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The 2019-2020 California Legislative Session has reached its first deadline.  February 22, 2019 marked the deadline by which bills could be introduced for the first half of the Legislative Session. Lawmakers will begin Spring Recess April 12 and reconvene April 22.  The last day for bills to be passed out of the house of origin is May 31, 2019.

Below is a list of some of the key bills Stoel Rives’ Energy Team will be monitoring throughout the Legislative Session.  We note that some bills do not contain language beyond the “intent of the Legislature.”  However, we will continue to monitor these bills in case of substantive amendments.  These bills are set forth separately below under the heading “Legislative Intent.”

The majority of the bills introduced this Legislative Session relate in some way to California’s efforts to reduce greenhouse gas emissions and move to cleaner sources of generation, including legislation governing electric vehicles, energy storage, and renewable energy.  A number of bills introduced in February also attempt to address the impacts of wildfires, or to reduce wildfire risk.


ASSEMBLY BILLS

AB 40 (Ting, D)   Zero-emission vehicles: comprehensive strategy.

Status: Introduced December 3, 2018; referred to Committees on Transportation and Natural Resources January 24, 2019.

AB 40 would require by no later than January 1, 2021, the State Air Resources Board to develop a comprehensive strategy to ensure that the sales of new motor vehicles and new light-duty trucks in the state have transitioned fully to zero-emission vehicles, as defined, by 2040, as specified.
Continue Reading Key Energy Related Bills Introduced in the 2019-2020 Legislative Session

Nebraska filed suit against the U.S. Environmental Protection Agency (EPA) in federal court on Wednesday, challenging the agency’s newly proposed standards for greenhouse gas emissions from new power plants. Nebraska argues that EPA’s proposed regulation, officially released last week, violates the Energy Policy Act of 2005. The Act prohibits EPA from considering new technology or a level of emissions reduction to be “adequately demonstrated” under the Clean Air Act where the emissions reduction is achieved ‘solely by reason of the use of the technology’ by one or more facilities receiving funding under the Act. Under the Clean Air Act, any new source performance standard (NSPS) must be based on the “best system of emissions reduction” that EPA determines has been “adequately demonstrated.”

EPA has proposed a greenhouse gas NSPS for new fossil fuel-fired boilers, including coal-fired power plants, based on the partial implementation of carbon capture and storage (CCS). EPA’s notice of the proposed NSPS cites to various facilities that have successfully implemented CCS, adequately demonstrating the commercial viability of the technology as a basis for the stringent greenhouse gas emissions standard of 1,000 to 1,100 lb CO2/MWh. The flaw, Nebraska argues, is that the very CCS projects that support EPA’s determination have all received significant funding under the Energy Policy Act, which prohibits EPA from considering such technology as “adequately demonstrated.” Nebraska, and other critics of the proposed standard, argue that the proposed NSPS would severely limit the construction of any new coal-fired plants in the U.S. 

Nebraska’s lawsuit may be more of a political statement than anything, however. The suit challenges the proposed rule under the Administrative Procedure Act as a “final” action of EPA. The “proposed” NSPS was just released, however. The proposed rule is open for public comment until March 10, 2014 and may not be finalized by EPA until mid-2015. The Nebraska suit is wide open to challenge on the basis that the case is not ripe for judicial review until a final NSPS has been issued by EPA.

For more details on the proposed NSPS, including the standards proposed for natural gas-fired facilities,Continue Reading Nebraska Sues U.S. EPA Over Proposed Greenhouse Gas Emissions Standards for New Power Plants

On February 23, 2011, the U.S. Environmental Protection Agency (EPA) released final rules regulating hazardous air pollutant (HAP) emissions from boilers at major sources of HAPs (Boiler MACT) and boilers at minor or area sources of HAPs (Boiler GACT), for Commercial and Industrial Solid Waste Incinerators (CISWI) and for defining what constitutes a solid waste…

After a full day of testimony and deliberation on December 16, 2010, the California Air Resources Board (ARB) adopted the state’s Cap-and-Trade Program on a 9-to-1 vote. The Program is promulgated under the California Global Warming Solutions Act (A.B. 32) as a market-based compliance mechanism to help achieve reduction of the state’s greenhouse gas (GHG)…

The California Air Resources Board (ARB) has issued its proposed greenhouse gas cap-and-trade program, pursuant to the California Global Warming Solutions Act (AB 32). The proposed regulation builds on the conceptual framework for ARB’s cap-and-trade program, released in November 2009. The 45-day public comment period on the regulation opened yesterday and closes on December 15, 2010. Whether by design or happenstance, ARB released this latest on the cap-and-trade program just before Californians will vote today on whether to suspend AB 32 under ballot box Proposition 23. Proposition 23 would suspend AB 32 until California’s unemployment rate dropped to 5.5% or less, for four consecutive quarters. Given that the state’s current unemployment rate is about 12%, and the unemployment rate has been below 5.5% for four consecutive quarters only three times since 1980, Proposition 23 could halt the implementation of AB 32 indefinitely.Continue Reading California’s Proposed GHG Cap-and-Trade Program Out for Public Comment

Stoel Rives partner Tom Wood reports:

Minutes ago EPA announced its long awaited “endangerment” and “cause or contribute” findings in relation to six key greenhouse gases – carbon dioxide, methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons and sulfur hexafluoride.  While technically this announcement is of limited significance (applying only to motor vehicle emissions), the policy import of…

On the topic of Greenhouse Gas reporting, my partner Tom Wood recently circulated this "heads up" about EPA’s final rule:

On September 22, 2009, EPA issued its final rule on greenhouse gas (GHG) reporting.  Fossil fuel and industrial GHG suppliers, motor vehicle and engine manufacturers, and facilities that emit 25,000 metric tons or more of…

My partner Tom Wood recently composed and circulated this email alert about the return of the "Global Warming" case against several electric utilities:

 

Five years ago eight states and New York City made headlines when they sued several electric utilities alleging that their carbon dioxide emissions constituted a federal common law nuisance.  The…