California Assembly Bill AB1373 Amended / Bill

 BILL NUMBER: AB 1373AMENDED BILL TEXT AMENDED IN ASSEMBLY JUNE 2, 2009 AMENDED IN ASSEMBLY APRIL 14, 2009 INTRODUCED BY Assembly Member Skinner FEBRUARY 27, 2009 An act to add Chapter 11.1 (commencing with Section 25970) to Division 15 of the Public Resources Code, relating to global warming. LEGISLATIVE COUNSEL'S DIGEST AB 1373, as amended, Skinner. Global warming potential (GWP): refrigerants. Existing law requires the State Energy Resources Conservation and Development Commission to adopt a regulation prescribing standards for minimum levels of operating efficiency to promote the use of energy and water efficient appliances. The commission is required to prescribe building design and construction  ,  and energy and water conservation standards for residential and nonresidential buildings (building standards). This bill would enact the California Refrigeration and Air-Conditioning Innovation Review Act of 2009 and would require the commission  by December 1, 2011, as a part of the revision of the buildings standards in 2011 and   ,  using existing staff and funds, to develop and to conduct, in consultation with the State Air Resources Board, a study containing specified elements to assess the potential to  dramatically reduce   optimize the efficiency of stationary cooling technology while significantly reducing  the use and emissions of high-global warming potential (GWP) compounds, as defined, in the stationary refrigeration and air-conditioning industry. The bill would require the commission, on or before January 1, 2012, to submit to the Legislature and to post on its Internet Web site the findings and results of the study.  The bill would authorize the commission to use funds, to the extent they are available, to develop programs encouraging the installation of reduced high-GWP charge systems and dedicated low-GWP systems for stationary refrigeration and air-conditioning units.  The bill would authorize the board to use certain fees, to the extent they are available, to develop  various  programs  and projects  encouraging the installation of reduced high-GWP charge systems and dedicated low-GWP systems for stationary refrigeration and air-conditioning units, and programs to reduce or prevent the emissions of high-GWP compounds. Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. The Legislature finds and declares all of the following: (a) Global warming caused by emissions of greenhouse gases continues to pose a serious threat to the economic well-being, public health, natural resources, and environment of California. (b) Due to their nature, gases that possess a high global warming potential (GWP) value affect climate change several orders of magnitude more than carbon dioxide  .  (c)  While   Since    high-GWP gases are used in a variety of applications  and energy systems  such as  in  refrigeration, air-conditioning, and food and medicine preservation, stationary refrigeration and air-conditioning systems are projected to represent the single largest source of high-GWP gas emissions in California  in   by  2020, an amount roughly equivalent to 30 million metric tons of carbon dioxide equivalents. (d) Although alternative technologies with significantly decreased refrigerant charges and lower GWP value gases do exist for stationary refrigeration and air-conditioning purposes, widespread use has not occurred either in California or nationally. (e) Some foreign governments have urged the  phase out   phaseout  of the use of high-GWP gases in refrigeration and air-conditioning units. (f) Even though dramatically  improving the efficiency of stationary refrigeration and air-conditioning units and  reducing the use of high-GWP compounds  from stationary refrigeration and air-conditioning units  in California could provide significant  energy use and  emissions reductions, detailed consideration of potential regulatory approaches, safety, technology applicability and availability, energy efficient tradeoffs, expected economic impact  ,  and possible incentive programs  is   are  valuable to ensure the state's goals are aligned. (g) While it is within the existing authority of the State Energy Resources Conservation and Development Commission to set appliance and building standards  on energy systems and  for energy use, it is also within the commission's authority to consider  the  environmental impacts  of energy systems and materials integral to those systems  , including, but not limited to, impacts on global warming.  (h) In addition to having authority to conduct research in furtherance of establishing new standards and regulations, the State Energy Resources Conservation and Development Commission also has the authority within the Public Interest Energy Research, Demonstration, and Development Program (Chapter 7.1 (commencing with Section 25620) of Division 15 of the Public Resources Code) to conduct research on energy intensity and efficiency of appliances and energy systems in California.   (h) While it   (i)     It  is within the State Air Resources Board's authority to establish regulations  to reduce greenhouse gases   that reduce emissions of greenhouse gases to the atmosphere, including regulations to reduce or prevent emissions from both new and in-use   stationary refrigeration and air-conditioning equipment. In furtherance of this authority  , an in-depth assessment of the statewide regulatory options, and potential impacts of those options, to dramatically reduce emissions of  high-GWP gases would assist the board's effort to adopt a maximum technologically feasible and cost-effective approach.   high-GWP gases is underway pursuant to the mandates of the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500) of the Health and Safety Code). Using this authority, the State Air Resources Board is expected to address each of the significant high-GWP applications, including refrigerants, in specific regulatory programs that are scheduled for development and adoption.   (j) An analysis that builds from the knowledge and regulatory initiatives being developed by the State Air Resources Board and leverages the appliance and building standards knowledge of the State Energy Resources Conservation and Development Commission and its funding mechanisms could ensure that each of the agencies, pursuant to its separate authority, works toward a more fully integrated long-term approach to the challenge of ensuring that the state continues to benefit from safe refrigeration and air-conditioning systems, but with minimal net impact on the environment.  SEC. 2. Chapter 11.1 (commencing with Section 25970) is added to Division 15 of the Public Resources Code, to read: CHAPTER 11.1. REFRIGERATION AND  AIR-CONDITIONING   AIR-CONDITIONING  25970. This chapter shall be known and may be cited as the California Refrigeration and Air-Conditioning Innovation Review Act of 2009. 25970.5. (a) For the purposes of this chapter the following terms have the following meanings: (1) "Dedicated low-GWP system" means stationary refrigeration and air-conditioning equipment containing  zero-GWP   zero high-GWP  gases. (2) "High-GWP" means a global warming potential that is greater than 150 carbon dioxide equivalents. (3) "Low-GWP" means a global warming potential that is less than or equal to 150 carbon dioxide equivalents. (4) "Reduced high-GWP charge system" means stationary refrigeration and air-conditioning equipment with a gas charge  at least 40 percent   volume  below the business as usual charge rate for equipment of a  particular   similar  size, use, and function. (b) On or before December 1, 2011,  using the information and experience developed  as part of the revisions of the regulations prescribed pursuant to Section 25402 in 2011 and the research coordinated by the Public Interest Energy Research, Demonstration, and Development Program (Chapter 7.1 (commencing with Section 25620))  , the commission shall, to the extent allowable utilizing existing staff and funding, develop and conduct a study to assess the potential to  dramatically reduce   optimize the efficiency of stationary cooling technology while significantly reducing  the use and emissions of high-GWP compounds in the stationary refrigeration and air-conditioning industry in California. The study shall include, but is not limited to, all of the following: (1) An analysis of the  nexus between energy efficiency and direct greenhouse gas emissions within   energy efficiency of reduced high-GWP charge systems and dedicated low-GWP systems for  stationary refrigeration and air-conditioning  systems  and an assessment of the  energy efficiency of low-GWP systems.   nexus between their energy efficiency and life cycle greenhouse gas emissions, including direct and indirect emissions.  (2) An analysis of the current technological status of stationary  refrigerant   refrigeration  and air-conditioning systems using  reduced high-GWP charge and dedic   ated  low-GWP materials  for cooling   purposes  and their potential for use in California  , including, but not limited to, systems using carbon dioxide, ammonia, hydrocarbons, synthetic refrigerant compounds, or other low-GWP gases  . (3) An analysis of the economic costs  at the consumer   and impacts at the equipment, consumer,  and state level associated with  low-GWP installation   the installation of reduced high-GWP charge systems and dedicated low-GWP systems for stationary refrigeration and   air-conditioning  . The analysis shall include, but is not limited to, the costs of manufacturing, equipment operation and maintenance, personnel training, and equipment importation. (4) An analysis of the safety of  low-GWP materials   high-GWP materials, low-GWP materials, reduced high-GWP charge systems, and dedicated low-GWP systems for stationary refrigeration and air-conditioning  . (5) Identification of existing laws, codes, regulations, and incentive programs pertinent to the safety and energy efficiency of stationary refrigeration and air-conditioning systems. (6) An analysis of how existing laws, codes, regulations, and incentive programs can be modified to promote the use of  low-GWP refrigerants and systems that use low-GWP refrigerants in   reduced high-GWP charge systems and dedicated low-GWP systems for  stationary refrigeration and air-conditioning systems. (7)  Recommendations   An analysis of the potential  for new incentive programs and pilot programs to promote the use  of low-GWP refrigerants and systems that use low-GWP refrigerants in stationary refrigeration and air-conditioning systems.   and market capitalization of reduced high-GWP charge systems and dedicated low-GWP systems for stationary refrigeration and air-conditioning.  (8) An assessment of the potential for adoption of reduced high-GWP charge systems and dedicated low-GWP systems in stationary refrigeration and air-conditioning units in California by 2020.  (9) Recommendations for new research and development of reduced high-GWP charge systems and dedicated low-GWP systems for stationary refrigeration and air-conditioning.  (c) The commission shall conduct the study in coordination with the State Air Resources Board  , utilizing as integral to the study, any related work     already undertaken by the board in conjunction with the board's implementation of the mandates in the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500) of the Health and Safety Code) and related activities,  to ensure all of the following: (1) The State Air Resources Board has the opportunity to participate in the development and preparation of the findings of the study  and has made available, within the bounds of its resource constraints, any pertinent information gathered in the context of the board's responsibilities pursuant to the California Global Warming Solutions Act of 2006  . (2) The State Air Resources Board has the opportunity to coauthor a portion of the final report concerning the environmental impact of refrigerants, refrigeration systems or air-conditioning systems, including, but not limited to, impacts on climate change and ambient air quality. (3) Meetings between appointed representatives of the commission and of the State Air Resources Board, shall be held no less frequently than once every other month between January 1, 2010, and the completion of the final report. The executive director of the commission and of the State Air Resources Board shall appoint a representative for his or her agency, respectively. (4) The study is conducted and finalized in an open and public process, with meaningful opportunity for the public to participate prior to release of the final report. (d) On or before January 1, 2012, the commission shall submit to the Legislature and post on its Internet Web site the findings and results of the study.  (e) The commission may utilize existing funds, to the extent they are available, to perform both of the following:   (1) Develop incentive programs to promote the installation of reduced high-GWP charge systems and dedicated low-GWP systems for stationary refrigeration and air-conditioning units in California.   (2) Develop pilot projects within California to install reduced high-GWP charge systems and dedicated low-GWP stationary refrigeration and air-conditioning units.   (f)   (e)  The State Air Resources Board may use funds, to the extent they are available, generated from fees assessed on high-GWP refrigerants used for stationary refrigeration and air-conditioning units and on stationary refrigeration and air-conditioning units containing high-GWP compounds to do all of the following: (1)  Develop incentive programs to promote   Beginning December 1, 2011, develop and implement incentive programs to provide partial or full funding for  the installation of reduced high-GWP charge systems and dedicated low-GWP systems for stationary refrigeration and air-conditioning units in California. (2)  Develop pilot   Beginning   December 1, 2011, develop and implement pilo   t and demonstration  projects within California to install reduced high-GWP charge systems and dedicated low-GWP systems  for the purpose of conducting research on energy efficiency, potential environmental impact, safety, technology applicability, and technology development  . (3)  Develop   Beginning December 1, 2011, develop  worker training programs to promote the installation of reduced high-GWP charge systems and dedicated low-GWP systems in California. (4)  Develop   Beginning   January 1, 2010, develop  programs to reduce or prevent the emissions of high-GWP compounds to the atmosphere from in-use and retired stationary refrigeration and air-conditioning units  ,   .  The programs may include, but are not limited to, worker training for inspection and maintenance of in-use equipment, destruction of high-GWP compounds, and creation of protocols to quantify reduction of emissions.  (5) An incentive program, pilot and demonstration project, worker training program, and emissions reduction program developed by the State Air Resources Board pursuant to this subdivision for new or in-use equipment shall be developed through an open and public process, with meaningful opportunity for public participation, in a manner that is consistent with the process by which regulations implementing the California Global Warming Solutions Act of 2006 are adopted, and in conformity with the findings of the study conducted pursuant to this section, if any.   (f) The State Air Resources Board is responsible for implementing any findings of the study conducted pursuant to this section consistent with the board's responsibility pursuant to Section 38510 of the Health and Safety Code.   (g) (1) This chapter does not limit the existing authority of a state agency to adopt or implement regulations, including regulations pertaining to stationary refrigeration and air-conditioning equipment.   (2) This chapter does not relieve a state entity of its obligation to comply with existing law or obligations.