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AB 881 would let state fire marshal set safety rules to lift moratorium on carbon‑capture pipelines; environmental justice groups warn of residual risk

5418975 · July 16, 2025
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Summary

AB 881 would authorize the State Fire Marshal to adopt safety standards for CO2 pipelines so California can lift a moratorium and allow carbon‑capture projects under state safety rules; utilities support the approach while environmental justice groups warn about siting and emergency risks.

Assemblymember Cottie Petrie‑Norris presented AB 881, which would direct the California State Fire Marshal to adopt safety regulations for new carbon‑dioxide (CO2) pipelines, allowing the state to lift its 2022 moratorium on new pipelines and enable carbon capture, utilization and storage (CCUS) projects to proceed under state standards.

Laura Lewis of the Sacramento Municipal Utility District said CCUS is one pathway to help SMUD reach a 0‑carbon power supply target because it can provide dispatchable low‑carbon energy. "We believe existing clean technologies will get us to 90% of the way there. To reach that remaining 10% while still maintaining reliable and affordable service, we need emerging technologies such as carbon capture and storage," she said.

Scott Wetsch, representing building trades and utility workforce groups, told the committee that the fire marshal would establish baseline safety rules that the lead local agency would implement during CEQA review and permitting, and that the bill explicitly subjects new pipelines to CEQA and precludes re‑use of existing pipeline infrastructure for CO2.

Environmental justice groups and conservation organizations opposed or remained concerned. Marie Lou of the Central California Environmental Justice Network cited a 2020 CO2 pipeline rupture in Mississippi that sickened residents and first responders and urged that the state avoid building pipelines where the risk to people and hospitals would be unacceptable. "This bill will not require the lead agency to identify key factors such as exposure duration or community vulnerability," she told the committee.

Committee amendments make the State Fire Marshal the lead for statewide safety regulations and reaffirm CEQA review and local lead‑agency mitigation authority; the bill passed committee as amended. Supporters stressed that federal 45Q tax credits for captured carbon make projects time‑sensitive and that state action is needed because the federal rulemaking was stalled. Opponents urged stronger siting restrictions, community protections and explicit bans on pipelines near sensitive receptors.