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CC - CONSENT ITEM: Approval of an Amendment to an Existing Agreement with Clean Energy Renewables for the Provision of Renewable Natural Gas and Management of Associated Environmental Credits to Extend the Contract Term Through September 30, 2023.
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Meeting Date: June 26, 2023
Contact Person/Dept.: Allison Cohen/Transportation
Phone Number: 310-253-6543
Fiscal Impact: Yes [X] No [ ] General Fund: Yes [ ] No [X]
Attachments: Yes [ ] No [X]
Commission Action Required: Yes [ ] No [X]
Public Notification: (E-Mail) Meetings and Agendas - City Council (06/22/023)
Department Approval: Diana Chang, Chief Transportation Officer (06/14/2023)
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RECOMMENDATION
Staff recommends the City Council approve an amendment to the existing agreement with Clean Energy Renewables for the provision of renewable natural gas and the management of associated environmental credits to extend the contract term through September 30, 2023.
BACKGROUND/DISCUSSION
The California Air Resources Board (CARB) developed the Low Carbon Fuel (LCFS) program in compliance with AB 32 (the Global Warming Solutions Act of 2006) to reduce the carbon intensity of transportation fuels used in California thereby reducing greenhouse gas (GHG) emissions in California's transportation sector. Under this program, each metric ton of CO2 reduced generates one LCFS credit. In July 2016, City Council approved an agreement with Clean Energy for the purchase and delivery of Clean Energy Redeem 100% Renewable Natural Gas (RNG) and consulting services for the management of the City's participation in the Low Carbon Fuel Standard Program for a five-year term. Clean Energy and the City of Culver City executed a natural gas commodity and Renewable Natural Gas supply agreement on May 17, 2018 for a Delivery Period defined as June 1, 2018 through June 1, 2023. Per the contract, the Delivery Perio...
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