Calif. Low-Carbon Fuel Standard Blocked In Court

text size A A A
December 29, 2011

A federal judge moved Thursday to block California from enforcing its first-in-the-nation mandate for cleaner, low-carbon fuels, saying the rules favor biofuels produced in the state.

The lawsuit challenging the state regulations, which were adopted as part of California's landmark 2006 global warming law, was filed in federal court last year by a coalition that includes the National Petrochemical & Refiners Association and the Consumer Energy Alliance.

Fresno-based U.S. District Court Judge Lawrence O'Neill's written ruling Thursday said the low-carbon fuel rules violated the U.S. Constitution's commerce clause by discriminating against crude oil and biofuels producers located outside California.

Out-of-state fuels producers hailed the decision as a win for California drivers.

"Today's decision ... struck down a misguided policy that would have resulted in even higher fuel costs for Californian consumers while increasing the cost of business throughout the state," said Consumer Energy Alliance Executive Vice President Michael Whatley.

The board plans to ask the judge to stay the ruling, and appeal if necessary to the San Francisco-based 9th U.S. Circuit Court of Appeals, spokesman Dave Clegern said.

The rule is "an evenhanded standard that encourages the use of cleaner low carbon fuels by regulating fuel-providers in California," Clegern said, adding that it "does not discriminate against any fuels on the basis of geography."

Beginning this year, the standard has required petroleum refiners, companies that blend fuel and distributors to gradually increase the cleanliness of the fuel they sell in California.

The board previously had said the low-carbon mandate will reduce California's dependence on petroleum by 20 percent and account for one-tenth of the state's goal to cut greenhouse gas emissions by 2020.

The regulation does not mandate specific alternative fuels. Rather, it assigns a so-called carbon-intensity score to various fuels. All gasoline and diesel fuel sold in California must be 10 percent less carbon-intensive by 2020.

The Rocky Mountain Farmers Union, the California Dairy Campaign, the Renewable Fuels Associations and other groups filed a similar lawsuit in the same court in 2009. Their complaint said the regulation conflicted with the federal Renewable Fuel Standard and would close California's borders to corn ethanol made in other states.

The fuel standard "discriminates against out-of-state and foreign crude oil while giving an economic advantage to in-state crude oil," O'Neil wrote Thursday.

The nonprofit legal organization Earthjustice, which was not party to the suit but works on climate-related issues, said the ruling was a major setback for the state's aggressive greenhouse gas emission regulations.

"California is leading the way on cleaner fuels and a cleaner power grid, and the state's programs are consistent with federal law," Earthjustice President Trip Van Noppen said. "It is not surprising that the oil industry is attacking these programs, but like previous attacks in the courts and at the ballot box, we expect this one ultimately to fail."

 

More Energy

Podcast + RSS Feeds

Podcast RSS

  • Energy
     
 
 
 

Comments

Please keep your community civil. All comments must follow the NPR.org Community rules and terms of use. See also the Community FAQ.

 

NPR reserves the right to read on the air and/or publish on its website or in any medium now known or unknown the e-mails and letters that we receive. We may edit them for clarity or brevity and identify authors by name and location. For additional information, please consult our Terms of Use.

 

NPR thanks our sponsors

Become an NPR Sponsor

Map of Asia. Credit: NPR

Map: Carbon Emissions Giants

Who are the biggest carbon polluters today? Who will it be in 2030?

Amazon forest

Climate Strategists: Focus On Forests To Cut Emissions

The basic idea: Let rich countries pay poor ones to save and even expand carbon-absorbing forests.

Marsh grasses in California

Can 'Carbon Ranching' Offset Emissions In Calif.?

Farmers hope money they make from capturing greenhouse gases would make up for the lost acreage.

China

What Countries Are Doing To Tackle Climate Change

Many of the world's major greenhouse gas emitters are forging their own plans to cut emissions.

A carbon atom. Credit: OddTodd

Global Warming? It's All About Carbon

An animated Robert Krulwich chemistry lesson -- in five episodes.

Red marks area of potential flooding in Florida. Credit: NPR

Rising Temperatures, Disappearing Coastlines

See what climate change could do to a coastline near you.