Biomethane procurement targets.
Vote required
Majority
Fiscal committee
No
Appropriation
No
Current location
Energy, Utilities and Communications
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Progress
Where this bill stands in the legislative process.
- Introduced
- Passed Senate
- Passed Assembly
- To Governor
- Became Law
Overview
This bill updates California’s rules for procuring biomethane, a renewable natural gas source. Instead of requiring both pipeline connections and specific environmental benefits, it simplifies the requirement for biomethane delivered through common carrier pipelines to meet either condition. The bill also adds the displacement of conventional natural gas that results in a reduction in greenhouse gas emissions as an accepted environmental benefit. Furthermore, it mandates that the Public Utilities Commission allow recovery of costs for investments in infrastructure needed to connect biomethane sources to the gas pipeline network, with a deadline for this recovery set for June 1, 2026.
Key provisions
- Requires biomethane delivered via common carrier pipelines to meet either a dedicated pipeline connection or a specific environmental benefit.
- Adds ‘displacement of conventional natural gas that results in a reduction in greenhouse gas emissions’ as an acceptable environmental benefit.
- Mandates recovery of costs for utility infrastructure investments to facilitate biomethane interconnection.
- Sets a deadline of June 1, 2026, for the commission to allow recovery of these infrastructure costs.
- Initial allocation of biomethane procurement targets based on existing commission Decision 22-02-025.
- Allows core transport agents to enter agreements with gas corporations to fulfill biomethane procurement targets.
- Requires the commission to consider options to promote in-state biomethane production and distribution.
- Addresses prevailing wage and apprenticeship requirements for qualified biogas property.
Bill text
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Sponsors
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1 on record
Primary sponsor
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