Governor Schwarzenegger Re-Affirms California’s Superiority in the Battle For Cleaner Environment

The movement for a greener transportation system received a mega boost yesterday, when Schwarzenegger signed an Executive Order on Low Carbon Fuel Standard (LCFS) to reduce the level of greenhouse gases emitted by the automobiles.

This bold step makes the State of Californian a pioneer of sort in the battle against global warming and definitely becomes an eye-opener for the other US states. The right backdrop has already been there in the form of Global Warming Solutions Act of 2006, aimed at curbing the greenhouse gas emissions.

What does the order aim to achieve?

Schwarzenegger in his Executive Order tried to portray the magnanimity of the pollution in the state—it was noted that California’s 24 million registered cars consumed 16 billion gallons of gasoline in 2005. The amount is even greater than the total fuel consumption of Japan having a population four times greater than that of California. The reason behind this high level of fuel consumption has been attributed to the small percentage of hybrid-car usage in the state. So the immediate aim of the new fuel standard seems to encourage the use of hybrid cars in the state.

So what consequences are we to expect?

This new fuel standard holds deeper significance for the oil giants like Chevron and Exxon Mobil; they have to sell lower carbon containing fuel in the state. That can be done either by upgrading their production process or by blending ethanol in the fuel. The companies like Pacific Gas & Electric (PCG) that sell cleaner electricity or biofuels are sure to benefit from LCFS.

The Order comes with yet another boon: According to the Governor’s Order, the state’s Environmental Protection Agency will collaborate with the California Energy Commission, the Air Resources Board and the University of California to implement the program. According to a University of California estimate, this can increase Gross State Product by about $60 billion and create over 20,000 new jobs.

Reactions

The industry heavy weights generally display a mood of cooperation: PG&E along with chemicals giant DuPont were quick to issue their reactions welcoming the Governor’s green dream.

The hybrid enthusiasts have enough reason to rejoice: The LCFS demands a cut in gasoline consumption by 20 percent. To meet with the standard, you have to replace traditional cars with  more than 7 million hybrid cars in the coming days…opined Robert Sawyer, chairman of the California Air Resources Board.

The die hard fans of Schwarzenegger may hope to call him the President Schwarzenegger someday….till then three cheers for our Governor for his diehard efforts for a greener world!!