AB 32 Gas Compressor Station Cost Recovery Application

Wednesday, June 27, 2012

California Assembly Bill (AB 32) requires the reduction of statewide Greenhouse Gas (GHG) emissions to year 1990 levels by the year 2020. PG&E currently owns and operates six natural gas compressors at Burney, Delevan, Gerber, Hinkley, Kettleman and Topock compressor stations, which currently have GHG emissions over the threshold limits of 25,000 mtCO2e. (Metric tonne (ton) carbon dioxide equivalent.)

Compliance with the emissions cap regulation begins in 2013. On June 18, 2012, PG&E filed an application with the California Public Utilities Commission (CPUC) to recover the costs for our compressor station GHG compliance. View the Filing Application

If the application is authorized, there will be a small increase to California Gas Transmission's backbone transmission tariff. The projected impact to the rates is $0.0036/Dth in 2013, and $0.0048/Dth in 2014. The final rates for 2013 will not be available until late 2012, and it's important to note that this potential increase is only one component which makes up the total cost of rates.