+1 212 318 2000
Europe, Middle East, & Africa
+44 20 7330 7500
+65 6212 1000
The head of California's Senate has blocked a bill (A.B. 69) that would have delayed for three years expansion of the state's greenhouse gas cap-and-trade program to include distributors of transportation fuels and natural gas.
In an Aug. 22 letter, Senate President Pro Tempore Darrell Steinberg (D) told Assembly Member Henry Perea (D), the author of A.B. 69, that he had decided to deny a hearing on the measure because it was introduced late in the session. “A measure of this importance should not be considered in the final weeks of a two-year session,” Steinberg said.
Steinberg's decision essentially kills the measure for this session.
Supported by a group of lawmakers, Perea introduced A.B. 69 July 3, saying the measure was needed to prevent a spike in fuel prices that would disproportionately affect low- and middle-income families and those who drive long distances.
The measure would have exempted transportation fuels and natural gas suppliers from the trading until Jan. 1, 2018. Also, the bill would have required the California Air Resources Board to notify motorists, families and small businesses about the potential price increases in transportation fuels.
I share your concern about the costs of combatting carbon emissions,” Steinberg said in the letter. “But the cost of doing nothing is much greater. Business as usual is not an option. If we are serious about reducing fuel costs and right the public health and economic wrongs facing our constituents, we must wean ourselves off fossil fuels and invest in cleaner transportation alternatives and in low income communities as we did in this year's budget.”
Steinberg Backed Away From Tax
Earlier this year, Steinberg backed away from his plan to impose a carbon tax on transportation fuels to keep them from coming under the scope of the trading program.
Heavily backed by the oil industry, A.B. 69 marked the latest attempt to prevent expansion of the cap-and-trade program to include transportation fuels.
Over the last several months, a group called “Fed Up at the Pump” has waged a massive advertising campaign to gain support for the measure.
Fed Up at the Pump is disappointed that a small percentage of our state's legislators took a pass on one of the most important issues facing California's hardworking families,” Jay McKeeman, a vice president at the California Independent Oil Marketers Association and a member of the group, said in an Aug. 25 written statement. “By denying an open, public discussion on the need for a delay in the implementation of CARB's hidden gas tax, the Legislature missed an opportunity to educate motorists about the upcoming hit to their wallets.”
Sen. Fran Pavley (D) was among several Democrats opposed to A.B. 69, saying it would allow the oil industry to “play by different rules than other industry” and delay action on reducing greenhouse gases.
For more information on subscribing to "Energy and Climate Report" or to try it for free, click here.
To sign up for email highlights, click here.
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to firstname.lastname@example.org.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).