California Proposes Aggressive Climate Change Goals

February 16th, 2016 by Fiedler Group

California’s recent draft report, “2016-17 Investment Plan Update for Alternative and Renewable Fuel and Vehicle Technology Program,” has outlined the state’s goals to reduce greenhouse gas emissions to 1990 levels by the year 2020.

These aggressive goals continue with targets 40 percent below 1990 levels by the year 2030, and then 80 perecent below 1990 levels by the year 2050.

Aggressive climate change goals are challenging for natural gas fueling infrastructures, compared to more heavily supported renewable natural gas (RNG) alternatives.

Although the current report proposes to keep incentives for NGV’s at $10 million, the same as the prior two fiscal years, the report calls for a reduction to natural gas vehicle (NGV) fueling structure to $2.5 million in 2016-17 — a 50 percent reduction from the current 2015-2016 fiscal year.

The report — authored by the California Energy Commission (CEC) — goes on to say that NGVs are expected to play a critical role in the reduction of emissions and petroleum use.”

To support these goals, the six-year-old alternative/renewable vehicle grant program has distributed over $600 million in grand funding — nearly $100 million of that earmarked for NGVs.

On a parallel path, the California Public Utilities Commission recently authorized Southern California Edison Company (SCE) to spend over $20 million to launch a pilot program focused on deploying 1,500 electric vehicle (EV) charging stations in workplaces, campuses, recreational areas, and multi-dwelling housing complexes.

To learn more about Fiedler Group’s expertise in the alternative fuel industry, please contact us today.