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A report issued by CoBank's Knowledge Exchange explains how California's Low Carbon Fuel Standard and Cap-and-Trade programs have helped successfully spur the development of dairy digester projects within the state. According to the report, California's 1.4 million dairy cows are the state's largest source of methane. In 2017, the state set a goal to reduce dairy manure methane emissions by 40% below 2013 levels by 2030. State law currently prohibits methane regulations on dairies and cattle farms until 2024. As a result, California has used a carrot approach to help incentivize the development of on-farm dairy digesters that process manure and generate renewable natural gas (RNG).
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