Today's Law As Amended

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SB-1043 Biogas and biomethane.(2015-2016)



SECTION 1.
 The Legislature finds and declares all of the following:
(a) California has enacted numerous policies to reduce emissions of greenhouse gases and to increase the use of renewable energy resources and renewable fuels, including the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500) of the Health and Safety Code), the California Renewables Portfolio Standard Program (Article 16 (commencing with Section 399.11) of Chapter 2.3 of Part 1 of Division 1 of the Public Utilities Code), the Low Carbon Fuel Standard regulation (Executive Order S-01-07 (January 19, 2007), Sections 95480 to 95490, inclusive, of Title 17 of the California Code of Regulations), an energy storage portfolio requirement (Chapter 469 of the Statutes of 2010), emissions goals for 2030 and 2050 (Executive Order B-30-15), and the state’s comprehensive strategy to reduce emissions of short-lived climate pollutants (Section 39730 of the Health and Safety Code).
(b) Natural gas, which is used for a wide variety of purposes, including the generation of electricity, heating, cooling, and industrial, commercial, residential, and transportation fuels, causes more than one-quarter of all emissions of greenhouse gases in California. Methane emissions from a variety of sources, including wastewater treatment facilities, landfills, dairies, agricultural production, and oil and gas, represent up to 15 percent of California’s total climate change emissions. Wildfires cause two-thirds of all black carbon emissions, which accounts for approximately 10 percent of California’s total climate change emissions.
(c) Reducing emissions of methane, black carbon, and other short-lived climate pollutants is the most effective way to immediately slow global warming and reduce the impacts of climate change. Capturing and using methane (the primary chemical component of biogas) can significantly reduce emissions of greenhouse gases from fossil fuel use, organic waste, and petroleum-based fertilizers. Increasing the production and use of biogas could reduce emissions of greenhouse gases by tens of millions of metric tons of carbon dioxide equivalent emissions per year.
(d) Biogas generated from organic waste can be used to produce the lowest carbon transportation fuel. It can also be used to produce flexible generation renewable power, energy storage, and a low-carbon gas supply for heating, cooling, and other purposes.
(e) Using forest biomass collected as part of a sustainable forestry plan can significantly reduce the risks and impacts of catastrophic wildfires, including black carbon emissions and air pollution, impacts on water supply and quality, impacts on utility and other infrastructure, threats to public safety and communities, impacts on fisheries and wildlife, and effects on precipitation.
(f) Increasing the use of biogas in heavy-duty vehicles in California can help protect disadvantaged communities in the state by reducing toxic air contaminants and smog-forming emissions.
(g) Biogas can provide significant economic benefits to California, including job creation, an instate source of gas, increased energy security, revenue and energy for public agencies, and revenue for dairies, farms, rural forest communities, and other areas.
(h) Increasing the use of biogas will diversify and decarbonize California’s gas supply.
(i) Increasing the use of biogas can help California to meet the waste diversion requirements of Section 41781.3, Article 1 (commencing with Section 41780) of Chapter 6 of Part 2 of, and Chapter 12.9 (commencing with Section 42649.8) of Part 3 of, Division 30 of, the Public Resources Code, and the goals of the Short-Lived Climate Pollutant Reduction Strategy being developed by the State Air Resources Board pursuant to Section 39730 of the Health and Safety Code by using diverted organic waste to produce biogas.

SEC. 2.

 Section 25420 of the Health and Safety Code is amended to read:

25420.
 For purposes of this chapter, the following definitions apply:
(a) “Biogas” means gas that is produced from the anaerobic decomposition of organic material. organic waste through anaerobic digestion or eligible noncombustion thermal conversion technologies, consistent with Section 40106 of the Public Resources Code. 
(b) “Biomethane” means biogas that meets the standards adopted pursuant to subdivisions (c) and (d) of Section 25421 for injection into a common carrier pipeline. the methane derived from biogas. 
(c) “Board” means the State Air Resources Board.
(d) “CalRecycle” means the Department of Resources Recycling and Recovery.
(e) “Commission” means the Public Utilities Commission.
(f) “Common carrier pipeline” means a gas conveyance pipeline, pipeline  located in California, California  that is owned or operated by a utility or gas corporation, excluding a dedicated pipeline.
(g) “Dedicated pipeline” means a conveyance of biogas or biomethane that is not part of a common carrier pipeline system, system  and which that  conveys biogas from a biogas producer to a conditioning facility or an electrical generation facility.
(h) “Department” means the Department of Toxic Substances Control.
(i) “Gas corporation” has the same meaning as defined in Section 222 of the Public Utilities Code and is subject to rate regulation by the commission.
(j) “Hazardous waste landfill” means a landfill that is a hazardous waste facility, as defined in Section 25117.1.
(k) “Office” means the Office of Environmental Health Hazard Assessment.
(l) “Organic waste” means waste of biological origins, including organic waste, as defined in Section 42649.8 of the Public Resources Code; biomass feedstock, consistent with Section 40106 of the Public Resources Code; and livestock waste.
( (m) 
l
)  “Person” means an individual, trust, firm, joint stock company, partnership, association, business concern, limited liability company, or corporation. “Person” also includes any city, county, district, and the state or any department or agency thereof, or the federal government or any department or agency thereof to the extent permitted by law.

SEC. 3.

 Section 39735 is added to the Health and Safety Code, to read:

39735.
 (a) For purposes of this section, the following terms have the following meanings:
(1) “Biogas” has the same meaning as defined in Section 25420, except that it does not include gas produced from forest biomass unless it is produced from forest waste remaining after all other reasonable forest products have been produced and it meets one or more of the following conditions:
(A) The waste was generated pursuant to the Governor’s state of emergency proclamation issued on October 30, 2015.
(B) The waste was generated as a result of activities necessary to clear defensible space within 300 feet of a legally permitted structure.
(C) The waste was produced pursuant to an approved timber harvest plan, nonindustrial timber management plan, or working forest management plan that will increase the average stand diameter of residual crop trees, and the biogas produced from the waste will provide long-term reductions in greenhouse gas and emissions of short-lived climate pollutants pursuant to the life-cycle accounting method specified in subdivision (c).
(D) The waste was generated from fuel reduction or ecological forest restoration thinning activities on national forest land that increase stand heterogeneity, create openings of less than one acre, and increase the average stand diameter of residual trees.
(2) “Short-lived climate pollutant” has the same meaning as defined in Section 39730.
(b) In order to meet the state’s climate change, low-carbon fuel, renewable energy, landfill diversion, and wildfire reduction goals, the state board shall consider and, as appropriate, adopt policies to significantly increase the sustainable production and use of biogas. In doing so, the state board shall do all the following:
(1) Ensure that any policy is coordinated and consistent with existing state policies to accomplish the following:
(A) Promote renewable fuels and eligible renewable energy resources, as defined in the California Renewables Portfolio Standard Program (Article 16 (commencing with Section 399.11) of Chapter 2.3 of Part 1 of Division 1 of the Public Utilities Code).
(B) Reduce life-cycle emissions of greenhouse gases and short-lived climate pollutants and increase carbon sequestration.
(C) Divert organic waste from landfills, consistent with Section 39730 and other state policies.
(D) Reduce air and water pollution.
(E) Reduce wildfires.
(F) Promote resilient and sustainable forests.
(G) Protect the environmental quality of natural and working lands through sustainable cultivation, use, and application of biological materials.
(2) Ensure that any adopted biogas policy is protective of public health and safety.
(3) Ensure, in consultation with the Department of Resources Recycling and Recovery, that any policy recognizes that the amount of landfill gas will decline in the future due to increased organic waste diversion to meet the targets of the state board’s strategy to reduce emissions of short-lived climate pollutants and other state organic waste reduction efforts.
(4) Ensure that the production and use of biogas provides direct benefits to the state’s environment by avoiding or reducing the emission of criteria pollutants, avoiding or reducing emissions of short-lived climate pollutants and greenhouse gases within the state, avoiding or reducing emissions that adversely affect the waters of the state, avoiding or reducing nuisances associated with the emission of odors, or helping the state to meet its landfill diversion requirements.
(5) Identify barriers to the rapid development and use of biogas and make specific recommendations to remove those barriers.
(6) Coordinate with the Public Utilities Commission, the State Energy Resources Conservation and Development Commission, publicly owned utilities, the Department of Resources Recycling and Recovery, and the Department of Forestry and Fire Protection.
(7) Identify potential sources of funding to provide incentives for biogas production and use.
(c) The state board shall develop and adopt a life-cycle accounting method for greenhouse gas and emissions of short-lived climate pollutants associated with biogas produced from forest biomass that meets the requirements specified in paragraph (1) of subdivision (a). The method shall include upstream accounting of forest carbon and shall avoid double counting of emission reductions.
(d) Nothing in this section is intended to affect standards adopted pursuant to Section 25421 before January 1, 2016, for biomethane that is to be injected into a common carrier pipeline.