This page updated on July 26, 2018

AB 32 Cost of Implementation Fee Regulation (HSC 38597)

Background Information

On September 27, 2006, Assembly Bill 32 (AB 32), the Global Warming Solutions Act of 2006 was signed into law.  AB 32 established a first-in-the-world comprehensive program of regulatory and market mechanisms to achieve real, quantifiable, and cost-effective reductions of greenhouse gas (GHG) emissions needed to reach 1990 levels by 2020.  AB 32 also authorized the Air Resources Board (Board) to adopt a schedule of fees to be paid by sources of GHG emissions.  These fees are used to fund costs directly related to state agencies' development, administration, and implementation of AB 32 programs that reduce GHG emissions.

ARB adopted the AB 32 Cost of Implementation Fee Regulation (Fee Regulation) following a public hearing on September 25, 2009.  The Fee Regulation became effective on July 17, 2010 and was subsequently amended in 2011, 2012, and 2014 to better align it with the Mandatory Reporting Regulation and theCap-and-Trade Regulation.  Fee invoices were generated beginning with fiscal year 2010-11. 

Reporting Requirements

Businesses and facilities subject to the Regulation are required to report, as applicable: gallons of transportation fuels supplied or imported, therms of natural gas delivered to end users from natural gas utilities and intrastate pipelines, therms received from interstate pipelines, megawatt hours delivered to the California transmission and distribution system, and emissions and fuels data.  All entities must report billing address and contact information.  All new and existing data and information reported must be certified to be true, accurate, and complete for the purpose of invoicing under the Fee Regulation.

All required data must be reported using the California Electronic Greenhouse Gas Reporting Tool (Cal e-GGRT).

For information on how to establish a new Cal e-GGRT account, contact staff at ghgreport@arb.ca.gov and provide your name, the name of the facility or power entity required to report, and the type of emissions and fuels data you will be reporting.

Fee Invoices

ARB sends invoices to Fee Payers approximately 30 days after the fiscal year’s budget has been signed by the Governor. Invoices are determined for each fiscal year based on the most recently validated emissions and fuels data reported into Cal e-GGRT during a calendar year. Fiscal year 2018-19 invoices were calculated from emissions and fuels data reported into Cal e-GGRT for calendar year 2016.

AB 32 Cost of Implementation Fee Regulation Fact Sheet

• Fact Sheet

AB 32 Cost of Implementation Fee Regulation Total Required Revenue 

• Funding and Common Carbon Cost