Bill Text: IL SB1556 | 2023-2024 | 103rd General Assembly | Introduced


Bill Title: Amends the Environmental Protection Act. Provides that, to the extent allowed by federal law, the Environmental Protection Agency shall propose, within 12 months after the amendatory Act's effective date, and the Pollution Control Board shall adopt, within 12 months after receipt of the Agency's proposal, rules establishing a clean transportation standard to reduce carbon intensity from the on-road transportation sector by 20% by 2038, with further reductions to be implemented at the discretion of the Agency based upon advances in technology. Contains requirements for the Board rules and for the clean transportation standard. Exempts aviation fuels from the clean transportation standard. Provides that producers of sustainable aviation fuel shall be eligible to generate monetary credits on an opt-in basis that may be applied to future obligations or traded to providers not meeting the clean transportation standard. Requires the Agency to submit a report to the General Assembly detailing the implementation of the clean transportation standard, the reductions in greenhouse gas emissions that have been achieved through the clean transportation standard, and targets for future reductions in greenhouse gas emissions from the transportation sector. Contains other provisions. Effective immediately.

Spectrum: Partisan Bill (Democrat 5-0)

Status: (Introduced) 2024-05-17 - Senate Committee Amendment No. 2 Rule 3-9(a) / Re-referred to Assignments [SB1556 Detail]

Download: Illinois-2023-SB1556-Introduced.html


103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
SB1556

Introduced 2/8/2023, by Sen. David Koehler

SYNOPSIS AS INTRODUCED:
415 ILCS 5/52.15 new

Amends the Environmental Protection Act. Provides that, to the extent allowed by federal law, the Environmental Protection Agency shall propose, within 12 months after the amendatory Act's effective date, and the Pollution Control Board shall adopt, within 12 months after receipt of the Agency's proposal, rules establishing a clean transportation standard to reduce carbon intensity from the on-road transportation sector by 20% by 2038, with further reductions to be implemented at the discretion of the Agency based upon advances in technology. Contains requirements for the Board rules and for the clean transportation standard. Exempts aviation fuels from the clean transportation standard. Provides that producers of sustainable aviation fuel shall be eligible to generate monetary credits on an opt-in basis that may be applied to future obligations or traded to providers not meeting the clean transportation standard. Requires the Agency to submit a report to the General Assembly detailing the implementation of the clean transportation standard, the reductions in greenhouse gas emissions that have been achieved through the clean transportation standard, and targets for future reductions in greenhouse gas emissions from the transportation sector. Contains other provisions. Effective immediately.
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A BILL FOR

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1 AN ACT concerning safety.
2 Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4 Section 5. The Environmental Protection Act is amended by
5adding Section 52.15 as follows:
6 (415 ILCS 5/52.15 new)
7 Sec. 52.15. Clean transportation standard.
8 (a) The General Assembly finds that:
9 (1) The transportation sector in Illinois is a leading
10 source of criteria air pollutants and greenhouse gas
11 emissions, which collectively endanger public health and
12 welfare by causing and contributing to increased air
13 pollution and climate change.
14 (2) Shifting from petroleum-based transportation fuels
15 to alternative fuels has the potential to significantly
16 reduce transportation emissions of air pollutants and
17 greenhouse gases and is recommended by the
18 Intergovernmental Panel on Climate Change as an important
19 pathway for holding global warming at 1.5 degrees Celsius.
20 A clean transportation standard would promote innovation
21 in and production and use of nonpetroleum fuels that
22 reduce vehicle-related and fuel-related air pollution that
23 endangers public health and welfare and disproportionately

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1 impacts disadvantaged communities.
2 (3) Credits generated through the use of clean fuel
3 under this Section will promote innovation and investment
4 in clean fuels.
5 (b) In this Section:
6 "Carbon intensity" means the quantity of greenhouse gas
7emissions per unit of fuel energy, expressed in grams per
8megajoule.
9 "Clean transportation standard" means the standard adopted
10by the Board under subsection (c) for the reduction, on
11average, of life cycle carbon intensity of fuels used for
12on-road transportation.
13 "Credit" means a unit of measure generated when a fuel
14with a carbon intensity that is less than the clean
15transportation standard is produced, imported, or dispensed
16for use in Illinois, such that one credit is equal to one
17metric ton of carbon dioxide equivalent.
18 "Life cycle carbon intensity" means the quantity of
19greenhouse gas emissions per unit of energy, expressed in
20grams per megajoule, included in a fuel and emitted during
21extraction, production, manufacture, importation, and
22distribution of the fuel, as calculated annually by the Agency
23under paragraph (2) of subsection (d) using the methods
24described under subsection (f).
25 "Provider" includes, but is not limited to, any refiner,
26blender, producer, or importer of a transportation fuel and

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1any enabler of electricity being used as a fuel source for
2transportation.
3 (c) To the extent allowed by federal law, the Agency shall
4propose, within 12 months after the effective date of this
5amendatory Act of the 103rd General Assembly, and the Board
6shall adopt, within 12 months after receipt of the Agency's
7proposal, rules establishing a clean transportation standard
8in order to reduce the life cycle carbon intensity of fuels for
9the on-road transportation sector by 20% by 2038, with further
10reductions to be implemented at the discretion of the Board,
11upon its own initiative or upon the petition of any other
12person, based upon advances in clean fuel technology. The
13rules adopted by the Board under this subsection shall include
14fees for the registration of providers to offset the costs
15incurred by the Board and the Agency that are associated with
16implementing the clean transportation standard.
17 (d) The clean transportation standard adopted by the Board
18shall:
19 (1) apply to all providers in the State;
20 (2) be measured based on a life cycle carbon intensity
21 that shall be calculated annually by the Agency in
22 accordance with subsection (f); and
23 (3) take into consideration the low-carbon clean
24 transportation standards adopted in other states,
25 including the carbon intensity values established for
26 transportation fuels.

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1 (e) The clean transportation standard adopted by the Board
2may be met through market-based methods by which providers
3reaching or exceeding the required reduction of life cycle
4carbon intensity under the clean transportation standard shall
5receive credits as determined under the rules adopted by the
6Board. The system of credits created under this subsection
7shall provide credits based on a life cycle emissions
8performance-based approach that is technology neutral,
9feedstock neutral, and has the purpose of achieving fuel
10decarbonization.
11 (f) The life cycle carbon intensity calculation conducted
12by the Agency under paragraph (2) of subsection (d) shall use
13the Argonne National Laboratory's GREET model and shall
14include all stages of fuel and feedstock production and
15distribution, from feedstock generation or extraction through
16the distribution, delivery, and use of the finished fuel by
17the ultimate consumer. In calculating the life cycle carbon
18intensity, the mass values for all greenhouse gases that are
19not carbon dioxide must be adjusted to account for each of
20their relative global warming potentials. This adjustment
21shall be performed using the global warming potential deemed
22most accurate by the Agency for each greenhouse gas for the
23period during which reductions in greenhouse gas emissions are
24to be attained under the clean transportation standard.
25 (g) Aviation fuels are exempt from the clean
26transportation standard established under subsection (c), but

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1producers of sustainable aviation fuel shall be eligible under
2the rules adopted under this Section to receive credits on an
3opt-in basis that may be applied to future obligations or
4traded to providers not meeting the clean transportation
5standard.
6 (h) Within 24 months after the Board adopts the rules
7proposed by the Agency under subsection (c), the Agency shall
8submit a report to the General Assembly detailing the
9implementation of the clean transportation standard, the
10reductions in greenhouse gas emissions that have been achieved
11through the clean transportation standard, and targets for
12future reductions in greenhouse gas emissions.
13 (i) Nothing in this Section precludes the Agency or Board
14from adopting or maintaining other programs to reduce
15greenhouse gas emissions from the transportation sector.
16 Section 99. Effective date. This Act takes effect upon
17becoming law.
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