California’s cap-and-trade program withstood a battle in court, and now the Legislature is proposing changes to the controversial program. Senator Bob Wieckowski (Democrat – District 10), Chair of the Environmental Quality Committee, has authored Senate Bill 775 (“SB 775”) which would extend the cap-and-trade program to 2030 with modifications. The existing cap-and-trade program, established under … Continue Reading
This is the third update on environmental regulatory and legal developments in Los Angeles and adjacent counties, as well as the Southern San Joaquin Valley. We welcome your comments and updates. South Coast Air Quality Management District *Governing Board Shift: New Governing Board Member Sheila Kuehl replaced Mike Antonovich, returning the Board to a Democratic … Continue Reading
As the sands shift on federal climate change policy, California’s cap-and-trade program survives to fight another day. Yesterday, a California Court of Appeal upheld the program because it does not impose a tax subject to the two-thirds supermajority vote requirement under Proposition 13. The Court also affirmed the California Air Resources Board’s (CARB) authority to … Continue Reading
The recent wave of climate change legislation in California also included a new and not particularly well-known law aimed at curbing greenhouse gas (“GHG”) emissions associated with water use. SB 1425 will create a voluntary registry to track the water sector’s energy use and GHG emissions. According to Senator Pavley, the author of SB 1425, … Continue Reading
Late Tuesday, the California Air Resources Board (ARB) released draft amendments to the state’s cap and trade regulation, including revisions to the current program in place through 2020, an extension of the program through 2030, and setting the stage for continued emissions reductions under the program through 2050. ARB’s proposed amendments come in the middle … Continue Reading
The Sacramento Bee has reported that the Legislature’s budget proposal for the high-speed rail project has been finalized. Gov. Jerry Brown and Democratic lawmakers have agreed to use 25 percent of future cap-and-trade funds, totaling $250 million, to continue construction of the $68 billion California High-Speed Rail Project (the “Project”). The floor votes for the … Continue Reading
The California Air Resources Board (CARB) is facing another legal challenge to its cap and trade program – Morning Star Packing Co. v. California Air Resources Board (Sacramento Superior Court case no. 34-2013-80001464, filed April 16, 2013). A coalition of twelve companies, trade associations, and individuals filed the new lawsuit on Tuesday, challenging the legality … Continue Reading
On February 19, 2013, the California Air Resources Board held its second auction of greenhouse gas (GHG) emission allowances for its Cap and Trade Program. This was the first quarterly auction for 2013; the first auction was held November 14, 2012. All ‘covered entities’ – GHG emitters regulated under Cap and Trade – were eligible … Continue Reading
The California Air Resources Board has released its first semi-annual report to the California Legislature on the agency’s AB 32 programs, designed to meet the state’s goal of reducing greenhouse gas emissions to 1990 levels by 2020. The report details recent developments and anticipated milestones for three of CARB’s major AB 32 initiatives: the cap … Continue Reading
California’s Cap and Trade Program is now a reality. Businesses needs answers to questions arising from this complex program. Now that the State of California has held its first auction of carbon allowances under the Program and the initial compliance period of 2013-2014 is now underway, Stoel attorneys Michael Mills, Tom Henry and Allison Smith … Continue Reading
From Allison C. Smith and Lee N. Smith: Last week was busy for the California Cap-and-Trade Program, adopted by the California Air Resources Board (CARB) last December under A.B. 32. First, last Tuesday, CARB Chairman Mary Nichols announced at a Senate hearing that the first scheduled Cap-and-Trade allowance auction, scheduled for August 2012, will be … Continue Reading
On October 20, 2011 the California Air Resources Control Board (CARB) passed the cap-and-trade regulation that was called for the in the AB32 Scoping Plan. The main focus of the regulation is to establish a program that allocates a certain allowance of greenhouse gas emissions to the industry based on certain calculations. Those emissions allowances … Continue Reading
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 … Continue Reading
Four major RFPs for the Cap and Trade Program are out for public review. Essentially the four RFPs are for: 1) An operator to run the auction; 2) A contractor to provide financial services for participants that need to purchase emission allowances; 3) An entity to monitor the market and report activities in various jurisdictions that may … Continue Reading
California greenhouse gas emitters may be granted a reprieve. The Executive Director of the California Air Resources Board (CARB), Mary Nichols, testified before the California Senate Select Committee on the Environment, the Economy, and Climate Change yesterday that CARB is proposing to delay requirements for compliance with the state cap-and-trade program for a year. Nichols … Continue Reading
On Friday, June 24 the California First District Court of Appeals ordered a stay the lower court’s injunction that prevented the California Air Resources Board from working on the Cap & Trade program pending resolution of the Appeal of the lower court on the Writ of Mandate. Thus, the state can continue development of the Cap … Continue Reading
As we discussed previously, the AB 32 rule making process for Cap and Trade received a large setback when the lawsuit brought by several environmental groups successfully argued, at the Superior Court level, that the environmental document that was required to be approved at the time the regulations were approved was deficient. The Court after … Continue Reading
On Friday, May 20, 2011, Judge Goldsmith of San Francisco Supreme Court issued a final order (PDF) with respect to a lawsuit challenging the environmental review of the Cap and Trade regulations created under California’s AB 32 Greenhouse Gas statute and the associated Scoping Plan. In its order, the Court enjoined the Cap and Trade portion of the … Continue Reading
A San Francisco court has issued an eagerly awaited final decision in Association of Irritated Residents v. California Air Resources Board, challenging the California Air Resources Board (CARB) plan for implementation of the Global Warming Solutions Act, otherwise known by its Assembly Bill moniker, A.B. 32. A coalition of environmental justice advocates sued CARB in an attempt … Continue Reading