Check again tomorrow.I had never seen blue smoke coming from my tailpipe before but then again im slightly colorblind.Bizarre. I am unaware of a stipulation that the exhaust be clear visually; only that it measure OK and that the car be OK as far as components present visually -- and those components must work. Don't exclude getting a second opinion IMO.Car did pass emissions.People wreck these cars all the time, and the stock turbo can also be rebuilt if that is the problem.After they inspected the car, the said the blue smoke was coming from the Turbo leaking oil. They said that i would need to replace the Turbo so the blue smoke will subside and i will then pass smog.It is larger and ostensibly of lower quality. I would not do this.I suggested the AMAzon turbo because as i was told by the shop the problem is with the actual turbo.
Tomorrow, after warming up the car, check for smoke yourself. Have a friend rev the motor to 3K or so gently and see what happens. Have them idle it, rev it, idle again, etc. and look for smoke. Then act accordingly (second opinion).