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WashingtonHB 24162025-2026 Regular SessionHouse

Concerning fair treatment of waste to energy facilities under the climate commitment act.

Sponsored By: Natasha Hill (Democratic)

Signed by Governor

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Bill Overview

Analyzed Economic Effects

4 provisions identified: 0 benefits, 2 costs, 2 mixed.

Carbon allowance limits for shuttered waste plants

Beginning June 11, 2026, covered waste-to-energy plants face allowance limits when they close or stop all production. When a plant stops production in Washington and closes, Ecology withholds or withdraws its relevant share of allowances. Unused allowances go to the emissions containment reserve. A plant that stops all production without closing keeps existing allowances but cannot trade, sell, or transfer them. It must still meet emissions-reduction rules and receives no free allowances during that shutdown.

Utility carbon allowance deadline and limits change

Beginning June 11, 2026, Ecology’s deadline for setting electric utilities’ free allowance schedule moves from October 1, 2028, to October 1, 2030. The schedule covers consumer-owned and investor-owned utilities for compliance periods within 2031–2045. Ecology cannot give utilities allowances for emissions tied to electricity from a waste-to-energy plant that has its own carbon compliance obligation. These rules do not set household electricity rates.

Older waste plants must plan pollution cuts

By December 1, 2030, owners or operators of waste-to-energy plants built before 1992 must submit two-part plans to Ecology and Commerce. Plans must cover greenhouse gas cuts consistent with state limits for 2040 and 2050, plus waste reduction and material recovery. The waste plans must follow state waste-management priorities and account for organics policies and local solid waste plans. Owners or operators must consider social, environmental, and health effects on overburdened communities and vulnerable people, and consult local municipal climate or sustainability advisory bodies. After agency review, they must address comments, finalize plans within 120 days, and take reasonable steps to carry them out.

Free carbon allowances for older waste plants

Waste-to-energy plants built before 1992 get free carbon allowances for 2027–2030 if they meet federal laws and state air-quality standards. The baseline is average annual emissions during 2021–2025. Allocations equal 100% of that baseline in 2027–2028, 93% in 2029, and 86% in 2030. Plants must auction 40% of these allowances; proceeds can fund only facility emissions cuts through written proposals approved by Ecology. Plants can save unused allowances and use offset credits for up to 100% of their 2027–2030 compliance obligation. They must obtain extra compliance instruments when emissions exceed free allowances, and free allowances plus offsets cannot exceed their obligation.

Sponsors & Cosponsors

Sponsor

  • Natasha Hill

    Democratic • House

Cosponsors

  • Andrew Engell

    Republican • House

  • Clyde Shavers

    Democratic • House

  • Edwin Obras

    Democratic • House

  • Jenny Graham

    Republican • House

  • Lisa Parshley

    Democratic • House

  • Shaun Scott

    Democratic • House

  • Strom Peterson

    Democratic • House

  • Suzanne Schmidt

    Republican • House

  • Timm Ormsby

    Democratic • House

Roll Call Votes

All Roll Calls

Yes: 182 • No: 60

House vote • 3/11/2026

Final Passage as Amended by the Senate

Yes: 76 • No: 20 • Other: 2

Senate vote • 3/4/2026

3rd Reading & Final Passage as Amended by the Senate

Yes: 39 • No: 10

House vote • 2/17/2026

3rd Reading & Final Passage

Yes: 67 • No: 30 • Other: 1

Actions Timeline

  1. Effective date 6/11/2026.

    3/25/2026House

  2. Chapter 216, 2026 Laws.

    3/25/2026House

  3. Governor signed.

    3/25/2026legislature

  4. Speaker signed.

    3/12/2026legislature

  5. President signed.

    3/12/2026legislature

  6. Delivered to Governor.

    3/12/2026legislature

  7. Passed final passage; yeas, 76; nays, 20; absent, 0; excused, 2.

    3/11/2026House

  8. House concurred in Senate amendments.

    3/11/2026House

  9. Third reading, passed; yeas, 39; nays, 10; absent, 0; excused, 0.

    3/4/2026House

  10. Rules suspended. Placed on Third Reading.

    3/4/2026House

  11. Committee amendment(s) adopted as amended.

    3/4/2026House

  12. Placed on second reading by Rules Committee.

    3/3/2026House

  13. Minority; without recommendation.

    3/2/2026House

  14. Minority; do not pass.

    3/2/2026House

  15. WM - Majority; do pass with amendment(s).

    3/2/2026House

  16. Passed to Rules Committee for second reading.

    3/2/2026House

  17. Referred to Ways & Means.

    2/25/2026House

  18. And refer to Ways & Means.

    2/24/2026House

  19. ENET - Majority; do pass with amendment(s).

    2/24/2026House

  20. First reading, referred to Environment, Energy & Technology.

    2/19/2026House

  21. Third reading, passed; yeas, 67; nays, 30; absent, 0; excused, 1.

    2/17/2026House

  22. Rules suspended. Placed on Third Reading.

    2/17/2026House

  23. Floor amendment(s) adopted.

    2/17/2026House

  24. Rules Committee relieved of further consideration. Placed on second reading.

    2/17/2026House

  25. 2nd substitute bill substituted.

    2/17/2026House

Bill Text

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