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uncertainties, 39 measurement methods are often difficult and less precise, 40 and carbon<br />
costs are hard to assign with the same reliability as for combustion sources of CO 2 . 41<br />
Because of these difficulties, and the importance of seeking SLCP-specific emission<br />
reductions, which the Cap-and-Trade Program is not designed to produce, this<br />
<strong>Proposed</strong> <strong>Strategy</strong> does not recommend expanding Cap-and-Trade Program<br />
coverage. 42 Instead, the <strong>Proposed</strong> <strong>Strategy</strong> focuses on specific measures for<br />
SLCP-emitting sectors, consistent with the approach ARB adopted while developing the<br />
AB 32 Scoping Plan and Cap-and-Trade Program.<br />
ARB notes that stakeholders have expressed divergent views on this basic approach as<br />
it relates to animal agriculture. On one hand, the Animal Legal Defense Fund has<br />
petitioned ARB to include emissions from that sector in the Cap-and-Trade Program.<br />
On the other hand, representatives of many environmental justice and environmental<br />
groups have argued that direct, sector-specific measures are preferable, as have<br />
representatives of the dairy industry. This <strong>Proposed</strong> <strong>Strategy</strong> focuses on direct<br />
measures, consistent with the necessity of reducing SLCP emissions from the dairy<br />
sector specifically, and in-line with the design principles that underlie the State's climate<br />
strategy and the Cap-and-Trade Regulation. 43<br />
39 Western <strong>Climate</strong> Initiative, Inc. (2010) WCI Comments on the <strong>Proposed</strong> Mandatory Reporting of GHG<br />
Emissions from <strong>Proposed</strong> Reporting for Oil and Gas Operations (Subpart W) at pg. 39. available at<br />
http://www.westernclimateinitiative.org/document-archives/funcdownload/258/chk,ab6041717dc1be9cd3430f4f7585cb8e/no_html,1/.<br />
40 California Air Resources Board (2011) California’s Cap-and-Trade Program Final Statement of<br />
Reasons, Response to Comment E-69, pg. 430 and 448. available at<br />
http://www.arb.ca.gov/regact/2010/capandtrade10/fsor.pdf.<br />
41 Id., Response to Comment E-31, at pg. 425. available at<br />
http://www.arb.ca.gov/regact/2010/capandtrade10/fsor.pdf.<br />
42 ARB considered this option in detail, however. Further discussion is available in the California<br />
Environmental Quality Act (CEQA) appendix to this <strong>Proposed</strong> <strong>Strategy</strong> (Appendix C).<br />
43 The Livestock Project Compliance Offset Protocol is one such more focused measure now in operation.<br />
It contrasts with the wholesale coverage of the sector by the Cap-and-Trade Program that some<br />
stakeholders suggest. This protocol, focused on encouraging sector-specific reductions, would not<br />
operate if facilities in the sector had compliance obligations in the Program. The protocol balances the<br />
need for clear quantification methodologies and regulatory program requirements and ensures any<br />
credited voluntary GHG emission reductions meet the AB 32 criteria. The quantification methods included<br />
in this protocol use conservative factors to ensure that only real emission reductions are eligible for<br />
issuance of compliance offset credit.<br />
30 April 11, 2016