The New York State Senate

                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 5262--A

                       2019-2020 Regular Sessions

                          I N  A S S E M B L Y

                            February 8, 2019
                               ___________

Introduced  by  M.  of  A.  WOERNER,  THIELE,  D'URSO, SAYEGH, WILLIAMS,
  ARROYO, GRIFFIN, EPSTEIN, ORTIZ, ABINANTI, MAGNARELLI, COLTON, STIRPE,
  BARRON, WALLACE, CARROLL -- read once and referred to the Committee on
  Environmental Conservation  --  committee  discharged,  bill  amended,
  ordered reprinted as amended and recommitted to said committee

AN  ACT  to  amend  the  environmental  conservation law, in relation to
  establishing the "low carbon fuel standard of 2019"

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1. Short title. This act may be known and may be cited as the
"low carbon fuel standard of 2019".
  § 2. The environmental conservation law is amended  by  adding  a  new
section 19-0329 to read as follows:
§ 19-0329. LOW CARBON FUEL STANDARD.
  (1)  A  LOW CARBON FUEL STANDARD IS HEREBY ESTABLISHED. THE LOW CARBON
FUEL STANDARD IS INTENDED TO REDUCE CARBON INTENSITY  FROM  THE  ON-ROAD
TRANSPORTATION  SECTOR  BY  TWENTY  PERCENT BY TWO THOUSAND THIRTY, WITH
FURTHER REDUCTIONS TO BE IMPLEMENTED BASED UPON ADVANCES  IN  TECHNOLOGY
AS DETERMINED BY THE COMMISSIONER.
  (2)  THE  LOW  CARBON  FUEL  STANDARD  SHALL APPLY TO ALL PROVIDERS OF
TRANSPORTATION FUELS IN NEW YORK, SHALL BE  MEASURED  ON  A  FULL  FUELS
LIFECYCLE  BASIS  AND  MAY  BE MET THROUGH MARKET-BASED METHODS BY WHICH
PROVIDERS EXCEEDING THE PERFORMANCE REQUIRED BY A LOW CARBON FUEL STAND-
ARD SHALL RECEIVE CREDITS THAT MAY BE APPLIED TO FUTURE  OBLIGATIONS  OR
TRADED  TO  PROVIDERS  NOT  MEETING  THE  LOW  CARBON FUEL STANDARD. FOR
PURPOSES OF THIS SECTION THE TERM "PROVIDERS" SHALL INCLUDE,  BUT  SHALL
NOT  BE  LIMITED  TO,  ALL REFINERS, BLENDERS, PRODUCERS OR IMPORTERS OF
TRANSPORTATION FUELS, "CARBON INTENSITY" MEANS THE QUANTITY OF LIFECYCLE
GREENHOUSE GAS EMISSIONS PER UNIT OF FUEL ENERGY, AND "FULL FUELS  LIFE-
CYCLE" MEANS THE AGGREGATE OF GREENHOUSE GAS EMISSIONS, INCLUDING DIRECT
EMISSIONS  AND SIGNIFICANT INDIRECT EMISSIONS, SUCH AS SIGNIFICANT EMIS-

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.

                                                           LBD09329-03-9

A. 5262--A                          2

SIONS FROM LAND USE CHANGES AS DETERMINED BY THE COMMISSIONER. THE  FULL
FUELS LIFECYCLE INCLUDES ALL STAGES OF FUEL AND FEEDSTOCK PRODUCTION AND
DISTRIBUTION,  FROM  FEEDSTOCK  GENERATION  OR  EXTRACTION  THROUGH  THE
DISTRIBUTION  AND  DELIVERY AND USE OF THE FINISHED FUEL BY THE ULTIMATE
CONSUMER. IN CALCULATING FULL FUELS LIFECYCLE GREENHOUSE GAS  EMISSIONS,
THE  MASS  VALUES  FOR  ALL  NON-CARBON-DIOXIDE GREENHOUSE GASES MUST BE
ADJUSTED TO ACCOUNT FOR THEIR RELATIVE GLOBAL WARMING  POTENTIALS.  THIS
CONVERSION  SHALL USE THE MOST APPROPRIATE CONVERSION RELATIVE TO GLOBAL
WARMING POTENTIALS AS DETERMINED BY THE COMMISSIONER.
  (3) WITHIN TWENTY-FOUR MONTHS FOLLOWING ADOPTION  OF  THE  LOW  CARBON
FUEL STANDARD, THE COMMISSIONER, IN CONSULTATION WITH THE NEW YORK STATE
ENERGY  RESEARCH AND DEVELOPMENT AUTHORITY, SHALL PROMULGATE REGULATIONS
ESTABLISHING A LOW CARBON FUEL STANDARD WITH PERFORMANCE  OBJECTIVES  TO
IMPLEMENT  SUBDIVISION  ONE  OF  THIS  SECTION.  SUCH REGULATIONS MAY BE
PHASED INTO EFFECT GIVING  PRIORITY  TO  THE  HEAVY-DUTY  TRANSPORTATION
SECTOR  CONSISTING  OF VEHICLES WITH THE CLASSIFICATION OF SIX OR HIGHER
AS CLASSIFIED BY THE FEDERAL HIGHWAY ADMINISTRATION. THE LOW CARBON FUEL
STANDARD SHALL TAKE INTO CONSIDERATION  THE  LOW  CARBON  FUEL  STANDARD
ADOPTED  IN CALIFORNIA AND OTHER STATES, MAY RELY UPON THE CARBON INTEN-
SITY OF VALUES ESTABLISHED FOR TRANSPORTATION FUELS IN SUCH  STATES  AND
SHALL  INCLUDE  COORDINATION  WITH  OTHER NORTHEASTERN STATES TO PROMOTE
REGIONAL REDUCTIONS IN GREENHOUSE GAS EMISSIONS.
  (4) THE REGULATIONS ADOPTED PURSUANT TO  THIS  SECTION  SHALL  INCLUDE
FEES  FOR  THE  REGISTRATION OF PROVIDERS TO OFFSET THE COSTS ASSOCIATED
WITH IMPLEMENTATION OF THE LOW CARBON FUEL STANDARD.
  (5) WITHIN TWENTY-FOUR MONTHS FOLLOWING THE  ADOPTION  OF  REGULATIONS
IMPLEMENTING  A  LOW CARBON FUEL STANDARD, THE COMMISSIONER SHALL REPORT
TO THE LEGISLATURE REGARDING THE  IMPLEMENTATION  OF  THE  PROGRAM,  THE
REDUCTIONS  IN  GREENHOUSE GAS EMISSIONS THAT HAVE BEEN ACHIEVED THROUGH
THE LOW CARBON FUEL STANDARD AND TARGETS FOR FUTURE REDUCTIONS IN GREEN-
HOUSE GAS EMISSIONS FROM THE TRANSPORTATION SECTOR.
  (6) NOTHING IN THIS SECTION SHALL PRECLUDE THE DEPARTMENT FROM  ENACT-
ING  OR  MAINTAINING  OTHER  PROGRAMS TO REDUCE GREENHOUSE GAS EMISSIONS
FROM THE TRANSPORTATION SECTOR.
  § 3. This act shall take effect immediately.