Environmental Defense Fund Smart Grid Initiative

lettucestewΗλεκτρονική - Συσκευές

21 Νοε 2013 (πριν από 3 χρόνια και 8 μήνες)

56 εμφανίσεις

AB 32 & Cap and trade


“Nuts and bolts”


September 20, 2012

Environmental Defense Fund


Founded in 1967, EDF tackles the most serious
environmental problems with:


A commitment to sound science


Efficient, market
-
based solutions


The power of unlikely partnerships


Smart, non
-
partisan policy



EDF was an original sponsor of AB32 and has
participated in the rulemaking since adoption

AB 32 in brief


Statewide climate change pollution reduction program


Requires the state achieve the 1990 emissions by the
year 2020


Includes a series of about 70 regulations and incentives
based measures


Vests primary implementation authority in the Air
Resources Board

Benefits of AB 32



Cleaner and diversified energy sources



Less energy wasted, saving money for
people and businesses



Air pollution reductions, improved public
and environmental health



New business opportunities and jobs



Transportation system improvements



Greenhouse Gas Reductions by Major Category

Greenhouse Gas Reduction

A series of efforts across the state

Enacted / In Effect



Clean Car Standards (2004)


Port drayage trucks (2007)


SB 375 Regional plans (2008)


Low Carbon Fuel Standard (2009)


Refrigeration leak standards (2009)


Landfill Methane Capture (2009)


33 % RPS (2011)


Ongoing renewable programs


Ongoing efficiency programs


Ongoing forestry management

Greenhouse Gas Reduction

A series of efforts across the state

In Development or Waiting for approval



Cap and trade (2012)


Heavy industrial audits (2012)


Building efficiency (title 24)


Appliance efficiency (title 26)

Cap
-
and
-
trade regulation



About 18% of total AB 32 reductions


Sets a firm limit on pollution and contains flexibility to keep
costs low


Individual firms get a portion of the credits they need for
free, then must either reduce on site or purchase
allowances or offsets


Auction starts November 2012


compliance begins 2013


3 separate compliance periods



Applicable to about 320 facilities


about 85% of
emissions in 2015

Cap
-
and
-
trade regulation


covered entities



Refineries


Cement Plants


Utilities


In state power plants


Imported power


Stationary sources > 25,000 tons per year


Combustion of transportation fuel (2015)


Combustion of natural gas
-

small sources (2015)


**Renewable power has no carbon requirements

California’s New Gold, A Primer on the Use of Allowance Value Created under the CO2 Cap
-
and
-
Trade Program

Dallas Burtraw, David McLaughlin, and Sarah Jo Szambelan

http://www.rff.org/RFF/Documents/RFF
-
DP
-
12
-
23.pdf


The current landscape for AB
32 investment decisions:



Sinclair Paint


SB 1018, AB 1532 & SB 535


Administrative Agencies


External Stakeholder Input


The current legal landscape:
Sinclair Paint
(1997) and California Farm Bureau (2011)


Cal. Sup. Court 1997
-

Sinclair Paint Co. vs. State Board of
Equalization
, (interpreting California’s Prop 13).


Revenues generated from a regulatory fee must have a
close connection (nexus) between the purpose of the fee
and the way the revenue is spent.




Cal. Sup. Court 2011
-

California Farm Bureau Federation v.
State Water Resources Control Board


A government agency should be accorded some flexibility
in calculating the amount and distribution of a fee


The current landscape: AB 1532







Principles


1.
Reduce GHG’s (Threshold requirement for all investments)

2.
Maximize economic, environmental, and public health benefits

3.
Foster job creation [in California]

4.
Improve air quality.

5.
Help disadvantaged communities and households

6.
Provide opportunities for businesses, public agencies, nonprofits,
and other community institutions

7.
Lessen the impacts and effects of climate change

The current landscape: AB 1532

Suggested Projects to reduce GHGs

1.
EE, CE/RE, DG, Transmission, Storage


at public universities,
state buildings, and facilities.

2.
Goods movement, vehicles, fuels, and public transit

3.
Water efficiency, natural resource conservation and management,
forestry, and sustainable agriculture.

4.
Strategic planning and development of sustainable infrastructure

5.
Waste reduction, diversion, and reuse.

6.
Local and regional programs

7.
RD&D of innovative technologies, measures, and practices.

The current landscape: AB 1532






Investment Plan

The investment plan shall:


1.

ID near
-
term and long
-
term reduction goals by
sector.


2.

Analyze gaps in current state strategies to meet
reduction goals by sector.


3.

Identify priority investments that will facilitate the
achievement of feasible and cost
-
effective GHG
reductions

The current landscape: SB 535








Requires a minimum of 25% of CARB’s auction
proceeds to be used in ways that benefit
disadvantaged communities, either directly or
indirectly. It also requires a minimum of 10% of
auction proceeds directly fund projects within
those communities.

Role of Governor, DOF and CARB:


State Budget and AB1532


1.
Governor Brown has set aside money for GHG reduction
projects that also reduce general fund expenditures

2.
DOF,
on behalf of
the Governor
, and in consultation with
CARB and
any
other relevant
state entity, shall develop
and submit to the
Legislature

3.
CARB shall
hold at least two public
workshops in
different regions of the state and one public
hearing.

4.
CARB must consult with
the
CPUC

5.
Climate
Action
Team shall also
provide
information

Role of External Parties


1.
Participation in official public consultation
processes (AB 1532)

2.
External contact with DOF and agencies

3.
Participation in CPUC process




EDF investment advocacy:

Profiling sample investment categories






Directly Helping California
Businesses
Grow

Providing energy efficiency and clean energy financing directly to
regulated and unregulated businesses




Supporting
Local
Communities

Investing in municipal projects that make air quality better, improve,
quality of life, and cut local expenses to save taxpayers
money




Better
Transit and
Transportation


Improving road quality,
relieving traffic
congestio
n

and increasing the
availability of low
-
carbon transit and
transportation




Improving
schools and
hospitals

Making upgrades that create good paying jobs and cut energy bills

Thank You

Tim O’Connor

Director, California Climate and Energy Initiative

toconnor@edf.org

Office: (415) 293
-

6132

Cell: (916) 549
-

8423