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Fourth Time s The Charm: Washington Enacts Clean Fuels Program, Creating West Coast Market For Low-Carbon Transportation Fuels Tuesday, May 18, 2021
After four tries to enact a low carbon fuel standard, Governor Jay Inslee on May 17, 2021, signed HB 1091, new legislation that will establish a Clean Fuels Program (CFP) designed to limit the carbon intensity of transportation fuel in the State of Washington. Washington’s CFP will be linked to existing low carbon fuel standard (LCFS) programs in Oregon and California, creating a West Coast market for biofuels and other low-carbon transportation fuels, as well as a regional market for LCFS carbon reduction credits.
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In its just-concluded session, the Washington legislature passed several pieces of legislation intended to promote the transition of Washington’s transportation system away from fossil fuels. The most consequential of these, the Clean Fuels Program, is awaiting Gov. Inslee’s signature. Three additional pieces of legislation are also worthy of note. These are HB 1287, which sets a non-binding goal that by 2030, all new vehicle sales in Washington should be electric, and lays groundwork for facilitating that transition. SB 5192 set requirements for standardization of public electric vehicle charging stations. Finally, SB 5000 creates a sales and use tax exemption for hydrogen-powered vehicles.
(Renewable Fuels Association) The Renewable Fuels Association today submitted feedback related to a planned expansion of the Oregon Clean Fuels Program. The Oregon CFP currently requires a 10% reduction in the carbon intensity (CI) of transportation fuels by 2025, and the state intends to expand the reductions to 20% by 2030 and 25% by 2035.
In anticipation of the expansion, Oregon’s Department of Environmental Quality recently released a set of illustrative scenarios showing different ways that compliance in 2030 and 2035 could be achieved. While RFA believes the program has been effective and supports its expansion, the association identified some areas of concern related to specific aspects of the scenarios.