SB 1420 would expand hydrogen production and create the highest global hydrogen emission standard in the world

For Immediate Release

Contact: Elisa Rivera

(559) 264-3070 Elisa.Rivera@sen.ca.gov

 

California’s Pathway to Decarbonization

SB 1420 would expand hydrogen production and create the highest global hydrogen emission standard in the world

Sacramento, CA – Senator Anna Caballero (D-Merced) introduced SB 1420, a bill that would help ensure California achieves its climate change goals through expanded production. The California Air Resources Board states that California cannot reach its emission goals without expanding hydrogen production by 1,700 times the present rate of production. In addition, SB 1420 would enable California to leverage its federally awarded Hydrogen Hub grant by unlocking private sector investment estimated to bring in $10 billion. SB 1420 allows renewable and clean hydrogen production facilities to qualify for the two most recent energy project permitting bills passed by the legislature, signed by the Governor, AB 205 (2022) and SB 149 (2023) which would expedite review, and permitting. Furthermore, SB 1420 would establish the highest emission standard for hydrogen in the world.

“Hydrogen is a critical part of California’s transition to a zero-emission transportation and energy system. I agree with the California Air Resources Board and California Energy Commission that by expanding hydrogen production, we can better decarbonize industries, make our energy grid more reliable, stabilize costs for consumers and create high road jobs to transition workers to the new green economy,” said Senator Anna Caballero (D-Merced). “By maximizing California’s hydrogen hub award from the federal Department of Energy, SB 1420 ensures production projects are online in time to meet program benchmarks and that they are operational for two-years by the 2032 deadline.”

 

Background:

Ensuring hydrogen is produced in line with California’s strong environmental principles is important. As such, SB 1420 will align the decarbonization of hydrogen fuel with the decarbonization of California’s power grid while going a step further and requiring eligible hydrogen to have a carbon intensity score less than or equal to that of the grid on an annual basis. Specifically, SB 1420 requires that on a statewide basis, no less than 60% of hydrogen used in transportation be renewable by 2030. By 2045, the remaining 40% must be a mix of renewable and “clean hydrogen.” The only difference between SB 1420 and California’s Renewable Portfolio Standard is the use of “clean hydrogen” versus “zero carbon resources.” Because the definition of zero carbon resources did not contemplate fuel and focuses mostly on grid reliability, this bill borrows from the federal Inflation Reduction Act definition of clean hydrogen – “hydrogen which is produced through a process that results in a lifecycle greenhouse gas emissions rate of not greater than 4 kilograms of CO2e per kilogram of hydrogen.” SB 1420 also requires clean hydrogen to have a carbon intensity that is less than or equal to the annual average carbon intensity of the grid.

 

For interviews or inquiries, please contact Elisa Rivera at (559) 264-3070

Senator Anna M. Caballero represents the 14th Senate District, composed of majority portions of Merced, Fresno and Madera Counties.

* Senator Anna M. Caballero serves as the Interim Representative for the Salinas Valley and San Benito County until 2024 when a newly elected Senator will assume the district