Establishes the clean fuel standard of 2022; provides such standard is intended to reduce carbon intensity from the on-road transportation sector by 20% by 2030, with further reductions to be implemented based upon advances in technology.
STATE OF NEW YORK
________________________________________________________________________
2962--B
2021-2022 Regular Sessions
IN SENATE
January 26, 2021
___________
Introduced by Sens. PARKER, ADDABBO, BAILEY, BIAGGI, BOYLE, BRESLIN,
BRISPORT, BROOKS, BROUK, COMRIE, COONEY, GAUGHRAN, GIANARIS,
GOUNARDES, HARCKHAM, HINCHEY, HOYLMAN, JACKSON, KAMINSKY, KAPLAN,
KAVANAGH, KENNEDY, KRUEGER, LIU, MANNION, MARTUCCI, MATTERA, MAY,
MAYER, MYRIE, OBERACKER, PALUMBO, PERSAUD, REICHLIN-MELNICK, RIVERA,
SALAZAR, SANDERS, SAVINO, SEPULVEDA, SERRANO, SKOUFIS, STAVISKY,
THOMAS, WEIK -- read twice and ordered printed, and when printed to be
committed to the Committee on Environmental Conservation -- committee
discharged, bill amended, ordered reprinted as amended and recommitted
to said committee -- recommitted to the Committee on Environmental
Conservation in accordance with Senate Rule 6, sec. 8 -- committee
discharged, bill amended, ordered reprinted as amended and recommitted
to said committee
AN ACT to amend the environmental conservation law, in relation to
establishing the "clean fuel standard of 2022"
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Legislative findings and declarations:
2 1. The transportation sector in New York is a leading source of crite-
3 ria pollutants and the leading source of greenhouse gas emissions that
4 endanger public health and welfare by causing and contributing to
5 increased air pollution and dangerous climate change. Meeting the
6 pollution reduction requirements of the Climate Leadership and Communi-
7 ties Protection Act will require sharp decreases in transportation-re-
8 lated emissions.
9 2. Shifting from today's petroleum-based transportation fuels to
10 alternative fuels has the potential to significantly reduce transporta-
11 tion emissions of air pollutants and greenhouse gases and is recommended
12 by the Intergovernmental Panel on Climate Change as an important pathway
13 for holding global warming to 1.5 degrees Celsius.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD01173-05-2
S. 2962--B 2
1 3. The Climate Leadership and Communities Protection Act directs the
2 Department of Environmental Protection to promulgate regulations that
3 will reduce greenhouse gas emissions, including from on-road vehicles.
4 4. New York signed a 15-state MOU to develop an action plan to reduce
5 toxic diesel emissions from medium and heavy-duty vehicles by 2050.
6 5. A clean fuels standard regulation would promote innovation
7 production and use of non-petroleum fuels that reduce vehicle and fuel-
8 related air pollution that endangers public health and welfare and
9 disproportionately impacts disadvantaged communities.
10 § 2. Short title. This act may be known and may be cited as the "clean
11 fuel standard of 2022".
12 § 3. The environmental conservation law is amended by adding a new
13 section 19-0331 to read as follows:
14 § 19-0331. Clean fuel standard.
15 (1) A clean fuel standard is hereby established. The clean fuel stand-
16 ard is intended to reduce carbon intensity from the on-road transporta-
17 tion sector by twenty percent by two thousand thirty, with further
18 reductions to be implemented based upon advances in technology and to
19 support achieving the goals of the climate action plan established
20 pursuant to section 75-0103 of this chapter as determined by the commis-
21 sioner. Aviation fuels shall be exempted from the clean fuel standard
22 due to federal preemption, but sustainable aviation fuel shall be eligi-
23 ble to generate credits on an opt-in basis.
24 (2) The clean fuel standard shall apply to all providers of transpor-
25 tation fuels, including electricity, in New York, shall be measured on a
26 full fuels lifecycle basis and may be met through market-based methods
27 by which providers exceeding the performance required by the clean fuel
28 standard shall receive credits that may be applied to future obligations
29 or traded to providers not meeting the clean fuel standard. The gener-
30 ation of credits must use a lifecycle emissions performance-based
31 approach that is technology and feedstock neutral to achieve fuel decar-
32 bonization. In addition to fuel decarbonization, credits generated
33 through the use of clean fuel types will help promote innovation and
34 investment in such clean fuels. For purposes of this section the term
35 "providers" shall include, but shall not be limited to, all refiners,
36 blenders, producers or importers of transportation fuels, or enablers of
37 electricity used as transportation fuel, "carbon intensity" means the
38 quantity of lifecycle greenhouse gas emissions per unit of fuel energy,
39 and "full fuels lifecycle" means the aggregate of greenhouse gas emis-
40 sions, including direct emissions and significant indirect emissions,
41 such as significant emissions from land use changes as determined by the
42 commissioner. The full fuels lifecycle shall be assessed annually and
43 all stages of fuel and feedstock production and distribution, from
44 feedstock generation or extraction through the distribution and delivery
45 and use of the finished fuel by the ultimate consumer. In calculating
46 full fuels lifecycle greenhouse gas emissions, the mass values for all
47 non-carbon-dioxide greenhouse gases must be adjusted to account for
48 their relative global warming potentials. This conversion shall use the
49 most appropriate conversion relative to global warming potentials as
50 determined by the commissioner based on the best available science.
51 (3) Within twenty-four months following adoption of the clean fuel
52 standard, the commissioner, in consultation with the New York state
53 energy research and development authority, shall promulgate regulations
54 establishing a clean fuel standard with performance objectives to imple-
55 ment subdivision one of this section. Such regulations may be phased
56 into effect giving priority to the heavy-duty transportation sector
S. 2962--B 3
1 consisting of vehicles with the classification of six or higher as clas-
2 sified by the Federal Highway Administration. The clean fuel standard
3 shall take into consideration the low carbon fuel standard adopted in
4 California and other states, may rely upon the carbon intensity of
5 values established for transportation fuels in such states and shall
6 include coordination with other Northeastern states to promote regional
7 reductions in greenhouse gas emissions.
8 (4) The regulations adopted pursuant to this section shall include
9 fees for the registration of providers to offset the costs associated
10 with implementation of the clean fuel standard.
11 (5) Investment of funds. Electric utilities, state agencies, and
12 authorities, in consultation with the climate justice working group and
13 the climate action council established pursuant to section 75-0103 of
14 this chapter, shall, to the extent practicable, invest or direct avail-
15 able and relevant programmatic resources to provide forty percent of
16 such electric utility's, state agency's, or authority's overall credit
17 value on electrified transportation programs, projects, or investments
18 to directly benefit disadvantaged communities, including, but not limit-
19 ed to, electrification and battery swap programs for school or transit
20 buses; electrification of drayage trucks; investment in public electric
21 vehicle charging infrastructure and electric vehicle charging infras-
22 tructure in multi-family residences; investment in electric mobility
23 solutions such as electric vehicle sharing and ride hailing programs;
24 multilingual marketing, education, and outreach designed to increase
25 awareness and adoption of electric vehicles; and additional rebates and
26 incentives for low-income individuals beyond existing local, federal,
27 and state rebates and incentives.
28 (6) Within twenty-four months following the adoption of regulations
29 implementing a clean fuel standard, the commissioner shall report to the
30 legislature regarding the implementation of the program, the reductions
31 in greenhouse gas emissions that have been achieved through the clean
32 fuel standard and targets for future reductions in greenhouse gas emis-
33 sions from the transportation sector.
34 (7) Nothing in this section shall preclude the department from enact-
35 ing or maintaining other programs to reduce greenhouse gas emissions
36 from the transportation sector.
37 § 4. This act shall take effect immediately.
