BILL ANALYSIS 1 1 SENATE ENERGY, UTILITIES AND COMMUNICATIONS COMMITTEE DEBRA BOWEN, CHAIRWOMAN ------------------------------------------------------------ |SB 1253 - Sher |Hearing Date:April 13, | S| | |1999 | | |------------------------------+--------------------------+--| |As Introduced: February 26, | | B| |1999 | | | |------------------------------+--------------------------+--| | | | | |------------------------------+--------------------------+--| | | | 1| |------------------------------+--------------------------+--| | | | 2| |------------------------------+--------------------------+--| | | | 5| |------------------------------+--------------------------+--| | | | 3| |------------------------------+--------------------------+--| | | | | ------------------------------------------------------------ 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