Updated ARB Schedule for Cap-and-Trade and Mandatory GHG Reporting Regulation Amendment Process

California Air Resources Board (ARB or Board) staff is developing proposals for 2016 amendments to the California Cap on Greenhouse Gas Emissions and Market Based Compliance Mechanisms (Cap-and-Trade Program) that will seek to improve Program efficiency and chart post-2020 implementation of the Program, as well as supporting changes to the Regulation for the Mandatory Reporting of Greenhouse Gas Emissions (MRR). The potential revisions would also support California’s plan for compliance with the U.S. Environmental Protection Agency’s (U.S. EPA) Clean Power Plan. ARB staff had initially proposed a schedule for these amendments wherein staff reports and draft regulation orders would be released for a formal, 45-day public comment period at the end of May 2016 prior to the Board’s initial consideration of the amendments at the July 2016 Board hearing and a final Board hearing in Spring 2017. ARB staff is now proposing the following updated schedule for amendments to the Cap-and-Trade Program and MRR:

  • July 2016 – Release of staff reports and draft regulation orders and beginning of formal public comment period
  • September 2016 – Initial Board Hearing
  • Spring 2017 – Final Board Hearing
  • October 2017 – Adopted Regulations become effective

Background

Mandatory Greenhouse Gas Emissions Reporting Regulation

ARB first approved the MRR in 2007, with revisions in 2010, 2012, 2013, and 2014. The upcoming 2016 amendments will clarify and update the regulation, including changes to support the Cap-and-Trade Program and for compliance with the U.S. EPA’s Clean Power Plan. Read More.

Cap-and-Trade Regulation

The Board first formally adopted the Cap-and-Trade Regulation in October 2011, and subsequently approved limited amendments to the Cap-and-Trade Regulation in June 2012, October 2013, April 2014, September 2014, and most recently June 2015. The upcoming 2016 amendments will seek to improve Cap-and-Trade Program efficiency, update the Cap-and-Trade Regulation using the latest information, and chart post-2020 implementation of the Cap-and-Trade Program. Read More

Clean Power Plan

On August 3, 2015, U.S. EPA’s Administrator signed its Clean Power Plan, which sets carbon dioxide emissions limits for many existing electric generating units. These regulations are based on section 111(d) (42 U.S.C. § 7411(d)) of the federal Clean Air Act. The Plan was published in the Federal Register on October 23, 2015. States must develop compliance plans to meet these limits and compliance plans are due in September 2016 (with the option to seek extensions). ARB is developing California’s compliance plan in consultation with the California Energy Commission and the California Public Utilities Commission, California’s air districts, and other partners. More information about the Clean Power Plan and related rules.

 

 

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