HB 2017 (2017), enrolled text

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(7) “Deferral” means a delay or change in the applicability of a scheduled applicable low carbon fuel standard for a period of time, accomplished pursuant to an order issued under section 164 or 165 of this 2017 Act. (8) “Deficit” means a unit of measure generated when a fuel with a carbon intensity that is more than the applicable low carbon fuel standard is produced, imported or dispensed for use in Oregon, such that one deficit is equal to one metric ton of carbon dioxide equivalent. (9) “Greenhouse gas” has the meaning given that term in ORS 468A.210. (10) “Low carbon fuel standard” means a standard adopted by the commission by rule under ORS 468A.275 for the reduction of greenhouse gas emissions, on average, per unit of fuel energy. (11) “Motor vehicle” has the meaning given that term in ORS 801.360. (12) “Regulated party” means a person responsible for complying with the low carbon fuel standards. (13) “Small deficit” means a net deficit balance at the end of a compliance period, after retirement of all credits held by a regulated party, that does not exceed a percentage set by the commission by rule of the total number of deficits that the regulated party generated for a compliance period and that may not be greater than 10 percent of the total number of deficits that the regulated party generated for a compliance period. SECTION 160. ORS 468A.275 is amended to read: 468A.275. [(1) As used in this section: ] [(a) “Greenhouse gas” has the meaning given that term in ORS 468A.210. ] [(b) “Low carbon fuel standards” means standards for the reduction of greenhouse gas emissions, on average, per unit of fuel energy. ] [(c) “Motor vehicle” has the meaning given that term in ORS 801.360. ] [(2)(a)] (1) The Environmental Quality Commission , by rule: (a) Shall adopt [ by rule ] low carbon fuel standards for gasoline, diesel and fuels used as substi- tutes or alternatives for gasoline or diesel[ .]; and (b) Shall adopt a clean fuels program for facilitating compliance with the low carbon fuel standards and for managing and containing the costs of compliance with the low carbon fuel standards, in accordance with the requirements of sections 159 to 167 of this 2017 Act. [(b)] (2) The commission may adopt [ the following ] rules related to the low carbon fuel stand- ards, including but not limited to: [(A)] (a) A schedule to phase in implementation of the standards in a manner that reduces the average amount of greenhouse gas emissions per unit of fuel energy of the fuels by 10 percent below 2010 levels by the year 2025 or by a later date if the commission determines that an extension is appropriate to implement the low carbon fuel standards; [(B)] (b) Standards for greenhouse gas emissions attributable to the fuels throughout [ their lifecycles ] the lifecycles of the fuels , including but not limited to emissions from the production, storage, transportation and combustion of the fuels and from changes in land use associated with the fuels; [(C)] (c) Provisions allowing the use of all types of low carbon fuels to meet the low carbon fuel standards, including but not limited to biofuels, biogas, natural gas, liquefied petroleum gas, gaso- line, diesel, hydrogen and electricity; [(D) Standards for the issuance of deferrals, established with adequate lead time, as necessary to ensure adequate fuel supplies; ] [(E)] (d) Exemptions for fuels that are used in volumes below thresholds established by the commission; [(F)] (e) Standards, specifications, testing requirements and other measures as needed to ensure the quality of fuels produced in accordance with the low carbon fuel standards, including but not limited to the requirements of ORS 646.910 to 646.923 and administrative rules adopted by the State Department of Agriculture for motor fuel quality; and Enrolled House Bill 2017 (HB 2017-A) Page 136

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