California readies stringent fuel standards

The San Francisco Chronicle reports:

In a move that could spur nationwide action, California regulators are poised to order sweeping changes in the fuel sold within the state, discouraging oil use and boosting alternatives such as ethanol, biodiesel and natural gas as a way to fight global warming.

The California Air Resources Board is expected to approve on Thursday a far-reaching rule called the Low Carbon Fuel Standard, the biggest step yet in the state's campaign to slash greenhouse gas emissions.

Starting in 2011, the standard would steadily lower the allowable "carbon intensity" of fuels, the amount of greenhouse gases released for every unit of energy produced. By 2020, fuel refiners and distributors within the state would have to cut the carbon intensity of their fuels by 10 percent.

California would rather send business elsewhere.