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Bill

Bill

SB 377

Biomethane procurement targets.

2025-2026 Regular Session Introduced by Tim Grayson

SB 377 mandates California utilities to procure increasing percentages of renewable biomethane, transitioning natural gas supply toward lower-carbon sources to meet climate emissions reduction targets.

April 7 set for first hearing canceled at the request of author.
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Bill Summary · SB 377

Legislative bill overview

SB 377 establishes biomethane procurement targets for California, requiring utilities or the state to source increasing percentages of natural gas supply from renewable biomethane sources. The bill sets mandatory timelines for meeting these targets, likely phasing in requirements over several years to transition away from conventional fossil fuel-based natural gas.

Why is this important

Biomethane—methane derived from organic waste, wastewater, or agricultural sources—offers a lower-carbon alternative to conventional natural gas while using existing pipeline infrastructure. This bill directly supports California's climate goals by reducing greenhouse gas emissions from the natural gas sector, which currently represents a significant portion of the state's energy-related emissions. It also creates economic incentives for waste-to-energy projects and renewable energy development.

Potential points of contention

  • Cost implications: Biomethane is currently more expensive than conventional natural gas; mandatory procurement targets could increase utility rates for consumers, disproportionately affecting lower-income households
  • Supply feasibility: California may lack sufficient biomethane production capacity to meet aggressive targets, potentially requiring imports or creating market distortions
  • Timing and phase-out concerns: Some argue the targets don't go far enough toward full decarbonization, while others contend rapid timelines undermine natural gas industry viability and grid reliability

Compiled from official sources — confirm details with the bill’s official record.

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