On May 1, 2025, the Senate Budget and Fiscal Review Subcommittee No. 2 convened to discuss critical developments regarding California's carbon capture and utilization storage (CCUS) initiatives. The meeting highlighted the ongoing efforts to implement Senate Bill 905 (SB 905), which mandates the California Air Resources Board (CARB) to establish a comprehensive CCUS program aimed at achieving carbon neutrality by 2045.

A key focus of the discussions was the need for CARB to evaluate various carbon dioxide removal (CDR) technologies and develop robust monitoring and reporting schedules for CCUS projects. The legislation emphasizes the importance of protecting air quality and public health while minimizing pollution and environmental risks associated with these projects. Additionally, the subcommittee addressed the necessity for financial responsibility regulations and a streamlined permit application process to enhance transparency and efficiency in project management.

Despite the initial appropriation of resources in 2023, CARB representatives expressed concerns about the limited term resources allocated for the implementation of SB 905. They requested the legislature to approve permanent positions to ensure the effective execution of the bill's provisions. The representatives noted that the current limited term positions are set to expire next year, which could hinder progress and compliance with the requirements outlined in SB 905.

Senator McNerney, who has a vested interest in carbon sequestration projects within his district, underscored the urgency of developing regulations for carbon capture and sequestration. He acknowledged the geological advantages of the Delta region for permanent sequestration and emphasized the importance of pipeline safety in the context of these initiatives.

The discussions at the meeting reflect a critical juncture for California's environmental strategy, as the state seeks to balance ambitious climate goals with practical implementation challenges. The subcommittee's deliberations will likely influence the future of carbon management in California, with significant implications for public health, environmental protection, and the state's overall climate strategy. As the legislature considers the request for permanent staffing and regulatory timelines, the outcome will be pivotal in shaping the state's approach to carbon neutrality.