Fuel Industry Incites Fear of CA's Low Carbon Fuel Standard

"You think 50 cents in one week is bad - wait till the state adopts the Low Carbon Fuel Standard", warns one critic, predicting increases three times as much. The regulation was devised by the CA Air Resources Board to reduce greenhouse gas emissions

2 minute read

October 16, 2012, 1:00 PM PDT

By Irvin Dawid


Energy reporter David Baker writes on the business opposition facing California's Low Carbon Fuel Standard (LCFS) "which is designed to cut the greenhouse gas emissions that come from making and burning fuel. Created in 2007, the standard forces fuel producers to lower the "carbon intensity" of their products 10 percent by 2020."

The regulation is under appeal by the Air Resources Board after being blocked by a federal judge on December 29, 2011 because "the policy interfered with interstate commerce and favored California biofuel producers over their Midwestern competitors The U.S. Ninth Circuit Court of Appeals will hear arguments on the case on Oct. 16."

The LCFS stems from California's landmark climate change law, AB 32, that industry attempted to retract with Proposition 23 in 2010, and former Governor Arnold Schwarzenegger's Executive Order S-01-07.

The regulation was blocked because the judge ruled that "the policy interfered with interstate commerce and favored California biofuel producers over their Midwestern competitors. The California Air Resources Board challenged the ruling, and the U.S. Ninth Circuit Court of Appeals will hear arguments on the case on Oct. 16."

"The fuel price increases are going to make last week look like nothing," warned Robert Sturtz, chairman of Fueling California, a coalition of companies that buy large amounts of fuel.

"You'll be writing articles not about 50-cent increases in a week, but $1.50 increases in a week," he said. "That's what we're trying to avoid."

"It's the consensus of the (fuel) industry that this is going to be a train wreck," said Jay McKeeman, vice president of government relations at the California Independent Oil Marketers Association."

Taking aim at those assertions is the Environmental Defense Fund nonprofit group.

"A policy like this, that's aimed at diversifying the fuel mix, can help shield against those price swings," said Timothy O'Connor, director of the California Climate Initiative at EDF.

As the Low Carbon Fuel Standard Video on the ARB webpage indicates, "California relies on petroleum fuels for 96% of its transportation needs". The LCFS is designed to lower that percentage as well as reduce the "40% of the state's greenhouse gas emissions that come from the state's 30 million vehicles."

Saturday, October 13, 2012 in San Francisco Chronicle

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Get top-rated, practical training

Close-up of park ranger in green jacket and khaki hat looking out at Bryce Canyon National Park red rock formations.

National Parks Layoffs Will Cause Communities to Lose Billions

Thousands of essential park workers were laid off this week, just before the busy spring break season.

February 18, 2025 - National Parks Traveler

Paved walking path next to canal in The Woodlands, Texas with office buildings in background.

Retro-silient?: America’s First “Eco-burb,” The Woodlands Turns 50

A master-planned community north of Houston offers lessons on green infrastructure and resilient design, but falls short of its founder’s lofty affordability and walkability goals.

February 19, 2025 - Greg Flisram

Small rural USPS post office in manufactured one-story grey building with American flag in front.

Delivering for America Plan Will Downgrade Mail Service in at Least 49.5 Percent of Zip Codes

Republican and Democrat lawmakers criticize the plan for its disproportionate negative impact on rural communities.

February 12, 2025 - Cowboy State Daily

Chicago

Test News Post 1

This is a summary

April 8 - 2TheAdvocate.com

test alt text

Test News Headline 46

Test for the image on the front page.

March 5 - Cleantech blog

Military humvee driving through gate at Fort Indiantown Gap Natl Guard training center in Pennsylvania surrounded by winter trees and dead leaves.

Balancing Bombs and Butterflies: How the National Guard Protects a Rare Species

The National Guard at Fort Indiantown Gap uses GIS technology and land management strategies to balance military training with conservation efforts, ensuring the survival of the rare eastern regal fritillary butterfly.

February 24 - Esri Blog