California’s AB 32 climate change initiative, which was put into place in 2006, has been relatively successful and the state is preparing for substantial expansion. In particular, the cap and trade and the low carbon fuel standard programs have become fairly established despite considerable litigation based on statutory and constitutional claims. In addition, the cap and trade program is expanding geographically through regional agreements and will likely extend beyond 2020 through legislation currently pending in the state legislature. Moreover, the state legislature is now evaluating several options as to the projected use of proceeds from cap and trade auctions. At the federal level, EPA’s highly anticipated and controversial proposed Clean Power Plan may also have a significant effect on California’s climate change programs, but faces a long and laborious path in the courts before its fate is ultimately decided.
Click here for the interview of Cooper, White & Cooper Partner Keith Casto with the publication California Carbon discussing these issues.