LPDD Newsletter: May 2021
New LPDD Model Laws
Since the last monthly update, the LPDD team has published four new model laws, described below:
- Model State Community Solar Legislation: This model legislation is intended to accelerate the development of community solar projects nationwide by providing a common-sense statutory framework that can be adopted by states that currently have no legislation, and also serve as a basis for amending current legislation that has proved ineffective. Doing so will advance three primary policy goals. First, it reduces GHG emissions by displacing fossil fuel generation with new renewable energy resources. Second, it provides access to renewable energy to all residential and commercial customers, including those for whom installation of solar panels on their home or business is not feasible – providing critical energy justice co-benefits. Third, it increases the reliability and resiliency of the existing electric utility grid by distributing generating resources.
- Model Law Designating State Lead Agency for Biogas Permitting: To support the increased production of biogas and the delivery to end users, the LPDD text identifies the need for changes in the regulatory framework over biogas production and delivery facilities. This annotated model state legislation provides a template for state legislatures to designate a lead agency with responsibility for coordinating the various permitting processes for biogas facilities, including gathering lines and injection lines. The model legislation addresses only biogas and not other forms of renewable gas.
- Model Reduction of Arctic Shipping Emissions that Lead to Warming Act: As new shipping lanes emerge in the Arctic, concerns over the use of Heavy Fuel Oil (HFO) as a fuel source in Arctic waters compound -- particularly insofar as HFO emissions cause local black carbon pollution, creating a sooty layer covering the surrounding ice and increasing its rate of heat absorption. This model law would require a ship in the Arctic to use a fuel gradually lowering lifecycle climate emissions if the ship will enter or depart from a U.S. port within the year, effectively phasing out the use of HFOs in Arctic shipping. The jurisdictional framework under the United Nations Convention on the Law of the Sea (UNCLOS) delineates State maritime authorities, including the rules regarding Port State jurisdiction, which address a Port State’s ability to condition entry to its ports. This model law relies on Port State jurisdiction to impose its emissions rules.
- Model Law Reducing Black Carbon in Arctic Shipping: Proceeding from the same jurisdictional basis as the model law above, this model law's prohibition of HFO as fuel in the Arctic (for ships that depart or call at U.S. ports) will lead to an immediate decrease in black carbon emissions from those ships. The lifecycle climate impact will also be reduced, both by the reduction in black carbon and in the use of distillate fuels rather than HFO. In addition, an HFO ban on ships calling at or departing from U.S. ports will lessen the risk of an HFO spill in the Arctic, as an HFO spill there would have devastating consequences. Notably the model law goes farther and faster than a similar HFO ban currently under consideration at the International Maritime Organization.
New External Resources
modelclimatelaws.org is being continually updated with new, external legal resources. Below is a brief selection of recently added resources of special interest, notably featuring a number of high profile laws passed in Washington State in the last month.
- Washington's Cap and Trade Legislation: In April, legislation from Washington State established a cap-and-trade system that puts a price on carbon emissions and includes a new 5-cent increase of the gas tax. The bill creates a “cap-and-invest” program to gradually set tighter limits on carbon pollution and other greenhouse gases. It requires polluters to decrease emissions steadily, or buy allowances for pollution. The money collected would go toward projects that include, among other things, energy conservation, transportation, and assistance for a transition to clean energy. With this legislation, Washington becomes the second state — behind California — to have a comprehensive carbon-pricing law. Craig Gannett, the principal author of the model state community solar legislation above and a regular LPDD contributor, helped pen a recent review of Washington's new cap-and-trade legislation, available here. The legislation is awaiting Governor Inslee's signature.
Washington's Low Carbon Fuel Standard: Also passed in April was Washington's Low Carbon Fuel Standard, which calls for a 10% reduction in the carbon intensity (CI) of transportation fuels by 2028 and a 20% CI reduction by 2035, targeting producers and importers of transportation fuels with high CI (e.g., gasoline and diesel). The legislation establishes a credit and deficit system for producing, importing, or dispensing transportation fuels in the state, where regulated parties will have to demonstrate that their full portfolio of fuel collectively meets a carbon intensity standard to be set by the state's Dept. of Ecology. Excess credits from compliant parties can be sold to bring others into compliance. Credits can also be created through carbon capture projects, biofuel projects, non-utility electric vehicle charging, and infrastructure programs. The legislation is also currently awaiting Governor Inslee's signature.
- Washington's Vehicle Electrification Legislation: A third major piece of legislation to come out of Washington State last month, HB 1287 requires all publicly and privately owned passenger and light duty vehicles of model year 2030 or later sold in the state to be electric. To protect highway revenues, this requirement shall apply only once a road usage charge, or equivalent fee or tax based on vehicle miles traveled, has at least 75% of registered passenger and light duty vehicles in the state participating. The legislation also sets several planning processes in motion for the zero-emissions transit future. It requires that the Department of Commerce develop and maintain publicly available mapping and forecasting for charging infrastructure; that electric utilities analyze how their resource plans will accommodate higher EV levels; and that the State Building Code Council adopts rules for EV infrastructure in buildings. It is also pending Governor Inslee's signature.
Minnesota Clean Cars Program: In May, an Administrative Law Judge ruled that Minnesota could move forward with its Clean Cars Program, which will see the state adopt low- and zero-emissions vehicle rules similar to those adopted first in California. The decision to greenlight the program, which would become final after additional procedural steps, effectively means Minnesota will become the first Midwest state to adopt a Clean Cars program based on California's zero-emission vehicles (ZEVs) rules, together with cleaner internal-combustion engine vehicles, following 11 other states.
Maryland's Electric Fleet Legislation. In April, Maryland passed legislation prohibiting the Maryland Transit Administration from purchasing any non-electric buses for its fleet starting in 2023, and requiring a planning process to electrify the remainder of the fleet.
EPA's Proposed HFC Phaseout Rule: In response to December's COVID relief bill, which included a mandate to phase out the use of HFCs to 15% of 2012 levels by 2036, EPA recently released its proposed regulation, which will create an HFC allowance and trading system to achieve the cuts.
Report, Investing in the US Natural Gas Pipeline System to Support Net-Zero Targets: This paper, part of the work by Columbia University’s Center on Global Energy Policy on natural gas and the energy transition, examines projections of continued natural gas use and the zero-carbon fuels that are poised to become a bigger part of the energy mix. It details the state of the existing US natural gas pipeline network and trends within this segment of the market, as well as technical considerations for moving new, zero-carbon fuels through the system. The findings, combined with potential net-zero goals, lead to recommendations for curbing greenhouse gas emissions caused by leakage in the existing network, as well as opportunities to refurbish sections to carry increasing levels of cleaner fuels. It focuses on policy options that will minimize environmental impacts and maximize economic benefits.
Past Events
Members of the LPDD team are happy to do outreach on the project to lawyers who are looking to participate, or policymakers who'd like to make use of our model documents. Below are some of our recent appearances:
- Sustainable Future CLE with the Oregon Bar Association: On April 23, 2021, members of the LPDD team presented on their work and opportunities for lawyers to get involved drafting, peer reviewing, and providing outreach for our model law project. The one hour presentation is available to view on Youtube.
- Presentation to the Law Firm Sustainability Network: On April 14, 2021, members of the LPDD team spoke with the Law Firm Sustainability Network on opportunities to get involved in the model law drafting process. LSFN recorded the webinar audio, which you can listen to on their podcast.
- LPDD Conversation with Davis Wright Tremaine. On April 9th, members of the LPDD team met with project contributors from the firm Davis Wright Tremaine to discuss the project, and Davis Wright Tremaine's contributions to our model laws. The conversation is available to view on Vimeo.
Get Involved!
Not sure how to support our work? Check out our Get Involved page to see the many avenues by which lawyers can help advance the LPDD project, and get in contact with us!