WA SB5698

Municipal gas utilities with emissions under 27,000 metric tons of CO2 equivalent in any year before 2022 may elect an alternative emission reduction pathway instead of remaining covered entities under the Climate Commitment Act

Utilities must submit written notice and an approved plan to the Department of Ecology by September 1, 2025, and would be relieved of their compliance obligation as of December 31, 2025

Alternative plans must reduce covered emissions below 22,500 tons of CO2 equivalent by 2030 and maintain that level thereafter, with expenditures at least equal to what would have been spent on compliance

Utilities failing to meet the 22,500-ton target by 2030 revert to covered entity status for the third compliance period and must submit penalty compliance instruments for each uncovered ton from 2026-2030

Amends RCW 70A.65.080 and 70A.65.130 to incorporate the alternative pathway exception for eligible municipal gas utilities