Climate Change and Business Research Initiative-Video

Transportation fuels from fossil sources represent the single largest source of carbon emissions in California.  Low-carbon biofuels, which are derived from a variety of agricultural sources (such as corn, sugarcane, and canola), algae, food waste, and forest residue, among other sources, reduces petroleum fuel consumption as a substitute fuel.  Yet California is missing opportunities to produce more of this biofuel locally, with attendant environmental and economic benefits. 

Key policy recommendations: greater state support (such as utilizing cap-and-trade auction revenue) for in-state production with accurate accounting for the total carbon emissions reductions, financial incentives for automakers and gas stations to sell greater amounts of low-carbon biofuels and higher blend rates, and improved access to in-state feedstock production, particularly on idled farmland and forest lands to reduce wildfire risk.

Key policy recommendations: State-developed project performance standards to ensure new transportation projects meet various sustainability metrics, a greater percentage of transportation dollars directed to maintenance of existing infrastructure (including “complete streets” options), and improved transparency and decision-making in allocating transportation funds.
 

Key policy recommendations: a Valley-wide collaborative to create a plan for economic growth and environmental preservation around the high speed rail network, support for local planning and mitigation efforts to implement it, and new financing mechanisms to catalyze private investment in station-connected development. 

Key policy recommendations:  Industry and policy-maker coordinated education and outreach campaign about the consumer benefits of electric vehicle technology, reduced taxes and fees to lower the upfront cost of the vehicles, and a well-planned and coordinate public charging infrastructure.

Key policy recommendations: State policies that lower the threshold for voter approval of transit tax measures, authorization of tax increment financing for transit improvements, better land use surrounding transit stations, and more efficient use of existing transit resources and infrastructure development. 

Greater access to energy information could help customers save money by improving their energy efficiency, while clean technology companies, including renewable energy and energy storage developers, smart grid software and hardware purveyors, and electric vehicle automakers could use aggregated, anonymous utility and customer group data to improve
their services and boost market share.

Key policy recommendations: Cost recovery mechanisms for utilities to collect and share anonymized energy and market data and historic building energy audits, development and maintenance of secure energy data centers, and establishment of customers’ right to improved access to their usage data in an easily organized, standardized format.

Many of California’s 13 million residences and existing buildings could achieve significant energy conservation and greenhouse gas emission reductions through retrofitting, including adopting low-tech solutions such as “cool roofs,” improved heating and cooling systems, and basic insulation.

Key policy recommendations: Expanded support of retrofit financing programs, development of retrofit workforce licensing standards, enhanced mapping of housing stock and climate zones, and statewide marketing campaign to promote retrofits.

Electric vehicle batteries that no longer have convenient range in the vehicle can still be repurposed and stacked to provide inexpensive energy storage to help decarbonize the electricity sector.

Key policy recommendations: support for more second-life battery demonstrations, regulatory reform for rules that inadvertently prevent investment in this potential market, clearer liability to determine who pays in the event of damages from second-life battery usage, and more data sharing on electric vehicle battery life both in the vehicle and in grid applications.

Energy storage, through technologies such as batteries, flywheels, and compressed air, will be critical to integrating intermittent renewable energy, like solar or wind, into the grid.

Key policy recommendations: Revised utility and grid operator procurement policies that allow competition from energy storage technologies, tax benefits for energy storage projects, and the creation of a separate asset class for energy storage. 

California is on pace to meet its goal of securing 33 percent of the state’s electricity from renewable sources like solar and wind by 2020, but energy experts report that the in-state market for renewable energy will lose momentum without new policies to encourage deployment beyond 2020.

Key policy recommendations: a new renewable energy target for 2030 that accounts for greenhouse gas emissions and tracks the state’s long-term climate change goal, comprehensive planning for renewable deployment to occur in the most efficient and cost-effective manner, incentives to encourage utilities and renewable developers to realize this vision.

California will need to steer the development of large-scale renewable energy facilities on agricultural land toward lands that do not deplete the state’s prime agricultural and biological resources.

Key policy recommendations: develop criteria for the most suitable agricultural lands for renewable energy deployment, expedite environmental review and endangered species permitting for projects on these lands, and coordinate state and local land use planning and transmission investments to encourage development on these sites.

Key policy recommendations: Expanded feed-in tariff and net metering policies and state legislation to deploy more renewable energy technologies on state highways, the aqueduct, and other public spaces.

Key policy recommendations: Improved state policies to provide more accurate data on water usage, on-bill financing and a public goods charge on water usage to finance efficiency measures, and a coordinated statewide outreach campaign to promote water efficiency among consumers.

Key policy recommendations: Improved public outreach to encourage citizen participation in developing a vision for population growth and transportation in local communities, expanded financing for local government planning efforts, and streamlined local land use codes and sharing of best practices.

California needs more sustainable real estate development, which includes compact housing, retail, and commercial projects that allow residences to walk and take transit for regular trips, in order to meet growing market demand and reduce the greenhouse gas emissions associated with driving.

Key policy recommendations: Tax-increment financing for transit-oriented development, differential impact fees on sprawl and sustainable development, and more funding for local government planning.

Agricultural businesses can play a key role in reducing greenhouse gas emissions associated with farming in California, while saving themselves money in the process.

Key policy recommendations: Increased on-farm renewable energy through expansion of the feed-in tariff and net metering programs, more efficient fertilizer usage and livestock feed, and regulatory processes to encourage innovation.