Global Warming Solutions Act of 2006 | |
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California State Legislation | |
Full name | Global Warming Solutions Act of 2006 |
Status | Passed |
Introduced | April 3, 2006 |
Assembly voted | August 31, 2006 |
Senate voted | August 30, 2006 |
Signed into law | September 27, 2006 |
Sponsor(s) | Fabian Nunez |
Governor | Arnold Schwarzenegger |
Code | Health and Safety Code |
Section | 38500, 38501, 28510, 38530, etc. |
Resolution | AB32 (2005-2006 Session) |
Website | http://www.arb.ca.gov/cc/docs/ab32text.pdf |
The Global Warming Solutions Act of 2006, or Assembly Bill (AB) 32, is a California State Law that fights climate change by establishing a comprehensive program to reduce greenhouse gas emissions from all sources throughout the state. AB 32 was authored by Assembly Speaker Fabian Nunez (D-Los Angeles) and signed into law by Governor Arnold Schwarzenegger on September 27, 2006.
AB 32 requires the California Air Resources Board (CARB) to develop regulations and market mechanisms to reduce California's greenhouse gas emissions to 1990 levels by 2020, representing a 25% reduction statewide, with mandatory caps beginning in 2012 for significant emissions sources. The bill provides the Governor the ability to suspend the emissions caps for up to one year in the case of an emergency or significant economic harm.
The State of California leads the nation in energy efficiency standards and plays a lead role in environmental protection, but is also the 12th largest emitter of carbon worldwide.[1] Greenhouse gas emissions are defined in the bill to include all of the following: carbon dioxide, methane, nitrous oxide, sulfur hexaflouride, hydrofluorocarbons and perfluorocarbons.[2] These are the same greenhouse gases listed in Annex A of the Kyoto Protocol.[3]
Contents |
AB 32 includes several specific requirements of the California Air Resources Board:
AB 32 stipulates the following timeline:[4]
By Jan 1, 2009 | ARB adopts plan indicating how emission reductions will be achieved from significant sources of GHGs via regulations, market mechanisms and other actions |
During 2009 | ARB staff drafts rule language to implement its plan and holds a series of public workshop on each measure (including market mechanisms) |
By Jan 1, 2010 | Early action measures take effect |
During 2010 | ARB conducts series of rulemakings, after workshops and public hearings, to adopt GHG regulations including rules governing market mechanisms |
By Jan 1, 2011 | ARB completes major rulemakings for reducing GHGs including market mechanisms. ARB may revise the rules and adopt new ones after 1/1/2011 in furtherance of the 2020 cap |
By Jan 1, 2012 | GHG rules and market mechanisms adopted by ARB take effect and are legally enforceable |
December 31, 2020 | Deadline for achieving 2020 GHG emissions cap. |
December 2007 | ARB approves a limit of 427 million metric tons of carbon dioxide equivalent (MMTCO2E) of greenhouse gas emissions in 2020 |
December 2007 | ARB adopts a regulation requiring the largest industrial sources to report and verify their greenhouse gas emissions. |
February 2008 | ARB approves a policy statement encouraging voluntary early actions for emissions reductions and establishing a procedure for project proponents to submit quantification methods to be evaluated by ARB. |
December 12, 2008 | Scoping plan approved and adopted by ARB, providing an outline of actions to reduce greenhouse gas emissions from significant sources in California via regulations, market mechanisms and other actions. |
To date, ARB has identified nine discrete early action measures to reduce greenhouse gas emissions, including regulations affecting landfills, motor vehicle fuels, refrigerants in cars, tire pressure, port operations and other sources. Regulatory development for additional measures is ongoing.
The Environmental Justice Advisory Committee (EJAC) has met 12 times since early 2007 and submitted comments and recommendations on the scoping plan in October 2008. The Economic and Technology Advancement Advisory Committee (ETAAC) submitted a report of their recommendations to the Board in February 2008. The ETAAC also reviewed and provided comments on the scoping plan.
On December 17, 2010 ARB adopted a cap-and-trade program to place an upper limit on statewide greenhouse gas emissions. This is the first program of its kind in the United States. The program will take effect beginning in 2012, with a limit placed that year that will be reduced by two percent each year through 2015 and three percent each year from 2015 to 2020. The rules apply first to utilities and large industrial plants, and in 2015 will begin to be applied to fuel distributors as well, eventually totaling 360 businesses at 600 locations throughout the State of California. Free credits will be distributed to businesses to account for about 90 percent of overall emissions in their sector, but they must buy allowances, or credits, to account for additional emissions. Offsets - actions, such as the planting of trees, that absorb greenhouse gases, can also be relied upon to account for up to 8 percent of emissions. [6]
According to ARB, AB 32 is "generating jobs, promoting a growing, clean-energy economy and a healthy environment for California at the same time."
The bill was challenged by Proposition 23 on the November 2010 ballot, which aimed to suspend AB 32 until state unemployment stayed below 5.5% for four consecutive quarters. The proposition was defeated by a wide margin.