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2014 SESSION

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SB 615 Carbon dioxide; regulating emissions.

Introduced by: Charles W. Carrico, Sr. | all patrons    ...    notes | add to my profiles | history

SUMMARY AS PASSED:

Virginia Energy Plan; carbon dioxide emission control impact; schedule. Requires the Virginia Energy Plan to include, with regard to any regulations proposed or promulgated by the U.S. Environmental Protection Agency to reduce carbon dioxide emissions from fossil fuel-fired electric generating units under Section 37 111(d) of the Clean Air Act, an analysis of the costs to and benefits for energy producers and electric utility customers; the effect on energy markets and reliability; and the commercial availability of technology required to comply with such regulations. The measure postpones the due date for quadrennial updates to the Virginia Energy Plan from July 1 to October 1. Interim updates on the Plan are required to be provided by October 1 of the third year of each administration. The measure also requires the Division of Energy of the Department of Mines, Minerals and Energy, in Plan updates starting in 2014, to set forth energy policy positions relevant to any potential regulations of the State Air Pollution Control Board to reduce carbon dioxide emissions from fossil fuel-fired electric generating units under Section 111(d) of the Clean Air Act. The Division is required to address policy options for establishing separate standards of performance for carbon dioxide emissions from existing fossil fuel-fired electric generating units to promote the Plan's overall goal of fuel diversity. The Plan is also required to (i) examine policy options for state regulatory action to adopt less stringent standards or longer compliance schedules than those provided for in applicable federal rules or guidelines and (ii) identify options, to the maximum extent permissible, for any federally required regulation of carbon dioxide emissions from existing fossil fuel-fired electric generating units. This bill is identical to HB 1261.

SUMMARY AS PASSED SENATE:

Virginia Energy Plan; carbon dioxide emission control impact; schedule. Requires the Virginia Energy Plan to include, with regard to any regulations proposed or promulgated by the U.S. Environmental Protection Agency to reduce carbon dioxide emissions from fossil fuel-fired electric generating units under Section 37 111(d) of the Clean Air Act, an analysis of the costs and benefits for energy producers and electric utility customers; the effect on energy markets and reliability; and the commercial availability of technology required to comply with such regulations. The measure postpones the due date for quadrennial updates to the Virginia Energy Plan from July 1 to October 1. Interim updates on the Plan are required to be provided by October 1 of the third year of each administration. The measure also requires the Division of Energy of the Department of Mines, Minerals and Energy, in Plan updates starting in 2014, to set forth energy policy positions relevant to any potential regulations of the State Air Pollution Control Board to reduce carbon dioxide emissions from fossil fuel-fired electric generating units under Section 111(d) of the Clean Air Act. The Division is required to address policy options for establishing separate standards of performance for carbon dioxide emissions from existing fossil fuel-fired electric generating units to promote the Plan's overall goal of fuel diversity. The Plan is also required to (i) examine policy options for state regulatory action to adopt less stringent standards or longer compliance schedules than those provided for in applicable federal rules or guidelines and (ii) identify options, to the maximum extent permissible, for any federally required regulation of carbon dioxide emissions from existing fossil fuel-fired electric generating units.

SUMMARY AS INTRODUCED:

Regulating carbon dioxide emissions. Establishes the process for adopting state carbon dioxide (CO2) requirements consistent with the emission guidelines the U.S. Environmental Protection Agency (EPA) intends to propose under §111d of the Clean Air Act for regulating CO2 emissions from existing fossil fuel-fired electric generating units in June 2014. The bill requires the State Air Pollution Control Board to establish separate CO2 performance standards for coal-fired and gas-fired electric generating units on a case-by-case basis, and based on the best system of emission reduction that has been adequately demonstrated and can be reasonably achieved through measures undertaken at each unit, without requiring the unit to switch fuel. The bill requires the Board to consider on a case-by-case basis whether less stringent performance standards than those required by EPA's Emission Guidelines are warranted, taking into account seven enumerated criteria. Once the Board determines appropriate performance standards, the Board, to the "maximum extent permissible," is to implement the performance standards through flexible regulatory mechanisms, including emissions averaging or emissions trading. Finally, the bill prohibits the state from submitting any §111d plan to EPA inconsistent with the bill, except as is necessary to comply with federal regulations.