Bill Text: CA AB2083 | 2023-2024 | Regular Session | Amended
Bill Title: Industrial facilities’ heat application equipment and process emissions.
Spectrum: Partisan Bill (Democrat 8-0)
Status: (Engrossed) 2024-05-29 - Referred to Coms. on E., U. & C. and E.Q. [AB2083 Detail]
Download: California-2023-AB2083-Amended.html
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May 16, 2024 |
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April 29, 2024 |
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April 01, 2024 |
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March 18, 2024 |
CALIFORNIA LEGISLATURE—
2023–2024 REGULAR SESSION
Assembly Bill
No. 2083
| Introduced by Assembly Member Berman (Coauthors: Assembly Members Friedman, Kalra, Muratsuchi, Ting, and Zbur) |
February 05, 2024 |
An act to add Section 25403.1 to the Public Resources Code, relating to energy.
LEGISLATIVE COUNSEL'S DIGEST
AB 2083, as amended, Berman.
Industrial facilities’ heat application equipment and process emissions.
The Warren-Alquist State Energy Resources Conservation and Development Act requires the State Energy Resources Conservation and Development Commission to adopt building design and construction standards and energy and water conservation standards for new residential and nonresidential buildings to reduce the wasteful, uneconomic, inefficient, or unnecessary consumption of energy, including energy associated with the use of water. The act requires those standards to be cost effective when taken in their entirety and when amortized over the economic life of the structure compared with historic practice.
The act requires the commission to adopt, on a biennial basis, an integrated energy policy report containing an overview of major energy trends and issues facing the state, as specified.
This bill would
require the commission, on or before July 1, 2026, to assess the potential for the state to reduce the emissions of greenhouse gases from the state’s industrial facilities’ heat application equipment and processes Manufacturing Sector, as classified by the North American Industry Classification System, by at least 85% below 1990 levels by January 1, 2045, as specified. The bill would require the commission to include in the 2027 edition of the integrated energy policy report, and in all subsequent integrated energy policy reports, a report on the emissions of greenhouse gases associated with the supply of energy to industrial facilities by fuel type.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOBill Text
The people of the State of California do enact as follows:
SECTION 1.
(a) The Legislature finds and declares all of the following:(1) Chapter 249 of the Statutes of 2016 directs the state to achieve a reduction in the emissions of greenhouse gases of 40 percent below 1990 levels by 2030.
(2) Chapter 337 of the Statutes of 2022 directs the state to achieve net zero greenhouse gas emissions as soon as possible, but no later than 2045, to achieve and maintain net negative greenhouse gas emissions thereafter, and to ensure that by 2045 statewide anthropogenic greenhouse gas emissions are reduced to at least 85 percent below the 1990
levels.
(3) Industrial emissions make up 23 percent of the emissions of greenhouse gases in California, the second largest source behind transportation.
(4) The federal Clean Air Act requires the state to reduce emissions of criteria air pollutants to achieve ambient air quality standards by applicable attainment dates, and the Health and Safety Code requires plans to achieve and maintain state air quality standards by the earliest practicable date.
(5) California is home to some of the worst air quality in the country, with the greater Los Angeles area maintaining the distinction as the smoggiest metropolitan area in the nation and the central valley Cities of Bakersfield and Visalia tied for the country’s
worst year-round levels of fine particle pollution.
(6) Poor air quality is intimately linked with negative health impacts, including respiratory illness and premature deaths, with recent studies estimating air pollution as the cause of over 100,000 premature deaths in the United States in 2011.
(7) Reducing to zero the air quality emissions from all sources, including industrial sources, is vital to the health of all Californians, particularly those living in low-income communities of color.
(8) Decarbonizing California’s industrial facilities is essential to achieving the state’s greenhouse gas emission reduction goals and air quality goals at the lowest possible cost.
(9) California is a national leader in industrial production, and planning for and investing in industrial decarbonization can strengthen California industries globally and position the state for sustained economic growth.
(10) Advancements have been made in industrial-scale electrification technologies, including large-scale industrial heat pumps, indirect heating, and thermal energy storage.
(11) Many types of industrial processes rely on temperatures that can be readily achieved with existing zero-emission electric technology like heat pumps and electric boilers.
(b) It is the intent of the Legislature to achieve significant reductions in the emissions of greenhouse gases and criteria air pollutants by the
state’s industrial stock by January 1, 2045.
SEC. 2.
Section 25403.1 is added to the Public Resources Code, to read:25403.1.
(a) On or before July 1, 2026, the commission, in consultation with the Public Utilities Commission, the State Air Resources Board, the Governor’s Office of Business and Economic Development, the California Workforce Development Board, and the Independent System Operator, shall assess the potential for the state to reduce the emissions of greenhouse gases from the state’s industrial facilities’ heat application equipment and processes by at least 85 percent below 1990 levels by January 1, 2045. The assessment shall include consideration of all of the following:(1) An evaluation, based on the best available data and existing analyses, of the cost per metric ton of
carbon dioxide equivalent and of the potential reduction from each subsector of industrial emission sources relative to other statewide greenhouse gas emissions reduction strategies.
(2) How to maximize reductions in emissions of criteria air pollutants in under-resourced communities, as defined in Section 71130, and meet applicable federal Clean Air Act (42 U.S.C. Sec. 7401 et seq.) deadlines in nonattainment areas.
(3) Strategies to reduce emissions of greenhouse gases from industrial heating in both new and existing industrial facilities, assessing which subsectors within the industrial sector have the greatest readiness for transition to zero-emission technologies.
(4) Strategies to reduce emissions of greenhouse gases
from industrial heating processes and applications that also reduce or eliminate emissions of criteria air pollutants.
(5) The opportunities and challenges associated with reducing the emissions of greenhouse gases through electrification of industrial heat processes, and the commensurate health benefits.
(6) An evaluation of interim zero-emission technology deployment targets, including, but not limited to, industrial heat pumps and thermal energy storage devices, necessary to achieve the greenhouse gas emission and criteria air pollutant emission reductions required in the industrial sector.
(7) The opportunities and challenges associated with reducing the emissions of greenhouse gases from high-heat processes.
(8) An assessment of how demand response, distributed energy resources, energy efficiency, thermal energy storage, and other complementary resources and strategies may optimize industrial energy use to strengthen grid reliability and reduce emissions of greenhouse gases.
(9) The potential impacts of emission reduction strategies on ratepayers, construction costs, and grid reliability.
(10) The workforce necessary to install, maintain, and operate new zero-emission equipment, including, but not limited to, the direct workforce necessary for demolition, alteration, and repairs for equipment retrofits and the indirect workforce within the upstream supply chain that will produce raw materials, clean energy, and other
necessary components to facilitate the installation of zero-emission equipment.
(11) An analysis of the potential for, and opportunities associated with, facilitating and expanding businesses in California that manufacture zero-emission industrial technologies.
(b) The assessment conducted pursuant to subdivision (a) shall be limited to Manufacturing Sector Code 31–33 of the North American Industry Classification System (NAICS), excluding Subsector Code 324 (Petrolum and Coal Products Manufacturing).
(b)
(c) (1) On or before January 1, 2027, the commission shall report to the Legislature the findings from the assessment.
(2) A report to be submitted pursuant to this subdivision shall be submitted in compliance with Section 9795 of the Government Code.
(3) Pursuant to Section 10231.5 of the Government Code, this subdivision shall become inoperative on January 1, 2031.
(c)
(d) Beginning with the integrated energy policy report due on November
1, 2027, and in all subsequent integrated energy policy reports, the commission shall include a report on the emissions of greenhouse gases, based on existing data, associated with the supply of energy to industrial facilities, by fuel type. The commission shall make this information publicly available on its internet website.
