMMARY  :  Eliminated the requirement for landfill gas, which is  
          sold to a gas corporation, to meet Public Utilities Commission  
          (PUC) safety standards for vinyl chloride contamination.   
          Specifically,  this bill  :  

          1)Removes current requirement on landfill gas that is sold,  
            transported, or used by a gas corporation to meet the PUC  
            vinyl chloride safety standards, except for gas produced at  
            Class 1 hazardous waste facilities.

          2)Removes the current requirement that landfill gas be tested  
            twice monthly for cancer causing and reproductive toxicants  
            for landfills, except for Class 1 hazardous waste facilities.

           EXISTING LAW  :  Generally establishes standards and testing  
          requirements for landfill gas sold to gas corporations.   
          Specifically, existing law:

          1)Prohibits the sale, supply or use of landfill gas by a gas  
            corporation unless the gas meets the "no significant risk"  
            level established by the PUC, (Health and Safety Code Section  
            25421).

          2)Requires that landfill gas be tested twice a month to  
            determine that no identified reproductive toxicants or cancer  
            causing chemicals are present in the gas.  The results of  
            these tests must be provided to the local air pollution  
            control district.

          3)Prohibits gas corporations from exposing a person to landfill  
            gas that has been found to contain chemicals know to the State  
            of California to cause cancer or reproductive toxicity without  
            providing a clear warning of the hazards of exposure to these  
            chemicals.

           FISCAL EFFECT  :   Not known.










                                                                  AB 2562
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           COMMENTS:  
           
          1)According to the author, this bill is sponsored by Cambrian  
            Energy Development LLC, a California-based leading developer  
            of landfill gas-to-energy projects.  The bill is designed to  
            restrict the application of Health and Safety Code Sections  
            25420 - 25422 to only Class I hazardous waste landfills in  
            California and thereby remove the existing impediment to the  
            development of a very large biomethane resource that is  
            currently being wasted in California. The sponsors believe  
            that the testing requirements and vinyl chloride standards  
            resulted in all three California local gas distribution  
            companies including in their gas tariffs an absolute  
            prohibition on the acceptance of any gas derived from landfill  
            gas.

          2)Opponents object to the bill, "?because of the high risk that  
            Class II and III landfill gases would add carcinogens to the  
            gas system, field-demonstrated, online reliable monitoring  
            technology would be necessary for landfill gas constituents,  
            such as vinyl chloride, prior to allowing it to enter the  
            utility system.  Sempra Energy recommends that landfill gas  
            not be allowed onto the utility pipeline system, prior to the  
            completion of a Gas Transmission Institute (GTI) study on the  
            impacts of landfill gas.  The GTI study will develop a  
            reliable landfill gas quality specification to ensure that  
            landfill gas entering the natural gas transmission system is  
            based on a solid scientific understanding of the potential  
            health effects"

           3)Vinyl Chloride  :  According to the US EPA<1> most vinyl  
            chloride is used to make polyvinyl chloride (PVC) plastic and  
            vinyl products.  Acute exposure to high levels of vinyl  
            chloride in air has resulted in central nervous system  
            effects, such as dizziness, drowsiness, and headaches in  
            humans.  Chronic exposure to vinyl chloride through inhalation  
            and oral exposure in humans has resulted in liver damage.   
            Cancer is a major concern from exposure to vinyl chloride via  
            inhalation, as vinyl chloride exposure has been shown to  
            increase the risk of a rare form of liver cancer in humans.   
            US EPA has classified vinyl chloride as a Group A human  
          ---------------------------
          <1> . Agency for Toxic Substance and Disease Registry,  
          Toxicological Profile for Vinyl Chloride(Update), Public Health  
          Service, U.S. Department of Health and Human Services, Atlanta,  
          Ca. 1997








                                                                  AB 2562
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            carcinogen. 


           1)What is landfill gas composed of  ?  According to the US EPA,  
            municipal landfill gas typically contains 45% to 60% methane  
            and 40% to 60% carbon dioxide.  Landfill gas also includes  
            small amounts of nitrogen, oxygen, ammonia, sulfides,  
            hydrogen, carbon monoxide, and non-methane organic compounds  
            (NMOCs) commonly found in landfills include acrylonitrile,  
            benzene, 1,1-dichloroethane, 1,2-cis dichloroethylene,  
            dichloromethane, carbonyl sulfide, ethyl-benzene, hexane,  
            methyl ethyl ketone, tetrachloroethylene, toluene,  
            trichloroethylene, vinyl chloride, and xylenes.

           4)PUC Vinyl Chloride - Gas Standard<2>  .  The PUC adopted  
            standards for vinyl chloride in landfill gas in 1992.   
            Specifically, the PUC standards provide that:

             a)   No regulated gas utility shall knowingly purchase  
               landfill gas if that landfill gas, when supplied to any  
               existing gas customer, contains vinyl chloride in a  
               concentration greater than  1,170 parts per billion by  
               volume.
                
             b)   A gas utility desiring to purchase landfill gas with a  
               vinyl chloride content that exceeds the Commission adopted  
               standard shall file an application with the commission.   
               The application shall demonstrate that dilution of landfill  
               gas exceeding the Commission's standard with other natural  
               gas in the utility's system shall not result in any  
               customer receiving gas with a vinyl chloride concentration  
               level exceeding the Commission's standard.

          5)Issues:

              a)   Gas from Class I toxic waste sites  .  This bill maintains  
               the current testing requirements for gas produced at Class  
               I landfills while eliminating the testing requirements for  
               municipal solid waste sites.  Class 1 landfills are  
               hazardous waste disposal sites and current do not have gas  
               extraction systems for energy generation.  Since hazardous  
             --------------------------
          <2> Ca Public Utilities Commission,  Standards for Gas Service  ,  
          General Order No. 58a, December 16, 1992 










                                                                  AB 2562
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               waste disposal sites are not involved in producing  
               commercial gas the language to limit this program to Class  
               1 sites effectively removes all requirements for vinyl  
               chloride testing.

              b)   Landfill gas can meet the current PUC standards:   The  
               current PUC standard of vinyl chloride is 1.170 ppm.   
               According to the sponsors of this bill, landfill gas  
               contains vinyl chloride but the gas that is treated  
               currently meets that PUC standard.  Given that the safety  
               standard established by the PUC can be met with existing  
               technology it is unclear what the need is for removing the  
               current statutory PUC vinyl chloride standard.

              c)   This may be a contract issue, not a public health issue  :  
                California gas corporations are apparently unwilling to  
               purchase landfill gas in part, due to the fear of  
               contamination from NMOCs including vinyl chloride.  Remove  
               the requirements to test and meet the PUC standards will  
               not necessarily make gas corporations more likely to allow  
               landfill gas into the gas system. 

           REGISTERED SUPPORT / OPPOSITION  :  

           Support 

           Cambrian Energy Development (sponsor)
          Waste Management 
          SCS Engineers
          Guild Associates
          Shell Energy North America
          Cornerstone Environmental 
          Montauk Energy Capital

           Opposition 

           Sierra Club
          Californians Against Waste
          Southern California Gas Company
          San Diego Gas & Electric 
           

          Analysis Prepared by  :    Bob Fredenburg / E.S. & T.M. / (916)  
          319-3965