Bill Text: NJ S3737 | 2024-2025 | Regular Session | Introduced


Bill Title: Revises requirements for certain greenhouse gas emissions monitoring and reporting activities.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-10-07 - Introduced in the Senate, Referred to Senate Environment and Energy Committee [S3737 Detail]

Download: New_Jersey-2024-S3737-Introduced.html

SENATE, No. 3737

STATE OF NEW JERSEY

221st LEGISLATURE

 

INTRODUCED OCTOBER 7, 2024

 


 

Sponsored by:

Senator  ANDREW ZWICKER

District 16 (Hunterdon, Mercer, Middlesex and Somerset)

 

 

 

 

SYNOPSIS

     Revises requirements for certain greenhouse gas emissions monitoring and reporting activities.

 

CURRENT VERSION OF TEXT

     As introduced.

  


An Act concerning the monitoring and reporting of greenhouse gas emissions and amending P.L.2007, c.112 and P.L.2019, c.319.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    Section 3 of P.L.2007, c.112 (C.26:2C-39) is amended to read as follows:

     3.    For the purposes of P.L.2007, c.112 (C.26:2C-37 et al.):

     "Department" means the Department of Environmental Protection.

     "Global warming potential" means the determination of the atmospheric warming resulting from the release of a unit mass of a particular greenhouse gas, integrated over a given time horizon, in relation to the warming resulting from the release of the equivalent mass of carbon dioxide. 

     "Greenhouse gas" means carbon dioxide, methane, nitrous oxide, nitrogen oxides, hydrofluorocarbons, perfluorocarbons, sulfur hexafluoride, hydrogen, and any other gas or substance determined by the Department of Environmental Protection to be a significant contributor to the problem of global warming. 

     "Statewide greenhouse gas emissions" means the sum of calendar year emissions of greenhouse gases from all sources within the State, and from electricity generated outside the State but consumed in the State, as determined by the department pursuant to subsection c. of section 5 of P.L.2007, c.112 (C.26:2C-41).

     "Time horizon" means the duration of time used to calculate the global warming potential of a greenhouse gas, including 10 years, 20 years, and 100 years.

     "2020 limit" means the level of greenhouse gas emissions equal to the 1990 level of Statewide greenhouse gas emissions.

     "2030 objective" means the level of greenhouse gas emissions equal to 50 percent less than the 2006 level of Statewide greenhouse gas emissions, as established by Executive Order No. 274 (2021).

     "2050 limit" means the level of greenhouse gas emissions equal to 80 percent less than the 2006 level of Statewide greenhouse gas emissions. 

(cf:  P.L.2007, c.112, s.3)

 

     2.    Section 5 of P.L.2007, c.112 (C.26:2C-41) is amended to read as follows:

     5. a. No later than 18 months after the effective date of P.L.2019, c.197, the department shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations establishing a greenhouse gas emissions monitoring and reporting program to monitor and report Statewide greenhouse gas emissions.

     b.    The rules and regulations adopted pursuant to subsection a. of this section shall identify all significant sources of Statewide greenhouse gas emissions, including short-lived climate pollutants, and shall provide for, but need not be limited to, the following:

     (1)   monitoring and reporting of existing emissions and changes in emissions over time from the sources identified by the department including the global warming potential of the emissions from each source, calculated using a 20-year time horizon;

     (2)   reporting the levels of those emissions and changes in those emissions levels annually, commencing 18 months after the effective date of P.L.2019, c.197.  A report developed pursuant to this paragraph shall be published no later than six months after the end of the calendar year for which the report provides greenhouse gas emissions data; and

     (3)   monitoring progress toward the 2020 limit [and] , the 2030 objective, the 2050 limit, and any interim limits.

     c.     Pursuant to the rules and regulations adopted pursuant to subsection a. of this section, the department shall require reporting of the greenhouse gas emissions:

     (1)   associated with fossil fuels used in the State, as reported by entities that are manufacturers and distributors of fossil fuels, which may include, but need not be limited to, oil refineries, oil storage facilities, natural gas pipelines, and fuel wholesale and retail distributors;

     (2)   from any entity generating electricity in the State and from any entity that generates electricity outside the State that is delivered for end use in the State.  With respect to electricity generated outside the State and imported into the State, the department shall determine the emissions from that generation by subtracting the kilowatt-hours of electricity generated in the State from the kilowatt-hours of electricity consumed in the State, and multiplying the difference by a default emissions rate determined by the department;

     (3)   from any gas public utility as defined in section 3 of P.L.1999, c.23 (C.48:3-51); and

     (4)   from any additional entities that are significant emitters of greenhouse gases or indirect greenhouse gases such as hydrogen, as determined by the department, and as appropriate to enable the department to monitor compliance with progress toward the 2020 limit, the 2030 objective, and the 2050 limit.

     d.    No later than 18 months after the department prepares and transmits the report as required pursuant to subsection c. of section 6 of P.L.2007, c.112 (C.26:2C-42), the department shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations establishing interim benchmarks necessary to achieve the 2030 objective, the 2050 limit, and measures necessary to achieve the 2050 limit and the established interim benchmarks.

     e.  The department shall contract with a provider of satellite greenhouse gas sensing technology in order to facilitate the greenhouse gas monitoring and reporting activities required by this section.  The contract may include provisions for the satellite sensing technology provider to perform data analysis, modeling, and other functions related to greenhouse gas emissions reporting.

     f.  Greenhouse gas emission reports issued pursuant to this section may include global warming potentials that are calculated using a 100-year time horizon, provided that the potentials are also stated in their magnitudes calculated using a 20-year time horizon, as required pursuant to section 1 of P.L.2019, c.319 (C.26:2C-59), and that any calculations made using global warming potentials, including those made pursuant to paragraph (3) of subsection b. of this section, are made using global warming potentials calculated using a 20-year time horizon.   

(cf:  P.L.2019, c.197, s.3)

 

     3.    Section 1 of P.L.2019, c.319 (C.26:2C-59) is amended to read as follows:

     1. a. Whenever the Department of Environmental Protection, the Board of Public Utilities, or any other State agency [calculates] utilizes a global warming potential for the purposes of assessing the global warming impact of a greenhouse gas, the Department of Environmental Protection, the Board of Public Utilities, or other State agency shall use a 20-year time horizon.  This requirement shall apply to any study, assessment, regulation, or incentive that is conducted by, supported by, or produced for any agency in the executive branch of the State government, including, but not limited to, any department, board, bureau, commission, division, office, council, or instrumentality thereof.  The provisions of this subsection shall not prevent a State agency from reporting greenhouse gas emissions to federal or international jurisdictions using global warming potentials calculated using a 100-year time horizon, if doing so is specifically required by international treaty or federal law.  However, in such cases the agency shall also report the greenhouse gas emissions based on a 20-year time horizon in a prominent fashion.

     b.    Whenever relevant to assessing global warming impacts, the Department of Environmental Protection, the Board of Public Utilities, or any other State agency shall use the most recent version of the Intergovernmental Panel on Climate Change's Assessment Report, or a substantially similar, more recent report that addresses global warming impacts at a comparably rigorous level. 

     c.     Whenever the Department of Environmental Protection, the Board of Public Utilities, or any other State agency performs a  socio-economic impact analysis pursuant to section 4 of P.L.1968, c.410 (C.52:14B-4), and that analysis involves the  socio-economic impact of global warming, the agency shall use the lowest discount rates that are consistent with federal guidelines, including the federal Office of Management and Budget Circular A-94, or successor guidance.

     d.  Any study, assessment, regulation, or incentive developed by the Department of Environmental Protection, the Board of Public Utilities, or any other State agency involving greenhouse gas emissions shall include:

     (1) methane and nitrous oxide emissions; and

     (2) fugitive emissions or leakages at the point of generation, the point of use, and at any point in the fuel supply chain.

(cf:  P.L.2019, c.319, s.1)

 

     4.  This act shall take effect immediately.

 

 

STATEMENT

 

     This bill would make various changes to the statutory requirements governing greenhouse gas (GHG) emissions monitoring and reporting activities, including those carried out by the Department of Environmental Protection (DEP) and the Board of Public Utilities (BPU).

     Specifically, the bill would:

     (1) revise the definition of "greenhouse gas" to include nitrogen oxides and hydrogen;

     (2) require the DEP to provide the global warming potential of the GHG emissions from each significant source of GHG emissions in the State, calculated using a 20-year time horizon;

     (3) require annual GHG reports produced by the DEP to be published no later than six months after the end of the calendar year for which they provide data;

     (4) require the DEP to monitor progress toward the 2030 objective for GHG emissions, established by Governor Murphy in Executive Order No. 274 of 2021;

     (5) require significant emitters of indirect greenhouse gas emissions, such as hydrogen, to report their emissions to the DEP;

     (6) require the DEP to enter into a contract with a provider of satellite GHG emissions data, in order to facilitate the DEP's production of GHG emissions reports;

     (7) clarify that the DEP, and other State agencies if required by federal law or international treaty, may state global warming potentials calculated using a 100-year time horizon, provided that the potentials are also stated in terms of a 20-year time horizon,

     (8) expand the requirement in existing law for State agencies to use a 20-year time horizon for global warming potentials to include any study, assessment, regulation, or incentive that is conducted by, supported by, or produced for any State agency; and

     (9) require any study, assessment, regulation, or incentive that is developed by a State agency and is related to GHG emissions to include methane and nitrous oxide emissions, and fugitive emissions and leakages.

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