Senate File 391 - Introduced SENATE FILE BY HOGG Passed Senate, Date Passed House, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act relating to carbon neutral standards for electric 2 generating plants and major stationary sources of air 3 contaminants. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 2392XS 82 6 tm/es/88 PAG LIN 1 1 Section 1. NEW SECTION. 473.45 CARBON NEUTRAL STANDARDS. 1 2 1. As used in this section, unless the context otherwise 1 3 requires: 1 4 a. "Facility" means the same as defined in section 476A.1. 1 5 b. "Greenhouse gases" means gases identified by the 1 6 department including but not limited to carbon dioxide, 1 7 methane, and nitrous oxide. 1 8 c. "Major stationary source" means the same as defined in 1 9 section 455B.131. 1 10 2. Prior to the construction of a new facility or new 1 11 major stationary source or an expansion to an existing 1 12 facility or an existing major stationary source the department 1 13 shall approve a carbon neutral plan for the facility or major 1 14 stationary source. In order for a carbon neutral plan to be 1 15 approved, the department must find that the new or expanded 1 16 facility or major stationary source will not contribute to an 1 17 overall increase in the emission rate of greenhouse gases in 1 18 the state. In the review and approval process for new or 1 19 expanded facilities, the department shall consult with the 1 20 utilities board within the utilities division of the 1 21 department of commerce. 1 22 3. The carbon neutral plan of a new or expanded facility 1 23 or major stationary source may utilize any of the following 1 24 methods for purposes of meeting the requirements of subsection 1 25 2: 1 26 a. Reduction of greenhouse gas emissions by the facility 1 27 or major stationary source as compared to emissions by the 1 28 facility or major stationary source prior to construction or 1 29 expansion. 1 30 b. Through the use of energy conservation measures or 1 31 energy efficiency measures, assistance to other facilities, 1 32 major stationary sources, or consumers in reducing their 1 33 greenhouse gas emissions. 1 34 c. Offsetting of increased greenhouse gas emissions 1 35 through the production of increased energy from wind, solar, 2 1 or geothermal sources. 2 2 d. Provision of sequestration of carbon dioxide. 2 3 e. Purchasing of credits for greenhouse gas emissions. 2 4 f. Any other method approved by the department. 2 5 EXPLANATION 2 6 This bill relates to carbon neutral standards. 2 7 The bill provides that prior to the construction of a new 2 8 facility or new major stationary source or an expansion to an 2 9 existing facility or existing major stationary source the 2 10 department shall approve a carbon neutral plan for the 2 11 facility or major stationary source. The bill provides that, 2 12 in order for a carbon neutral plan to be approved, the 2 13 department must find that the new or expanded facility or 2 14 major stationary source will not contribute to an overall 2 15 increase in the emission rate of greenhouse gases in the 2 16 state. The bill provides that in the review and approval 2 17 process for new or expanded facilities, the department shall 2 18 consult with the utilities board. The bill provides possible 2 19 methods for achieving greenhouse gas emission limitations. 2 20 The bill defines a major stationary source as a stationary 2 21 air contaminant source which directly emits, or has the 2 22 potential to emit, 100 tons or more of an air pollutant per 2 23 year including a major source of fugitive emissions of a 2 24 pollutant as determined by rule by the department or the 2 25 administrator of the United States environmental protection 2 26 agency. 2 27 The bill defines a facility as any electric power 2 28 generating plant or a combination of plants at a single site, 2 29 owned by any person, with a total capacity of 25 megawatts of 2 30 electricity or more and those associated transmission lines 2 31 connecting the generating plant to either a power transmission 2 32 system or an interconnected primary transmission system or 2 33 both. 2 34 LSB 2392XS 82 2 35 tm:rj/es/88