What you get
- How the LCFS compliance market works, and why every kilowatt-hour through a qualifying charger mints credits, quarter by quarter.
- What the credits are worth: roughly 4 to 6 cents per kWh dispensed at 2026 prices, plus capacity credits of about $70 to $80 per public nameplate kW per year for qualifying fast chargers.
- Who legally holds the claim on your site, and how to find the environmental-attributes clause in every agreement before you sign it.
- Three routes to the money: claim it yourself, hire an aggregator (with a directory of the firms), or let your charging network handle it.
- The design and compliance rules that decide eligibility: metering, the 50 kW capacity threshold, and the 2026 compliance bar.
How it was made
Compiled and fact-checked August 2026 from CARB regulation and guidance, 17 CCR, CPUC holdback rules, OPIS and CARB transfer reports, and aggregator materials. Informational only; not legal, tax or investment advice.
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From the report · How the market works
Read the opening
The Low Carbon Fuel Standard is a compliance market administered by the California Air Resources Board. It is not a voluntary offset scheme, and the two should not be confused.
CARB sets an annual carbon intensity benchmark for transportation fuels, measured in grams of CO₂e per megajoule. That benchmark declines every year, forcing the state's fuel mix to get progressively cleaner.
Fuels scoring below the benchmark generate credits. Fuels scoring above it generate deficits. Refiners and fuel importers holding deficits must buy credits to balance their books, which is what gives credits a market price. One credit represents one metric ton of CO₂e.
The full report continues with 12 more sections.
Get the full reportWho it is for
- Site hosts and charging operators in California with chargers already in the ground
- Installers and electrical contractors who want a credit line in every commercial proposal
- Fleet operators, developers, and consultants sizing LCFS revenue into a pro forma
What is inside
- 01How the market works
- 02Who holds the claim
- 03Three ways charging earns
- 04What a credit is worth
- 05What a site actually earns
- 06Route one: claim it yourself
- 07Route two: hire an aggregator
- 08The aggregator directory
- 09Route three: your network
- 10Designing for the credits
- 11The 2026 compliance bar
- 12Playbooks
- 13Beyond California
This document is educational reference, not engineering or legal advice.