Schwarzenegger isn't stopping with AB 32

Apparently, reducing overall emissions by 25% isn't enough! The Governer has decided to tackle the fuel industry as well which makes up a significant portion of California's emissions.
The article below outlines Schwarzenegger's plans to announce a mandate to reduce fuel emissions by 10%, resulting in a decline in overall gas comsumption as well as a boom in the alternative fuel industry. Who knows? Maybe we'll start seeing biodeisel stations popping up next to every McDonalds!

Next Schwarzenegger target: fuel emissions

By Marc Lifsher, Times Staff WriterJanuary 9, 2007

SACRAMENTO — Escalating California's battle against global warming, Gov. Arnold Schwarzenegger is expected to announce today that he will order a 10% cut in motor vehicle emissions of greenhouse gases, mainly carbon dioxide.

Under the proposal, petroleum refiners and gasoline sellers would be ordered to reduce the carbon content of their fuels over the next 13 years.

The order could also usher in a new generation of alternative fuels in California, experts say, as refiners consider adding ethanol or other biofuels into gasoline blends. It could also mean a shift of part of the state's auto fleet to hydrogen or electric power.

Experts have said the changes could mean an increase in fuel prices over the years, but industry officials declined to comment Monday.

"Basically, California is signaling the beginning of a whole new era for fuels and for renewable energy," said Fred Krupp, president of Environmental Defense, a New York-based activist group.

Schwarzenegger plans to include the environmental proposal as part of his annual State of the State address. Contents of the planned executive order were disclosed to The Times by industry sources and confirmed by administration officials familiar with the plan.