103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
SB3160

 

Introduced 2/6/2024, by Sen. Cristina Castro

 

SYNOPSIS AS INTRODUCED:
 
New Act

    Creates the Low Carbon Fuel Standards Program Act. Establishes the Low Carbon Standards Program to be administered by the Illinois Environmental Protection Agency. Provides that the Program shall establish declining carbon intensity standards, expressed in terms of the carbon intensity of transportation fuels, to be achieved during each compliance period. Provides that providers of transportation fuel must demonstrate that the mix of fuels they supply for use in Illinois meets the carbon intensity benchmarks of the program for each annual compliance period. Effective immediately.


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A BILL FOR

 

SB3160LRB103 38231 HLH 68365 b

1    AN ACT concerning regulation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 1. Short title. This Act may be cited as the Low
5Carbon Fuel Standards Program Act.
 
6    Section 5. Purpose. The purpose of this Act is to
7establish the Low Carbon Fuel Standards Program in Illinois.
8The goals of the Program are to reduce greenhouse gas
9emissions from the transportation sector, to promote the use
10of cleaner low carbon fuel, and to decrease petroleum
11dependence.
 
12    Section 10. Definitions. As used in this Act:
13    "Agency" means the Illinois Environmental Protection
14Agency.
15    "Carbon intensity" means the greenhouse gas emissions,
16expressed in terms of metric tons of CO2 equivalent per unit of
17energy, associated with the production, transportation, and
18use of a transportation fuel.
19    "Low carbon fuel" means a transportation fuel with a lower
20carbon intensity score than the benchmark established by the
21Agency under the Program.
22    "Program" means the Low Carbon Fuel Standards Program

 

 

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1established by this Act.
2    "Transportation fuel" means gasoline, diesel fuel, and
3their respective substitutes.
 
4    Section 15. Low Carbon Fuel Standard Program; established.
5The Low Carbon Fuel Standards Program is hereby established.
6The Program shall be administered by the Agency.
 
7    Section 20. Carbon intensity standards. As part of the
8Program, the Agency shall establish declining carbon intensity
9standards, expressed in terms of the carbon intensity of
10transportation fuels, to be achieved during each compliance
11period. The standards shall be based on a life cycle
12assessment of the greenhouse gas emissions associated with the
13production, transportation, and use of the transportation
14fuel.
 
15    Section 25. Compliance obligations. Providers of
16transportation fuel must demonstrate that the fuels they
17supply for use in Illinois meet the carbon intensity
18benchmarks of the program for each annual compliance period. A
19deficit generator meets its compliance obligation by ensuring
20that the amount of credits it earns or otherwise acquires from
21another party is equal to or greater than the deficits it has
22incurred.
 

 

 

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1    Section 30. Pathways. The Agency shall establish pathways
2for low carbon transportation fuels. Pathways may be
3incorporated from the California Low Carbon Fuel Standard
4Program or other similar programs.
 
5    Section 35. Credit and deficit generation. Low carbon
6fuels with a carbon intensity that is less than or equal to the
7benchmark established by the Program shall generate credits.
8Transportation fuels with a carbon intensity that exceeds the
9benchmark shall generate deficits. Credits and deficits shall
10be denominated in metric tons of greenhouse gas emissions.
 
11    Section 40. Rules. The Agency shall adopt rules as are
12necessary to carry out the provisions of this Act.
 
13    Section 99. Effective date. This Act takes effect upon
14becoming law.