CALIFORNIA LEGISLATURE— 2021–2022 REGULAR SESSION

Assembly Bill
No. 1463

Introduced by Assembly Member O’Donnell

February 19, 2021

An act to add Section 38567 to the Health and Safety Code, relating to greenhouse gases.


LEGISLATIVE COUNSEL'S DIGEST


AB 1463, as introduced, O’Donnell. California Global Warming Solutions Act of 2006: Low Carbon Fuel Standard regulations.
The California Global Warming Solutions Act of 2006 establishes the State Air Resources Board as the state agency responsible for monitoring and regulating sources emitting greenhouse gases. The act requires the state board to adopt rules and regulations to achieve the maximum technologically feasible and cost-effective greenhouse gas emissions reductions to ensure that the statewide greenhouse gas emissions are reduced to at least 40% below the statewide greenhouse gas emissions limit, as defined, no later than December 31, 2030. Pursuant to the act, the state board has adopted the Low Carbon Fuel Standard regulations.
This bill would require the state board to recognize as a method to generate credits under the Low Carbon Fuel Standard regulations the use of renewable natural gas or biogas that both displaces the existing use of natural gas and reduces the carbon intensity of fuels, as specified.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 38567 is added to the Health and Safety Code, to read:

38567.
 (a) For purposes of this section, “Low Carbon Fuel Standard” means the Low Carbon Fuel Standard regulations (Subarticle 7 (commencing with Section 95480) of Title 17 of the California Code of Regulations).
(b) The state board shall recognize by January 1, 2022, as a method to generate credits under the Low Carbon Fuel Standard the use of renewable natural gas or biogas that both (1) displaces the existing use of natural gas and (2) reduces the carbon intensity of fuels.
(c) As part of the Low Carbon Fuel Standard, companies may use renewable natural gas or biogas delivered from a common carrier pipeline to generate credits.
(d) When renewable natural gas or biogas is used via a common carrier pipeline at a crude oil production facility to reduce the carbon intensity of fuels, credits shall be generated under the innovative crude provisions under the Low Carbon Fuel Standard.