BILL ANALYSIS                                                                                                                                                                                                    1
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   SENATE ENERGY, UTILITIES AND COMMUNICATIONS COMMITTEE
                  DEBRA BOWEN, CHAIRWOMAN


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|SB 1253 - Sher                |Hearing Date:April 13,    | S|
|                              |1999                      |  |
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|As Introduced:  February 26,  |                          | B|
|1999                          |                          |  |
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                         DESCRIPTION
  
  This bill  requires the California Energy Commission (CEC),  
in consultation with the Air Resources Board (ARB), to  
establish an inventory, provide information and prepare a  
report relative to greenhouse gas emissions.

                        KEY QUESTIONS
  
 1) Considering that a greenhouse gas emissions inventory  
   was established by the CEC in 1990, should this bill  
   require that the existing inventory be updated, rather  
   than that a new one is established?

 2) What steps might California take to reduce its  
   contribution to global climate change, and to what  
   effect?

                          BACKGROUND
 











The primary component of greenhouse emissions is carbon  
dioxide.  Methane, nitrous oxide and chlorofluorocarbons  
(CFCs) are other significant contributors.  Greenhouse  
emissions come from both natural and human-caused sources.   


Since the early 1980's, the leaders of the world's  
industrialized countries, as well as leading members of the  
scientific community, have become increasingly concerned  
about the potential for human-generated greenhouse gas  
emissions to alter the earth's atmosphere and climate.

Most scientists agree that human-generated gases, combined  
with naturally occurring gases, can "thicken" the earth's  
gaseous atmospheric blanket, producing a "greenhouse  
effect."  By holding warmth in, the effect interrupts the  
flow of energy that drives the earth's climate system,  
which increases global temperatures.  

Existing law required the CEC, in consultation with ARB,  
the University of California, the Department of Water  
Resources, and the Department of Food and Agriculture, to  
conduct a study on global warming effects on California's  
energy supply and demand, economy, environment, agriculture  
and water supplies, and to report its recommendations to  
the Legislature and Governor by June 1, 1990.  That study  
was completed in 1990 and updated in 1998.

In December 1995, the United Nations Intergovernmental  
Panel on Climate Change issued a report stating "the  
balance of evidence suggests a discernible human influence  
on global climate."

Most recently, at the UN convention on climate change in  
Kyoto, Japan in December 1997, industrialized nations  
agreed to reduce their collective emissions of greenhouse  
gases by 5.2% (with the U.S. agreeing to reduce emissions  
by 7%) by 2012.  

The "Kyoto Protocol" aims to lower overall emissions from a  
group of six greenhouse gases by 2012.  According to United  
Nations documents, many industrialized countries have not  
succeeded in meeting their earlier non-binding agreement to  
reduce emissions and, as a result, emissions have actually  










grown since 1990. 

This bill would require the CEC to establish an inventory  
of greenhouse gas emissions in California, in consultation  
with ARB. The bill would also require the CEC to provide  
information to state, regional and local agencies on cost  
effective and technically feasible methods for reducing  
those emissions.  In addition, the bill would require the  
CEC to convene an interagency task force consisting of  
state agencies with jurisdiction over matters affecting  
climate change to ensure that policies are coordinated at  
the state level.

This bill is identical to SB 1941 (Sher), which was vetoed  
in 1998.  In his veto message, Governor Wilson concluded  
that SB 1941 was unnecessary because the CEC had already  
developed and updated an inventory of the sources of  
greenhouse gas emissions within the state.  In addition,  
Governor Wilson found: 

     (T)he bill's requirement that the CEC provide  
     information to state, regional and local agencies  
     on cost-effective and technologically feasible  
     options to reduce the production of greenhouse  
     gases is infeasible.  Because uncertainty exists  
     about the effects that reducing greenhouse gas  
     emissions in California would have on global  
     warming trends, there is no way to determine how  
     one particular measure implemented in California  
     would have a more positive or negative  
     consequence than any other measure.

                           COMMENTS

  AB 4420 (Sher), Chapter 1506, Statutes of 1988, required  
the CEC conduct a study on how global warming trends may  
affect the state's energy supply and demand, economy,  
environment, agriculture and water supply.

The study, along with an inventory of greenhouse gas  
emissions, was completed in 1990.  Both the study and the  
inventory were updated under a contract with the U.S.  
Environmental Protection Agency (EPA) in 1998.  This bill  
requires the CEC to establish another similar inventory and  










to provide state and local agencies with information on  
methods to reduce the production of greenhouse gases.

Since an inventory has already been completed pursuant to  
AB 4420, it is unclear what new or different inventory  
information would be revealed under this bill.  The  
Committee may wish to consider whether this bill should  
require the CEC to periodically update its existing  
inventory, rather than establish a new one.

                          POSITIONS
  
  Support:
  California Council of Environmental and Economic Balance
Planning and Conservation League
Sierra Club
Union of Concerned Scientists

  Oppose:
  None reported to Committee.


Lawrence Lingbloom 
SB 1253 Analysis
Hearing Date:  April 13, 1999