California climate policy ESP 165: Climate Policy Michael Springborn Department of Environmental Science & Policy UC Davis.

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Presentation transcript:

California climate policy ESP 165: Climate Policy Michael Springborn Department of Environmental Science & Policy UC Davis

2006: a California law known as AB32 set a goal of reducing GHG emissions to 1990 levels (427MMT CO2e) by (NRDC, 2013) 450/37.35 x10 6 = 12MT/person

Later: executive orders by the CA governor have set additional goals: 2020: 0% below 1990 (AB 32) 2030: 40% below : 80% below 1990 (climatepolicyinitiative.org)

California’s C&T policy recently (2015) completed planned expansion to cover trans./nat. gas and prices have settled at $12-$13/tonne

Readings

DALLAS BURTRAW (Ref: Ph.D., Economics, University of Michigan. Senior fellow, Resources for the future, Quality of the environment division. (1998-present)

Most of the abatement to reach the 2020 target (1990 levels) is achieved by “complementary measures” outside of C&T.

[Another view of the same thing…] Some comp. measures apply to sectors that are not capped (high GWP gases, forests, recycling/waste).

Non-C&T based, complementary measures to reduce GHGs are led by (1) clean cars, (2) RPS, and (3) LCFS. (Clean Car Stds)

Electricity price increases will depend in part on the carbon intensity of your mix of sources

Billions of dollars in allowance value is being generated and allocated to (1) CA/APCF, (2) utilities, (3) industry.

Robert Stavins -Professor of Business and Government, John F. Kennedy School of Government, Harvard University. -Director of the Harvard Project on Climate Agreements.

The legal fate of California’s C&T program is not settled.

Low income earners spend a larger % of their income on energy. U.S. data: BLS Consumer Expenditure Survey, average from 1999 to 2009 (Daniel R. Carroll, BLS, 2011)

Because low income earners spend a larger % of their income on energy … the direct effect of constraining emissions can be regressive. H.R. 2454: American Clean Energy and Security Act of 2009

Taxes on gasoline are higher in California than in other states. (Clemente 2015)

Additional useful definitions and details

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