WashingtonFuel sellers would face climate compliance and contract rules
Beginning January 1, 2027, fuel sellers would need climate-program registration or supplier records to qualify for state and local government contracts.
What it does
Fuel sellers would enter the climate program at different emissions thresholds based on when they began selling fuel, with special rules for some transporters.
Starting January 1, 2027, fuel sellers would need program registration or proof of a registered supplier to qualify for state and local government contracts.
Some fuel uses would stay outside the climate program, including certain agricultural, aviation, watercraft, biomass, biofuel, and lubricant emissions.
Argument forRequiring registration or supply records for government fuel contracts could improve emissions tracking across fuel sellers.
Argument againstFuel sellers that cannot register or document an eligible supplier could lose access to state and local government contracts.
More detail
Certain fuel sellers would be treated as covered entities in the climate program. The rules cover sellers of gasoline, diesel, biodiesel, or propane, based on when they began selling and the amount of emissions tied to fuel supplied in Washington. Sellers that began before January 1, 2023, generally meet a 25,000-metric-ton emissions threshold. Sellers that began on or after January 1, 2023, generally meet a 500-metric-ton threshold. A seller that transports all covered fuel in its own qualifying vehicles and began before January 1, 2024, may use the 25,000-metric-ton threshold instead. The Department of Ecology may change these thresholds by rule when needed to meet program goals or reduce major market distortions. The fuel-seller coverage rules apply beginning with the second compliance period, using emissions reported for calendar years beginning in 2027 or later.
Fuel sellers would need climate-program registration or supply records to receive state or local government contracts. The requirement covers sellers of gasoline, diesel, biodiesel, or propane seeking contracts from the state, state agencies, or municipalities. A seller may qualify by registering with the Department of Ecology as a covered or opt-in entity. A seller may instead provide records, such as invoices, showing that it bought the fuel from a registered covered or opt-in entity and that the fuel's emissions are covered. Municipalities include cities, counties, towns, special-purpose districts, and other state subdivisions or agencies. This contract eligibility requirement would begin January 1, 2027, and apply to contracts awarded by the state, state agencies, or municipalities.
The climate program would exclude specified fuel-related emissions from coverage. The exclusions include aviation fuel combustion, some watercraft fuel use outside Washington, certain agricultural fuel use, biomass and biofuel combustion, and lubricants. Farm fuel users must give sellers an exemption certificate in the required form. Before January 1, 2030, the farm-fuel exclusion applies whether the fuel propels a vehicle or not; beginning January 1, 2030, it applies only to fuel used to propel a vehicle. The Department of Ecology must maintain an expanded agricultural transport exemption through December 31, 2029. The lubricant exclusion begins January 1, 2027; the agricultural fuel rules change January 1, 2030, with the expanded transport exemption lasting through December 31, 2029.
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Where it stands
- Introduced
- Passed House
- Passed Senate
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2026
- Mar 30Effective date 6/11/2026.Latest
- Mar 30Chapter 251, 2026 Laws.Major
- Mar 30Governor Bob Ferguson partially vetoed.Minor
- Mar 12Delivered to Governor.To Governor
- Vote recorded 3rd Reading & Final Passage as Amended by the Senate (#10). Result: pass.Upper
- Vote recorded Final Passage as Amended by the Senate (#9). Result: pass.Lower
- Mar 12President signed.Major
- Mar 12Speaker signed.Passed Senate
- Mar 12Passed final passage; yeas, 57; nays, 38; absent, 0; excused, 3.Passed House
- Mar 12House concurred in Senate amendments.
- Mar 12Third reading, passed; yeas, 49; nays, 0; absent, 0; excused, 0.Minor
- Mar 12Rules suspended. Placed on Third Reading.Minor
- Mar 12Floor amendment(s) adopted.
- Mar 12Returned to second reading for amendment.
- Mar 12Rules suspended.
- Mar 12Senate receded from amendments.
- Mar 11House refuses to concur in Senate amendments. Asks Senate to recede from amendments.
- Mar 6Third reading, passed; yeas, 41; nays, 7; absent, 0; excused, 1.Minor
- Vote recorded 3rd Reading & Final Passage as Amended by the Senate (#15). Result: pass.Upper
- Mar 6Rules suspended. Placed on Third Reading.Minor
- Mar 6Committee amendment(s) adopted with no other amendments.
- Mar 5Placed on second reading by Rules Committee.Minor
- Mar 2Passed to Rules Committee for second reading.
- Mar 2Minority; without recommendation.Minor
- Mar 2WM - Majority; do pass with amendment(s).Minor
- Mar 2Executive action taken in the Senate Committee on Ways & Means at 10:30 AM.
- Feb 26Public hearing in the Senate Committee on Ways & Means at 1:30 PM.
- Feb 23Referred to Ways & Means.Minor
- Feb 20Minority; do not pass.Minor
- Feb 20And refer to Ways & Means.Minor
- Feb 20ENET - Majority; do pass with amendment(s).Minor
- Feb 20Executive action taken in the Senate Committee on Environment, Energy & Technology at 10:30 AM.
- Feb 18Public hearing in the Senate Committee on Environment, Energy & Technology at 8:00 AM.
- Feb 16First reading, referred to Environment, Energy & Technology.Minor
- Feb 12Third reading, passed; yeas, 57; nays, 38; absent, 0; excused, 3.Minor
- Vote recorded 3rd Reading & Final Passage (#30). Result: pass.Lower
- Feb 12Rules suspended. Placed on Third Reading.Minor
- Feb 12Floor amendment(s) adopted.
- Feb 122nd substitute bill substituted (APP 26).Major
- Feb 11Rules Committee relieved of further consideration. Placed on second reading.Minor
- Feb 9Referred to Rules 2 Review.Minor
- Feb 7Minority; without recommendation.Minor
- Feb 7Minority; do not pass.Minor
- Feb 7APP - Majority; 2nd substitute bill be substituted, do pass.Major
- Feb 7Executive action taken in the House Committee on Appropriations at 9:00 AM.
- Feb 5Public hearing in the House Committee on Appropriations at 10:30 AM.
- Jan 30Referred to Appropriations.Minor
- Jan 29Minority; without recommendation.Minor
- Jan 29Minority; do not pass.Minor
- Jan 29ENVI - Majority; 1st substitute bill be substituted, do pass.Major
- Jan 29Executive action taken in the House Committee on Environment & Energy at 8:00 AM.
- Jan 13Public hearing in the House Committee on Environment & Energy at 4:00 PM.
- Jan 12First reading, referred to Environment & Energy.Minor
- 2025
- Dec 30Prefiled for introduction.Introduced
Environment & EnergyGovernment & EthicsEconomy & Jobs