38505

HEALTH AND SAFETY CODE
SECTION 38505




38505.  For the purposes of this division, the following terms have
the following meanings:
   (a) "Allowance" means an authorization to emit, during a specified
year, up to one ton of carbon dioxide equivalent.
   (b) "Alternative compliance mechanism" means an action undertaken
by a greenhouse gas emission source that achieves the equivalent
reduction of greenhouse gas emissions over the same time period as a
direct emission reduction, and that is approved by the state board.
"Alternative compliance mechanism" includes, but is not limited to, a
flexible compliance schedule, alternative control technology, a
process change, or a product substitution.
   (c) "Carbon dioxide equivalent" means the amount of carbon dioxide
by weight that would produce the same global warming impact as a
given weight of another greenhouse gas, based on the best available
science, including from the Intergovernmental Panel on Climate
Change.
   (d) "Cost-effective" or "cost-effectiveness" means the cost per
unit of reduced emissions of greenhouse gases adjusted for its global
warming potential.
   (e) "Direct emission reduction" means a greenhouse gas emission
reduction action made by a greenhouse gas emission source at that
source.
   (f) "Emissions reduction measure" means programs, measures,
standards, and alternative compliance mechanisms authorized pursuant
to this division, applicable to sources or categories of sources,
that are designed to reduce emissions of greenhouse gases.
   (g) "Greenhouse gas" or "greenhouse gases" includes all of the
following gases:
   (1) Carbon dioxide.
   (2) Methane.
   (3) Nitrous oxide.
   (4) Hydrofluorocarbons.
   (5) Perfluorocarbons.
   (6) Sulfur hexafluoride.
   (7) Nitrogen trifluoride.
   (h) "Greenhouse gas emissions limit" means an authorization,
during a specified year, to emit up to a level of greenhouse gases
specified by the state board, expressed in tons of carbon dioxide
equivalents.
   (i) "Greenhouse gas emission source" or "source" means any source,
or category of sources, of greenhouse gas emissions whose emissions
are at a level of significance, as determined by the state board,
that its participation in the program established under this division
will enable the state board to effectively reduce greenhouse gas
emissions and monitor compliance with the statewide greenhouse gas
emissions limit.
   (j) "Leakage" means a reduction in emissions of greenhouse gases
within the state that is offset by an increase in emissions of
greenhouse gases outside the state.
   (k) "Market-based compliance mechanism" means either of the
following:
   (1) A system of market-based declining annual aggregate emissions
limitations for sources or categories of sources that emit greenhouse
gases.
   (2) Greenhouse gas emissions exchanges, banking, credits, and
other transactions, governed by rules and protocols established by
the state board, that result in the same greenhouse gas emission
reduction, over the same time period, as direct compliance with a
greenhouse gas emission limit or emission reduction measure adopted
by the state board pursuant to this division.
   (l) "State board" means the State Air Resources Board.
   (m) "Statewide greenhouse gas emissions" means the total annual
emissions of greenhouse gases in the state, including all emissions
of greenhouse gases from the generation of electricity delivered to
and consumed in California, accounting for transmission and
distribution line losses, whether the electricity is generated in
state or imported. Statewide emissions shall be expressed in tons of
carbon dioxide equivalents.
   (n) "Statewide greenhouse gas emissions limit" or "statewide
emissions limit" means the maximum allowable level of statewide
greenhouse gas emissions in 2020, as determined by the state board
pursuant to Part 3 (commencing with Section 38550).