Gino DiCaro

Renewable diesel fuel bill considered in Assembly

By Gino DiCaro, VP, Communications

Capitol Update, July 6, 2007 Share this on FacebookTweet thisEmail this to a friend

Legislation mandating the increased use of alternative diesel fuels has passed the Senate and will be heard in the Assembly Natural Resources Committee on July 9.  SB 140 (Christine Kehoe, D-San Diego) requires that diesel fuel sold in this state contain at least two percent renewable diesel within one year after the California Air Resources Board (CARB) makes specified determinations, and contain at least five percent renewable diesel no later than two years thereafter.  The bill is unnecessary, premature and prejudges the outcome of current proceedings and comprehensive evaluations.

In 2005, the Legislature approved AB 1007 (Fran Pavley, D-Agoura Hills, Chapter 371) which requires the California Energy Commission, CARB and other state agencies to develop a plan and begin a rulemaking by June 30, 2007 to increase the use of alternative transportation fuels, including biodiesel, and reduce the carbon intensity of transportation fuels by ten percent by 2020.  Last year, the Legislature enacted AB 32 (The Global Warming Solutions Act, Chapter 488, Fabian Nunez, D-Los Angeles), which establishes a mandatory cap on greenhouse gas (GHG) emissions and requires CARB to adopt rules and regulations to achieve GHG emission reductions.  The implementation of AB 32 is currently underway.  Additionally, in January of this year, Governor Arnold Schwarzenegger signed an executive order (S-01-07) establishing a Low Carbon Fuel Standard (LCFS) for transportation fuels with market-based mechanisms to achieve the standard at the lowest cost to consumers and businesses.  CARB will begin a regulatory process to implement the LCFS this summer, with the new standard completed by December 2008.  

CMTA opposes SB 140 because it prejudges the outcome of the LCFS proceeding at CARB and mandates the use of biodiesel fuel without an evaluation of its cost, availability or product reliability.

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