On September 12, 2011 the California Air Resources Control Board (CARB) released the Second Notice of Public Availability of Modified Text and Availability of Additional Documents and Information. This is the second revision of the “minor” changes made to the December 16, 2010 approval of the Cap and Trade Program.
These additional modifications address comments CARB staff received in the first 15-day Change Notice period and are the result of additional staff analysis and stakeholder comments. The text of these changes are here.
The revisions are too significant to address here in detail, but include changes to definitions to address first suppliers, how the Rewable Portfolio Standard (RPS) will be interpreted, how export and import of electricity and natural gas will be interpreted, as well as a change in the definition of biofuels. The allocation of allowances to electrical utility providers is also addressed, as are changes to the manner in which the auction will be conducted. Several changes involve identifying related entities and with how allowance transfers and accounts will be tracked and managed. There were also significant changes made to the offset sections and related protocols comments on these changes, will be addressed in the final version of the rule scheduled on October 20, 2011.