NEWSLETTER
2009: RECAP
In 2009 the California Air Resources Board (CARB) moved forward with a number of issues such as:
- The Low Carbon Fuel Standard;
- The Administrative Fee Regulation;
- CEQA related issues such as, setting interim significance thresholds for greenhouse gases;
- Creation of the Economic Allocation and Advisory Committee to help with the design of the cap-and-trade system -- per the adoption of the Scoping Plan in December of 2008.
In 2009 the AB 32 Implementation Group actively engaged in all the above issues. We submitted comment letters to CARB with suggestions that would assure the climate change policy programs being implemented will help us reach AB 32 goals in a cost-effective manner. We were also represented at most, if not all, CARB board meetings, hearings and workshops. Too numerous to count.
We continue to adhere to the original AB 32 IG mission and principles and also believe climate policies should be addressed at state, national and global levels.
2010: Looking Forward
There are still a number of major concerns AB 32 IG will address in 2010 with regard to AB 32. To date, we still do not have a sound, valid economic analysis of what the true costs will be to implement the program. Without that, we believe it is impossible to design programs that will be the most cost-effective, technologically feasible and reach the greenhouse gas emissions reduction goals set forth in AB 32.
The cost that could be incurred might reach $143 billion (at $60 per ton) in an Auction Tax that could be paid by consumers and employers. That kind of tax puts thousands of Californians at risk. Universities, ports, airports, public utilities, wineries, food processors, cement plants, glassmakers and others would be hit with this tax.
Consumers will also bear the brunt of the Auction Tax through higher electricity and natural gas bills, and higher prices at the gasoline pump. For example, the Auction Tax at $60 per ton would mean 53 cents more per gallon of gasoline and $200 more for a family’s electricity costs.
Those costs are in addition to other AB 32 programs that will raise consumer prices and estimated 30-60% increase in electric bills, $3.7 billion in higher gasoline and diesel costs and a $50,000 hike in the cost of a new home.
It is also of great concern to the AB 32 Implementation Group that California is developing cap-and-trade regulation without assurances that other states will participate. A program that only applies to California or a limited number of states will put California employers at an even worse competitive disadvantage, driving jobs out of the state.
While it is important California continues to take steps to reduce our carbon footprint, we must be confident our methods are cost-effective, technologically feasible and that our program works to the benefit of California by linking with other climate change programs.
The AB 32 Implementation Group will continue to monitor these issues during 2010 and will keep you posted on relevant information. You can always find the most recent materials on the AB 32 Implementation Group website, ab32ig.com and we hope you find the daily AB 32 Implementation Group Climate Change News useful.
Thank you for your time. If you have any questions, please feel free to contact me at shelly@ab32ig.com.
Important Dates
Fuels Workshop
9/8/2010 -- 1:00 PM - 4:00 PM
Cal/EPA Headquarters, Byron Sher Auditorium
Coordinator: Katrina Sideco
ksideco@arb.ca.gov
LCFS Expert Workgroup Meeting
9/9/2010 -- 8:30 AM - 5:00 PM
Cal/EPA Headquarters, Coastal Hearing Room
Coordinator: Valentine Montoya
vmontoya@arb.ca.gov
LCFS Expert Workgroup Meeting
9/10/2010 -- 8:30 AM - 5:00 PM -
Cal/EPA Headquarters, Coastal Hearing Room
Coordinator: Valentine Montoya
vmontoya@arb.ca.gov
CARB September Meeting
09/23-24/2010
Climate Action Team Meeting
10/28/2010 – 2:00 – 4:00 p.m.
Sierra Hearing Room
Coordinator: Johnnie Raymond
jraymond@arb.ca.gov
Coalition Update
Our coalition continues to grow. To see an updated list of members, please click here.
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