The Minnesota state capitol building at sunset

Automakers, EV, biofuel, and environmental advocates back bicameral legislation with mandatory carbon reduction targets for all Minnesota-supplied fuels

March 9, 2023, MINNEAPOLIS—A diverse coalition representing automakers, electric vehicle (EV) manufacturers and charging providers, biofuel producers, and clean energy and conservation advocates is endorsing new bicameral legislation that would implement a clean transportation standard statewide in Minnesota. If enacted, the legislation would establish the strongest such state standard in the nation.

A broad range of stakeholders support the Clean Transportation Standard Act, which would direct the commissioner of the Minnesota Pollution Control Agency to establish a statewide clean transportation standard requiring a reduction of the carbon intensity of Minnesota’s transportation fuels by at least 25 percent below 2018 levels by 2030, 75 percent by 2040, and 100 percent by 2050.

The bill is more ambitious than previous versions introduced in the state legislature, reflecting both a changing political environment and the recognition of more heightened action needed to combat heat-trapping emissions from the transportation sector. This year’s bill has also garnered additional support from environmental protection advocates, providing greater momentum for action this legislative session.

The lead authors are Minnesota Senate Transportation Committee Chairman Scott Dibble (DFL) and Representative Jeff Brand (DFL). The bill will be discussed at a March 9 hearing in the Minnesota Senate State and Local Government and Veterans Committee.

“The Clean Transportation Standard Act will provide the framework Minnesota needs to decarbonize our transportation sector,” Senator Dibble said. “It will engage the fossil fuel industry in the clean energy transition and benefit communities that have been most harmed by transportation pollution.”

“Addressing the climate crisis requires an ‘all-of-the-above’ approach to decarbonization,” Representative Brand said. “This Act will support innovation and economic development in agriculture and biofuels, put more electric cars on the roads, and invest in harder-to-electrify sectors like trucking and aviation.”

“We have a unique opportunity to act now given political momentum in Minnesota and federal investments in clean fuels which will complement the benefits of state action and attract investments to our state,” Minnesota Future Fuels Coalition members wrote Senate State and Local Government and Veterans Committee leaders on March 8.

Earlier this session, the Minnesota legislature approved a landmark 100 percent clean electricity standard. Addressing emissions from the transportation sector is a logical next step as this sector has become the largest source of greenhouse gas emissions in Minnesota, and emissions from burning petroleum-based fuels in cars and trucks are the main contributors.

“We don’t have time to waste: passage of this legislation should be a priority in this legislative session,” said Brendan Jordan, vice president for Transportation and Fuels at the Great Plains Institute, which is facilitating the coalition. “While Minnesota remains behind schedule in achieving transportation greenhouse gas reduction and clean fuel adoption goals, passage of the Clean Transportation Standard Act would help get the state back on track and establish Minnesota as a national leader in climate policy.”

While similar policies are in place in several jurisdictions already and statewide legislation is pending this year in New Mexico and Illinois, this would be the first statewide clean transportation standard in the Midwest and the strongest and most comprehensive in the United States.

The requirement accounts for greenhouse gas emissions from “well-to-wheels”—including production, transportation, and end use—and incentivizes fuel producers to reduce emissions along the supply chain. It would also support increased deployment of alternative fuels, including electricity and hydrogen, and provide incentives to lower the carbon intensity of existing biofuel production.

The legislation would set a performance-based standard and does not rely on technology mandates. Clean fuels are defined as any that have a lower carbon intensity than what is required in the standard, which can include electricity for transportation fuel, ethanol, biodiesel, renewable diesel, renewable propane, renewable natural gas, hydrogen, sustainable aviation fuel, and others.

A clean transportation standard in Minnesota would also lead to significantly increased funding for transportation electrification. Top EV and charging infrastructure providers ChargePoint, Tesla and Rivian support the new standard. The Alliance for Automotive Innovation, which includes global-leading automakers and their suppliers, is also supporting the standard.

ICF modeling indicates a clean transportation standard could contribute more than $197 million to Minnesota’s gross domestic product, generate an annual average of 1,500 jobs and $95 million in labor income, and result in net benefits to gasoline users and the trucking sector. Fuel consumers will enjoy more choice and have increased access to cleaner fuels that are often available at a lower cost.

Other members of the Minnesota Future Fuels Coalition supporting a Minnesota Clean Transportation Standard include the American Coalition for Ethanol; Amp Americas; Christianson, PLLP; Clean Energy Economy Minnesota; ClearFlame; Coalition for Renewable Natural Gas; Comstock, Inc.; Conservation Minnesota; Delta; Dovetail Partners; Electrification Coalition; Electrify America; Fresh Energy; Gevo; Koda Energy; Nature Energy, NGV America; Oberon Fuels; Plug In America; Rahr Energy; Partnership on Waste and Energy; Renewable Fuels Association; Union of Concerned Scientists; and ZEF Energy.

About the Minnesota Future Fuels Coalition

The Minnesota Future Fuels Coalition, facilitated by the Great Plains Institute, is a broad coalition of stakeholders working together to implement the Minnesota Clean Transportation Standard Act, which is a clean fuels policy tailored to Minnesota. Coalition members include producers and marketers, electric utilities, environmental nonprofits, auto manufacturers, and agriculture and industry groups.

 

About the Great Plains Institute

A nonpartisan, nonprofit organization, the Great Plains Institute is transforming the energy system to benefit the economy and environment. Working across the US, we combine a unique consensus-building approach, expert knowledge, research and analysis, and local action to find and implement lasting solutions. Our work strengthens communities and provides greater economic opportunity through creation of higher-paying jobs, expansion of the nation’s industrial base, and greater domestic energy independence while eliminating carbon emissions. Learn more at www.betterenergy.org.

 

Media Contact:

Darren Goode

[email protected]

(202) 550-6619

 

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