Washington State

House of Representatives

Office of Program Research

BILL

ANALYSIS

Environment & Energy Committee

SSB 5588

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

Brief Description: Authorizing the production, distribution, and sale of renewable hydrogen.

Sponsors: Senate Committee on Environment, Energy & Technology (originally sponsored by Senators Hawkins, Palumbo, Ericksen, Van De Wege, Fortunato, Short, Billig, Hobbs, Braun, Takko, Warnick, Sheldon, Wagoner, Hunt, Das, Zeiger, Wellman, King, Nguyen, Hasegawa, Kuderer, Bailey, Rivers, Holy, Wilson, L., Padden, Walsh, Dhingra, Frockt, Keiser, Liias, O'Ban and Wilson, C.).

Brief Summary of Substitute Bill

  • Authorizes a public utility district to produce, use, and sell renewable hydrogen.

Hearing Date: 3/14/19

Staff: Nikkole Hughes (786-7156).

Background:

Public utility districts (PUDs) are municipal corporations authorized to provide electricity, water, sewer, and wholesale telecommunications services. A PUD is authorized to produce and distribute biodiesel, ethanol, and ethanol fuel blends for use in internal operations and for sale or distribution. A PUD may also produce renewable natural gas (RNG) and use it in internal operations or sell it at wholesale or directly to certain end-use customers through a gas pipeline or in pressurized containers. A PUD may sell RNG at wholesale or to an end-use customer through a pipeline directly from RNG production facilities to facilities that compress, liquefy, or dispense compressed natural gas or liquefied natural gas fuel for end use as a transportation fuel.

Summary of Bill:

A PUD may produce renewable hydrogen and use it in internal operation or sell it at wholesale or directly to certain end-use customers through a gas pipeline or in pressurized containers. A PUD may sell renewable hydrogen at wholesale or to an end-use customer through a pipeline directly from renewable hydrogen production facilities to facilities that compress, liquefy, or dispense renewable hydrogen fuel for end use as a transportation fuel. A PUD may also sell renewable hydrogen at wholesale or to an end-use customer in pressurized containers directly from renewable hydrogen production facilities to facilities that utilize renewable hydrogen as a nonutility related input for a manufacturing process.

"Renewable hydrogen" means hydrogen produced using renewable resources both as the source for the hydrogen and the source for the energy input into the production process. "Renewable resource" includes water, wind, solar energy, RNG, renewable hydrogen, or biomass energy.

Appropriation: None.

Fiscal Note: Available.

Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.