Bill > AB1849

This bill requires the State Air Resources Board (state board) to assess the amount of decarbonized gaseous fuels, which are fuels like hydrogen or biogas that have had their carbon emissions significantly reduced, needed to decarbonize sectors that are difficult to electrify, such as heavy industry and long-haul transportation, and to ensure the reliability of the electricity sector. By December 31, 2027, the state board must evaluate the demand for these fuels in each hard-to-electrify sector and for electricity reliability, and then recommend policies and incentives to speed up their production and use. These recommendations must ensure that policies are performance-based and technology-neutral, meaning they focus on results rather than specific technologies, and that their effectiveness is measured by the overall carbon intensity of the fuels over their entire lifecycle, aligning with reductions in electricity and transportation fuels. Additionally, entities participating in the Cap-and-Invest Program, a system designed to limit greenhouse gas emissions by setting a cap and allowing companies to trade allowances, will have reduced compliance obligations if they purchase decarbonized gas. The state board will also consider how to encourage in-state production and use of decarbonized gas, maximize its benefits like wildfire mitigation and waste reduction, and ensure these gases actually replace fossil fuel use.

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260AB1849