California 2023 2023-2024 Regular Session

California Assembly Bill AB593 Amended / Bill

Filed 03/09/2023

                    Amended IN  Assembly  March 09, 2023 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 593Introduced by Assembly Member HaneyFebruary 09, 2023 An act to amend Section 25403 of add Section 25403.7 to the Public Resources Code, relating to energy. LEGISLATIVE COUNSEL'S DIGESTAB 593, as amended, Haney. Zero-emission buildings. Carbon emission reduction strategy: building sector.Existing law requires the State Energy Resources Conservation and Development Commission, by January 1, 2021, to assess the potential for the state to reduce the emissions of greenhouse gases from the states residential and commercial building stock by at least 40% below 1990 levels by January 1, 2030. Existing law requires the commission to include in the 2021 edition of the integrated energy policy report and all subsequent integrated energy policy reports a report on the emissions of greenhouse gases associated with the supply of energy to residential and commercial buildings. Existing law requires the commission to establish the Equitable Building Decarbonization Program that includes a direct install program and a statewide incentive program for low-carbon building technologies.This bill would make nonsubstantive changes to the latter provision.Existing law establishes the policy of the state to achieve net zero greenhouse gas emissions as soon as possible, but no later than 2045, and to ensure that, by 2045, statewide anthropogenic greenhouse gas emissions are reduced to at least 85% below the statewide greenhouse gas emissions in 1990.This bill would require the commission, on or before June 1, 2024, to identify an emission reduction strategy, with milestones, for the building sector to support achieving those carbon emissions reduction goals, as provided. The bill would require the commission, on or before July 1, 2025, to implement the emission reduction strategy as a part of the Equitable Building Decarbonization Program and to take certain actions for purposes of implementing the strategy.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NOYES  Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 25403.7 is added to the Public Resources Code, to read:25403.7. (a) On or before June 1, 2024, the commission shall identify an emission reduction strategy, with milestones, for the building sector to support achieving the carbon emissions reduction goals set forth in Section 38562.2 of the Health and Safety Code by 2045.(b) The emission reduction strategy shall do all of the following:(1) Maximize workforce development.(2) Provide clear market signals to appliance manufacturers and installers.(3) Lessen impacts on ratepayers.(4) Support extreme heat goals.(5) Reduce barriers for low-income individuals.(6) Identify how to deploy zero-emission bidirectional air conditioning to meet the needs of communities impacted by climate change and extreme weather events.(c) On or before July 1, 2025, the commissions shall implement the emission reduction strategy developed pursuant to subdivision (a) as a part of the Equitable Building Decarbonization Program established pursuant to Article 5 (commencing with Section 25665) of Chapter 7.6.(d) On or before July 1, 2025, the commission shall take actions specified in subdivision (b) of Section 25235 for purposes of implementing the emission reduction strategy developed pursuant to subdivision (a).SECTION 1.Section 25403 of the Public Resources Code is amended to read:25403.(a)By January 1, 2021, the commission, in consultation with the Public Utilities Commission, the State Air Resources Board, and the Independent System Operator, shall assess the potential for the state to reduce the emissions of greenhouse gases in the states residential and commercial building stock by at least 40 percent below 1990 levels by January 1, 2030. The assessment shall include consideration of all of the following:(1)An evaluation, based on the best available data and existing analyses, of the cost per metric ton of carbon dioxide equivalent of the potential reduction from residential and commercial building stock relative to other statewide greenhouse gas emissions reduction strategies.(2)The cost-effectiveness of strategies to reduce emissions of greenhouse gases from space heating and water heating in both new and existing residential and commercial buildings.(3)The challenges associated with reducing emissions of greenhouse gases from low-income housing, multifamily housing, and high-rise buildings.(4)Load management strategies to optimize building energy use in a manner that reduces the emissions of greenhouse gases.(5)The potential impacts of emission reduction strategies on ratepayers, construction costs, and grid reliability. In assessing the impact on grid reliability, the commission shall account for both of the following:(A)The commissions 2019 Building Energy Efficiency Standards, effective January 1, 2020, that propose to require solar energy systems on all new single-family and low-rise residential dwellings.(B)The increased load and impact on electrical infrastructure due to transportation electrification.(b)(1)By June 1, 2021, the commission, pursuant to Section 9795 of the Government Code, shall report to the Legislature the findings from the assessment.(2)Pursuant to Section 10231.5 of the Government Code, this subdivision is inoperative on June 1, 2026.(c)Beginning with the integrated energy policy report due on November 1, 2021, and in all subsequent integrated energy policy reports, the commission shall include a report on the emissions of greenhouse gases, based on existing data, associated with the supply of energy to residential and commercial buildings, by fuel type. The commission shall make this information publicly available on its internet website.

 Amended IN  Assembly  March 09, 2023 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 593Introduced by Assembly Member HaneyFebruary 09, 2023 An act to amend Section 25403 of add Section 25403.7 to the Public Resources Code, relating to energy. LEGISLATIVE COUNSEL'S DIGESTAB 593, as amended, Haney. Zero-emission buildings. Carbon emission reduction strategy: building sector.Existing law requires the State Energy Resources Conservation and Development Commission, by January 1, 2021, to assess the potential for the state to reduce the emissions of greenhouse gases from the states residential and commercial building stock by at least 40% below 1990 levels by January 1, 2030. Existing law requires the commission to include in the 2021 edition of the integrated energy policy report and all subsequent integrated energy policy reports a report on the emissions of greenhouse gases associated with the supply of energy to residential and commercial buildings. Existing law requires the commission to establish the Equitable Building Decarbonization Program that includes a direct install program and a statewide incentive program for low-carbon building technologies.This bill would make nonsubstantive changes to the latter provision.Existing law establishes the policy of the state to achieve net zero greenhouse gas emissions as soon as possible, but no later than 2045, and to ensure that, by 2045, statewide anthropogenic greenhouse gas emissions are reduced to at least 85% below the statewide greenhouse gas emissions in 1990.This bill would require the commission, on or before June 1, 2024, to identify an emission reduction strategy, with milestones, for the building sector to support achieving those carbon emissions reduction goals, as provided. The bill would require the commission, on or before July 1, 2025, to implement the emission reduction strategy as a part of the Equitable Building Decarbonization Program and to take certain actions for purposes of implementing the strategy.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NOYES  Local Program: NO 

 Amended IN  Assembly  March 09, 2023

Amended IN  Assembly  March 09, 2023

 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION

 Assembly Bill 

No. 593

Introduced by Assembly Member HaneyFebruary 09, 2023

Introduced by Assembly Member Haney
February 09, 2023

 An act to amend Section 25403 of add Section 25403.7 to the Public Resources Code, relating to energy. 

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

AB 593, as amended, Haney. Zero-emission buildings. Carbon emission reduction strategy: building sector.

Existing law requires the State Energy Resources Conservation and Development Commission, by January 1, 2021, to assess the potential for the state to reduce the emissions of greenhouse gases from the states residential and commercial building stock by at least 40% below 1990 levels by January 1, 2030. Existing law requires the commission to include in the 2021 edition of the integrated energy policy report and all subsequent integrated energy policy reports a report on the emissions of greenhouse gases associated with the supply of energy to residential and commercial buildings. Existing law requires the commission to establish the Equitable Building Decarbonization Program that includes a direct install program and a statewide incentive program for low-carbon building technologies.This bill would make nonsubstantive changes to the latter provision.Existing law establishes the policy of the state to achieve net zero greenhouse gas emissions as soon as possible, but no later than 2045, and to ensure that, by 2045, statewide anthropogenic greenhouse gas emissions are reduced to at least 85% below the statewide greenhouse gas emissions in 1990.This bill would require the commission, on or before June 1, 2024, to identify an emission reduction strategy, with milestones, for the building sector to support achieving those carbon emissions reduction goals, as provided. The bill would require the commission, on or before July 1, 2025, to implement the emission reduction strategy as a part of the Equitable Building Decarbonization Program and to take certain actions for purposes of implementing the strategy.

Existing law requires the State Energy Resources Conservation and Development Commission, by January 1, 2021, to assess the potential for the state to reduce the emissions of greenhouse gases from the states residential and commercial building stock by at least 40% below 1990 levels by January 1, 2030. Existing law requires the commission to include in the 2021 edition of the integrated energy policy report and all subsequent integrated energy policy reports a report on the emissions of greenhouse gases associated with the supply of energy to residential and commercial buildings. Existing law requires the commission to establish the Equitable Building Decarbonization Program that includes a direct install program and a statewide incentive program for low-carbon building technologies.

This bill would make nonsubstantive changes to the latter provision.



Existing law establishes the policy of the state to achieve net zero greenhouse gas emissions as soon as possible, but no later than 2045, and to ensure that, by 2045, statewide anthropogenic greenhouse gas emissions are reduced to at least 85% below the statewide greenhouse gas emissions in 1990.

This bill would require the commission, on or before June 1, 2024, to identify an emission reduction strategy, with milestones, for the building sector to support achieving those carbon emissions reduction goals, as provided. The bill would require the commission, on or before July 1, 2025, to implement the emission reduction strategy as a part of the Equitable Building Decarbonization Program and to take certain actions for purposes of implementing the strategy.

## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. Section 25403.7 is added to the Public Resources Code, to read:25403.7. (a) On or before June 1, 2024, the commission shall identify an emission reduction strategy, with milestones, for the building sector to support achieving the carbon emissions reduction goals set forth in Section 38562.2 of the Health and Safety Code by 2045.(b) The emission reduction strategy shall do all of the following:(1) Maximize workforce development.(2) Provide clear market signals to appliance manufacturers and installers.(3) Lessen impacts on ratepayers.(4) Support extreme heat goals.(5) Reduce barriers for low-income individuals.(6) Identify how to deploy zero-emission bidirectional air conditioning to meet the needs of communities impacted by climate change and extreme weather events.(c) On or before July 1, 2025, the commissions shall implement the emission reduction strategy developed pursuant to subdivision (a) as a part of the Equitable Building Decarbonization Program established pursuant to Article 5 (commencing with Section 25665) of Chapter 7.6.(d) On or before July 1, 2025, the commission shall take actions specified in subdivision (b) of Section 25235 for purposes of implementing the emission reduction strategy developed pursuant to subdivision (a).SECTION 1.Section 25403 of the Public Resources Code is amended to read:25403.(a)By January 1, 2021, the commission, in consultation with the Public Utilities Commission, the State Air Resources Board, and the Independent System Operator, shall assess the potential for the state to reduce the emissions of greenhouse gases in the states residential and commercial building stock by at least 40 percent below 1990 levels by January 1, 2030. The assessment shall include consideration of all of the following:(1)An evaluation, based on the best available data and existing analyses, of the cost per metric ton of carbon dioxide equivalent of the potential reduction from residential and commercial building stock relative to other statewide greenhouse gas emissions reduction strategies.(2)The cost-effectiveness of strategies to reduce emissions of greenhouse gases from space heating and water heating in both new and existing residential and commercial buildings.(3)The challenges associated with reducing emissions of greenhouse gases from low-income housing, multifamily housing, and high-rise buildings.(4)Load management strategies to optimize building energy use in a manner that reduces the emissions of greenhouse gases.(5)The potential impacts of emission reduction strategies on ratepayers, construction costs, and grid reliability. In assessing the impact on grid reliability, the commission shall account for both of the following:(A)The commissions 2019 Building Energy Efficiency Standards, effective January 1, 2020, that propose to require solar energy systems on all new single-family and low-rise residential dwellings.(B)The increased load and impact on electrical infrastructure due to transportation electrification.(b)(1)By June 1, 2021, the commission, pursuant to Section 9795 of the Government Code, shall report to the Legislature the findings from the assessment.(2)Pursuant to Section 10231.5 of the Government Code, this subdivision is inoperative on June 1, 2026.(c)Beginning with the integrated energy policy report due on November 1, 2021, and in all subsequent integrated energy policy reports, the commission shall include a report on the emissions of greenhouse gases, based on existing data, associated with the supply of energy to residential and commercial buildings, by fuel type. The commission shall make this information publicly available on its internet website.

The people of the State of California do enact as follows:

## The people of the State of California do enact as follows:

SECTION 1. Section 25403.7 is added to the Public Resources Code, to read:25403.7. (a) On or before June 1, 2024, the commission shall identify an emission reduction strategy, with milestones, for the building sector to support achieving the carbon emissions reduction goals set forth in Section 38562.2 of the Health and Safety Code by 2045.(b) The emission reduction strategy shall do all of the following:(1) Maximize workforce development.(2) Provide clear market signals to appliance manufacturers and installers.(3) Lessen impacts on ratepayers.(4) Support extreme heat goals.(5) Reduce barriers for low-income individuals.(6) Identify how to deploy zero-emission bidirectional air conditioning to meet the needs of communities impacted by climate change and extreme weather events.(c) On or before July 1, 2025, the commissions shall implement the emission reduction strategy developed pursuant to subdivision (a) as a part of the Equitable Building Decarbonization Program established pursuant to Article 5 (commencing with Section 25665) of Chapter 7.6.(d) On or before July 1, 2025, the commission shall take actions specified in subdivision (b) of Section 25235 for purposes of implementing the emission reduction strategy developed pursuant to subdivision (a).

SECTION 1. Section 25403.7 is added to the Public Resources Code, to read:

### SECTION 1.

25403.7. (a) On or before June 1, 2024, the commission shall identify an emission reduction strategy, with milestones, for the building sector to support achieving the carbon emissions reduction goals set forth in Section 38562.2 of the Health and Safety Code by 2045.(b) The emission reduction strategy shall do all of the following:(1) Maximize workforce development.(2) Provide clear market signals to appliance manufacturers and installers.(3) Lessen impacts on ratepayers.(4) Support extreme heat goals.(5) Reduce barriers for low-income individuals.(6) Identify how to deploy zero-emission bidirectional air conditioning to meet the needs of communities impacted by climate change and extreme weather events.(c) On or before July 1, 2025, the commissions shall implement the emission reduction strategy developed pursuant to subdivision (a) as a part of the Equitable Building Decarbonization Program established pursuant to Article 5 (commencing with Section 25665) of Chapter 7.6.(d) On or before July 1, 2025, the commission shall take actions specified in subdivision (b) of Section 25235 for purposes of implementing the emission reduction strategy developed pursuant to subdivision (a).

25403.7. (a) On or before June 1, 2024, the commission shall identify an emission reduction strategy, with milestones, for the building sector to support achieving the carbon emissions reduction goals set forth in Section 38562.2 of the Health and Safety Code by 2045.(b) The emission reduction strategy shall do all of the following:(1) Maximize workforce development.(2) Provide clear market signals to appliance manufacturers and installers.(3) Lessen impacts on ratepayers.(4) Support extreme heat goals.(5) Reduce barriers for low-income individuals.(6) Identify how to deploy zero-emission bidirectional air conditioning to meet the needs of communities impacted by climate change and extreme weather events.(c) On or before July 1, 2025, the commissions shall implement the emission reduction strategy developed pursuant to subdivision (a) as a part of the Equitable Building Decarbonization Program established pursuant to Article 5 (commencing with Section 25665) of Chapter 7.6.(d) On or before July 1, 2025, the commission shall take actions specified in subdivision (b) of Section 25235 for purposes of implementing the emission reduction strategy developed pursuant to subdivision (a).

25403.7. (a) On or before June 1, 2024, the commission shall identify an emission reduction strategy, with milestones, for the building sector to support achieving the carbon emissions reduction goals set forth in Section 38562.2 of the Health and Safety Code by 2045.(b) The emission reduction strategy shall do all of the following:(1) Maximize workforce development.(2) Provide clear market signals to appliance manufacturers and installers.(3) Lessen impacts on ratepayers.(4) Support extreme heat goals.(5) Reduce barriers for low-income individuals.(6) Identify how to deploy zero-emission bidirectional air conditioning to meet the needs of communities impacted by climate change and extreme weather events.(c) On or before July 1, 2025, the commissions shall implement the emission reduction strategy developed pursuant to subdivision (a) as a part of the Equitable Building Decarbonization Program established pursuant to Article 5 (commencing with Section 25665) of Chapter 7.6.(d) On or before July 1, 2025, the commission shall take actions specified in subdivision (b) of Section 25235 for purposes of implementing the emission reduction strategy developed pursuant to subdivision (a).



25403.7. (a) On or before June 1, 2024, the commission shall identify an emission reduction strategy, with milestones, for the building sector to support achieving the carbon emissions reduction goals set forth in Section 38562.2 of the Health and Safety Code by 2045.

(b) The emission reduction strategy shall do all of the following:

(1) Maximize workforce development.

(2) Provide clear market signals to appliance manufacturers and installers.

(3) Lessen impacts on ratepayers.

(4) Support extreme heat goals.

(5) Reduce barriers for low-income individuals.

(6) Identify how to deploy zero-emission bidirectional air conditioning to meet the needs of communities impacted by climate change and extreme weather events.

(c) On or before July 1, 2025, the commissions shall implement the emission reduction strategy developed pursuant to subdivision (a) as a part of the Equitable Building Decarbonization Program established pursuant to Article 5 (commencing with Section 25665) of Chapter 7.6.

(d) On or before July 1, 2025, the commission shall take actions specified in subdivision (b) of Section 25235 for purposes of implementing the emission reduction strategy developed pursuant to subdivision (a).





(a)By January 1, 2021, the commission, in consultation with the Public Utilities Commission, the State Air Resources Board, and the Independent System Operator, shall assess the potential for the state to reduce the emissions of greenhouse gases in the states residential and commercial building stock by at least 40 percent below 1990 levels by January 1, 2030. The assessment shall include consideration of all of the following:



(1)An evaluation, based on the best available data and existing analyses, of the cost per metric ton of carbon dioxide equivalent of the potential reduction from residential and commercial building stock relative to other statewide greenhouse gas emissions reduction strategies.



(2)The cost-effectiveness of strategies to reduce emissions of greenhouse gases from space heating and water heating in both new and existing residential and commercial buildings.



(3)The challenges associated with reducing emissions of greenhouse gases from low-income housing, multifamily housing, and high-rise buildings.



(4)Load management strategies to optimize building energy use in a manner that reduces the emissions of greenhouse gases.



(5)The potential impacts of emission reduction strategies on ratepayers, construction costs, and grid reliability. In assessing the impact on grid reliability, the commission shall account for both of the following:



(A)The commissions 2019 Building Energy Efficiency Standards, effective January 1, 2020, that propose to require solar energy systems on all new single-family and low-rise residential dwellings.



(B)The increased load and impact on electrical infrastructure due to transportation electrification.



(b)(1)By June 1, 2021, the commission, pursuant to Section 9795 of the Government Code, shall report to the Legislature the findings from the assessment.



(2)Pursuant to Section 10231.5 of the Government Code, this subdivision is inoperative on June 1, 2026.



(c)Beginning with the integrated energy policy report due on November 1, 2021, and in all subsequent integrated energy policy reports, the commission shall include a report on the emissions of greenhouse gases, based on existing data, associated with the supply of energy to residential and commercial buildings, by fuel type. The commission shall make this information publicly available on its internet website.