Oregon House Passes HB 2020

On Monday June 17, the Oregon House passed HB 2020, the Clean Energy Jobs Act, which establishes the Oregon Climate Action Program. This program sets an economy-wide greenhouse gas (popular shorthand: carbon) emissions cap to meet the state’s climate goals. Additionally, HB 2020 establishes flexible and effective compliance mechanisms, coupled with provisions to protect our low-income neighbors and communities most directly impacted by climate change.

CUB provided a great deal of input on how the electric and natural gas sectors would be treated under the bill. Our goal has been to ensure that utility bills remain affordable, low income customers are protected, and consumers have additional tools, such as more access to energy efficiency, renewables, and electric vehicles (EVs) to help reduce their own carbon emissions.

In CUB’s view, HB 2020 is the most pro-consumer approach to comprehensive carbon regulation that we have seen. Extensively researched, and incorporating careful consideration of local circumstances, HB 2020 is designed to address the needs of Oregon businesses and households.

Particularly important to CUB are the numerous provisions to protect consumers and keep energy affordable, even as the legislation puts a price on carbon:

• HB 2020 is designed to complement Oregon’s existing carbon mandates on the electric sector. Oregon’s major electric utilities are already required to eliminate coal by 2030, meet half their load with new renewables by 2040, and invest in energy efficiency programs, battery storage, and EV infrastructure. As long as the utilities meet these mandated requirements, they will not have to purchase additional carbon allowances through 2030. After 2030, their free allowances will decline, forcing these electric utilities to continue to clean up their systems while keeping service affordable.
• HB 2020 is designed to ensure that Oregon continues to develop EV infrastructure, making EVs an affordable transportation alternative for Oregon families.
• HB 2020 is designed to ensure that natural gas equipment become more efficient, while the gas supply itself becomes cleaner and, overall, remains affordable. HB 2020 includes natural gas customer protections, particularly for low income households. It requires that additional energy efficiency programs be developed and that all customers receive rebates to offset some additional costs. And it requires that gas companies innovate by expanding their use of renewable natural gas (i.e. gas produced by waste treatment facilities and landfills).
• HB 2020 provides rebates, available to low- and medium-income Oregonians, to offset any increase in gasoline costs resulting from this legislation.

CUB was proud to join over 50 other organizations in signing onto a floor letter of support for HB 2020. The bill now moves toward a floor vote in the Senate – stay tuned to the CUB Blog for further updates!

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