NO FUEL LESS-THAN-ZERO CARBON INTENSITY

This bill prohibits assigning transportation fuels a carbon intensity value below zero, preventing credits for fuels with negative carbon footprints. It directly affects fuel producers and distributors by requiring them to meet statewide targets: reducing transportation fuel carbon intensity by 20% below 2018 levels by 2030 and 30% by 2040. Key mechanisms include a technology-neutral credit system for trading emissions reductions, mandatory investments from utility credit sales into transportation decarbonization (with 50% supporting low-income communities), and rules to stabilize credit markets. The bill also requires coordination with other jurisdictions' climate programs and prohibits discrimination against out-of-state fuels. (Note: Bill status is "postponed indefinitely" as of June 3, 2025.)