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US appeals court says California can set its own Low Carbon Fuel Standard

January 23, 2019

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Late last week, the US Court of Appeals for the 9th Circuit published an opinion (PDF) stating that California’s regulation of fuel sales based on a lifecycle analysis of carbon emissions did not violate federal commerce rules.

Since 2011, California has had a Low Carbon Fuel Standard (LCFS) program, which requires fuel sellers to reduce their fuel’s carbon intensity by certain deadlines. If oil, ethanol, or other fuel sellers can’t meet those deadlines, they can buy credits from companies that have complied with the standard.

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