Greenhouse gas emissions: building materials: embodied carbon trading system.
The bill modifies existing regulations by removing the interim emission reduction targets and adjusting the penalties associated with non-compliance. It emphasizes civil penalties over criminal ones for violations related to emissions, which could allow stakeholders more flexibility in meeting new standards without fear of criminal liability. Furthermore, the legislation requires collaboration with various stakeholders, such as the California Building Standards Commission and the Department of Housing and Community Development, ensuring broader involvement in shaping new standards around building materials and their carbon footprints. This approach could allow local governments and industries to adapt more readily to the implications of these environmental measures, while still pushing towards significant reductions in emissions.
Assembly Bill No. 43 (AB43) aims to amend sections of the Health and Safety Code to enhance California's efforts in reducing greenhouse gas emissions, particularly concerning building materials. The bill introduces an embodied carbon trading system designed to measure and lower the carbon intensity of construction materials used in new buildings. It seeks to eliminate the interim target for emission reductions and instead mandates that the state board establish a new framework for tracking and reporting on carbon emissions, which must be completed by 2026. The ultimate goal is to achieve a net reduction of 40% in greenhouse gas emissions for building materials by 2035, with an emphasis on integrating the new trading system into existing frameworks by 2026 and fully implementing it by 2029.
The sentiment surrounding AB43 appears to be generally supportive among environmental advocates and stakeholders concerned with sustainable building practices, who view the measure as a step forward in addressing climate change issues. Retailers and manufacturers of building materials may hold mixed feelings, however, due to concerns over the implementation of the embodied carbon trading system and its potential impacts on production costs. Notably, some may view the removal of specific interim targets as a positive adjustment that can help facilitate compliance over time, while others may see it as lacking urgency in the pursuit of emission reductions.
A primary point of contention regarding AB43 is the elimination of a specific interim target for emissions reductions. Critics argue that this could dilute the urgency needed to address greenhouse gas emissions in the construction sector. There are also concerns about the potential complexity and compliance burdens that may arise from the new trading system, particularly related to how manufacturers prepare for and participate in this market. The interactions between state regulations, local policies, and industry capabilities could also produce tension as stakeholders navigate these new frameworks and their implications for potential cost increases in building projects.