Exempting emissions associated with lubricants from coverage under the cap and invest program.

HB 2642 exempts emissions from lubricants (and certain other fuel products) combusted outside Washington from the state's cap-and-invest program requirements. It amends the definition of "covered entities" under Washington's climate law to exclude emissions associated with lubricants produced or imported for use outside the state. This means companies manufacturing or importing lubricants that are shipped out of Washington for combustion elsewhere would no longer have those emissions counted toward the 25,000 metric ton CO2e threshold that triggers participation in the cap-and-invest program. The bill directly affects lubricant producers and importers whose products are delivered outside Washington for end-use. This change reduces reporting obligations for these entities under the program's current structure.