The California Air Resources Board (CARB) approved updates to the Low Carbon Fuel Standard (LCFS) that channel global, national and local private sector investment toward increasing cleaner fuel and transportation options for consumers, accelerating the deployment of zero-emission infrastructure, and keeping the state on track to meet legislatively mandated air quality and climate targets.
“The proposal approved today strikes a balance between reducing the environmental and health impacts of transportation fuel used in California and ensuring that low-carbon options are available as the state continues to work toward a zero-emissions future,” says CARB chair Liane Randolph. “Today’s approval increases consumer options beyond petroleum, provides a roadmap for cleaner air, and leverages private sector investment and federal incentives to spur innovation to address climate change and pollution.”
Key takeaways:
- The LCFS reduces air pollution and greenhouse gas emissions by setting a declining carbon intensity target for transportation fuels used in California; producers that don’t meet established benchmarks buy credits from those that do. This system has generated $4 billion in annual private sector investment toward a cleaner transportation sector.
- The updates set targets to reduce the carbon intensity of California’s transportation fuel pool by 30% by 2030 and by 90% by 2045. The amendments also increase support for zero-emissions infrastructure, including for medium- and heavy-duty vehicles, and make more transit agencies eligible to generate credits.
- The LCFS has reduced the carbon intensity of California’s fuel mix by almost 13% and displacing 70% of the diesel used in the state with cleaner alternatives. This has displaced 320 million metric tons CO2 of gasoline and diesel emissions since the program’s inception.
- The LCFS updates include providing billions of additional dollars to fund zero-emission vehicle charging and hydrogen fueling infrastructure; increasing incentives for infrastructure in low-income neighborhoods and remote locations; and phasing out avoided methane crediting associated with the use of biomethane used as a combustion fuel, but extending the use of biomethane for renewable hydrogen to align with goals outlined in the 2022 Scoping Plan.
- The LCFS updates also include new guardrails to avoid land use changes resulting in potential loss of food production or deforestation.
