Energy Update: Week of 11/27

Friends,

Welcome back from a great Thanksgiving Break and get ready to rumble. Before we get to the action though, you may have missed the big news from the HFC world while you were in a turkey haze on Thursday and Friday.  On Thursday in Montreal, the administration urged support for the new Kigali Amendment to the Montreal Protocol and said they would fund programs to administer it. This is an effort stakeholders, including the HVAC industry, has been supporting for a long time and can be great resources on the topic. Feel free to call Francis Dietz (703-969-6444) at AHRI for an additional background, interviews and additional resources.

This week is all about ethanol, the solar trade case and the clean power plan. Starting tomorrow in West Virginia, EPA will host two days of public hearings in Charleston to discuss repealing the paint the clean power plan and potential replacements Scott Segal and I will be in attendance as Scott testifies tomorrow. In his statement, Segal says an overly broad, unilateral federal program is not necessary – and worse yet uses federal fiat to remove the flexibility and pragmatism that the marketplace can provide in addressing greenhouse gases. The market achieves a careful balance of continued forward momentum in reducing emissions with the critical need to address consumer demand where it is most acute, and electric reliability and resilience.  Please feel free to ask your questions about the meeting and we will be happy to respond.

Secondly, after final sign offs just before the President launched to WPB Tuesday, energy lawyer Kevin McIntyre and Senate staffer Richard Glick cleared that last hurdle to take their seats at FERC.  A swearing-in ceremony could happen as soon as this week, filling the final vacancies at the commission.

On Capitol Hill we expect votes Wednesday on Kathleen Harnett white for CEQ and Andy Wheeler for Deputy at EPA.  Other hearings include a House Science Hearing on WOTUS tomorrow, a Wednesday before the House Energy and Commerce Subcommittee on Energy will be grid operators from California and the Mid-Atlantic and Midwest, as well as the former general counsel of FERC and NEPA reform hearing on Wednesday.

A ton of other good events around town starting tomorrow when SAFE holds a great event featuring at former EIA administrator Adam Sieminski at 4:30 p.m. with a reception to follow!!!!  Also, CSIS tomorrow morning hosts the “Status of Carbon Capture 2017” event which launches that annual report of the Global CCS Institute and features the first public speech by new DOE Assistant Secretary for Fossil Energy Steve Winberg. On Wednesday afternoon, the National Academies will review the 4th draft of the National Climate Assessment in an open meeting at the NAS building and the NYT hosts a Climate Summit in SanFran.  On Thursday at Noon, the Natural Gas Roundtable will host FERC Chairman Neil Chatterjee and R Street hosts a forum on Thursday in 122 Cannon featuring a discussion on clean energy with panelists from Microsoft, Advanced Energy Economy (AEE) and others.

Finally two big deadlines this week: 1) The US Trade Rep closes its comment period for the solar trade case prior to its public hearing next Tuesday (here is the ITC’s final staff report); and 2) Thursday’s annual RVO roll out from EPA which who knows what it will say this year given the public back and forth over the issue and the nomination hostage taking that has been occurring.  And keep an eye out for a potential White House meeting with refining-state Senators that was requested recently.

Call with questions.  Best,

 

Frank Maisano

(202) 828-5864

  1. (202) 997-5932

 

FRANKLY SPOKEN

“The United States believes the Kigali Amendment represents a pragmatic and balanced approach to phasing down the production and consumption of HFCs, and therefore we support the goals and approach of the Amendment. There are a number of steps in our domestic process that we would need to complete before reaching a final decision on transmittal of the Kigali Amendment to the U.S. Senate for its advice and consent. We have initiated the process to consider U.S. ratification of the Amendment.  ”

Remarks of Judith Garber, Principal Deputy Assistant Secretary of the Bureau of Oceans and International Environmental and Scientific Affairs at the State Department at the 29th Meeting of the Parties to the Montreal Protocol in Montreal, Canada.

“The Montreal Protocol is a model of cooperation. It is a product of the recognition and international consensus that ozone depletion is a global problem, both in terms of its causes and its effects. The Protocol is the result of an extraordinary process of scientific study, negotiations among representatives of the business and environmental communities, and international diplomacy. It is a monumental achievement.”

President Ronald Reagan upon signing the Montreal Protocol in 1987 as relayed by Garber in Montreal on Thursday.

IN THE NEWS

US to Push Forward on HFC Deal – The United States said they will contribute $37 million to support a shift to cleaner coolants, under a deal agreed in Montreal on Saturday as part of developed countries’ $540 million over three years.  In its 30th year, the Montreal Protocol has begun to pivot from its initial focus on the ozone layer to addressing the climate impact of chemicals used in fridges and air conditioners.  State department official Judith Garber said the US was starting the process to ratify the Kigali Amendment to the protocol, which sets a phasedown path for HFCs, a group of potent warming gases produced by these appliances, calling it a “pragmatic and balanced approach” to reducing HFCs’ “environmental impact”.  HVAC industry stakeholders strongly support the deal, seeing an opportunity to sell climate-friendly alternatives.  The Kigali Amendment will enter into force in January 2019, after Sweden became the twentieth country to ratify it on 17 November.

Coal Ash Recycling Reaches Record Level Amid Shifting Production, Use Patterns – The annual 2016 American Coal Ash Association survey on Production and Use says 56% of the coal ash produced during 2016 was recycled – establishing a new record and marking the second consecutive year that more than half of the coal ash produced in the United States was beneficially used rather than disposed.  According to ACAA’s survey, 60.2 million tons of coal combustion products were beneficially used in 2016 out of 107.4 million tons that were produced. Although the rate of ash utilization increased from 52 percent to 56 percent, the total volume of material utilized stayed about the same as production declined. Coal ash production volume declined 7% from 2015 levels as coal’s share of the electricity generation mix shrank in response to environmental regulations and competition from other energy sources. Coal ash utilization volume remained approximately level with the prior year.

What’s the Buzz? – Highlights of CCP production and use in 2016 include:

  • Use of coal fly ash in concrete declined 8% to 14.4 million tons. While down from 2015’s record utilization of 15.7 million tons, utilization remained well above the 13.1 million tons performance in 2014. The dip in 2016 utilization is attributed to some regional seasonal shortages of supply that resulted from power plant shutdowns and changing generating profiles.
  • Utilization of a key “non-ash” coal combustion product also declined. Synthetic gypsum is a byproduct of flue gas desulphurization units, also known as “scrubbers,” located at coal-fueled power plants. Use of synthetic gypsum in panel products (i.e. wallboard) decreased 19% to 9.9 million tons in 2016. The decrease is largely attributed to normal fluctuations in gypsum markets.
  • Synthetic gypsum use in agricultural applications – in which the gypsum improves soil conditions and prevents harmful runoff of fertilizers – also declined from 1.6 million tons to 772,000 tons.
  • Production of boiler slag remained level at 2.2 million tons. Approximately 1.3 million tons of boiler slag was utilized in the production of blasting grit and roofing granules.
  • For the first time, no utilities reported production of cenospheres – a very valuable form of ash mainly harvested from wet disposal impoundments. Production of this material dropped precipitously the year prior as impoundments began to close in response to EPA’s Final Rule for coal ash disposal.

DOE Looking at CAFE-like Rule for Appliances – The DOE is looking at an overhaul of its efficiency programs to allow more flexibility.  In a request for information late last week, the agency floated the idea of making efficiency standards more like corporate average fuel economy (CAFE) standards for vehicles. That could, in theory, allow efficiency trading, so that manufacturers, companies or industries could buy and sell and products below and above a given efficiency level to meet an overall average. AHRI said they are evaluating the plan and while please with DOE is looking at market-based flexibilities in appliance standards program, they remain cautious about a CAFE standards-type approach, given the experience of the auto industry.  AHRI is pleased DOE is taking a collaborative approach to potential changes to the appliance standards program, look forward to working with DOE on ways to establish flexibilities that make it easier for manufacturers to comply, while continuing to save energy for the nation.

ON THE SCHEDULE THIS WEEK

EPA to Hold CPP Public Hearing in WV – EPA will hold a public hearing regarding the withdrawal of the Clean Power Plan in West Virginia tomorrow and Wednesday.  EPA said it will convene two daylong sessions at the state capitol in Charleston. The agency said it “may also hold an additional hearing to be announced at a later date.”  EPA also extended the comment period on the proposal to Jan. 16, 2018.

CCS Report to be Released – The Global CCS Institute will release its annual Global Status of CCS: 2017 report launch tomorrow at 9:30 a.m. This year, the Institute is partnering with one of the top think tanks in the city, the Center for Strategic and International Studies, to promote and discuss the release of the Institute’s signature report, the globally recognized annual guide to the current progress and prospects for carbon capture and storage.  Speakers will include Global CCS’s Jeff Erikson and IEA’s Samantha McCulloch.

Senate Environment to Hear From TVA Board Nominees – The Senate Environment Committee will hold a hearing tomorrow at 10:00 a.m. on the nominations of Kenneth Allen, A.D. Frazier, Jeffrey Smith and James Thompson III to be members of the Board of Directors of the Tennessee Valley Authority.

House Science Look at States’ Role in WOTUS Rule – The House Science Energy Subcommittee holds a hearing tomorrow at 10:00 a.m. on the future of the Waters of the United States regulation, examining the role of states.

Forum to Look at Asia-Pacific Security – The Center for Climate and Security (CCS) hosts a high-level discussion on the security risks of climate change in the Asia-Pacific tomorrow at 10:00 a.m. This discussion will explore these risks, how US military installations, operations, and strategies in the region may be shaped by them, and their influence on US bilateral and multilateral relationships.

Tillerson to Speak at Wilson Center – The Wilson Center will host US Secretary of State Rex Tillerson tomorrow at 11:00 a.m. for an address on the future of U.S. relations with Europe by Secretary of State Rex Tillerson, followed by a conversation with Wilson Center President and CEO Jane Harman.

Heritage Hosts Climate Discussion – The Heritage Foundation hosts a discussion tomorrow at Noon on the long history and politics of climate activism. Speaker Rupert Darwell will address the topic.

CSIS to Release New Energy Report – The CSIS Energy & National Security Program will hold a presentation of its latest report, Energy and Development: Providing Access and Growth tomorrow at 1:30 p.m.  Based on findings from several workshops conducted by CSIS over the last two years, Energy and Development explores several of the most important shifts underpinning the energy access issue. By exploring the role of emerging economies as the primary drivers of future energy demand, the influence of sustainability and climate change concerns in crafting development strategies, and changes to how energy access and growth are measured, the report provides a unique survey of energy and economic growth in the developing world.  Sarah Ladislaw (CSIS) will present the report, followed by a panel discussion with Morgan Bazilian (World Bank; CSIS), Morgan Landy (International Finance Corporation), and Philippe Benoit (GIAS2050; CSIS). CSIS’s Erol Yayboke, co-author of the report, will moderate.

Forum on Tax Reform to Discuss Carbon Tax – The Brookings Institute will tomorrow at 2:00 p.m. regarding tax reform that will discuss a possible carbon tax. The Urban-Brookings Tax Policy Center, the Cross Brookings Initiative on Energy and Climate, congressional leaders, and top experts for a discussion on the prospects for tax reform and the potential to include a carbon tax in a broader bipartisan bill.   The event will feature a keynote address by Rep. John Larson and panelists include Niskanen’s Jerry Taylor and our friend Amy Harder of Axios.

SAFE Event to Feature Oil Discussion with Former EIA Head – Securing America’s Future Energy (SAFE) will host a panel discussion tomorrow at 4:30 p.m. at the National Union Building exploring how market uncertainty, underinvestment, geopolitical risk, OPEC intervention, rising global demand, and other market forces undermine oil market stability. The panel will discuss the likelihood of a return to high and volatile oil prices, implications for American economic and national security, and domestic policy solutions.  Moderated by our friend Ben Geman of Axios, the panel will feature former EIA Administrator Adam Sieminski – now at CSIS – and Jonathan Chanis, SAFE’s Senior Vice President of Policy.

USTR Reply Comments Deadline – Tomorrow, Tuesday, November 29th

California AG Hits Press Club – The National Press Club Newsmakers Committee will host California AC Xavier Becerra at a Headliners Newsmaker news conference Wednesday December 6th at 10:00 a.m. in the club’s First Amendment Lounge. The news conference will look at Cali’s two dozen lawsuits challenging the Trump Administration’s efforts to make changes that affect immigrant rights, civil rights, environmental standards and consumer protections. Becerra will discuss these legal actions and other issues and will be moderated by Los Angeles Times reporter Chris Megerian.

House Energy Panel to Look at Electricity Markets – The House Energy and Commerce Energy Subcommittee holds a hearing Wednesday at 10:00 a.m. on examining the role of financial trading in the electricity markets. Witnesses include NRG’s Chris Moser, PJM General Counsel Vince Duane, Wesley Allen of Red Wolf Energy Trading, Cal ISO’s Eric Hildebrandt, Max Minzner of Jenner & Block and FERC former general counsel Noha Sidhom, who now heads TPC Energy.

House Resources to Look at NEPA – The House Resources Committee holds a hearing On Wednesday at 10:00 on modernizing NEPA regulations for future issues.  Witnesses include Building Trades and Construction Council rep Mike Bridges, Converse County, Wyo. commissioner Jim Willox, Common Good chairman Philip Howard and former CEQ general counsel Dinah Bear.

API to Release STEM Study – The American Petroleum Institute will hold a lunch event Wednesday at 10:00 a.m. at George Washington University to showcase a new study on “STEM education and the energy workforce of the future.”

National Academies Review Climate Assessment – On Wednesday afternoon, the National Academies will review the 4th draft of the National Climate Assessment in an open meeting at the NAS building.

NYT to host Climate Summit – On Wednesday and Thursday in San Francisco at the Metreon, The New York Times will hold ClimateTECH, a groundbreaking summit that brings together influential leaders from key industries to assess bold, cutting-edge technologies that could help keep global warming below the two-degree threshold.  Hosted by top Times journalists, ClimateTECH’s focus on innovation will also encompass the dramatic changes downstream (in finance, policy, consumer behavior, infrastructure) that are vital for these new technologies to gain adoption and succeed.  The program will feature on-stage interviews with celebrated entrepreneurs and inventors along with policy makers, economists and subject-matter experts. Designed for an audience of decision-makers, ClimateTECH will also include an early-stage technology showcase of the newest innovations, along with other experiential activities.  The Speaker list is long, but it includes California Gov. Jerry Brown, Statoil’s Irene Rummelhoff, Chicago Mayor Rahm Emanuel, Tom Steyer and many others.

Solar Festival Set for Austin – The 2nd annual Solar Business Festival will be held on Wednesday and Thursday in Austin, Texas at the Thompson Conference Center. The two-day conference segment features a wide variety of sessions on, components of doing a solar and storage business in Texas, microgrids and energy storage, distributed grid, project financing, sustainable buildings, smart grids, solar initiatives and innovations, utility integration, community solar projects, policies, incentives and goals, market growth opportunities, regulatory framework, international solar market opportunities/challenges, sustainable farming and more.

CSIS Look at Zero-Emissions Fuels – The CSIS Energy and National Security Program is hosting a forum on Thursday at 8:00 a.m. onhydrogen, green shipping and zero-emission fuel in the maritime sector. The discussion will center on the development and implementation of hydrogen fuel technology, the important role it could play for shipping in the transition to a low-carbon future, and ongoing U.S.-Norwegian cooperation in the area.  Shipping accounts for more than 2% of worldwide greenhouse gas emissions today and is set to increase up to 17% by 2050. This session will explore the concrete cooperation and projects being pursued in Norway and the United States.  Norwegian Ambassador Kåre R. Aas will give introductory remarks, followed by a discussion with Elisabet Bøe (Sogn og Fjordane), Joseph Pratt (Sandia National Lab), Lars Endre Gimmestad (Brodrene Aa), and Martin Grimnes (Arcadia Alliance) on the present and future of hydrogen technology and what a low-carbon future for maritime transport may look like.

Forum to Look at Energy Crossroads – The Texas Public Policy Foundation and The Heritage Foundation host the “At the Crossroads IV: Energy and Climate Policy Summit” on Thursday.  The conversation will feature the world’s leading scientists, policymakers, entrepreneurs, and energy experts, who will gather to explore this turning point in energy history and the long-lasting potential it holds for America and beyond. Speakers include Sens. Jim Inhofe, Mike Lee, House Science Chair Lamar Smith and many others.

RFS RVO Deadline – Thursday, November 30th

Bernhardt to House Approps Committee – On Thursday at 9:30 a.m. in 2007 Rayburn, the House Appropriations Committee’s Subcommittee on Interior, Environment, and Related Agencies will convene a supplemental oversight hearing on the U.S. Department of the Interior featuring David Bernhardt, Deputy Secretary of the Interior of Interior.

Forum to Look at Climate, Military Readiness – The American Security Project holds a forum on Thursday at 10:30 a.m. where they will discuss the range of security threats posed by climate change, whether these regulations may ease those threats, and how we can build further resiliency and security into the future.

Chatterjee to Address NatGas Roundtable – On Thursday at Noon, the Natural Gas Roundtable will host FERC Chairman Neil Chatterjee as the guest speaker at the next luncheon.

R Street Hosts Clean Energy Event on Capitol Hill – R Street hosts a forum on Thursday in 122 Cannon featuring a discussion on clean energy with panelists from Microsoft, Advanced Energy Economy (AEE), the American Coalition of Competitive Energy Suppliers (ACCES) and Citizens for Responsible Energy Solutions  Across the country, clean energy is growing rapidly in states that allow customers to choose their electricity supplier. This system of ‘retail choice’ grants customers more options and allows them to generate their own energy on-site. Importantly, large corporations have been leading the charge for distributed energy generation, marking a refreshing intersection of conservative and green agendas.

RFF to Look at Energy Security – Resources for the Future (RFF) will host a forum on Thursday focused on the new realities on energy security given our shale resources.  This RFF seminar will open with a presentation from former Department of Energy official Howard Gruenspecht on the economic and political factors that have led to a very different oil security picture than the country faced decades ago. RFF President Richard Newell will present new research on how the shale oil boom has altered the flexibility of the US supply, as well as how price and inventory dynamics can inform Strategic Petroleum Reserve policy. RFF University Fellow Stephen Brown will then discuss an RFF project that produced new estimates for the value of the oil security premium—a key metric used in benefit–cost analyses of related regulations. RFF Senior Fellow Alan Krupnick will wrap up with a discussion of the new energy security paradigm, which broadens the definition of US energy security beyond oil to include natural gas, electricity, and other energy systems.

House Resources Tackles Geothermal Legislation – On Thursday at 2:30 p.m., the House Natural Resources Committee’s Subcommittee on Energy and Mineral Resources will hold a legislative hearing on geothermal exploration and three other bills focused on landslide hazards, geological mapping and volcanos early warning systems.  Witnesses include USGS Deputy Director David Applegate, Allyson Anderson Book of the American Geosciences Institute, Scott Nichols of U.S. Geothermal Inc. and Alaska State Geologist Steve Masterman.

Energy Awards to Be Presented to Community Leaders – Leaders in Energy will host its 4th annual “Four Generations of Leaders in Clean Energy & Sustainable Solutions Awards and Holiday Event.” The theme is “The Urgency of Now.” This year, Leader in Energy are recognizing people who are raising awareness and developing clean energy and sustainable solutions, with a visible sense of urgency.

IN THE FUTURE

Clean Edge, GridWise Alliance Host gridCONNEXT – GridWise Alliance and Clean Edge will host gridCONNEXT on December 4th through 6th in Washington, D.C. with hundreds of regulators, utility executives, corporations, and other industry stakeholders to explore the many grid modernization.

Forum to Look at Climate Diplomacy – The German Marshall Fund is holding a forum on next Tuesday at 5:30 p.m. for a discussion on the future of climate action in the United States, the role of cities and regions in implementing international climate policy, and the importance of strong transatlantic leadership in this area of global concern.  The speaker will be Tim Robinson, Chief Counsel of the House Committee on Energy and Commerce.

Solar Tariff Opponents to Weigh-in at Press Club – Opponents of tariffs on solar imports will hold a briefing on Tuesday December 5th at 9:30 a.m. at the National Press Club.  The event will feature solar industry advocates, as well as members of the Energy Trade Action Coalition like the National Electrical Contractors Association, utilities, retailers and Conservative free-trade groups. More next week.

USTR Hearing on Solar Trade Tariff – December 6th

WCEE to Host NatGas Leaders – The Women’s Council on Energy and the Environment (WCEE) will hold a forum on December 6th the role of natural gas in the economy.  Dena Wiggins, President and CEO of the Natural Gas Supply Association (NGSA), and Lori Traweek, Chief Operating Officer of the American Gas Association, will discuss how natural gas fits into our country’s energy future and how they rose to leadership in the energy world.

AEI to Host Ag Discussion – American Enterprise Institute will hold a forum on Wednesday, December 6th at 12:30 p.m. for a discussion on substantive reforms to US agricultural subsidy programs. AEI’s Vincent Smith will facilitate a discussion among these experts as they break apart the 2018 Farm Bill.  The event looks at the current state of the American farm sector.   In the newest papers of AEI’s “Agricultural Policy in Disarray” series, leading agricultural economists evaluate federal programs and regulations that affect conservation and the environment. Erik Lichtenberg will present his findings on conservation programs. Aaron Smith will discuss the future of the Renewable Fuel Standard. Nathan Hendricks will present his findings on the contentious debates between agricultural and environmental interests about the Clean Water Rule.

Wilson Forum Looks at Moving Villages – The Wilson Center will hold a forum on Wednesday December 6th at 1:00 p.m. looking at moving villages due to climate change.  The event will feature the Village of Newtok, a Yupik Eskimo community of 450, faces certain destruction from a slow-moving climate disaster.  The discussion with Newtok’s leadership will focus on their experiences and struggles to preserve their Yupik way of life on their historic subsistence lands.

Forum Looks at Future of Ag – The National Museum of Natural History and Resources for the Future will host a forum on Wednesday evening with Jesse Ausubel, Director and Senior Research Associate of the Program for the Human Environment at Rockefeller University, for a look into the future as he explores how precision agriculture and better sources of food and fuel can benefit the natural world.  Ausubel’s work covers forests and farms, marine and human life, energy and materials. He marries climate and Earth sciences to elaborate the vision of a large, prosperous society that spares large amounts of land and sea for nature and emits little or nothing harmful into the atmosphere. This event is presented by Resources for the Future with the Smithsonian Institution’s National Museum of Natural History as part of an ongoing series, Anthropocene: Life in the Age of Humans.

Pruitt to Head to House Energy Panel – The House Energy and Commerce Environment Subcommittee will hold a hearing on December 7th with EPA Administrator Scott Pruitt testifying.  The appearance will be Pruitt’s first before the Energy and Commerce Committee.

ASE Forum to Look at Biz Case for Energy Efficiency – The Alliance to Save Energy hosts a forum on Thursday, December 7th at 12:00 p.m. to discuss the business case for tax incentives promoting energy efficiency.  From residential retrofits to commercial-scale systems improvements, energy efficiency upgrades deliver massive benefits to consumers, businesses and taxpayers – creating jobs and economic activity, saving money, and reducing harmful emissions while strengthening U.S. energy security. Yet the U.S. tax code no longer contains meaningful tax incentives for energy efficiency. Hear directly from leading businesses and advocates about tax policies new and old that could advance this important cause – and the business case for getting them done as Congress looks at rewriting the tax code.

CSIS to Release World Oil Outlook – The CSIS Energy & National Security Program is hosting the U.S. launch of OPEC’s World Oil Outlook 2017 (WOO) on Thursday December 7th at 2:00 p.m.  The WOO is OPEC’s outlook for medium- and long-term oil supply, demand, and downstream to 2040, factoring in the latest developments in global oil markets and OPEC production adjustments. The analysis includes the impacts of worldwide shifts in demographics, emissions reductions, and technological development in the oil sector.  The presentation of WOO 2017 will be given by OPEC’s Al-Qahtani.

IPAA Exec to Address Energy Economists – The National Capital Area members of the US Assn of Energy Economist will host Fred Lawrence for their December 8th lunch.  Lawrence, VP at the Independent Petroleum Association of America, will discuss the outlook for U.S. oil and natural gas, including shale export trends over the past two years, focus on the Independents in a Sector and demand and geopolitical reality vs. ideology.

Paris Forum to Focus on Anniversary – Forum to French President Macron will host the One Planet Summit on December 12 in Paris, on the two-year anniversary of the Paris Agreement. The Summit will focus specifically on climate finance. Heads of State will be invited to attend this meeting.

Nuclear Weapons Triad Forum Set – The Advanced Nuclear Weapons Alliance Deterrence Center (ANWA DC) will host the Inaugural morning forum on Capitol Hill on December 12th.  The event will feature key Members of Congress representing nuclear triad communities at Air Force and Naval bases, and NNSA sites, The group will also outline a series of 11 more 2018 forums and roundtables with key government officials, industry leaders and suppliers, and academic experts on the triad issues of the day, Each of these events will tackle the nuclear triad’s emerging issues and challenges, while sharing the successes, in the ongoing nuclear weapons enterprise modernization.

The Last Jedi Hits Theaters – DECEMBER 15th

CSIS to Host World Coal Report – On December 18th at 1:30 p.m., CSIS will host the launch of the IEA’s new report analyzing coal’s recent trends and forecasting its demand, supply, and trade through 2022.  Coal remains world’s dominant fuel. Under pressure from decarbonization, cheaper alternatives, and geopolitical shifts in demand, coal continues to be one of the most pressing questions in energy.

API’s Annual State of Energy Address – January 4th (expected).

World Energy Outlook Set For Launch – On January 16th at 1:30 p.m., the CSIS Energy & National Security Program will host a forum and the U.S. launch of the International Energy Agency’s World Energy Outlook 2017. Fatih Birol, Executive Director of the IEA, will present the findings from the report.

Pruitt to Head to Senate Environment – The Senate Environment and Public Works Committee said EPA Administrator Scott Pruitt will appear before the Committee on Jan. 31, 2018, making his first return to the panel nearly a year after his confirmation.

Energy Update: Week of 11/20

Friends,

Happy Thanksgiving Week!!!!  So, as usual, you can expect some announcements – perhaps like the RVOs which are due at the end of the month, but always seem to find their way into pre-Thanksgiving roll out.

First off, special congrats to Jeff Holmstead’s son Eli, whose BYU Soccer team won the National Club Championship over the weekend by beating Cal-Poly 4-1 in Phoenix. Eli had 3 goals as the Cougars rolled through Michigan State, Penn, UNC, NC State and Wisconsin before blasting Cal-Poly.

Breaking this late this morning, the Nebraska Public Service Commission voted 3-2 to approve the Keystone pipeline route through the state to transport up to 830,000 barrels per day of crude from Canada’s oil sands and North Dakota’s shale fields to oil refineries on the Gulf Coast.  It is the last key approval. Head of the Chamber’s Global Energy Institute Karen Harbert said: “the Keystone XL pipeline project has unfortunately become the poster child for the need to reform our permitting process so that we may fully realize North America’s energy potential. After years of government delays, the decision as to whether to move forward with the pipeline now rests with the company that will be making the investment.”  Connect with Matt Letourneau for more at 202-463-5945.

The Bonn climate conference has ended and one of the few items that garnered attention was the Friday announcement by 19 countries and six states and provinces that they were forming an international alliance to phase out coal-fired power generation by 2030. Key nations in the alliance, such as Canada, Denmark, France, Finland, Italy, Austria, Mexico and the Netherlands, aren’t using very much coal anyway. In fact, members account for less than 3% of global coal use as my friends Brad Plumer and Lisa Friedman point out in the New York Times.  Notably missing in the groups are some of the world’s biggest coal-consuming countries, including Germany (who got significant heat on the topic during Bonn), China, India and the United States.

Perhaps more significant on Friday in Bonn was that Sweden became the 20th country to ratify the Kigali amendment, an agreement to phase down emissions of hydrofluorocarbons (HFCs) that will allow the plan to go into effect in 2019.  Given this move, we expect to see potential US action on the agreement that was forged in partnership and requires developing/developed country reductions, unlike Paris.    With the world using more and more refrigerants, and heating and cooling equipment, the move is expected to hold down climate change by 0.5° C [0.9° F] by 2100.  Francis Dietz (703-600-0355) at AHRI can connect you with its President Steve Yurek, who was one of the key stakeholder negotiators.

Finally from Bonn, scientists actually remain skeptical that political leaders can reduce emission increase to 1.5-degree, according to our friend Eric Roston of Bloomberg (who by the way is heading back to the policy team…Welcome Back Eric!)

Despite it being Thanksgiving week, there are a few events on the table including a NAFTA field hearing in Texas today at 10:30e/9:30c featuring Texas trade and industry leaders and the annual release of the American Coal Ash Assn’s Coal Ash Production & Use Survey at the National Press Club at 9:30 tomorrow.  Finally, tonight at Midnight, the first comment period for the US Trade Representatives public comment period will close.  Reply comments are due November 29th and the public hearing will be on December 6th.  The Energy Trade Action Coalition, a group of utilities, contractors, retailers and Conservative groups, filed comments to add their voices to the opposition. You can see the ETAC comments here.

Enjoy the week to relax, watch some football and eat some turkey and the fixins’ because next week we go right back to the grind with Clean Power Plan hearings in Charleston,WV, a SAFE Oil discussion with former EIA Head Adam Sieminski and much more…. Stay tuned…Call with questions.  Best,

Frank Maisano

(202) 828-5864

  1. (202) 997-5932

THIS WEEK’S LOBBY SHOP

The new episode of The Lobby Shop is live on iTunes, SoundCloud, and Google Play Music.  This week’s episode features my colleagues Scott Segal and Dee Martin, The Hill’s 2017 Top Lobbyists and explores the world of Washington lobbying, what it takes to be an effective lobbyist, and how they got into the field.  Remember our address for listeners to reach out with topic suggestions, feedback, etc. – thelobbyshop@policyres.com.

FRANKLY SPOKEN

“There are many examples of a country switching from being a net energy exporter to a net importer: it is very rare to see the opposite, especially when the country in question is one of the world’s largest importers of oil.  Yet this is precisely what is happening as a result of the U.S. shale revolution — both for oil and for natural gas.  A remarkable ability to unlock new resources cost-effectively pushes combined United States oil and gas output to a level 50% higher than any other country has ever managed. ”

The International Energy Agency (IEA) in its World Energy Outlook.

We would need an incredibly dramatic reduction in emissions in the very near future. The 1.5-degree target is a little ridiculous and implausible.”

Zeke Hausfather, a climate scientist with Berkeley Earth in a Bloomberg story on climate change and science

IN THE NEWS

House Passes Tax Legislation – The House passed a bill to significantly change taxation, including $1.5 trillion in cuts for individuals and companies. The overhaul, backed by President Trump, heads to the Senate, which is developing a bill that has major differences from the House measure.  My colleague Liam Donovan has been in the nitty-gritty details – as well as the politics of it all – and can answer all your questions.  Liam.donovan@bracewell.com or (202-828-5847)

Wind Urges Senate to Stand Firm on PTC Deal – Tom Kiernan, CEO of the American Wind Energy Association (AWEA) said the House missed an opportunity to stand up for 60,000 American workers and preserve $50 billion in private infrastructure investment. The tax reform bill passed by the House retroactively changes how businesses can qualify for wind energy’s primary investment tools, the wind energy Production Tax Credit (PTC) and Investment Tax Credit (ITC), which are already on a path to phase out by 2019.  The House bill undermines wind development by implementing a retroactive change to qualification rules for wind energy tax credits. Because businesses can’t go back in time to requalify for the credits after ordering wind turbines and inking construction contracts, tens of thousands of jobs and billions of dollars of investment could be lost, and new business has stalled. The House bill would also terminate an inflation adjustment, significantly cutting the value of the PTC.  The Senate tax proposal that passed the Finance committee last night does not retroactively alter the wind energy PTC or ITC, leaving in place the phase out terms set in the bi-partisan PATH Act of 2015, keeping American workers on the job.

AHRI Weighs In – The Air-Conditioning, Heating, and Refrigeration Institute (AHRI), the trade association representing HVACR and water heating manufacturers, applauded House tax package passage. “Our member manufacturers strongly support Congress’s efforts to simplify the tax code and reduce rates,” said AHRI President & CEO Stephen Yurek. “AHRI applauds the inclusion in H.R. 1 of full and immediate expensing, a permanent reduction in the corporate rate to 20 percent rate, a reduced rate for pass-through entities, repeal of the estate tax, and extension of the tax credit for geothermal HVAC equipment – all of which will serve to make the U.S. a more competitive place to do business,” he added. AHRI believes these provisions are all crucial to the continued growth of manufacturing in the United States, and we urge the Senate to follow the lead of the House to enact substantive reforms that will allow our industry and others to continue to innovate and create jobs.

Chamber, Partners Launch Gas Export Infrastructure Initiative – The Chamber’s Global Energy Institute hosted the U.S. Trade Development Authority (USTDA), LNG Allies and others at U.S. Chamber Headquarters for the launch of the U.S. Gas Infrastructure Exports Initiative Friday.  The goal of the initiative is to connect American companies to new export opportunities, with a particular focus on emerging economies.  USTDA acting director Thomas Hardy focused on the goal of using American technology and innovation to advance gas infrastructure in partner countries, while providing new opportunities for U.S. companies. As part of the Initiative, USTDA announced a call for gas-related project proposals for U.S. companies that have identified project sponsors in high growth emerging markets.  The Agency will be conducting gas sector reverse trade missions to bring prospective LNG buyers to the U.S. for site visits and meetings.  Delegates from Senegal, China and others are already slated to participate.  GEI is a natural partner for the Exports Initiative.  We are strong advocates for policies and activities that strengthen America’s global energy leadership, which is good for both our economy and for global security.  The continued export of American natural gas creates opportunities at home and contributes to stability abroad.  For more information on the Initiative, visit www.ustda.gov/program/us-gas-infrastructure-exports-initative

IEA Says Shale Gas Boom Will Last – The International Energy Agency says the shale gas boom has positioned the US to become the world’s largest exporter of liquefied natural gas by the middle of the next decade in its 2017 World Energy Outlook. By the late 2020s, the U.S. — which only lifted its ban on oil exports in 2015 — will ship more oil to foreign markets than it imports. IEA predicts that US shale oil producers will boost their output by 8 million barrels a day between 2010 and 2025, an increase that “would match the highest sustained period of oil output growth by a single country in the history of oil markets” — rivaling even the massive increase posted by Saudi Arabia between 1966 and 1981. The expected U.S. surge will account for 80% of the increase in global supply over the time period.

Powell in WSJ Debate: Nuclear is Essential – ClearPath Executive Director Rich Powell argued this week in the Wall Street Journal that the future of U.S. nuclear power is not only bright— it’s non-negotiable.  A robust civilian nuclear sector is mandatory for the U.S. to remain a major geopolitical, economic, military and environmental leader, Rich wrote. After decades of policy neglect, Washington is finally addressing what is both a national and global necessity and a tremendous opportunity.  That includes growing bipartisan support to reform new reactor licensing and improve tax incentives for new nuclear facilities, led in Congress by clean-energy advocates as well as national-security and energy-reliability hawks.

Henkel, Novozymes, P&G, Sasol Execs Named to ACI Board of Directors – Four executives from leading companies across the cleaning product supply chain were elected to the American Cleaning Institute (ACI) Board of Directors:  Mike Clark, Vice President, Organics – Sasol Performance Chemicals; Charles Crawford, Ph.D., Head of R&D, Laundry and Home Care, North America – Henkel Consumer Goods Inc.;  Rene Garza, Vice President, Household Care, Americas – Novozymes and Sundar Raman, Vice President, North America Fabric Care – Procter & Gamble.  At its meeting in Washington, D.C., the ACI Board elected the new Directors to fill existing vacancies.

ON THE SCHEDULE THIS WEEK

USTR Comment Deadline on Solar Trade Case – November 20th

USEA Forum to Look at Carbon IRA – The US Energy Assn will held a forum today at 10:00 a.m. focused on a new idea that rewards reductions in Carbon footprint with funds deposited into a retirement account.   Guest Speaker, Jason Makansi, President of consulting firm Pearl Street, will introduce the concept, describe the four broad steps required and provide simple examples of how to implement the concept.

Forum to Look at Puerto Power Situation – Power 4 Puerto Rico will held a briefing today at 10:00 a.m. at the National Press Club’s Zenger Room to discuss the ongoing effort to restore power on the hurricane-ravaged island.

Senate Finance to Hold NAFTA Field Hearing – The Senate Finance Committee holds a field hearing today at 9:30 a.m. Central Time in San Antonio at the Marriott Plaza Hotel’s Cavalier Room looking at modernization of the North American Free Trade Agreement (NAFTA).  Witnesses will include USTR’s Stephen Vaugh, Auto Alliance head Mitch Bainwol, Paola Avila of The Border Trade Alliance, San Antonio Chamber of Commerce CEO Richard Perez, Texas Association of Business head Jeff Moseley, Texas Farm Bureau President Russell Boening and Todd Staples of the Texas Oil and Gas Association.

WRI to Host Forum on Energy Access – The World Resources Institute will hold a forum today at Noon on how energy access for all benefits the economy and the environment.  Michael Westphal will present his paper on energy access – another chapter of the “World Resources Report: Towards a More Equal City.” Millions of residents in some of the fastest growing cities in the world don’t have access to clean, reliable energy, and the challenge of reaching them is not getting easier. In 2012, only 58 percent of the urban population had access to electricity in low-income countries, and nearly 500 million urban residents worldwide used dirty and harmful cooking fuels like charcoal and wood.

Coal Ash Annual Production and Use Survey Results – Tomorrow at 9:30 a.m. at the National Press Club, the American Coal Ash Association will release its annual Coal Ash Production & Use Survey results. Conducted since the early 1960s, the survey provides the most complete data available on the volume of coal ash materials that are produced and beneficially used in a variety of applications. ACAA officials will also discuss impacts of environmental regulation and changing electric utility markets on coal ash production and use.  Tom Adams and John Ward of ACCA roll out the report.

THANKSGIVING – November 26th

 

IN THE FUTURE

EPA to Hold CPP Public Hearing in WV – EPA will hold a public hearing regarding the withdrawal of the Clean Power Plan in West Virginia on Nov. 28th and 29th.  EPA said it will convene two daylong sessions at the state capitol in Charleston. The agency said it “may also hold an additional hearing to be announced at a later date.”  EPA also extended the comment period on the proposal to Jan. 16, 2018.

CCS Report to be Released – The Global CCS Institute will release its annual Global Status of CCS: 2017 report launch on November 28th at 9:30 a.m. This year, the Institute is partnering with one of the top think tanks in the city, the Center for Strategic and International Studies, to promote and discuss the release of the Institute’s signature report, the globally recognized annual guide to the current progress and prospects for carbon capture and storage.  Speakers will include Global CCS’s Jeff Erikson and IEA’s Samantha McCulloch.

Forum to Look at Asia-Pacific Security – The Center for Climate and Security (CCS) hosts a high-level discussion on the security risks of climate change in the Asia-Pacific on Tuesday November 28th at 10:00 a.m. This discussion will explore these risks, how US military installations, operations, and strategies in the region may be shaped by them, and their influence on US bilateral and multilateral relationships.

Tillerson to Speak at Wilson Center – The Wilson Center will host US Secretary of State Rex Tillerson next Tuesday, November 28th at 11:00 a.m. for an address on the future of U.S. relations with Europe by Secretary of State Rex Tillerson, followed by a conversation with Wilson Center President and CEO Jane Harman.

Heritage Hosts Climate Discussion – The Heritage Foundation hosts a discussion next Tuesday at Noon on the long history and politics of climate activism. Speaker Rupert Darwell will address the topic.

CSIS to Release New Energy Report – The CSIS Energy & National Security Program will hold a presentation of its latest report, Energy and Development: Providing Access and Growth on Next Tuesday at 1:30 p.m.  Based on findings from several workshops conducted by CSIS over the last two years, Energy and Development explores several of the most important shifts underpinning the energy access issue. By exploring the role of emerging economies as the primary drivers of future energy demand, the influence of sustainability and climate change concerns in crafting development strategies, and changes to how energy access and growth are measured, the report provides a unique survey of energy and economic growth in the developing world.  Sarah Ladislaw (CSIS) will present the report, followed by a panel discussion with Morgan Bazilian (World Bank; CSIS), Morgan Landy (International Finance Corporation), and Philippe Benoit (GIAS2050; CSIS). CSIS’s Erol Yayboke, co-author of the report, will moderate.

Forum on Tax Reform to Discuss Carbon Tax – The Brookings Institute will hold a forum on Tuesday November 28th at 2:00 p.m. regarding tax reform that will discuss a possible carbon tax. The Urban-Brookings Tax Policy Center, the Cross Brookings Initiative on Energy and Climate, congressional leaders, and top experts for a discussion on the prospects for tax reform and the potential to include a carbon tax in a broader bipartisan bill.   The event will feature a keynote address by Rep. John Larson and panelists include Niskanen’s Jerry Taylor and our friend Amy Harder of Axios.

SAFE Event to Feature Oil Discussion with Former EIA Head – Securing America’s Future Energy (SAFE) will host a panel discussion on next Tuesday, November 28th at 4:30 p.m. at the National Union Building exploring how market uncertainty, underinvestment, geopolitical risk, OPEC intervention, rising global demand, and other market forces undermine oil market stability. The panel will discuss the likelihood of a return to high and volatile oil prices, implications for American economic and national security, and domestic policy solutions.  Moderated by our friend Ben Geman of Axios, the panel will feature former EIA Administrator Adam Sieminski – now at CSIS – and Jonathan Chanis, SAFE’s Senior Vice President of Policy.

USTR Reply Comments Deadline – November 29th

National Academies Review Climate Assessment – On Wednesday afternoon, the National Academies will review the 4th draft of the National Climate Assessment in an open meeting at the NAS building.

NYT to host Climate Summit – On November 29th and 30th in San Francisco at the Metreon, The New York Times will hold ClimateTECH, a groundbreaking summit that brings together influential leaders from key industries to assess bold, cutting-edge technologies that could help keep global warming below the two-degree threshold.  Hosted by top Times journalists, ClimateTECH’s focus on innovation will also encompass the dramatic changes downstream (in finance, policy, consumer behavior, infrastructure) that are vital for these new technologies to gain adoption and succeed.  The program will feature on-stage interviews with celebrated entrepreneurs and inventors along with policy makers, economists and subject-matter experts. Designed for an audience of decision-makers, ClimateTECH will also include an early-stage technology showcase of the newest innovations, along with other experiential activities.  The Speaker list is long, but it includes California Gov. Jerry Brown, Statoil’s Irene Rummelhoff, Chicago Mayor Rahm Emanuel, Tom Steyer and many others.

Solar Festival Set for Austin – The 2nd annual Solar Business Festival will be held on November 29th and 30th in Austin, Texas at the Thompson Conference Center. The two-day conference segment features a wide variety of sessions on, components of doing a solar and storage business in Texas, microgrids and energy storage, distributed grid, project financing, sustainable buildings, smart grids, solar initiatives and innovations, utility integration, community solar projects, policies, incentives and goals, market growth opportunities, regulatory framework, international solar market opportunities/challenges, sustainable farming and more.

CSIS Look at Zero-Emissions Fuels – The CSIS Energy and National Security Program is hosting a forum on Thursday November 30th at 8:00 a.m. onhydrogen, green shipping and zero-emission fuel in the maritime sector. The discussion will center on the development and implementation of hydrogen fuel technology, the important role it could play for shipping in the transition to a low-carbon future, and ongoing U.S.-Norwegian cooperation in the area.  Shipping accounts for more than 2% of worldwide greenhouse gas emissions today and is set to increase up to 17% by 2050. This session will explore the concrete cooperation and projects being pursued in Norway and the United States.  Norwegian Ambassador Kåre R. Aas will give introductory remarks, followed by a discussion with Elisabet Bøe (Sogn og Fjordane), Joseph Pratt (Sandia National Lab), Lars Endre Gimmestad (Brodrene Aa), and Martin Grimnes (Arcadia Alliance) on the present and future of hydrogen technology and what a low-carbon future for maritime transport may look like.

Forum to Look at Energy Crossroads – The Texas Public Policy Foundation and The Heritage Foundation host the “At the Crossroads IV: Energy and Climate Policy Summit” on Thursday.  The conversation will feature the world’s leading scientists, policymakers, entrepreneurs, and energy experts, who will gather to explore this turning point in energy history and the long-lasting potential it holds for America and beyond. Speakers include Sens. Jim Inhofe, Mike Lee, House Science Chair Lamar Smith and many others.

RFS RVO Deadline – November 30th

Chatterjee to Address NatGas Roundtable – On Thursday at Noon, the Natural Gas Roundtable will host FERC Chairman Neil Chatterjee as the guest speaker at the next luncheon.

R Street Hosts Clean Energy Event on Capitol Hill – R Street hosts a forum on Thursday, November 30th in 122 Cannon featuring a discussion on clean energy with panelists from Microsoft, Advanced Energy Economy (AEE), the American Coalition of Competitive Energy Suppliers (ACCES) and Citizens for Responsible Energy Solutions  Across the country, clean energy is growing rapidly in states that allow customers to choose their electricity supplier. This system of ‘retail choice’ grants customers more options and allows them to generate their own energy on-site. Importantly, large corporations have been leading the charge for distributed energy generation, marking a refreshing intersection of conservative and green agendas.

RFF to Look at Energy Security – Resources for the Future (RFF) will host a forum on Thursday November 30th focused on the new realities on energy security given our shale resources.  This RFF seminar will open with a presentation from former Department of Energy official Howard Gruenspecht on the economic and political factors that have led to a very different oil security picture than the country faced decades ago. RFF President Richard Newell will present new research on how the shale oil boom has altered the flexibility of the US supply, as well as how price and inventory dynamics can inform Strategic Petroleum Reserve policy. RFF University Fellow Stephen Brown will then discuss an RFF project that produced new estimates for the value of the oil security premium—a key metric used in benefit–cost analyses of related regulations. RFF Senior Fellow Alan Krupnick will wrap up with a discussion of the new energy security paradigm, which broadens the definition of US energy security beyond oil to include natural gas, electricity, and other energy systems.

Clean Edge, GridWise Alliance Host gridCONNEXT – GridWise Alliance and Clean Edge will host gridCONNEXT on December 4th through 6th in Washington, D.C. with hundreds of regulators, utility executives, corporations, and other industry stakeholders to explore the many grid modernization.

Solar Tariff Opponents to Weigh-in at Press Club – Opponents of tariffs on solar imports will hold a briefing on Tuesday December 5th at 9:30 a.m. at the National Press Club.  The event will feature solar industry advocates, as well as members of the Energy Trade Action Coalition like the National Electrical Contractors Association, utilities, retailers and Conservative free-trade groups. More next week.

USTR Hearing on Solar Trade Tariff – December 6th

Pruitt to Head to House Energy Panel – The House Energy and Commerce Environment Subcommittee will hold a hearing on December 7th with EPA Administrator Scott Pruitt testifying.  The appearance will be Pruitt’s first before the Energy and Commerce Committee.

IPAA Exec to Address Energy Economists – The National Capital Area members of the US Assn of Energy Economist will host Fred Lawrence for their December 8th lunch.  Lawrence, VP at the Independent Petroleum Association of America, will discuss the outlook for U.S. oil and natural gas, including shale export trends over the past two years, focus on the Independents in a Sector and demand and geopolitical reality vs. ideology.

Paris Forum to Focus on Anniversary – Forum to French President Macron will host the One Planet Summit on December 12 in Paris, on the two-year anniversary of the Paris Agreement. The Summit will focus specifically on climate finance. Heads of State will be invited to attend this meeting.

The Last Jedi Hits Theaters – DECEMBER 15th

Pruitt to Head to Senate Environment – The Senate Environment and Public Works Committee said EPA Administrator Scott Pruitt will appear before the Committee on Jan. 31, 2018, making his first return to the panel nearly a year after his confirmation

Energy Update: Week of July 10

Friends,

With the July 4th holiday passing, it means we had some great fireworks (especially in DC) and that the Tour de France is rolling in France.  With 9 of 21 stages complete, the riders have reached the first rest day today with 4-time champ Chris Froome racing up the Mont du Chat yesterday to expand his lead in the yellow jersey.   Lots of time and many mountains to still climb.  You can watch all the action on NBCSN every day.  It was also Super Saturday at Wimbledon with Federer, Murray, Nadal and Djokovic all looking strong on the men’s side while Kerber, Halep, Wozniacki and Venus Williams (who has already advance today to the QF with a straight set win) have all advanced to the 4th round.  The All-Star break for major League baseball also start today and not too soon for the World Champion Cubs who gave up 10 runs in the first inning in their game yesterday against the Pirates.

Interesting action at the G-20 with some limited focus on climate. On Saturday, G-20 nations reached a compromise on climate change that declared the Paris climate change agreement is “irreversible” and must be implemented “swiftly.” The U.S., on the other hand, declared its intention to pull out and forced additional language in supporting fossil fuels alongside support for renewables. And as for the soon-expected grid study from DOE, we hear it won’t likely be this week, but we are still keeping our eyes open for paper.  And speaking of energy dominance, Platts Capitol Crude addresses the subject on this week’s podcast with ClearView’s Kevin Book, looking at whether it’s hollow rhetoric and what it could mean for policy and markets going forward.

Congress returns this week to more action on healthcare.  No expected action on the just re-introduced Senate Energy legislation but Sens Murkowski and Cantwell are hopeful that they will have something passed by August recess.   There will be votes on nominations for NRC and EPA on Wednesday, as well as a House Resources hearing on oil and gas development. Also Wednesday, the full House Approps Committee marks up its Ag and Energy/Water budgets.   Finally, tomorrow, the annual Congressional Renewable Energy and Energy Efficiency expo will be held in the Rayburn Foyer.

Off the hill, our friend Coral Davenport discusses the Paris Agreement at a forum at the Embassy of Croatia tomorrow evening and Wednesday the Women’s Energy Network is hosting CFTC Commissioner Sharon Bowen for a lunch and learn” event.  And today, the EPA is holding a public hearing on methane regulation delays which should bring out the usual suspects on both sides if the debate.

Finally, Bracewell has brought on some new energy expertise in the civil Litigation arena by hiring David A. Super to lead our civil litigation practice in Washington, D.C.  Super joins Bracewell from Baker Botts where he practiced for 27 years.   Super as new head of civil litigation in DC is a first chair trial lawyer with fantastic experience acting for companies in the energy industry, including disputes with federal regulators on many energy and environmental issues.

I’m out for most of the week in Lancaster, PA, the home of USA Field Hockey, umpiring their National Championships.  We are taking a quick break to road trip to Detroit for Metallica on Wednesday.  Anyway, I will be fully connected, so feel free to call with questions.

Best,

 

Frank Maisano

(202) 828-5864

(202) 997-5932

 

FRANKLY SPOKEN

“AHRI encourages ratification of the Kigali Amendment, while also instituting the regulatory and tax reforms necessary to ensure predictability for manufacturers, distributors, and installers while providing incentives for consumers and businesses to replace their older, less efficient equipment with updated models.  Taken together, these steps can bring about significant energy reduction and environmental benefits.”

AHRI’s Francis Dietz following a new report by the Institute for Governance & Sustainable Development (IGSD) that reviews HCFC/HFC regulatory frameworks, energy efficiency standards, and labeling programs in 19 countries that account for roughly 65% of global AC demand.

 

IN THE NEWS

New Study Highlights Quest for Improved AC Globally – The Institute for Governance & Sustainable Development (IGSD) in Washington, DC and Paris along with researchers at the U.S. Department of Energy’s Lawrence Berkeley National Laboratory released a report that addresses the hydrochlorofluorocarbons (HCFC) and hydrofluorocarbons regulatory frameworks, energy efficiency standards, and labeling programs in 19 countries that account for roughly 65% of global AC demand. The report, “Opportunities for Simultaneous Efficiency Improvement and Refrigerant Transition in Air Conditioning,” ranks the HFC transition as the single biggest climate mitigation opportunity available today.

AHRI Sees the Issue As Hugely Important – This is a hugely important transition that the HVAC industry has played a significant role in crafting with other stakeholders. As manufacturers of more than 90% of U.S. – and more than 70% of global – residential and commercial air conditioning and commercial refrigeration units, AHRI member companies are committed to producing more energy efficient products to help reduce global demand for energy, lower costs for consumers, and decrease greenhouse gas emissions.  As the LBNL report indicates, there are many global opportunities to accomplish make significant progress on all those goals, beginning with ratification and implementation of the Kigali Amendment to the Montreal Protocol and continuing with efforts to simultaneously reduce the energy impact of AC and commercial refrigeration equipment while increasing its availability and affordability for consumers around the world.  Also important are national and regional minimum energy performance standards backed by performance certification programs, such as the AHRI Certification Program, that help assure governments, businesses, and consumers of the accuracy of stated equipment efficiency.

What About Efficiency on Units though? – AHRI’s Francis Dietz adds current AC units are already super-efficient and in fact are nearing the technological limits of efficiency.  The issue really is getting efficient units in the hands of consumers at prices they can afford.  We can accomplish that gradually through MEPS, which is already being done all over the world, but to make bigger leaps through stronger tax incentives and rebate programs to induce people to change out their old equipment for newer, more efficient models.

DOE Releases Walk-In Freezer Rule – The Department of Energy is issuing the final rule for walk-in coolers and freezers, which was held up at DOE for months. It’s set to publish in the Federal Register today. The rule, issued in December of 2016 by the outgoing Obama Administration was delayed with several others as part of a review by the new Trump Administration.  AHRI said it understood why the new administration wanted to review the walk-in coolers and freezers rule before issuing it, but are pleased it is now being issued in the form that was agreed to in the ASRAC negotiations of which AHRI and Other key efficiency and environmental stakeholders played important roles.  AHRI’s Francis Dietz: “This is one less regulatory ball in the air for our industry and our members can now move forward in preparing for the rule’s implementation.”

Refiners Send Letter to Trump on Venezuela Crude, Potential Sanctions – Given the troubling political developments in Venezuela, the American Fuel & Petrochem Assn (AFPM) is sending a letter to President Trump and other key foreign policy advisors to highlight one critical consideration: a full or partial prohibition of Venezuelan crude imports.  The refiners group says it could have a significant negative effect on U.S. refiners, consumers, and our nation’s economy.  AFPM Prez Chet Thompson: “Sanctions limiting U.S. imports of Venezuelan crude would disadvantage many U.S. refineries, particularly those in the Gulf Coast and East Coast regions, that have optimized to utilize sour crudes produced in Venezuela. Restricting the supply of crude could also impact the price that U.S. consumers and businesses pay for their fuel.”  I can forward letter if want to review.

ACI Releases Sustainability Report – The American Cleaning Institute’s (ACI) released its 4th Sustainability Report, “Foundations for Transformation,” showcases the steps the cleaning product supply chain is taking to address the industry’s core material issues.  The 2017 Report highlights the progress made by companies throughout the cleaning product supply chain to decrease the industry’s environmental footprint over the last two years.  Since its inception, ACI’s Sustainability Metrics Program has been tracking industry performance in categories including energy, water, waste and climate change/greenhouse gases, to showcase where member companies are doing well, and to highlight the areas in need of attention. The 2017 Report highlights include a 23% reduction during cleaning product formulation since 2011, an increase in renewable energy use by 46% since 2011 and a 64% of the waste from product formulation being reused or recycled in 2015.

Unions Weigh In on E15 Expansion Legislation – Following a hearing recently on legislation to allow year-round sale of E15 percent, the United Steelworkers union sent a letter Thursday to all 100 senators arguing that the RFS needs a complete overhaul rather than the modification in Sen. Deb Fischer’s bill.  A mark-up is planned for later this month.  Happy to forward letter if you need it.

Interior Pushes to Expand Drilling, Speed Permit Approvals – Interior Secretary Ryan Zinke on Thursday issued an order that instructs BLM to hold lease sales every quarter and establishes a 30-day approval time for oil and natural gas drilling permits. The approval time for a permit under the Obama administration was 257 days on average.  Christopher Guith at the Chamber’s Global Energy Institute said this is a much-needed change in U.S. policy, embracing America’s energy abundance and diversity instead of policies that pushed us to depend more on imported energy and exported jobs.  Guith: “The law has been pretty clear for a century–the Secretary of Interior is responsible for conducting quarterly lease sales on available BLM land and concluding the review process on an application for a permit to drill within 30 days.  The previous administration decided to ignore these legal requirements to the detriment of U.S. energy security and western jobs.  Secretary Zinke’s re-commitment to following the law is a tremendous step towards harnessing America’s status as a growing energy super-power.”

 

ON THE SCHEDULE THIS WEEK

Wilson to Host Discussion on Religion, Climate in Small Island Nations – Today at 2:00 p.m., American University and the Wilson Center will host a forum exploring climate change as a basis for outreach and collaboration in the Caribbean and the Pacific and the added value religious voices might bring to this work.  In the small island developing states (SIDS) of the Caribbean and the Pacific, faith-based leaders, community stakeholders, and national policymakers work together to address pressing concerns associated with climate change, such as ensuring livelihoods and sustainability in the face of sea-level rise and other threats. Ambassador to the United States and the Organization of American States for Barbados Selwin Hart will be among the speakers.

Congressional Renewable Expo Set – The 20th annual Congressional Renewable Energy and Energy Efficiency EXPO and Policy Forum will be held tomorrow from at 9:30 a.m. to 4:30 p.m. in Rayburn.  Among the speakers will be Sen. Edward Markey and Rep. Paul Tonko.

NYT’s Davenport to Discuss Paris at WFPG Forum – The Women’s Foreign Policy Group will host a forum tomorrow at 6:00 p.m. at the Embassy of Croatia featuring our friend Coral Davenport of the New York Times to discuss President Trump’s decision to withdraw from the Paris Climate Agreement.  Coral NYT colleague Elisabeth Bumiller will moderate.

House Resources to Focus on Oil, Gas on OCS – The House Natural Resources Subcommittee on Energy and Mineral Resources will hold an oversight hearing on Wednesday focused on evaluating federal offshore oil and gas development on the outer continental shelf.

Senate Committee to Vote on Nominees – The Senate Environment Committee will hold votes at 9:45 a.m. Wednesday on nominees to the Nuclear Regulatory Commission, as well as EPA’s top enforcement officials.  EPW had originally slated the markup for the Wednesday before July 4th recess.  NRC nominees Annie Caputo and David Wright, and EPA nominee Susan Parker Bodine are awaiting committee approvals.

Group to Release Smarter Grid Report – Former Trump transition team member and Alliance for Innovation and Infrastructure Chairman Brigham McCown will hold a press call Wednesday at 10:00 p.m. to discuss the release of Alliance for Innovation and Infrastructure’s latest policy analysis, “Building a smarter electric grid: How investing in smarter electricity will energize America.”

House Appropos to Mark up Ag, Energy Budgets – The full House Appropriations Committee will meet at 10:30 a.m. to markup the FY2018 Agriculture Appropriations Bill and FY2018 Energy and Water Development Appropriations Bill.  Later at 3:00 p.m., the House interior Funding panel will mark up the 2018 Interior budget.

Forum to Feature CFTC Commissioner – The Washington DC Chapter of the Women’s Energy Network is hosting a forum at BP featuring U.S. Commodity Future Trading Commission Commissioner Sharon Y. Bowen.  The “Lunch and Learn” even will feature Bowen discussing the day’s most critical energy issues before the CFTC, as well as sharing her experiences as a trailblazing lawyer, business woman and public servant.

Wilson to Host China Coal Transition Forum – The Wilson Center will hold a forum on Wednesday at 2:00 p.m.to discuss China and its uncertain transition away from coal.  Speakers at this China Environmental Forum (CEF) event will discuss the massive reforms that are lessening the pollution and carbon emissions from China’s coal-fired power sector and the social and economic challenges. Melanie Hart (Center for America Progress) will speak on how China is transforming its coal sector to improve efficiency, reduce emissions, and reduce the nation’s dependence on coal.  Hongxia Duan and Lucy Kitson of the International Institute for Sustainable Development (IISD) will discuss the opportunities and pitfalls of such a large-scale transformation in Shanxi and the lessons China can draw from countries that have undergone the economic and social transition away from coal. Lisa Abbott (Kentuckians for the Commonwealth) will close out the discussion bringing in a comparative discussion on how her group promotes energy diversification in the Appalachians that keeps communities strong.

Forum to Look at Ukraine Energy – The Atlantic Council will hold a forum on Wednesday at 2:30 p.m. on important energy reforms in Ukraine.  The Atlantic Council’s Dinu Patriciu Eurasia Center and Global Energy Center will bring together top energy experts and policymakers to discuss the status of the Ukrainian energy sector in a series of thematic panels. The discussion will begin with a talk on the state of the hydrocarbon industry and will segue to an exchange on the development, challenges, and way forward for the electricity, coal and nuclear sectors in Ukraine.  Among the speakers will be DOE’s David Mohler.

Clean Energy Webinar Will Discuss Grid Report – On Thursday at 10:00 a.m., the Analysis Group’s Susan Tierney and Paul Hibbard will present findings from their report on market forces driving our changing electric power system, commissioned by Advanced Energy Economy (AEE) and AWEA.  The report was submitted to DOE to inform the Department’s upcoming review of grid issues.

 

IN THE FUTURE

RFF to host Webinar On Cali Cap/Trade – Resources for the Future and other experts will hold an interactive online panel discussion on Tuesday July 18th looking at the proposed changes to California’s cap-and-trade program, potential implications for the state’s carbon market, and the potential effects on linkage with the programs in Quebec, Ontario, and other jurisdictions that might consider linkage in the future.  Speakers include RFF’s Dallas Burtraw, James Bushnell of UCal-Davis, Stewart Elgie of the uOttawa Institute of the Environment, Jan Mazurek of the ClimateWorks Foundation Duke Nicholas Institute expert Brian Murray and Dave Sawyer of EnviroEconomics.

WCEE to Host Sustainable City Event – Next Tuesday at Noon, the Women’s Council on Energy and the Environment (WCEE) will host a forum with National Geographic’s Senior Manager of Sustainability, Susan Kolodziejczyk. Kolodziejczyk will present an interactive exploration of the intersection of urbanization and sustainability, what that means in terms of society’s choices and priorities, and examples of successful, innovative city solutions around the world.

Webinar to Focus on NJ Solar Issues – Utility Dive is hosting a webinar on Tuesday July 18th at 2:00 p.m. focused on the PSE&G approach to proactively studying and accommodating the impacts of DER on the PSE&G system.  NJ is experiencing some of the strongest solar PV growth in the U.S. NJ-based Public Service Electric and Gas (PSE&G) takes an active role in understanding feeder and substation capacity to accommodate solar PV, and to avoid negative impacts to grid reliability, voltages, thermal capacity, flicker and more. The webinar will cover PSE&G’s method to study and accommodate the impacts of DER, in collaboration with Siemens PTI. An overview of the study and its methodologies and the distribution system at PSE&G, available DERs, challenges, the need for the study and the results.  Speakers include PSE&G’s Ahmed Mousa and Siemens PTI’s Hugo Bashualdo.

AGA to Discuss NatGas Supply – The American Gas Association (AGA) and the Potential Gas Committee (PGC) will hold a press conference on Wednesday, July 19 at 9:30 AM EDT, to release the major findings of the PGC’s year-end 2016 biennial report: Potential Supply of Natural Gas in the United. The report is expected to reveal that domestic estimates of undiscovered natural gas resources continue to grow, due largely to the existence of technologies that continue to unlock energy resources from shale and other producing formations.  Alexei V. Milkov, director of the Potential Gas Agency, Colorado School of Mines and AGA’s Chris McGill will speak.

Forum to Look at RFS – CSIS will host an update on the U.S. Renewable Fuel Standard on Wednesday July 19th at 10:00 a.m.  The event will feature Harvard’s James Stock and our friend Kevin Book of ClearView, a Senior Associate of the CSIS Energy & National Security Program.

Cramer to Headline Forum on Innovation – Microsoft and the Center for Climate and Energy Solutions (C2ES) will hold a conversation on Wednesday July 19th looking at clean innovation and why it makes business sense. The discussion will bring together stakeholders from industry, government and civil society to discuss the business drivers for innovation in clean energy and low-carbon technologies across a broad range of industries.  Keynoter will be Rep Kevin Cramer, while a panel lead by Bob Perciasepe, will explore the business drivers and challenges associated with clean innovation across multiple sectors and geographies.  These issues include growing customer demand, competitiveness concerns, cost pressures, efficiency gains and enhanced performance.

Forum to Feature BP’s Finley on Energy Report – The US Association for Energy Economics, National Capital Area Chapter (NCAC-USAEE) will host BP’s Mark Finley for its July luncheon on Friday July 21st at the Chinatown Garden.  Finley will present the just-released 2017 BP Statistical Review of World Energy.

Grid Evolution Summit Set – The Grid Evolution Summit is set for July 25th through 27th at the Washington Hilton.  The event, sponsored by the Smart Electric Power Alliance, will be a conversation of industry stakeholders that will determine how the electric sector evolves, modernizes the grid and better integrates distributed energy resources.  Speakers will include Rep Paul Tonko, House Energy Committee Counsels Rick Kessler and Tom Hassenboehler, PSE&G Renewable VP Courtney McCormick, Xcel’s Doug Benvento DOE’s Eric Lightner, Maryland PSC Chair Kevin Hughes, Kit Carson Electric Co-op CEO Luis Reyes and Utility Dive Editor Gavin Bade.

CSIS to Look at NAFTA Energy Issues – On Wednesday July 26th at 10:00 a.m., CSIS will hold a forum on renegotiating NAFTA, looking at energy challenges and opportunities.  The event will feature CSIS experts Dave Pumphrey and Scott Miller.

Community Solar Forum Set for Denver – The Coalition for Community Solar Access will host the first annual National Community Solar Summit in Denver on July 26 – 28.  A few highlights for Denver include energy company CEOs including Tom Matzzie of CleanChoice Energy, Jesse Grossman of Soltage, Zaid Ashai of Nexamp, Rick Hunter of Microgrid Energy and Steph Spiers of Solstice.  Other speakers include energy company leaders Hannah Masterjohn of Clean Energy Collective, Dan Hendrick of NRG Energy, Adam Altenhofen of US Bank, Adam Capage of 3 Degrees and Lori Singleton of Salt River Project.

 

Energy Update: Week of June 19

Friends,

I hope you all enjoyed your Father’s Day as much as I did.  I was completely out of control running a 10K with Adam in the morning (he smoked me in the last two miles: 39:00 to 41:50), officiated 6 lax games with Hannah, then went with all three (and sat in the prime seats with Olivia) to the Third Eye Blind/SilverSun PickUps concert at Pier 6 and finally a late visit to Ra! for sushi.  I even was able to take in a little of the exciting and amazing finish by Brooks Koepka as he ran through the final few holes en route to his US Open victory.

Back to the work week (which may actually seem like rest compared to the weekend). Last week’s budget questions were not as tough as some expected given Congressional appropriators have pretty much disregarded the “Mulvaney” budget…as some of his former House colleagues chided during hearings.  This week, the action hits its stride as Energy Secretary Perry returns to action off his recent trip to Asia.  Because of the trip, Perry is pulling a trifecta with testimony tomorrow at House Approps, Wednesday at Senate EPW Approps and Thursday at Senate Energy.  Interior Secretary Ryan Zinke also hits a triple starting tomorrow at Senate Energy, Wednesday afternoon at Senate Interior Approps and Thursday at House Resources.  In each case, they will continue the effort to explain the administration’s budget request.

This biggest event this week is the Chamber’s Energy Institute 10th Anniversary “Energy Strong” forum tomorrow morning focused on energy progress made over the past decade, as well as ways that continued energy innovation can drive future economic growth.  Speakers will include EPA Administrator Scott Pruitt and Interior Secretary Ryan Zinke, among a number of others.

Also tomorrow, with the Trump Administration close to completing its Section 232 trade investigation of whether imported steel poses a “threat to U.S. national security,” steel folks will hold two events: At Noon the Washington Auto press hosts the Steel Market Development Institute at the Press Club while steel consumers in the US will hold a briefing at 2:00 p.m. in the Club’s Zenger Room to discuss the impacts of trade tariffs.

Then tomorrow afternoon at 3:00 p.m., the Bipartisan Policy Center will host a forum on energy innovation featuring Sen. Lamar Alexander and a panel moderated by Axios’ Ben Geman that includes ClearPath’s Rich Powell, Air Liquide’s Mike Rosen and Southern’s Steve Wilson.  The event is a follow up on a recent letter from 14 CEOs including major corporations and Chamber CEO Tom Donahue that urges Congressional support funding for energy innovation programs. We also expect to see another letter this week on the same topic from a wide array of “strange-bedfellow” groups.  In addition, former Energy Secretary Ernie Moniz will discuss energy innovation projects at a National Press Club Newsmaker Wednesday at 10:00 a.m. hosted by me and moderated by our friend Rod Kuckro of E&E News.

Speaking of Moniz, later in the day he will join a forum at the Atlantic Council on the climate energy balance that includes former Defense secretary Chuck Hagel, former EPA head Christie Todd Whitman and Statoil Chief Economist Eirik Waerness.  Waerness also briefs at CSIS on Thursday on the US release of Statoil’s new 2017 Energy Perspectives report, which summarizes narratives about global energy demand and energy mix for the future decades.  CSIS also hosts the launch of Bloomberg New Energy Finance’s (BNEF) New Energy Outlook 2017 on Wednesday at 10:00 a.m.

After delaying another week, we might see RVOs this week, but not really holding my breath given the history here…  There is a LOT of interesting news out there this morning.  If you have any questions about any of it that I can help you with, please don’t hesitate to call…  Wednesday at 4:24 p.m. is Summer Solstice, so enjoy the longest day of the year…

 

Best,

Frank Maisano

(202) 828-5864

(202) 997-5932

 

FRANKLY SPOKEN

“These new estimates show the potential damage to the solar industry as a result of this petition.  Rather than help the industry, the trade action would kill many thousands of American jobs and put a stop to billions of dollars in private investment.”

SEIA President Abigail Ross Hopper on the impacts of the 201 trade case filed by Suniva now being reviewed by the US International Trade Commission.

 

IN THE NEWS

SEIA Says Trade Action would Cost 88K Jobs – The Solar Energy Industries Association (SEIA) projects that 88,000 jobs would be lost, about one-third of the current American solar workforce, if Suniva gets trade protections proposed in its petition with the U.S. International Trade Commission (ITC).  Among the states standing to lose the most jobs include California with an expected job loss of 15,800, another 7,000 jobs would be lost in South Carolina, and 6,300 in Texas, according to preliminary estimates by SEIA.  Despite Suniva’s claims that its move is meant to protect domestic manufacturing, SEIA found that U.S. solar manufacturing jobs will actually decline if the petition is granted.  The case comes after a record-breaking year of solar energy growth in 2016 when industry jobs grew by 25% year-over-year and electricity generating capacity nearly doubled.  SEIA forecasts that solar jobs would be lost in all segments of the market. The utility-scale market, which has paced the industry’s growth for years, would see jobs shrink by 60%, while residential and commercial employment would fall by 44% and 46%, respectively.

AHRI Group Offers Low-GWP Alternative Refrigerants Testing Results – The Air-Conditioning, Heating, and Refrigeration Technology Institute (AHRTI), the research arm of the Air-Conditioning, Heating, and Refrigeration Institute (AHRI), released the first research report as part of its ongoing testing of flammable refrigerants, many of which were identified as possible replacements to high global warming-potential (GWP) hydrofluorocarbons that will be phased down under the Montreal Protocol. The research and testing program is part of a $5.2 million commitment on the part of AHRI, ASHRAE, U.S. Department of Energy, and the California Air Resources Board to further test in real-world settings low-GWP, but mildly flammable or flammable, refrigerants. The report, Benchmarking Risk by Whole Room Scale Leaks and Ignitions Testing of A2L Refrigerants, was developed following testing at UL, which began in June 2016. The objective was to conduct refrigerant leak and ignition testing under real-world conditions to develop data and insight into the risk associated with the use of A2L refrigerants, which are mildly-flammable, but have a low-GWP. Room scale tests were performed for commercial and residential scenarios, including a packaged terminal air conditioner in a motel room, a rooftop unit in a commercial kitchen, a walk-in cooler, a reach-in refrigerator in a convenience store, a split HVAC unit in a utility closet and with servicing error, and a split HVAC unit with hermetic electrical pass-through terminal failure. Further testing is planned as part of this effort and results will be released when they are available.

EIA: Wind, solar Account for 10% of U.S. electricity generation for first time – The EIA said last week that for the first time, wind and solar power installations provided about 10% of total U.S. electricity generation in March and likely exceeded that level in April.  EIA added that the share will likely fall below those levels in the summer, largely because output fluctuates based on seasonal changes.  On an annual basis, wind and solar made up 7% of total U.S. electric generation in 2016. Texas accounted for the largest total amount of wind and solar electricity generation. Nearly all of this generation was from wind, as Texas generates more wind energy than any other state. As a share of the state’s total electricity generation, wind and solar output was highest in Iowa, where wind and solar made up 37% of electricity generation in 2016. In addition to Iowa, wind and solar provided at least 20% of 2016 electricity generation in six other states.  See the EIA charts here.

Wind Runs Adverting Campaign About Jobs – Speaking of wind, AWEA’s partner American Wind Action launched a multimillion-dollar digital, TV and radio advertising issue advocacy campaign in Washington that features workers at an Iowa wind turbine manufacturing facility who say the industry “powers American jobs.”

AHRI Pushes Back on Energy Efficiency Lawsuit – Eleven states, led by California and New York, have sued the Trump administration for failing to finalize energy-efficiency regulations for portable air conditioners, walk-in coolers and other products. AHRI’s Francis Dietz said while the HVACR industry is just as anxious as others to have some certainty about these delayed rules that affect its members’ products, it is not unusual for there to be a delay in getting rules out at the beginning of an administration.  “As much as they would like to see decisions made on these, the odds are, these rules will be out long before this suit sees the inside of a courtroom.”  He added it’s important to remember that these products are already available for anyone to buy, so the argument that this delay is somehow keeping consumers from saving money/energy is simply not true. Having said that, manufacturers thrive on certainty, and that has created uncertainty and the new legal actions only create more.

SAFE Weighs In On AV Hearing Discussions – Following last week’s Senate Commerce Committee’s hearing on autonomous vehicles (AVs), Securing America’s Future Energy (SAFE) head Robbie Diamond said he is encouraged by Congressional action to advance autonomous vehicle (AV) policy.  Diamond says the technology “will improve the lives of countless people, prevent deaths, and mitigate our nation’s oil dependence. Congress has an important role to play in expediting the safe deployment of these vehicles on public roads by judiciously establishing a single, national regulatory framework.”  He added that AVs are a national issue which requires a national policy, and while it is critical to avoid overregulation, not being clear about basic performance standards creates a situation in which developers do not have a clear understanding of safety standard to build towards, and a policy vacuum forms that invites states to continue to create a messy patchwork of regulations.  Diamond: “A unified national framework, that includes federal preemption of conflicting state standards, would address both of these growing challenges—and we urge lawmakers to continue moving forward swiftly.”  Until a unified national framework is in place, SAFE believes that states should refrain from imposing AV regulations that may create unnecessary delays in deployment of the technology. Federal preemption has the ability to provide the much-needed certainty to automotive and technology companies, and will spur increased AV development across the country.  In January, SAFE’s Commission on Autonomous Vehicle Testing and Safety, a panel of experts and former public officials committed to the safe and timely introduction of AVs, released its best-practice recommendations for AV deployment. These recommendations emphasized the need for a modern regulatory environment, as well as industry-government communication.

House Committee Approves Crucial Nuclear Incentive – Last Thursday, the House Ways and Means Committee approved bipartisan energy legislation from Reps. Tom Rice (R-S.C.) and Earl Blumenauer (D-Ore.) modifying the 45J production tax credit to allow more time for the nation’s four new reactors under construction to receive the credit, and to allow transferability of the credit to other partners of the utilities. ClearPath Executive Director Rich Powell said: “This effort is vital to any real hope of expanding our nuclear fleet.”  The legislation changes current law by removing the 2021 deadline for the new reactors to be placed in service. It may also affect facilities that would use other advanced nuclear technologies, such as small modular reactors being designed by NuScale Power. Sen. Tim Scott (R-S.C.) has introduced a companion measure.

Congressional Baseball Game Raises $1M For Charity – Speaking of ClearPath, they were a proud sponsor of Thursday night’s Congressional Baseball Game, which brought both teams together in a bipartisan display of collegiality that raised more than $1 million for charity. The record number of tickets sold -nearly 25,000 – and other proceeds benefit the Washington Nationals Dream Foundation, the Boys & Girls Clubs of Greater Washington, the Washington Literary Center and the Capitol Police Memorial Fund.

 

ON THE SCHEDULE THIS WEEK

Ukraine Gas Leaders to Address Forum – Next Monday at 3:30 p.m., the Atlantic Council’s Dinu Patriciu Eurasia Center and Global Energy Center will hold a conversation on the future of Ukraine’s energy sector with Naftogaz leadership.  On May 31, Ukraine’s Naftogaz won a victory over Russia’s Gazprom in the international arbitration court in Stockholm. Naftogaz won on all three counts the court considered. On the heels of this extraordinary development, the Atlantic Council will bring together Naftogaz Chief Executive Officer and Chief Commercial Officer, Andriy Kobolyev and Yuriy Vitrenko, and fellow energy experts, to discuss Ukraine’s energy sector – Nord Stream 2, implications of the arbitration between Naftogaz and Gazprom in Stockholm, and energy reforms.

Chamber to Host Pruitt, Zinke – The U.S. Chamber of Commerce’s Institute for 21st Century Energy will celebrate its 10th Anniversary tomorrow morning at 9:00 a.m. with an “Energy Strong” forum that will examine the remarkable progress made over the past decade, and the ways that continued energy innovation can drive future economic growth.  Speakers will include Chamber’s Institute for 21st Century Energy CEO Karen Harbert, EPA Administrator Scott Pruitt, Interior Secretary Ryan Zinke, Sen. Dan Sullivan, former National Security Advisor General Jim Jones Jr. (Ret.), IHS Markit’s Dan Yergin, EEI President Tom Kuhn, NuScale Power CEO John Hopkins and several others.

Zinke to Talk Interior Budget at Senate Energy – The full Senate Energy and Natural Resources Committee will convene a hearing next Tuesday to examine the president’s budget request for the Department of the Interior for Fiscal Year 2018.  Secretary Ryan Zinke will appear.   Later in the day, The Committee’s panel on Public Lands, Forests and Mining’s will hold an oversight hearing on restoring watersheds and large landscapes.

Perry to Testify at House/Senate Approps Subpanels, Sen Energy – Energy Secretary Rick Perry is scheduled to testify next week before three committees on the budget.  Expect lots of funding questions but also a number of questions about the reliability study.  Tomorrow, Perry heads to the House Appropriations’ Subcommittee on Energy and Water.  On Wednesday, he hits the Senate Appropriations Subcommittee on Energy and Water and Thursday, he moves over to the Senate Energy Committee.

Forum to Look at AVs – The Information Technology and Innovation Foundation and the Washington Embassy of the Federal Republic of Germany will hold a forum next Tuesday, June 20th at 10:00 a.m. to discuss key policy and commercial issues and insights on how enterprises and policymakers from the U.S. and Germany are enabling the future of mobility.  Emerging digital technologies are enabling connected and autonomous vehicles (AVs). These technologies will reshape the future of mobility, reducing accidents and producing an estimated $1 trillion-a-year economic benefit in the United States alone. But to achieve that vision, policymakers will need to create a regulatory environment that encourages experimentation while ensuring high standards of road safety, as Germany has recently done by developing a policy framework for autonomous vehicle research and experimentation.  Speakers include Michael Bültmann of HERE Deutschland, ITIF’s Stephen Ezell and German Federal Ministry of Transportation’s Tobias Miethaner.

House Science Dems Hosts Climate Advocates – Democrats on the House Science, Space and Technology Committee will host a roundtable discussion tomorrow at 10:00 a.m. to showcase the threats posed by man-made global warming.  Ranking Democrat Rep. Eddie Bernice Johnson has invited heavy hitters in the climate world to the four-hour event, which will feature two expert panels on science and the UN Process.  Among the witnesses include climate scientist Ben Santer, former UN Environmental Chair Christiana Figueres and several others.

Forum to Look at OPA Reform – The Environmental Law Institute will hold a forum on Tuesday, June 20th at 12:00 p.m. looking at updating the Oil Pollution Act (OPA) in 1990.  OPA was passed following the Exxon Valdez oil spill, to strengthen the federal government’s ability to prevent and respond to oil spills, establish financial resources to aid response, and raise standards for contingency planning. The program will cover OPA issues raised by pipeline projects, and by the Trump Administration’s efforts to increase production from offshore and federal lands and to restrict the definition of waters of the United States in ways which may reduce the scope of contingency planning requirements for inland locations.  Speakers will also discuss key decisions from the past year involving the OPA and related federal statutes, including decisions about recoverable damages, citizen suits, and presentation of claims to the Oil Spill Liability Trust Fund, as well as decisions in enforcement cases against vessels involving the use of “magic pipes” to deal with oily bilge water. The expert panel includes NOIA’s Randall Luthi, Cyn Sarthou of the Gulf Restoration Network and Richard Udell, who serves in DOJ’s Environmental Crimes Section.

WAPA to Host Steel Discussion – The Washington Automotive Press Assn is holding a forum at the National Press Club Tuesday June 20th at Noon featuring the Steel Market Development Institute. Dr. Jody Hall, vice president of the automotive market for the Steel Market Development Institute, will discuss advancements in steel grades and how their application in the vehicle structure helps protects occupants in the event of a crash and is easier to repair than vehicles made with alternative materials.

Steel Consumers to Address Tariff Issues – Steel consumers in the US will hold a briefing on Wednesday at the National Press Club’s Zenger Room at 2:00 p.m. to discuss the Impacts of trade tariffs. Speakers include American Institute for International Steel President Richard Chriss, Chief Commercial Officer of the Port of New Orleans Bobby Landry, trade law expert Lewis Leibowitz and Stuart Speyer of Tennsco, a family-owned manufacturer of quality storage products.  The event will feature U.S. steel supply chain, voices from ports to steel-using manufacturers, speak out about the potentially destructive impact of steel tariffs on their own economic viability. The U.S. steel industry directly employs 142,000 workers, compared to an estimated 6.5 million who are employed by steel-using manufacturers.

Senate to Look at Water Infrastructure – The Senate Environment Committee’s Fisheries, Water and Wildlife Subcommittee holds a hearing tomorrow at 2:30 p.m. on innovative financing and funding to address America’s crumbling water infrastructure.

BPC Innovation Forum to Feature Sen Alexander, Southern ClearPath Experts – The Bipartisan Policy Center’s Energy Innovation Commission tomorrow at 3:00 p.m. in 430 Dirksen about the energy innovation process, with leading industry voices discussing whether smart, targeted approaches for limited federal resources can complement private sector investments in pursuit of advanced energy technologies. President Trump’s recent budget proposal for fiscal year 2018 has sparked a conversation about the appropriate federal role in supporting the nation’s innovators. As the congressional appropriations process begins in earnest, energy research programs within the Department of Energy are among those under scrutiny, despite a history of broad, bipartisan support.  Sen. Lamar Alexander will offer Keynote remarks, followed by a panel discussion with ClearPath’s Rich Powell, Air Liquide’s Mike Rosen and Southern’s Steve Wilson moderated by Axios’ Ben Geman.

WCEE to Host Litigation Roundtable – The Women’s Council on Energy and the Environment hold its Third Annual Litigation Roundtable Wednesday with the women Administrative Law Judges of the Federal Energy Regulatory Commission (FERC) and the Environmental Protection Agency (EPA). The Judges will discuss their experience as Administrative Law Judges, interesting developments in their careers, who mentored them along the way and who they themselves mentored, and share the “Dos & Don’ts” regarding hearings and settlement conferences.

BGov to Look at Infrastructure IssuesBloomberg Government will convene a conversation on Wednesday morning looking at the latest innovations for America’s infrastructure and the public and private sector partners bringing these ideas to life. Federal, state and industry leaders discuss the nation’s infrastructure priorities – funding, connectivity and sustainability – and where the public sector should focus infrastructure efforts to have the greatest impact.

Moniz, Whitman, Others to Discuss Climate, Energy – The Atlantic Council will host a forum on Wednesday looking at the energy and climate balance.  The conference convenes 150 rising leaders from around the world to discuss one of the most pressing issues facing the next generation: finding a balance between mitigating and adapting to climate change while also providing secure and reliable energy to fuel our future. The bipartisan agenda includes a cross-generational lineup of senior speakers alongside future leaders and represents a range of views on energy and climate from both sides of the Atlantic. Confirmed speakers include Founder of Sun Edison and Generate Capital Jigar Shah, Campaign Director for Greenpeace USA Leila Dean,  President and Co-Founder of OPower Alex Laskey, former Secretary of Defense Chuck Hagel, CEO and Founder of Merdiam Thierry Deau, Manager for Environment and Policy Planning for ExxonMobil Peter Trelenberg, former Secretary of Energy Ernest Moniz, former EPA Administrator Christie Todd Whitman,  Chairman and CEO of the Libra Group George Logothetis, and Executive Vice President and Chief Economist of Statoil Eirik Waerness, among many others.

Wilson Forum Look at Arctic Relations – The Wilson Center hold its Arctic Circle Forum on Wednesday and Thursday beginning each day at 8:30 am and looking at the U.S. and Russian roles in the Arctic.  The Arctic is a region of international dialogue and potential competition, of varied challenges and diverse opportunities. It is also a region that is gaining in both geopolitical significance and public awareness every day. The complex relationship between the United States and Russia, along with the approaches of the six other Arctic nations, will continue to shape the region’s social, economic, political and environmental issues far into the future.  The event will explore the crucial Arctic relationship and the implications for all Arctic nations, the communities that call the region home, and the countries and organizations that have a vested interest in a peaceful and sustainable Arctic.

House Resources to Look at Linking Helium, NatGas, Oil Leasing – The House Natural Resources Subcommittee on Energy and Mineral Resources will hold a Wednesday 10:00 a.m. legislative hearing on discussion drafts of the Helium Extraction Act of 2017.  The legislation focuses on amending the Mineral Leasing Act to provide that extraction of helium from gas produced under a Federal mineral lease shall maintain the lease as if the helium were oil and gas.

House Science Looks at Advancing in Enviro Techs – The House Science, Space, and Technology Committee’s Environment Subcommittee will hold a hearing Wednesday at 10:00 a.m. examining advances in environmental technologies. Witnesses will include Saildrone exec Sebastien De Halleux Dr. Neil Jacobs of Panasonic Avionics and Oregon State University Professor in Ocean Ecology and Biogeochemistry Burke Hales.

BNEF to Release Energy Outlook – The CSIS Energy and National Security Program is hosting the launch of Bloomberg New Energy Finance’s (BNEF) New Energy Outlook 2017 on Wednesday at 10:00 a.m. The report is BNEF’s annual economic forecast for the world’s power mix to 2040. Built over nine months, it is the result of a major collaboration of more than 65 market and technical experts from BNEF’s 11 offices around the world.  Seb Henbest (NEO Lead Author and Head of Europe, Middle East, & Africa; BNEF) and Elena Giannakopoulou (Lead Energy Economist; BNEF) will present on the NEO 2017 findings, followed by Q&A and discussion.

Press Club to Host Former Energy Sect Moniz – The National Press Club will host a Newsmaker on Wednesday at 10:00 a.m. in the Club’s Lisagor Room featuring former Secretary of Energy Dr. Ernest Moniz.  Moniz will propose ways to maintain the American leadership edge on energy innovation. Moniz also is expected to announce the formation of a new non-profit organization “The Energy Futures Initiative,” that aims to foster innovation in global energy systems. According to the creators, EFI will be a non-partisan, think tank and advisory firm working across all energy sources to provide evidence-based analysis on decarbonizing energy systems, creating high-paying energy jobs, and finding ways to make energy infrastructure and supplies more secure.

Forum to Look at Innovation, EU Climate Challenges – The Carnegie Endowment for International Peace and the Delegation of the European Union to the US will hold a discussion on Wednesday at 3:00 p.m. addressing current trends in innovation and economically sound decarbonization efforts across key sectors. World Bank Group CEO Kristalina Georgieva will keynote.

CA Energy Forum Set – Advanced Energy Economy’s (AEE) annual California energy policy event, Pathway to 2050, will be held on Wednesday in Sacramento.  The event brings together an influential group of advanced energy business leaders and state policy-makers to discuss opportunities to accelerate California’s economy through the growth of advanced energy.  Speakers will include our friends Caroline Choi of SoCalEd, Dan Morain of the Sacramento Bee and Greentech’s Katie Fehrenbacher. Other speakers include SoCal Ed CEO Kevin Payne, GE’s Deb Frodl, Cal Assembly Speaker Kevin de Leon, CPUC President Michael Picker, Cal Energy Commissioner Janea Scott and Tom Steyer.

AHRI Hosts CA State Summit – The HVAC industry will also hold a California State Summit on Wednesday and Thursday looking at energy and efficiency issues relating to the industry at the Hyatt in Sacramento.  Speakers will include CARB member Dean Florez, House Assembly Republican Leader Chad Myers and Senate President Kevin de Leon.

Senate Energy to Hear from Perry on DOE Budget – The full Senate Energy and Natural Resources Committee will convene a hearing on Thursday at 10:00 a.m. to examine the president’s budget request for the Department of Energy for Fiscal Year 2018.  Secretary Perry will testify.

State to Launch New Arctic Book – On Thursday at 10:00 a.m. at George Washington University, the State Department releases a book containing excerpts from the blog and book, Our Arctic Nation. The forum will feature a selection of Our Arctic Nation contributors discussing their experiences exploring their state’s Arctic connections and for discussion about national Arctic identity and the importance of the region to America’s future. Robert Orttung of GWU’s Elliott School of International Affairs and Representatives from the U.S. Department of State will speak.

WAPA to Host Ride/Drive of Ionig – WAPA also will host a lunch and drive on Thursday at 11:00 a.m. at River Farm in Alexandria, VA featuring the all-new Hyundai Ioniq Electric and Hybrid line of vehicles.

CSIS to Host Statoil Energy Report – The CSIS Energy and National Security Program will host a forum on at 1:00 p.m. featuring Eirik Wærness, Senior Vice President and Chief Economist of Statoil, to present the company’s newly released Energy Perspectives 2017.  The Energy Perspectives report summarizes different narratives about global energy demand and energy mix for the future decades, scenarios, based on different assumptions about regional and global economic growth, conflict levels and implications, technological development and energy and climate policies. In the 2017 version, models have been adjusted with last year’s developments in the energy and climate policy area, technology costs and maturity, more thorough assessments of GDP forecasts, as well as included adjustments made to historic global CO2 emissions. The modelling runs to 2050 with 2014 as baseline year, and provides a forecast for global energy demand and energy mix, economic growth, CO2 emissions, and more.

Forum to Hear Energy Demand Expert – On Friday at Chinatown Garden, the National Capital Chapter of the US Energy Economists will host physicist, venture capitalist, author, government advisor, and senior fellow at the Manhattan Institute, Mark Mills.  Mills will discuss energy demand disruptions and the aspirations versus the reality. Mills says we are nearing an era of ‘peak energy demand’ requires believing that innovation is over, and similarly that we’ve seen the end of normal economic and social behaviors.  Technology and demographic trends in fact suggest that the recent past is in an interregnum, not a ‘new normal’ when it comes to energy demand.

 

IN THE FUTURE

EIA Energy Conference Set – The 2017 EIA Energy Conference is scheduled for June 26-27 in Washington, DC.

Smart Cities Conference Headed for Austin – The 2017 Smart Cities Connect Conference will be in Austin, TX at the Convention Center on June 27th.  The event convenes more than 200 global city leaders to prospect and partner with innovative technology and service providers.

Global Security Forum Set – The Center for a New American security hosts its 2017 Annual Conference in partnership with The Washington Post on Wednesday, June 28th at The Mayflower Hotel. This year’s conference will bring together U.S. national security policymakers and experts to highlight major divides and identify potential bipartisan solutions. CNAS is an independent and nonpartisan research institution that develops strong, pragmatic and principled national security and defense policies.

CSIS to Host IEF Head on Energy Markets – The CSIS Energy & National Security Program on Wednesday June 28th at 10:30 a.m. will host Dr. Sun Xiansheng, Secretary General of the International Energy Forum (IEF), for a presentation and discussion on the forces impacting the security of global oil and gas supplies. Adam Sieminski will moderate the session that will focus on three key aspects of current markets: (1) why the volatile nature of the energy markets continues to pose many challenges for producers and consumers and (2) how, despite policy shifts in Washington, tightening greenhouse gas emission thresholds around the world could continue to shape many long-term decisions made by policy makers.  Dr. Sun has over 30 years of practical industry experience in oil & gas production, trading, and pipeline construction. He was elected Secretary General of the IEF in August 2016.

CSIS to Discuss Energy Efficiency Issues – On Thursday June 29th at 10:00 a.m., the CSIS Energy & National Security Program will host Philippe Benoit, former head of Energy Efficiency and Environment Division of the International Energy Agency, to discuss some of the benefits and pitfalls in shifting the focus of energy efficiency from savings to growth. Ariel Yépez, Inter-American Development Bank (IDB), will discuss how the IDB is working to increase the appeal of energy efficiency as a development tool for its client countries by also emphasizing its potential to support expanded service delivery. Laura Van Wie McGrory, Alliance to Save Energy, will discuss how energy efficiency also brings important benefits other than just energy savings to the U.S. and other developed countries.

JULY 4th Recess – June 30th to July 11th

Congressional Renewable Expo Set – The 20th annual Congressional Renewable Energy and Energy Efficiency EXPO and Policy Forum will be held on Tuesday, July 11th from at 9:30 a.m. to 4:30 p.m. In Rayburn.

Community Solar Forum Set for Denver – The Coalition for Community Solar Access will host the first annual National Community Solar Summit in Denver on July 26 – 28.  A few highlights for Denver include energy company CEOs including Tom Matzzie of CleanChoice Energy, Jesse Grossman of Soltage, Zaid Ashai of Nexamp, Rick Hunter of Microgrid Energy and Steph Spiers of Solstice.  Other speakers include energy company leaders Hannah Masterjohn of Clean Energy Collective, Dan Hendrick of NRG Energy, Adam Altenhofen of US Bank, Adam Capage of 3 Degrees and Lori Singleton of Salt River Project.

Energy Update: Week of January 23

Friends,

This has been a very exciting weekend with the Inauguration on Friday, the Women’s Marches across the nation on Saturday and Super Bowl LI’s lineup getting finalized Sunday, which set for Houston in two weeks.  Also the 33rd Sundance Festival opens up this week featuring Al Gore’s climate sequel and several other climate-related movies.

The new Administration started with a bang Friday with a memo from new White House CoS Reince Priebus holding all regulations.  The Washington Post had a great article by Chris Mooney over the weekend highlighted potential challenges in the memo.  Mooney looked at several DOE regs that were either finished or close to be finished to see how the rules will be impacted.  Our friends at AHRI (703-600-0355, fdietz@ahrinet.org) and former DOE Counsel Salo Zelermyer (202-828-1718, salo.zelermyer@bracewelllaw.com) are watching DOE actions closely.

Today, we are likely to see a blast of executive action.  Already, we saw the web page change of the Obama Climate approach which led to several stories.  Our friend Mark Drajem of Bloomberg and I have come to the same conclusion: Unless you’ve been living under a rock for the past 18 months, it should be obvious that the Trump administration takes a different view on climate change to the Obama team.  (And BTW, the Obama pages have been just moved to the archives.) As for actions, there seems to be a lot of interest in a transition memo that was reported by Axios today.  While it is interesting, just like the budget memo rolled out from Heritage/Republican Study Committee last week, I would encourage all of you to be careful chasing these items before Pruitt lands at the agency.  We are looking for focus on the White House Climate Action Plan, a pullback on CEQ climate guidance on NEPA and readjustment of the Social Cost of Carbon as immediate potential actions.  We are happy to help provide insights, information and resources.

We also know he is moving on trade issues including NAFTA and TPP.  My colleague Josh Zive (202-828-5838, josh.zive@bracewelllaw.com) is one of the best trade policy lawyers in DC and is happy to give you background information, perspective and even on-the-record comments.

On the Hill, we also expect more action on the nominations for EPA, State, Energy and Interior.  At 4:30 p.m. the Senate Foreign Relations Committee will meet to discuss the Tillerson nomination to be Secretary of State which seems to be assured now that Sens. Rubio, McCain and Graham will support him.  Senate Energy Chair Murkowski suggested hotlining the Zinke and Perry nominations so they can get floor votes early this week.  As for EPA, nominee Scott Pruitt will face opposition but is certain to be approved.  In fact, the most interesting story on the EPA nomination vote is what key Democrats facing tough re-elects in Trump states (Tester – MT, Donnelly – IN, Heitkamp – ND McCaskill – MO) will do.  Manchin is already supporting Pruitt.

As for events this week, on Thursday, my Bracewell colleague Jeff Holmstead joins other tax experts at the American Enterprise Institute to discuss the viability of carbon tax.  Other events include the Washington Auto Show Policy Days on Wednesday and Thursday, while Friday a CSIS holds an event that presents IEA’s Global Gas Security Review.

Finally, two events to put on your radar screen for early February besides the Grammys and Super Bowl LI.  On February 3 and 4, the Society of Environmental Journalists (SEJ) will hold events in Washington focused on the 2017 Environmental/Energy agenda and covering the Trump Administration.  Finally, on February 8th, the Business Council for Sustainable Energy and Bloomberg New Energy Finance will release its 2017 Sustainable Energy Factbook.  Mark your calendars and stay tuned here.

 

Best,

Frank Maisano

(202) 828-5864

(202) 997-5932

 

FRANKLY SPOKEN

“it is clear that self-driving cars will make it possible for millions more Americans to have better access to healthcare, live more independently and achieve greater economic self-sufficiency.”

Henry Claypool, Policy Director at the disability advocacy group Community Living Policy Center at the University of California, San Francisco

 

IN THE NEWS

New CoS Memo Slows Regs – White House Chief of Staff Reince Preibus released a memo on Friday to all executive departments and agencies to freeze new or pending regulations — giving the new administration time to review them.  The action is a fairly standard move for a new administration taking over from the other party. It effectively halts any lingering policies from the Obama administration before they can be finalized.  For any regulations that have yet to be sent for publishing in the Federal Register, the memo asks the agency to not send any regulation to the Federal Register until reviewed by someone selected by the President.  For those that have been sent but not published, the White House ordered the regulations withdrawn. For regulations that have been published but have not reached their effective date, the memo instructs those regulations to be delayed for 60 days for review — with a potential that a new notice for reopening the regulation could occur.  The memo makes an exception for “critical health, safety, financial, or national security matters,” and asks agencies to identify any regulations that can’t be delayed for other reasons.

AHRI Sees Benefits, Concerns with Memo – A great article by Chris Mooney in the Washington Post over the weekend highlighted potential challenges in the memo.  Mooney looked at several DOE regs that were either finished or close to be finished to see how the rules will be impacted.  AHRI, who worked on both the walk-in coolers and freezers (WICF) rule and its accompanying test procedure rule and the commercial boiler rule, were recently submitted for publication, but delayed under the 45-day review rule.  The memo would appear to force the withdrawal and review of the rule by new personnel at DOE.  AHRI President Steve Yurek said the action provides an opportunity discuss with the new DOE staff the various processes by which energy efficiency rules are developed.  “The walk-in coolers and freezers rule was negotiated and its provisions were agreed to by all stakeholders, including AHRI.  The rule establishing the test procedure for WICFs, however, was not negotiated, and neither was the commercial boiler rule — both were developed with minimal interaction with stakeholders.  Consequently, we have many concerns about those two rules and will likely be seeking significant changes if and when they are redeveloped,” Yurek said.  This moratorium does not mean these and other rules will never be issued, only that they will be delayed for review and potential alteration. But Yurek said that, “Under the law, DOE is only required to review these and other rules, not make changes to them.  It is entirely possible that this administration will choose to merely leave current efficiency levels in place for some products,” he said.

Propane Rule Creates Burden – On the first working day of the Trump Administration, a rule imposed by the U.S. Department of Transportation (DOT) during the Obama Administration is set to impose $125 million in new costs on propane consumers.  To date, NPGA’s petition for an emergency stay to protect the industry and propane consumers has gone unanswered.  Today, approximately 5 million propane cylinders, including many that are used for home heating, forklifts, and even grill cylinders, are out of compliance with DOT regulations.  In 2016, the Pipeline and Hazardous Materials Administration (PHMSA) made a major change to a decades-old regulation that, without explanation or justification, reduces the time propane marketers have to initially requalify a propane cylinder from 12 years to 10 years.  This action is an unlawful violation of the Administrative Procedure Act (APA). The APA requires that affected parties have an opportunity to comment on any changes that might create new obligations for stakeholders.  DOT misled the propane industry in the initial notice of proposed rulemaking saying, “Costs associated with the rule are estimated to be negligible annually…. [T]hese requirements would not impose new requirements on current non-holders of SPs [special permits].”  In the rule PHMSA cites the number of affected business at 50.  The reality is this rule affects thousands of companies, starting with approximately 3,000 propane marketers.  In addition to the significant financial burden, this regulation will cause small business owners to choose between delivering fuel to more than 5 million homes that rely on propane for winter heating or keeping staff at the business to comply with this rule.

SAFE Report Says AVs will Help Those with Disabilities – A white paper commissioned by the Ruderman Family Foundation and Securing America’s Future Energy (SAFE) has revealed that an astonishing two million employment opportunities could be opened and $19 billion in annual healthcare expenditures could be saved if people with disabilities had access to the basic transportation needs that could be provided by autonomous vehicles. The paper, titled The Ruderman White Paper on Self-Driving Car Technologies: The Impact on People with Disabilities, also encourages a greater dialogue surrounding the potential benefits that these emerging transportation technologies can offer to people with disabilities. Despite those with disabilities representing nearly 20% of the U.S. population, the most recent government transport survey indicated that six million individuals with a disability have difficulty accessing the transportation they need. The transportation sector is one of the largest industries in the United States, interacting with nearly every facet of the economy, however this system still remains off-limits to many in the disability community, leading to much lower rates of employment, health care, and income. The report, co-authored by Henry Claypool, Policy Director at the Community Living Policy Center at the University of California, San Francisco, Amitai Bin-Nun, Director of the Autonomous Vehicle Initiative at SAFE and Jeff Gerlach, Senior Policy Analyst at SAFE, calls on an urgent need to develop a common agenda at the intersection between autonomous vehicles and disability policy, requiring broad political organization, and eventually action, in order to make progress and ensure the voices of individuals with disabilities is heard.  The report’s authors also noted a legal commitment to be upheld as autonomous vehicles are developed. The Americans with Disabilities Act (ADA) states that if a private company offers such transportation services, equal access to public accommodations must be made to provide the same services to people with disabilities as those without.

Cramer Bipartisan commission to Limit OPEC – U.S. House of Representatives members Kevin Cramer (R-ND), Trent Franks (R-Ariz.), Collin Peterson (D-Minn.) and David Scott (D-Ga.) introduced legislation to establish a one-year commission to better understand the role of OPEC, its member nations, and other national oil companies (NOCs) in contributing to an unfree global oil market. OPEC, whose member nations along with other NOCs control 90% of the world’s proven crude oil reserves, have the ability to exercise outsized influence over global oil supply, and therefore prices, to the detriment of non-members like the United States. The full text of H.R. 545 is available here.  OPEC’s decision in late 2016 to interrupt the low oil price environment by freezing crude production was reached after two years of the cartel maintaining record levels of production to consolidate market share. That policy placed significant strain on U.S. producers and the global economy, delaying nearly $400 billion in investment in future production capacity, causing thousands of domestic job losses and setting the stage for higher prices in the future. Unable to meet their fiscal obligations with declining oil revenues, major exporters are instead burning through billions in accumulated foreign reserves to maintain their social and defense spending, with the potential of amplifying already growing geopolitical unrest in the world’s most unstable regions. OPEC’s strong influence over the oil market translates to severe economic vulnerability for the United States, which depends on petroleum fuels for more than a third of its primary energy demand and for 92% of the energy used by the transportation sector. This singular dependence on oil, a resource whose price is frequently volatile and unpredictable, threatens the American economy with the specter of price spikes and undermines the nation’s ability to conduct effective foreign policy, including military action, in its own interest.

AHRI Announces HVAC Scholarships – The Clifford H. “Ted” Rees, Jr. Scholarship Foundation, a 501(c)(3) charitable foundation of the Air-Conditioning, Heating, and Refrigeration Institute (AHRI), and the Air Conditioning Contractors of America (ACCA), announced scholarship awards totaling $55,000 to 35 students, including six veterans, studying to become technicians in the HVACR and water heating industry.  Each year, the Foundation provides aid to an increasing number of recipients, helping to promote careers in the industry and fill good-paying jobs that cannot be outsourced.

 

ON THE SCHEDULE THIS WEEK

Smart Cities Conference Set – The Smart Cities International Symposium, will be held tomorrow and Wednesday in Chicago.  The conference examines the latest technology advances and business models for the 21st Century connected city.

Defense Energy Forum Set – Today through Wednesday, the Institute for Defense and Government Advancement holds its Operational Energy Summit, with the theme “Enabling Global Power Projection at the Sheraton Pentagon City.

Mexican Energy Official to Address Challenges –Tomorrow at 11:00 a.m., the Carnegie Endowment for International Peace holds a forum looking at Mexico’s energy reforms.  Mexico’s National Hydrocarbons Commission (CNH) has faced myriad challenges and opportunities since its first open licensing rounds in 2015. What can an independent regulatory agency achieve in a country that just opened its petroleum industry to private investments? Join the Carnegie Endowment for International Peace and the Natural Resource Governance Institute (NRGI) for a discussion with experts on global resource transparency. CNH’s Juan Carlos Zepeda will deliver a keynote, and Carnegie’s Deborah Gordon will moderate the discussion.

Washington Auto Show Set – The Washington Auto Show will be held starting Friday to February 7th at the Walter E. Washington Convention Center.  As the “Public Policy Show” on the auto show circuit, the 10-day public show is preceded by two Public Policy Preview Days of special events and announcements for officials in government, industry and the media on Wednesday and Thursday.  The events of the Wednesday will be on Capitol Hill in the Kennedy Caucus Room. Speakers will include Michigan Senator Gary Peters and Rep Debbie Dingell, Our friend Joe White of Reuters and GMU’s Adam Thierer and the Chamber’s Matt Duggan. The Washington Auto Show is also the largest public show in Washington, D.C. Over the course of its many years this beloved and historic D.C. tradition has attracted Washingtonians of all stripes – and political affiliations. Along with the engineering prowess on display among the more than 600 new models from over 35 manufacturers, the 2017 show will feature VIP tours led by award-winning automotive writers and a special exhibit area for live painting of “art” cars.

SAE to Host Forum at Auto Show – SAE International holds its 2017 Government/Industry Forum in conjunction with the Washington Auto Show on “how technology, regulations and legislation affects the design of light and heavy duty vehicles.

Energy Expert to Address NCAC Dinner – The National Capital Chapter of the US Energy Economists will hold its annual dinner on Wednesday evening at Clyde’s Gallery Place.  The guest of honor and speaker is energy expert Amy Myers Jaffe.

WCEE Forum to Look at Solar Integration – The Women’s Council on Energy and the Environment (WCEE) will hold a forum Wednesday on solar Integration.  In the past six years, U.S. photovoltaic capacity has expanded rapidly.  The FTC also recently held a public workshop and invited comments on this issue, including a discussion of “competition among solar directed generation or DG firms, between solar DG firms and regulated utilities, and between solar generation and other power generation technologies.” The discussion will address what role competition law may have in the market for the generation and distribution of electric power. We will consider both federal and state/local regulation, and consider arguments presented by advocates on either side of the issue.  Robert Ivanauskas of FERC’s Office of Energy Infrastructure and Security will address what role competition law may have in the market for the generation and distribution of electric power. We will consider both federal and state/local regulation, and consider arguments presented by advocates on either side of the issue.

USEA to Look at ND’s Carbon Management – The US Energy Assn will hold a forum on Wednesday at 2:00 p.m. to discuss carbon management issues in North Dakota.   The University of North Dakota’s Energy & Environmental Research Center (EERC) is internationally recognized for its expertise in fossil energy research, and North Dakota’s state government and industry are interested in private / public partnerships in research that will allow the state to continue to develop and use its natural resources in an environmentally responsible manner.  EERC’s John Harju and Bill Sawyer from ALLETE Clean Energy will discuss new and exciting activities in North Dakota that are examining an integrated energy and carbon solution platform. The goal is to demonstrate that the electric utility industry, both regionally and nationally, can utilize our nation’s most abundant fuel while providing the foundation for the beneficial use of the CO2 produced, and do so in a cost-effective and environmentally sound manner.

AEI to Host Carbon Tax Discussion – AEI will host a panel discussion on carbon taxes on Thursday at 9:00 a.m. looking at whether the standard “efficiency” arguments offered by some conservatives in favor of a carbon tax make any sense at all given the various incentives of Congress and the bureaucracy.  Participants will include my colleague Jeff Holmstead, Heritage’s David Kreutzer, AEI’s Aparna Mathur, Roger Sant of the Summit Foundation RFF’s Roberton Williams, Resources for the Future; University of Maryland and AEI’s Benjamin Zycher.

Forum to Look at NatGas Diplomacy Strategy – The Energy Diplomacy Initiative (EDI), as part of the Atlantic Council’s Global Energy Center, will hold a forum on Thursday at 9:00 a.m. featuring a discussion with conversation with former FERC Commissioner Suedeen Kelly on her recommendations for the US administration on the role of natural gas, energy policies, and impacts on international diplomacy.

CSIS to Present IEA Gas Security Review – On Friday at 10:00 a.m., the CSIS Energy & National Security Program will host Costanza Jacazio, Senior Gas Expert at the International Energy Agency (IEA), to present the IEA’s Global Gas Security Review. Providing more transparency for LNG markets, the report assesses the degree of flexibility the global gas markets can provide in the wake of a demand or supply shock. Among other issues, the report seeks to address how much slack there is in the global gas system and the flexibility of LNG markets in practice.

 

IN THE FUTURE

Former Sect of State to Address Smart Women Forum – On Monday, January 30th at 5:30 p.m., CSIS will host a Smart Women, Smart Power Initiative conversation with former Secretary of State Madeleine Albright (WELLESLEY Alum) to discuss America’s place in the world.  The event will be moderated by Nina Easton, chair of  Fortune’s Most Powerful Women International.

CSIS Forum to Look at Deep Decarbonization – The CSIS Energy & National Security Program will host a forum on Tuesday January 31st looking at deep decarbonization scenarios.  Speakers Jeremy Bentham, Global Head of Strategy at Royal Dutch Shell; Philippe Benoit, former head of the Energy Environment Division at the International Energy Agency and current Senior Associate (Non-resident) with the Energy & National Security Program; and Noah Kaufman, Climate Economist at the World Resources Institute, will hold a discussion on the topic. Bentham will present Shell’s new Pathways to Net-Zero Emissions. The report explores possible ways in which the world’s energy system could evolve to meet future demand while simultaneously mitigating climate change. Benoit, formerly of IEA, will discuss the IEA’s 450 Scenario, a 2°C scenario in which concentration of greenhouse gas emissions are limited to 450 parts per million CO2. Kaufman will round out the discussion with a comparison of the Mid Century Strategies, prepared for the Marrakech climate talks by the Council on Environmental Quality.

USEA Holds State of Industry Forum – The US Energy Assn will holds its 13th annual State of the Energy Industry forum on Tuesday January 31st at the National Press Club Ballroom.  Distinguished leaders from the most influential and active energy trade associations will come together to engage in dialogue and deliver presentations on the issues, trends and challenges affecting the industry for 2017.

Forum to Look at Climate Risks in Latin America – The Inter-American Bank will hold a dialogue seminar on February 1st to look at climate risks in Latin America.  The discussion on these questions will include climate and energy experts.  There will also be a presentation of the Inter-American Development Bank’s new report, “Stranded Assets: a Climate Risk Challenge.”

CSIS to Host BP Energy Outlook – CSIS Energy & National Security Program will host a discussion on Wednesday February 1st at 9:30 a.m. looking at the annual BP Energy Outlook with BP Chief Economist Spencer Dale. The BP Energy Outlook considers a base case, which outlines the “most likely” path for energy demand based on assumptions about future changes in policy, technology, and the economy. Beyond the base case, the Energy Outlook examines some of the key issues that will shape energy supply and demand through 2035 and explores possible alternative outcomes.

WM Host Annual Sustainability Forum – Waste Management will host leaders from global companies, representatives from municipalities across the country, experts, innovators and influencers, on Thursday, February 2nd at their 7th annual Executive Sustainability Forum at the Fairmont Scottsdale Princess in Scottsdale, Ariz. The day-long event will feature renowned speakers and panel discussions on the e-commerce revolution and the conundrum of complex packaging and it launches a great week of golf with the WM Phoenix Open.  In addition, just one week after the presidential inauguration, keynote speakers Dana Perino, former Republican White House Press Secretary and now co-host of The Five on Fox News Channel, and Julie Roginsky, Democratic Party strategist and regular Fox News Channel contributor, will delve into anticipated changes in U.S. environmental policies and the possible implications for businesses and local governments.  An afternoon workshop tackling the emerging dialogue around Sustainable Materials Management and Lifecycle Thinking will facilitate a dynamic results-oriented session around changing goals to reflect broader environmental benefits.

Forum to Tackle 2017 Environ Agenda – On Friday Feb 3rd at 3:00 p.m., SEJ and the Wilson Center hold their annual what to expect in the year in environment session. SEJ will launch its new report, “Journalists’ Guide to Energy and Environment 2017,” presented by SEJ Board President and Climate Central Senior Science Writer Bobby Magill. The presentation will be followed by a panel discussion with AP’s Seth Borenstein, Politico’s Elana Schor, John Siciliano of the Washington Examiner, BNA’s Amena Sayid and several others.

Segal, Others Address Trump, Environment at SEJ Forum – The Society of Environmental Journalists holds a mini-conference Saturday Feb.4 (and perhaps 5) in Washington DC on covering the Trump Administration on environment and energy. Speakers include EPA Transition Chief Myron Ebell, former EPA water chief Tracy Mehan, Bracewell energy expert Scott Segal, former EPA deputy administrator and climate change activist Bob Perciasepe. There will also be an all-star panel of reporters who have covered Donald Trump, Scott Pruitt, Rick Perry and Rex Tillerson.

Annual Sustainable Energy Factbook Set for Release – The Business Council for Sustainable Energy and Bloomberg New Energy Finance will release their annual Sustainable Energy Fact book Feb 6th.  More on this as we get closer.

Transmission Infrastructure Summit Set – The National Electric Transmission Infrastructure Summit will be held on February 9-10th at the Mandarin Oriental Hotel.  The Summit is a one-and-a-half day gathering focused on the challenges and merits of extending, modernizing, and integrating the high-voltage electric transmission system – necessary to enable access to the rich but currently remote resources of renewable energy required for a clean-energy future, while mitigating the cost and variability of those resources.  Speakers will include our friend Jimmy Glotfelty of Clean Line Energy Partners, as well as Southwest Power Pool CEO Nick Brown, National Electric Manufacturers Association CEO Kevin Cosgriff and several others.

CERAWeek Set for Houston – The 36th CERAWeek by IHS Markit will be held on March 6th through 10th in Houston at the Hilton Americas.  CERAWeek is the premier annual international gathering of energy industry leaders, experts, government officials and policymakers, leaders from the technology, financial, and industrial communities – and energy technology innovators. Midst the turbulence and uncertainty in energy markets this year, CERAWeek 2017 will provide new insights and critically-important dialogue – and a very cost efficient way to engage on the most urgent questions with decision-makers from around the world.  A laundry list of other key energy speakers/CEOs will speak.  See the list here.

Southern NextEra Execs Address Transmission Summit – The 20th Transmission Summit will be held March 6-8th at the Mayflower Hotel in Washington, DC.  The event brings together policy makers with transmission industry leaders to develop strategies that will take advantage of opportunities created by emerging policy, regulatory and technological changes.  Topics will include post-election policy shifts and potential new opportunities for transmission infrastructure investment, dealing with the impacts of revisions to FERC’s Order 1000 processes on regional planning and competitive projects, integrating and interconnecting ever more renewable energy assets and using non-transmission alternatives and storage to defer new builds and replace aging infrastructure.  Key speakers include former FERC Chair Joe Kelliher of NextEra, Southern’s Bruce Edelston, and Georgia PSC Commissioner Tim Echols, among others.

GEA to Host DC Meeting – On March 7th, the Geothermal Energy Association (GEA) will hold its International Geothermal Forum in Washington, DC.

Pollution Control Agencies Set Spring Meeting – The Association of Air Pollution Control Agencies’ 2017 Spring Meeting will be held in Tucson, Arizona from March 27 – 29 at the Hilton Tucson East Hotel.  More on this in the future.

New Year’s Energy Update

Friends,

Welcome to 2017!!!!  I hope you were able to enjoy a few days over the holidays to relax.  We sure saw some great football (topped by the Rose Bowl) and hockey (the Outdoor Centennial Classic in Toronto) games.

While 2016 was a bizarre political year, 2017 looks to be a brave new world, so let me lip-synch my way through a few bars to remind you that we will be on top of it all for you.  To that end, as usual, I am forwarding a few of the top issues we expect to see in the energy and environment arena for 2017.

The 115th Congress launched today with quite a stir. While new members were being sworn in and Speaker Ryan was being elected, the House was backtracking on the outside ethics committee change after pressure from the Presidential Twittersphere.  Anyway, while a dumb way to start, it did create some fun just 17 days before the Inauguration.   Sounds Like they will be busy right away though passing Midnight Rules Relief Act, which allows the use of the Congressional Review Act to overturn regulations finalized in the waning days of an administration and the Regulations from the Executive in Need of Scrutiny Act that requires explicit congressional approval for major executive branch regulations. (H/T POLITICO ME) Good luck getting passed the Senate though.

While a short week, there are a few great events set for the week.  Tomorrow, our friends at API hold its annual State of the Energy Industry event featuring CEO Jack Gerard at the Reagan Trade Center at 12:30 p.m.   Also this week, the Consumer Electronics Show starts in Las Vegas.  On Thursday, SAFE will release its autonomous vehicle report recommendations.  Due to the unique challenges of regulating the rapidly evolving AV industry, the report outlines clear and actionable best-practices for industry designed to increase collaboration between developers and regulators and ultimately improve public trust in AV technology.  You may also expect to hear more about this topic at next week’s launch of the world-renowned Detroit Auto Show.  Also Thursday morning at JHU, EIA’s Adam Sieminski will present the findings of EIA’s “Annual Energy Outlook 2017” with projections of U.S. energy supply, demand, and prices.

Finally, congrats to our friend Sean Spicer, taking over the WH flak Jacket.  Also, check out the recent opinion piece on EPA nominee Scott Pruitt from former White House Counsel C Boyden Gray, who helped author the 1990 Clean Air Act Amendments, the last time it was updated.  As usual, call with questions…and on to the Top 10!!!

 

Best,

Frank Maisano

(202) 828-5864

(202) 997-5932

 

TEN ISSUES FOR 2017

  1. Roll Back Vs Reform – We have already heard the enviro community talking rollbacks, but there is a serious question about what a roll back is and what is a much-needed, long-overdue reform.  This battle will be one of the key fights for the year, especially with the big tickets items headlining the list.  While the Clean Power Plan, WOTUS rule and other oil & gas rules will attract most of the attention, smaller rules like last week’s DOE EE rules and other low-profile, but costly rules will likely be on the hit list.  In the end, the fight will be less about the real policy substance and much more about messaging.
  2. Infrastructure = Projects = Pipelines = Jobs – We all know the role jobs played in the political campaign, which moves this to the very top of the new Administration’s agenda.  And don’t think the infrastructure bug will just hit projects that weren’t favored by the Obama team.  In fact, a rising tide lifts all boats so I expect clean energy projects will also see numerous opportunities.  But the most obvious translation to the energy issue is through infrastructure.  The last-minute, parting gifts handed to the environmental community over pipelines projects will likely fall away, but going forward, transmission lines, pipeline infrastructure, project development and road/mobility development will all be front and center priorities.
  3. Not So Much Confirmation, But Lots of Agency Reform – While Democrats are girding for battle on Trump Cabinet appointees, they are unlikely to stop any – especially the energy and environment picks – without an epic fail by a nominee at their confirmation hearing.  What is more significant is what they will do when they land at the agencies.  DOE’s Rick Perry, Interior’s Ryan Zinke and EPA’s Scott Pruitt will have significant structural reform on their plate and the question remains as to how that will go.  Pruitt will likely face the most significant plate of big issues from the RFS to the Clean Power Plan to the waters rule.   Perry and Zinke will face more lower-level structural reforms to their agencies.  Between the confirmation battles and the new approach for the agencies, look for this fights to take up a large part of year one.
  4. We’ll Always Have Paris, REPRISED – Last year, this was our first issue, and it re-emerges as major issue again, but this time for a different reason.  It is one of the most interesting questions of 2017 because of the new Administration’s unclear position.  While enviros say that we must continue pushing the Paris agreement to maintain environmental progress and our credibility in the international community, opponents of the Paris agreement are largely split on it going forward.  That disagreement centers on the fact that Paris doesn’t actually REQUIRE the U.S. to do anything.  Some want to send a message by pulling out, but that may be more trouble than it’s worth.  As with all issues now, it is becoming more of a message fight than an issue of substance and should reach a head in late 2017 at COP 23 in Bonn.
  5. Big or Small Ball on the RFS – The Renewable Fuels Standard (RFS) is always a policy fight magnet.  Don’t expect 2017 to be any different starting tomorrow when API does its “State of American Energy” event.  While the major fight over larger overall reform of the program has never been more live, there are smaller battles that played a major role last year that will likely resurface, especially with Carl Icahn leading the Administration’s Reg Reform effort.  Either way, the fight over this program continues both in the policy and political arena.
  6. Looking at the Power of Rural America – Rural America played a major role in electing Donald Trump, and while always powerful on Capitol Hill, look for the rural economic agenda to play a more prominent role in many policy fights.  Clean energy will also be an important piece of this effort as many rural communities see energy projects, efficiency programs and fuels policy as a form of rural economic development.  From Rural electricity to broadband to credit union policy changes, rural economic development will likely be closer to the front burner, especially since rural voters stepped up, know they are powerful and will want to be heard.
  7. Offshore Winds Finally Blowing? – As the nation’s first offshore wind farm finally opened off the coast of Rhode Island, it seems that the long freeze for offshore wind in the US is finally thawing.  The Deepwater Wind success was quickly following up by a major announcement by the Interior Department naming Statoil as the provisional winner of the U.S. government’s wind lease sale of 79,350 acres offshore New York. Statoil will now have the opportunity to explore the potential development of an offshore wind farm to provide New York City and Long Island with a significant, long-term source of renewable electricity.  Statoil submitted a winning bid of just under $42.5 billion.  While the anxious wait seems to be over, watch for key policy questions and potential roadblocks from a new Administration that hasn’t exactly been a supporter of offshore wind.
  8. Clean Energy Staying Strong But Smarter – Speaking of clean energy, as I mentioned a rising tide lifts all boats so we expect clean energy projects to also see numerous opportunities, especially if the expected infrastructure build-out takes hold.  But, expect the projects efforts to be less random.  Projects that improve reliability, create jobs, are economically feasible and promote environmental goals will likely be able to garner bipartisan support and move forward.  Projects that are a stretch and are reliant only on favorable tax policy or a constrained GHG mandate may struggle to get off the ground.  As well for 2017, new CCS projects will finally make it to commercial operation, another positive step forward.
  9. Innovation Agenda Essential for Technology, Climate Future – For the past century, the US has lead on virtually every energy technology, from solar panels to clean coal.  Common sense reforms that enable and inspire American ingenuity are essential to creating an energy future that will reduce emissions and advance the next generation of technologies that will continue to change the way we use energy.  Private-public partnership can also add new value. Exciting efforts like Southern Company’s Energy Innovation Center, which looks for better, more reliable and more efficient ways to increase value, can play an important role in the overall effort.  Southern is also a prime example of innovation leadership promoting several bold technologies like carbon capture, large-scale biomass, improved gas infrastructure, new wind and solar and new generation nuclear. We also saw technology innovation’s emergence on the global scene in the Breakthrough Coalition led by Bill Gates and the govt-to-govt “Mission Innovation” initiative, which were borne out of international discussions in Paris last December.  Only a bold private-public innovation/technology partnership process like this by world and business leaders can achieve success.
  10. New Nuclear is Hear and Now – Nuclear energy is an essential and reliable part of any modern electricity grid. It keeps the lights on regardless of the weather – and does so with zero air pollution. The current construction of new reactors at Plant Vogtle which will run through its final stages before operation starts in 2018, hopes to create a new age of nuclear energy. Vogtle is part of the next generation of reactors that are significantly upgraded from those built in the 1970s. And many companies are innovating further on advanced reactors that will be far more versatile than today’s technology.  In addition, new leadership at NEI will likely also make nuclear issue and more interesting read in 2017.   Georgia Power has an ongoing photo timeline of progress/activity at Plant Vogtle that you can see here.

 

FRANKLY SPOKEN

“When Oklahoma Attorney General Scott Pruitt is confirmed as the next administrator of the Environmental Protection Agency, he will inherit an agency that should be declaring victory in its 46-year battle for a cleaner, healthier environment. The next administrator must focus on reining in an agency that has far exceeded its original mission. Fortunately, Pruitt understands the EPA’s proper role and is the right man for the job.”

 2007. Boyden Gray served as White House Counsel during the George H.W. Bush administration and as U.S. Ambassador to the European Union from 2006-2007. He was one of the architects of the 1990 Clean Air Act.

 

IN THE NEWS

DOE Finalizes Energy Efficiency Rules – DOE issued five new rules on December 29th that cover an eclectic mix of products, including the first national standards for uninterruptible power supplies, portable air conditioners and swimming pool pumps, which are based on a consensus agreement. For pool pumps, California has led the way with pool pump motor standards and Arizona, Connecticut, and Washington have followed. California and Oregon have previously set standards for uninterruptible power supplies as part of their battery charger standards.  For walk-in coolers and commercial boilers, DOE’s latest actions would update existing national standards, originally signed into law by George W. Bush and his father, respectively. Manufacturers and installers of walk-in coolers negotiated the walk-in cooler levels with DOE and other stakeholders after a lawsuit invalidated some earlier standards.

Interesting Twist to Rules – Under the terms of an agreement developed as part of the settlement AHRI reached with DOE in its 2014 lawsuit concerning the original rule for walk-in coolers and freezers, there is a 45-day waiting period before the rules can be published in the Federal Register.  This means that they will not be issued in final form during the Obama Administration and are, therefore, subject to review by the incoming Trump Administration.  AHRI President Steve Yurek said the walk-in coolers and freezers rule was negotiated with AHRI member input and AHRI approved the negotiated provisions of the rule. Yurek added the commercial boiler rule was not developed through negotiations, but through the notice-and-comment process under which AHRI provided comments.  AHRI continues to have significant issues with this rule, including our opposition to the proposed minimum efficiency levels for both oil and gas boilers which we feel overestimate the energy use of commercial packaged boilers, underestimates their installation costs, and overestimates the future shipments of commercial packaged boilers while underestimating the level of higher efficiency commercial packaged boilers that are currently in the marketplace. Yurek: “We continue to have concerns that the efficiency levels for these products has been set at a level that the margin of safety to properly vent the products of combustion has been significantly reduced.  We look forward to working with the Trump Administration as it reviews recent DOE rulemakings prior to their being finalized.”

Analysts Report: Shale Drillers Expected to Recover – Shale drillers are set to ramp up spending on exploration and production next year as recovering oil prices prompt banks to extend credit lines for the first time in two years.  The credit increase is small, but with major oil producers worldwide aiming to hold down production in 2017, U.S.-based shale drillers are looking to boost market share to take advantage of higher prices, and greater availability of capital will make that easier.  Analysts at Raymond James North America-focused oil and gas producers are expected to increase capital investments by 30% next year.

Southern Moving on Larger Wind Strategy – As part of the company’s renewable development strategy, Southern Company recently rolled out a joint development agreement with Renewable Energy Systems Americas Inc. (RES) to develop and construct approximately 3,000 megawatts (MW) across 10 projects with commercial operation dates between 2018 and 2020. Additionally, Southern Power has signed agreements to purchase wind turbine equipment from both Siemens and Vestas for use at the facilities.   Already, Southern owns more than 2,700 MW of renewable generation across 33 solar, wind and biomass facilities either announced, acquired or under construction. In total, the Southern Company system has added or announced more than 4,000 MW of renewable generation since 2012.

Statoil Wins NY Offshore Wind Auction – Statoil has been declared the provisional winner of the U.S. government’s wind lease sale of 79,350 acres offshore New York. Statoil will now have the opportunity to explore the potential development of an offshore wind farm to provide New York City and Long Island with a significant, long-term source of renewable electricity.  Statoil submitted a winning bid of $42,469,725 during the online offshore wind auction concluded today by the U.S. Department of the Interior’s Bureau of Ocean Energy Management (BOEM).  The lease comprises an area that could potentially accommodate more than 1 GW of offshore wind, with a phased development expected to start with 400-600 MW. The New York Wind Energy Area is located 14-30 miles (30-60 km) offshore, spans 79,350 acres (321 km2), and covers water depths between 65 and 131 feet (20-40 meters).  Statoil will next conduct studies to better understand the seabed conditions, the grid connection options and wind resources involved in the lease site.

MI Wind Farm Begins Operations – DTE Energy has started commercial operations at its 50MW Pinnebog wind farm in Michigan. The 30-turbine facility, which is in Huron County, started construction in early 2016. The wind farm is an expansion of the existing Echo wind park and employed more than 150 people during construction.  DTE now has 30 full-time employees working at its Huron county renewable energy center in Bad Axe. In 2015, more than 10 percent of the energy provided by DTE was generated from a renewable source in Michigan.

 

ON THE SCHEDULE THIS WEEK

API’s Gerard to Hold Annual State of American Energy – API President and CEO Jack Gerard will deliver a major address tomorrow at the Reagan Trade building Atrium tomorrow at Noon to outline priorities for America’s oil and natural gas industry with New Congress and Administration.  The United States is leading the world in the production of oil and natural gas while also leading the world in reducing carbon emissions. This game-changing milestone coincides with the start of a new administration and Congress. Voters from all parties want our nation’s leaders to address economic growth and accelerate job creation while developing an energy future that benefits all Americans.   Gerard will deliver his annual address followed by a news conference for credentialed members of the media.

EIA Presents Updated Long-Term Energy Projections – The Johns Hopkins University SAIS Energy and Environment program will host EIA’s Adam Sieminski on Thursday at 10:00 a.m.  Sieminski will present the findings of EIA’s “Annual Energy Outlook 2017” with projections of U.S. energy supply, demand, and prices including cases that address alternative assumptions regarding U.S. economic growth rates, domestic energy resources and technology, world oil prices, and the Clean Power Plan.

SAFE to Roll Out AV Policies at CES Las Vegas – Securing America’s Future Energy (SAFE) will roll out its autonomous vehicle report recommendations on Thursday in Las Vegas at the Consumer Electronic Show.  Due to the unique challenges of regulating the rapidly evolving autonomous vehicle (AV) industry, the report outlines clear and actionable best-practices for industry designed to increase collaboration between developers and regulators and ultimately improve public trust in AV technology.  The event will be at the Las Vegas Convention Center in Room S227A and will explore the details of these recommendations and strategies for implementation. Members of the Commission and SAFE staff will be available to answer questions about the Commission’s work and its implications for American energy security, including former Chairman of the National Transportation Safety Board Mark Rosenker, former Director of National Intelligence Admiral Dennis C. Blair, Paul Brubaker of the Alliance for Transportation Innovation, former GM exec Robert Lange and Cuneyt Oge, President of SAE International.

 

IN THE FUTURE

Detroit Auto Show Rolls Out – The North American International Auto Show (NAIAS) will roll out from January 8th to 22nd at Detroit’s Cobo Hall.  Official press conferences begin with Disney Pixar on Sunday  January 8th as the 2017 NAIAS Press Preview will host a series of events until Tuesday January 10.  With over 300 exhibitors all under one roof, ranging from global automakers to suppliers to tech startups, NAIAS will truly be the mobility epicenter and will showcase the full automotive ecosystem. NAIAS expects to have over 5,000 credentialed journalists from 60+ different countries attend Press Preview, keeping NAIAS strongly in the lead among domestic shows in terms of global media coverage.

Transportation Research Board Hosts 96th Annual Meeting – Next Sunday, January 8th through Thursday, January 12th, the Transportation Research Board hosts its 96th annual meeting at the Walter E. Washington Convention Center in DC.  The information-packed program is expected to attract more than 12,000 transportation professionals from around the world.  The TRB Annual Meeting program covers all transportation modes, with more than 5,000 presentations in nearly 750 sessions and workshops addressing topics of interest to all attendees—policy makers, administrators, practitioners, researchers, and representatives of government, industry, and academic institutions.

Report Looks at Energy Storage Opportunities for Emerging Markets – Next Monday morning at the IFC Headquarters, IFC and ESMAP will present a new report on Energy Storage.  Energy storage is a crucial tool for enabling the effective integration of renewable energy and unlocking the benefits of solar and wind power for emerging markets.  The report outlines the principal uses, drivers, and challenges regarding the commercialization of energy storage technologies in low- and middle-income countries, providing a forecast of expected deployments by region and impacts on energy access, grid stability, and other key areas. Technical review was provided by the U.S. Department of Energy’s Clean Energy Investment Center.  The presentation will feature the report’s findings, followed by insights on trends in energy storage technology and the financing landscape for this sector.

Forum to Look at Economics of Germany’s Energy Transition, Transatlantic Relations – Next Monday at noon in Fairfax, the Greater Washington Warburg Chapter of the American Council on Germany and the Northern Virginia Regional Commission will host a discussion and luncheon with Dr. Claudia Kemfert, Professor of Energy Economics and Sustainability at Berlin’s Hertie School of Governance.  The event will focus on the economics of the German Energy/Electricity transition.
Stanford to Host Clean Energy Forum – On Tuesday January 10th at noon at the National Press Club, Stanford University’s leading energy and environmental research institutes, the Stanford Precourt Institute for Energy and the Stanford Woods Institute for the Environment, will convene a panel session  that will highlight clean energy innovation as a crucial component of efforts to combat climate change and ask how the United States can lead global efforts to develop and deploy advanced energy technologies.  The panel will include Stanford’s Sally Benson, John Dabiri and Michael McGehee.
WRI to Detail Stories to Watch for 2017 – Next Wednesday, January 11th at 9:00 a.m., the World Resources Institute hosts its Stories to Watch for 2017 forum.  Stories to Watch is an annual go-to event for DC’s top policymakers, business executives, thought leaders, and media who want to get ahead on the coming year.  As we enter what looks like a dynamic, unpredictable year, WRI President & CEO Andrew Steer, will share insights on global trends and emerging issues related to climate, energy, economic development and sustainability. He will help to unpack the connections between rising populism and nationalism, and what this means for people and the planet.

Donohue to Discuss State of Business – U.S. Chamber of Commerce President and CEO Thomas J. Donohue will host his annual “State of American Business” address as well as the Chamber’s 2017 Open House on January 11th.  Donohue outline the top challenges and new opportunities facing the American business community and introduce the Chamber’s 2017 policy agenda.

Forum to Look at Better R&D Methods – The Information Technology & Innovation Foundation (ITIF) and Brookings will hold a forum on Wednesday January 11th at 10:00 a.m. to discuss how the incoming administration and Congress can bolster technology transfer and commercialization policies to ensure that federal R&D investments yield stronger commercial results. ITIF and the Brookings Institution have recently proposed 50 innovative policy ideas to more quickly and effectively get technologies out of the laboratory and into the private sector.

Forum to Look at Korea/Japan/US Nuclear Cooperation – On Wednesday, January 11th at 10:45 a.m. in 902 Hart SOB, the Global America Business Institute (GABI) will hold a forum on the prospects for nuclear energy following the recent U.S. presidential elections and the opportunities for trilateral civil nuclear cooperation among the Republic of Korea, Japan, and the United States.  Speakers will include Idaho Sen. Mike Crapo, DOE’s Acting Assistant Secretary for the Office of Nuclear Energy John Kotek and a panel of experts.

World Bank Forum to Look at Mobility – The World Bank and the EMBARQ mobility initiative of WRI Ross Center for Sustainable Cities will host Transforming Transportation 2017 on Thursday, January 12th and Friday, January 13th.  Physical and virtual connectivity is a critical factor of today’s competitiveness and economic growth. By facilitating the movement of people, goods and information, the World Bank’s Transport and ICT Global Practice enable economic and social development, and increase access to jobs, health, and education services. Transport is also at the heart of the climate change solution, as one of the largest energy users and emitters of greenhouse gases.

GCs to Discuss Key Issues – On Thursday, January 12th at 11:30 a.m., the Energy Committee of the D.C. Bar Environment, Energy and Natural Resources Section and the Environmental Law Institute will host a forum moderated by Assistant Attorney General John Cruden.  Cruden will lead a discussion with the General Counsel of various federal agencies to discuss the future issues likely to arise for the new Administration.  Other speakers will include EPA’s Avi Garbow, USDA’s Jeffrey Prieto and several others.

Forum to Look at Climate Adaptation – The US AID’s Atlas Project will host a forum on Thursday, January 12th at 4:00 p.m. discussing the role of decentralized governance for climate adaptation. Dr. Tim Finan and Dr. Mamadou Baro of the University of Arizona share the results of a research case study from rural Mali, where a system of decentralized governance was introduced almost three decades ago. The study draws upon evidence from villages, communes, and regions of south-central Mali to examine the effectiveness of local governance institutions in building community-level resilience to climate change stresses. This research was conducted for USAID’s ATLAS project.

Smart Cities Conference Set – The Smart Cities International Symposium, will be held on January 24-25 in Chicago.  The conference examines the latest technology advances and business models for the 21st Century connected city.

INAUGURATION DAY – January 20

POLITICO Sets Inauguration Hub – On January 20, POLITICO will transform the top floor of The W Hotel into its 2017 Inauguration Hub. With prime views of the Inauguration Parade route from our all-day networking lounge, the Inauguration Hub will be the premier destination for DC influencers to experience this historic moment. Live programming will include a full day of newsmaker interviews and discussions offering first-hand insights from new players in politics and policy, and an in-depth look at the changes ahead in the new Washington.   Full schedule of programming and speakers to be announced. Check out www.politico.com/inaugurationHub for updates.

AEI to Host Carbon Tax Discussion – AEI will host a panel discussion on carbon taxes on January 26th looking at whether the standard “efficiency” arguments offered by some conservatives in favor of a carbon tax make any sense at all given the various incentives of Congress and the bureaucracy.  More on this as we get closer.

Washington Auto Show Set – The Washington Auto Show will be held on January 27th to February 7th at the Walter E. Washington Convention Center.  As the “Public Policy Show” on the auto show circuit, the 10-day public show is preceded by two Public Policy Preview Days of special events and announcements for officials in government, industry and the media on January 24th and 25th.  The events of the 25th will be on Capitol Hill in the Kennedy Caucus Room. Speakers will include Michigan Senator Gary Peters and Rep Debbie Dingell, Our friend Joe White of Reuters and GMU’s Adam Thierer and the Chamber’s Matt Duggan. The Washington Auto Show is also the largest public show in Washington, D.C. Over the course of its many years this beloved and historic D.C. tradition has attracted Washingtonians of all stripes – and political affiliations. Along with the engineering prowess on display among the more than 600 new models from over 35 manufacturers, the 2017 show will feature VIP tours led by award-winning automotive writers and a special exhibit area for live painting of “art” cars.

Energy Update: Week of November 8

Friends,

Well, it looks like we made it to election day tomorrow – barely.  I hope you will share your predictions with me as I will report on the best ones (not necessary right!) next week.

While we are not make any predictions in advance, we are ready to give you the full story on the impacts.  On Wednesday at 10:30 a.m., our Policy Resolution Group team will be offering its award-winning political and policy analysis of the 2016 elections in a webinar that will feature analysis by my colleagues, and a special guest: former Clinton/Obama advisor Doug Sosnick.  Doug and our team of insiders, attorneys, and industry-leading experts will give you the “morning after” take on how the election results will affect the business community—with a focus on energy and the environment, what’s in store for the lame duck session, leadership changes and more.

Today, starts the next round of COP meetings launches in Morocco.  There will be a lot of pomp, but the war over details of the non-binding, voluntary agreement will not get much attention.  We’ve heard a lot of horror stories about how Paris is not meeting the required reductions.  This is exactly what we predicted last year when everyone was celebrating this “monumental achievement.”  And now, US negotiators are saying we will need “deep decarbonization” by 2050.  Look for further details over the next two weeks, but it is not likely to be good for energy users or consumers.

In fact, much of that celebrating is warranted not because of Paris, but because of the recent airline emissions and HFC agreements that were negotiated.  Happy to give you more Info on that progress and the role it is playing in reducing the impacts of climate change.

Speaking of HFCs and the HVAC industry, AHRI has hired NAM’s Joe Trauger as the association’s Sr. Vice President of Policy and Government Relations. Also special congrats for our friend Joe Davis, former Spence Abraham Press staffer at DOE and Tennessee Volunteer punter back in the day.   Davis has been named ORAU director of government relations where he will lead governmental and public affairs outreach with Congress, government agencies and other stakeholders.

Friday is Veteran’s Day, so please say thanks whenever you can.  In addition to those thanks, the NRECA is launching Serve Our Co-ops; Serve Our Country, a nationwide program to provide veterans, service members and military spouses with the opportunity to continue their mission of service by joining the ranks of America’s electric co-ops. The program provides participating co-ops with resources and training to help them implement nationally-recognized best practices in attracting, hiring, onboarding and retaining veterans.

Finally, today, our friend, former AP reporter and sports author Fred Frommer has a fun, new newsletter called Super Combustible Sports & Politics.  This week’s edition looks at the Cubs and presidents as well as athletes’ reaction to “locker-room talk.”  You can get it subscribe with Fred: fred.frommer@deweysquare.com.

We are on it…Remember to tune into the PRG Election Webinar on Wednesday.  Call with questions.

 

Best,

Frank Maisano

(202) 828-5864

(202) 997-5932

 

FRANKLY SPOKEN

“Climate change has become a pillar of the U.S.-China bilateral relationship.  China’s solar thermal pilot program will serve as an enduring legacy of the partnership between two countries to advance technologies that help to achieve global clean energy and climate goals.”

U.S. Ambassador to China Max Baucus

 

“China recognizes the integral role concentrated solar power with storage can play in reducing emissions while helping to ensure long-term grid reliability. This pilot program is of unprecedented scale and will drive cost reductions throughout the CSP supply chain, increasing solar thermal’s competitiveness around the world.”

David Ramm, CEO and Chairman for BrightSource Energy

 

POST-ELECTION LEGISLATIVE SESSION/TAX DEAL PRIMER

Post-Election Legislative Session – After election day, lawmakers will return to the Capitol next week for necessary post-election legislative session.  With just a few weeks left in the 114th Congress, there is a long list of unfinished business that may be considered.  While the items include routine budget and tax measures that frequently need to be mopped up at the end of the year, it also features big-ticket, high-risk issues like the stalled nomination of Judge Merrick Garland to the Supreme Court, the landmark Trans-Pacific Partnership trade deal and potential energy legislation.

The Tax Issues – One of the biggest issues to hit the agenda is whether Congress considers energy tax extenders as part of must-pass budget legislation.  Last year’s omnibus deal included a 5-year phased down extension of tax credits under Sec 45(commercial), Sec 48(commercial), and Sec 25D(residential) for wind and solar.  Already both House and Senate leaders have said they plan to have tax extenders that were inadvertently left out of the deal, at the top of the agenda when the post-election legislative session gets underway.  CEQ chair and energy advisor to President Obama Brian Deese also said these energy tax extenders must be renewed in a post-election session of Congress.

Who Is Pushing for Energy Tax Extenders – Rural co-ops, distributed wind developers, air conditioning contractors, Geothermal Heat Pump manufacturers, home builders and others are push for extending expiring tax credits for renewables like geothermal heat pumps saying they deserve tax parity with the solar/wind tax incentives extended in late-2015.

The Problem – In late-2015, Congress extended and phased down the Wind Production Tax Credit and the Solar Investment Tax Credit.  However, no extension or phase down was provided for other smaller tax credits despite their much smaller cost.  In order to avoid serious market disruption and provide businesses, investors, end-users, and consumers with the ability to plan in the short- to mid-term, renewing the tax credit is “must pass” on the first available and appropriate legislative vehicle. Both the business and residential credits are essential to help ensure fair competition and access in the marketplace for clean energy solutions.

The Need for Extension in an Example – Geothermal heat pumps can cut home heating and cooling bills by up to 70%.  Electric cooperatives across the country help their consumer-owners install geothermal heat pump systems and approximately 45% of electric cooperatives across the nation utilize geothermal technology in their energy efficiency programs.  The current tax credits for geothermal heat pumps help offset the high initial capital cost of the systems to the consumers.  As a result, co-ops will most likely find fewer consumers interested in installing geothermal in the absence of the tax credit.

It is Bipartisan Legislation – The tax extenders advocates are using bipartisan legislation sponsored by Tom Reed (R-NY) and Mike Thompson (D-CA) to extend the residential and commercial ITC credits as a the hook.  In the Senate, Hawaii Dem. Senator Schatz is leading the charge to provide a five-year extension of the residential ITC credit, with the goal of communicating to all Senate offices that extending both the residential and commercial ITC is important to domestic jobs.

Why It’s Important – Both the Business and Residential ITC credits are essential for an array of clean but nascent technologies, including geothermal, fuel cells, Combined heat and power, small scale wind power, and micro-turbines. It makes no policy sense to incent one technology and not the others, and puts jobs, domestic manufacturing and American energy production at severe risk. The National Association of Homebuilders and many others (like the American Farm Bureau Federation, Environmental organizations, etc) strongly support these credits on a bi-partisan basis because consumers/homeowners deserve “energy choice” AND for all of the attendant public benefits.

These credits cost the Federal Treasury very little (the big expense was passage of the large wind and solar credits last December) and are a great “bang for the buck.” It’s widely recognized this was a mistake, and bad policy, and thus it is imperative that Congress fix the issue at the earliest possible opportunity before more damage is done.

More a CCS Tax Credit – Speaking of the post-election legislative session, our friends at the National Enhanced Oil Recovery Initiative (NEORI) have just posted their presidential transition memos on carbon capture, utilization and storage. With the lame duck session now just days away, action on 45Q and related policy priorities is building. NEORI expects new cosponsors on the Senate and House 45Q bills once Congress returns and are confident that this bipartisan, common-sense energy and climate legislation will pass this year.

Energy Legislation – While Sens Murkowski and Cantwell continue discussions with House energy Conferees, most experts think it may be unlikely that enough progress will be made to have significant energy legislation face a vote.  Senate conferees last month sent the House a compromise proposal, and discussions are expected to step up once members return next week.

 

IN THE NEWS

New Report Finds U.S. Could Lose 15 Million Jobs If Hydraulic Fracturing is Banned – The fourth installment in the Energy Institute’s Energy Accountability Series details the devastating economic impacts that America could face if the “Keep in in the Ground” movement succeeded in banning hydraulic fracturing for oil and natural gas.  The Energy Accountability Series takes a substantive look at what could happen if energy proposals from candidates and interest groups were actually adopted. The latest report asks the question, “What If Hydraulic Fracturing Was Banned?” The answer? By 2022, 14.8 million jobs could be lost, gasoline prices and electricity prices could almost double, and each American family could see their cost of living increase by almost $4,000. Additionally, the Energy Institute’s report looks specifically at the economic impacts of a fracking ban on Colorado, Ohio, Pennsylvania, and Texas. In all these states, the impact could be severe. 1.6 million Texans could lose their jobs, while Pennsylvania could lose $50 billion a year in state GDP. Colorado could lose 215,000 jobs, and the average Ohio household could see costs rise by $4,000 a year.

Energy Institute’s Harbert Points to Economic Impacts Over HF Ban – Karen Harbert, president and CEO of the U.S. Chamber’s Institute for 21st Century Energy said it is easy for politicians and activists to call for an end to hydraulic fracturing—but now we know what the consequences could be.  “Without fracking, the U.S. would surrender our status as a global energy superpower. Every American family could face higher prices for the energy they consume and the products and services they buy, and almost 15 million Americans could be out of work. These extreme and irresponsible proposals should not be considered. Ignorance can no longer be an excuse.”

NRECA Aim to Hire Vets – Faced with the challenge of filling 15,000 jobs over the next five to seven years, America’s electric cooperatives want to do more than simply thank veterans for their service this Veterans Day—they want to offer them a job.  To achieve this goal, NRECA launched Serve Our Co-ops; Serve Our Country, a nationwide program to provide veterans, service members and military spouses with the opportunity to continue their mission of service by joining the ranks of America’s electric co-ops. The program provides participating co-ops with resources and training to help them implement nationally-recognized best practices in attracting, hiring, onboarding and retaining veterans.  50 co-ops have signed on to the initiative since its launch earlier this year. In July, Jonesboro, Ark.-based Craighead Electric Cooperative hired the first veteran under the program when it welcomed aboard Air Force Capt. Jeremiah Sloan as an electrical engineer. “He is a totally professional young man,” Craighead CEO Brian Duncan said. “Not only did we get a quality candidate to serve our members, we got a local guy who wanted to get back home and a veteran who has served our country well.”  Click here to view a brief video about the program, including interviews with Sloan and Duncan on why vets are a good fit for electric co-ops.  For more information on Serve Our Co-ops; Serve Our Country, contact Dan Riedinger, NRECA Media Relations, at (202) 403-7517 or dan.riedinger@nreca.coop.

BrightSource Technology to Be Employed in China – BrightSource Energy Concentrated Solar Power (CSP) technology will be deployed under China’s 1.35GW CSP Commercial Demonstration Pilot Program. The Huanghe Qinghai Delingha Solar Thermal Power Generation Project (Delingha) was one of 20 projects chosen by China’s National Energy Administration (NEA) from 109 applications. The announcement follows the National Development and Reform Committee’s (NDRC) publication of the CSP pilot program feed-in-tariff (FIT) of 1.15 Yuan/kWh ($0.17/kWh) on September 1.  The project was chosen by China’s National Energy Administration from 109 applications. The announcement followed China’s National Development and Reform Committee’s publication of the CSP pilot program 20-year feed-in-tariff of 1.15 Yuan/kWh ($0.17/kWh) on September 1st.  The Delingha project will be the first of the BrightSource-Shanghai Electric Group Co., Ltd (SEC) Joint Venture, and will feature BrightSource’s proven solar field technology with thermal energy storage to produce clean, reliable solar electricity on demand. Get all the details here.

Harder, Mooney Hit Diane Rehm Enviro Show – During the presidential debates, energy and environment issues got very little attention. These issues highlight some of the starkest differences between the candidates. Donald Trump has tweeted that climate change is a hoax. He says he will “cancel” the Paris agreement on global warming and bring back the coal industry. Hillary Clinton has called climate change an urgent threat. She proposes spending billions on renewable energy. For this month’s Environmental Outlook: Diane and a panel of guests discuss where the presidential candidates stand on climate, energy and other environmental policies.  Our friends Amy Harder of the WSJ and Chris Mooney of the Washington Post will be guests along with Pew Research Center associate director of research on science and society Cary Funk.

DOT Expanding EV Charging Corridors – The Transportation Department is establishing 48 national electric vehicle charging corridors on highways, covering 25,000 miles in 35 states as part of a White House effort to increase plug-in electric vehicle deployment announced today.  Already, in the past eight years the number of plug-in electric vehicle models has increased from one to more than 20, battery costs have decreased 70%, and we have increased the number of electric vehicle charging stations from less than 500 in 2008 to more than 16,000 today – a 40 fold increase.

AHRI Hires New GR Head – AHRI has hired Joe Trauger as the association’s Sr. Vice President of Policy and Government Relations. Trauger will join the AHRI team December 1. Trauger is currently vice president of government relations at the National Association of Manufacturers (NAM), where he is that organization’s senior lobbyist before Congress and the Administration. He will direct AHRI’s federal, state, and global lobbying efforts, and will also be a key part of AHRI’s efforts in the regulatory arena. Trauger has more than 10 years of experience on Capitol Hill, both as a staff member for a U.S. senator and several representatives and also in the House leadership as the senior policy adviser in the offices of the majority leader and majority whip. He also worked with the House Energy and Commerce, Ways and Means, and Education and the Workforce Committees; and with the Senate Health, Education, Labor, and Pensions Committee and the Senate Finance Committee.

Oak Ridge Group Brings On Davis to Head GR – Joe Davis, former senior vice president with Artemis Strategies, has been named ORAU director of government relations.  In his new role, Davis will lead ORAU’s governmental and public affairs outreach with the U.S. Congress, various government agencies and other stakeholders.  Davis also served as chief of strategic communications for NASA and principal deputy director of public affairs for DOE, serving as spokesperson and senior advisor to the U.S. DOE Secretary of Energy. He served on the senior staff for two U.S. Senators, holding Senate leadership staff positions. ORAU provides innovative scientific and technical solutions to advance national priorities in science, education, security and health. Through specialized teams of experts, unique laboratory capabilities and access to a consortium of more than 100 major Ph.D.-granting institutions, ORAU works with federal, state, local and commercial customers to advance national priorities and serve the public interest. A 501(c)(3) nonprofit corporation and federal contractor, ORAU manages the Oak Ridge Institute for Science and Education (ORISE) for the U.S. Department of Energy (DOE).

 

ON THE SCHEDULE THIS WEEK

COP 22 Marrakesh – The 22nd Session of the Conference of Parties to the United Nations Framework Convention on Climate Change (COP22) will be held in Marrakesh, Morocco today through November 21st. It will focus on action items in order to achieve the priorities of The Paris Agreement, especially related to adaptation, transparency, technology transfer, mitigation, capacity building and loss and damages.  It will also look at many of the difficult conflicts that were disregarded during last year’s negotiations.

WCEE to Host LNG Event – The Women’s Council on Energy and the Environment (WCEE) will host a Lunch and Learn Forum today at Noon on small LNG markets.  The small scale LNG (liquefied natural gas) market promotes LNG as a fuel displacing diesel and heavy fuel oil in transportation and high horse power applications. Joanna Martin Ziegenfuss of the Berkeley Research Group will discuss the current drivers, status and opportunities of this nascent fuel market.

ELECTION DAY – November 8th

Smart Grid Forum Set – The Smart Grid Interoperability Panel holds its 2016 Grid Modernization Summit tomorrow through Thursday at the Capital Hilton in Washington.  The executive summit will be filled with the latest in grid modernization and networking opportunities featuring a speaker program composed of utility, vendor, and industry senior executives, FERC, government, regulators, national labs and consultants.  The 2016 Grid Modernization Summit’s theme is “Accelerating Transformation.”  DOE’s Pat Hoffman, former FERC Commissioner Suedeen Kelly, PSE&G President Ralph LaRossa, Pepco CEO Dave Velazques and EEI’s David Owens will be among the speakers.

EPA CASAC Meeting Set – EPA Clean Air Scientific Advisory Committee hold a regular meeting on Wednesday morning at 9:00 a.m. at the Embassy Suites in Alexandria Old Town.

PRG Offers Election Round Up – Bracewell’s Policy Resolution Group will be offering its award-winning political and policy analysis of the 2016 elections through a mix of webinars, written, and video materials.  Bracewell’s Policy Resolution Group will hold a complimentary webinar on Wednesday at 10:30 a.m. featuring analysis by my colleagues.  Our team of insiders, attorneys, and industry-leading experts will give you the “morning after” take on how the election results will affect the business community—with a focus on energy and the environment, what’s in store for the lame duck session, leadership changes and more.

FERC to Look at Energy Storage – The Federal Energy Regulatory Commission has scheduled a Wednesday meeting to examine technical issues related to energy storage in RTOs/ISOs. The subject of the conference will be the utilization of electric storage resources as transmission assets compensated through transmission rates, for grid support services that are compensated in other ways, and for multiple services.

Wilson to Host Wildlife Conservation Group – The Wilson Center’s Brazil Institute will host a forum on Wednesday at 3:00 p.m. featuring a conversation with Frank Hawkins, director of the International Union for Conservation of Nature’s (IUCN) Washington, DC office.  In September, more than 10,000 scientists, activists, and government and non-government leaders from around the world met in Honolulu, Hawai’i, for IUCN’s annual World Conservation Congress. Hawkins will report on the congress’s outcomes. He will be joined by an expert panel that will offer their perspectives on the key issues of gender, illegal wildlife trafficking, and conservation finance.

ELI, DC Bar to Host Happy Hour – On Wednesday at 5:30 p.m., the Environmental Law Institute and the D.C. Bar’s Environment, Energy and Natural Resources Section will host a happy hour at Mission, a restaurant and bar in Dupont Circle.

VETERAN’S DAY – Friday, November 11th.  Please thank a veteran.

Covanta Facility Tour Set – The Young Professionals in Energy (DC) will host an afternoon tour of Covanta’s Energy-from-Waste facility in Alexandria, Virginia on Friday staring at 12:30 pm at the facility.  Covanta is one of the world’s largest providers of Energy-from-Waste solutions. The tour will start with a discussion and time for Q&A before we put on our hard hats and walk through the facility to see how their technology works.

 

FUTURE EVENTS

API Holds Cybersecurity Conference – The 11th annual API Cybersecurity Conference & Expo will be held in Houston at the Westin Houston Memorial City on November 15-16.  The forum will focus on methods for thwarting the bad guys, what the scene looks like over the horizon and how the latest technologies can help you counter cyber espionage, address cyber warfare, and make your cyber efforts secure.  Cybersecurity is critical to the infrastructure of the oil and natural gas industry. The energy industry, including oil and natural gas, is ranked 2nd highest of all industries most likely to suffer a cyberattack. This conference is organized by API to provide an opportunity to network with cybersecurity professionals, and to candidly discuss challenges and share solutions. These sessions, essential to cybersecurity, are chosen and presented by recognized experts in the field.

RFF, Stanford Looking at NatGas Siting – Resources for the Future (RFF), Stanford Woods Institute for the Environment and Stanford Natural Gas Initiative Webinar are hosting another webinar in the series on New Research on the Science and Economics of Natural Gas on Tuesday November 15th at 2:00 p.m. looking at optimal siting of shale gas and oil development.  This is the third event in a joint RFF/Stanford Woods Institute for the Environment/Stanford Natural Gas Initiative.  The siting of shale gas and oil development—everything from well pads to pipelines—is based on a complex network of factors, including resource availability, lease ownership, environmental concerns, local zoning, and community preference. Experts at Stanford University and Resources for the Future are considering ways in which these various factors come into play in siting decisions, including what “optimal siting” might look like in a variety of contexts. Stanford’s Anthony Kovscek will open the webinar by looking at optimal siting of shale development from a technical perspective, considering the geologic characteristics of formations that drive companies’ drilling decisions. RFF’s Juha Siikamäki will then present a new model considering optimal siting of shale gas and oil infrastructure from the perspective of minimizing habitat fragmentation and other landscape-level impacts. Finally, Tisha Schuller from the Stanford Natural Gas Initiative will discuss optimal siting of shale gas and oil infrastructure from the perspective of community and industry interactions.

USEA to Host Coal Council Head –The US Energy Assn will host National Coal Council CEO Janet Gellici next Tuesday at 2:00 p.m.  Gellici will present the findings and recommendations from the Council’s recently released report in response to the Secretary Moniz’s request – “CO2 Building Blocks:  Assessing CO2 Utilization Options.”  Moniz had tasked the National Coal Council with preparing a white paper assessing market opportunities for CO2 utilization.

TransForum East Set for Nov – GenerationHub’s TransForum East is scheduled for November 15-16 at the Capital Hilton in DC. TransForum East brings together electric transmission executives who operate, plan, build, regulate and invest in electric power transmission systems in Eastern North America.

This regional forum provides two days of interaction and collaboration on the business of power transmission. You’ll gain insight from case studies of successful business models, regional planning strategies, financing trends and practical lessons learned from new construction and upgraded transmission projects occurring in the United States and Canada.

AWEA Fall Symposium Set – AWEA will host its Fall Symposium November 15th to 17th at the Hyatt Regency Hill Country Resort & Spa in San Antonio, TX.  The wind energy industry has a powerful vision to take us to 10% U.S. wind energy by 2020 and 20% by 2030.  Reaching these ambitious goals brings different challenges for different segments of the industry.  But how does that take shape in each step from development to distribution?  Participants in this year’s Fall Symposium will work together to identify those concrete steps that can be taken to keep our industry on target. Sessions will focus on the collaborative approach needed to reach industry goals bringing together strategic thinkers of developers, OEMs, suppliers, corporate purchasers of wind energy, and utilities.

Wilson to Host Petrobras President – The Wilson Center will host Petrobras President Pedro Parente on Wednesday, November 16th at 10:00 a.m.  Parente will address the challenges and opportunities facing Brazil’s largest enterprise in today’s tough energy market. After his presentation, he will engage in dialogue with members of the audience interested in learning about the outlook for Petrobras and energy in Brazil. Petrobras has a key role to play in the national effort to overcome Brazil’s current economic downturn, regain trust and confidence from domestic and foreign investors, and put Brazil back on the path of sustainable and equitable economic growth.

Forum to Look at China Environment Reforms – The Environmental and Energy Study Institute (EESI) and the International Fund for China’s Environment (IFCE) will host a briefing on Wednesday, November 16th at discussing China’s ongoing efforts to implement environmental reforms and take action against climate change. Three environmental professionals from China will discuss the challenges and progress associated with setting emission reduction policies, implementing national climate targets at the local level, incentivizing supply chain sustainability, and more.

Solar Focus Conference SetSolar Focus 2016 will be held next Wednesday and Thursday at the Renaissance Washington, DC Downtown Hotel looking at East Coast solar policy. This year’s theme is “Cracking the Code on East Coast Solar” and will feature sessions from energy storage to fixing oversupplied SREC markets.

Webinar to Look at Solar Issues, Regulation – Our friends at Power Markets Today will be hosting a webinar on Thursday, November 17th at 2:00 p.m. on what solar means for retail power regulation.  The webinar will offer a high-level, comprehensive view of how the growth of solar is changing the industry’s regulatory landscape.  The event will feature Inger Goodman of Just Energy Group, SolarCity’s Sanjay Ranchod, CC Song of Marin Clean Energy and SoCal Ed’s director of energy policy Gary Stern.  Our fiend James Downing will moderate.  Call 301-769-6812 (1-888-637-7776 toll-free in the US and Canada) to register.

Columbia Law School to Look at Post-Election Policy – The Columbia Law School Executive Education will hold a seminar on November 18th in New York that will look at what to expect after the election.  The forum will gathers professors who are experts in environmental law, immigration issues, regulatory matters, national security concerns, health care, and tax rules to discuss how they predict the next presidency and a new Congress will affect the business and legal landscape.  After a long and brutal battle, no matter who wins in November, there will certainly be fallout. Benefit from the wisdom of this Columbia Law School brain trust to anticipate what will change, and how, so that you can be well-prepared to advise your clients and implement effective strategy.

CSIS to Host IEA’s World Energy Outlook – On Friday, November 18th at 10:00 a.m., the CSIS Energy & National Security Program is hosting Dr. Fatih Birol, Executive Director at the International Energy Agency (IEA), to present the IEA’s “World Energy Outlook 2016.” This year’s projections for different scenarios to 2040, based on the latest data and market developments, cover all fuels, regions, and technologies. WEO 2016 gives particular attention to the impact of Paris, renewables, the road ahead for fossil fuels, Mexico’s energy outlook and energy and water issues.

RCP Energy Summit Set – RealClearPolitics will host a unique energy summit on Friday November 18th at Noon at the Newseum following the pivotal 2016 election. Prominent energy policy experts will discuss this transition phase and where we go from here. Each speaker will present a brief overview of their industry, along with the challenges they face, the opportunities ahead, and their outlook for the future.  RealClearPolitics Washington Bureau Chief Carl Cannon will moderate the event that will feature LIUNA President Terry O’Sullivan, Kevin Avery of ConocoPhillips, AGA’s Kathryn Clay, SEIA’s Chris Mansour, AWEA’s Rob Gramlich and NEI’s Revis James.

Grid Expert to Address Cybersecurity – The National Capital Area Chapter of the US Assn of Energy Economists (USAEE) will host its monthly luncheon on Friday November 18th at Carmines Restaurant at Noon.  Paul Feldman, former Chairman of the Midwest ISO, will focus on the clear and present danger associated with cyber-attacks, what we are doing about it, and what needs to be done better. He will differentiate between IT and OT systems, and how to relate the two into an integrated whole – and protect against attacks like the successful Ukraine attack.

RFF to Look at Natural Disaster Issues – Resources for the Future (RFF) will hold a forum on Monday November 28th looking at disaster losses and climate change.  At this event, Robert Muir-Wood, chief research officer of Risk Management Solutions and author of The Cure for Catastrophe: How We Can Stop Manufacturing Natural Disasters, will explore the human causes of disaster and the new technologies and policy tools available to minimize their impact. In the book, he examines how decisions made today—about how homes are built, where people choose to live, how society prepares, and how leadership communicates warnings—determine whether a disaster can be withstood tomorrow.

Senators Headline Rachel Carson 75th Celebration – EESI will host a celebration of the 75th anniversary of Rachel Carson’s historic arrival on the American environmental and literary scene on November 30th.   Leading authors, environmental leaders, and members of Congress will all speak at the Rachel Carson Council’s all-day, one-of-a-kind event. Participants include Sens. Sheldon Whitehouse, Tom Udall, Martin Heinrich and Reps. Chris Van Hollen, John Tierney and several newly-elected environmental champions. They will be joined by environmental leaders including Gene Karpinski, President of the League of Conservation Voters (LCV); Carol Werner, Executive Director of the Environmental and Energy Study Institute (EESI); Linda Pentz Gunter, Beyond Nuclear; Mae Wu, Natural Resources Defense Council (NRDC); Amanda Hitt, Food Integrity Campaign; Zoe Ackerman, Rachel Carson Council; and others.  Confirmed award-winning authors include Sandra Steingraber, Living Downstream; Jennifer Ackerman, The Genius of Birds; Deborah Cramer, The Narrow Edge: A Tiny Bird, An Ancient Crab, and an Epic Journey; Kristen Iversen, Full Body Burden: Growing Up in the Shadow of Rocky Flats; Melanie Choukas-Bradley, A Year in Rock Creek Park; Susan Cohen, Shorewords, and Bob Musil, Rachel Carson and Her Sisters and Washington in Spring. Their books will be available for purchase and personal signing.

AGU Meeting to Focus on Climate – The Fall Meeting of the American Geophysical Union will be held on December 12-25 at the Moscone Center in San Francisco.  It is the largest worldwide conference in the geophysical sciences, attracting more than 24,000 Earth and space scientists, educators, students, and other leaders. Fall Meeting brings together the entire Earth and space science community from across the globe for discussions of emerging trends and the latest research. The technical program includes presentations on new and cutting-edge science, much of which has not yet been published.

Energy Update: Week of October 17

Friends,

Hockey is finally underway with the NHL launching this past week and baseball is holding its collective breath to see if the Cubs can break a 108-year World Series jinx.

You know I have talked about Hannah’s success on the field hockey pitch at Wellesley (and she scored another OT game winner this weekend), but my son Adam scored a big victory last week, winning his first major X-C race by blasting away from the competition to take first in the STAB Invitational in Charlottesville.  And that’s not all for the Bracewell kids’ sports page.  In DC, Jeff Holmstead is not the only Holmstead burning up the pages of the Washington Post.  All fall, Jeff’s son Eli, a soccer star at Quince Orchard High School, is actually getting more press than his dad, including a great picture in the Post last Wednesday.  He also had a couple of good quotes in the accompanying article and clearly has a better sense of messaging than dad.

Back to the action. It was also a historic week in Kigali which culminated Saturday with the global agreement where negotiators from nearly 200 countries reached a legally-binding accord to cut the worldwide use of a powerful planet-warming chemical used in air-conditioners and refrigerators.  The success will likely have a far greater impact on efforts to slow climate change than anything to date (including Paris).  We Have a full summary below and our friend Coral Davenport has a great synopsis in the NYT from Kigali.  Chris Mooney in The Washington Post also has a good political story and The Wall Street Journal looks at impacts and opportunities facing industry.

With the election rounding out, it is still a slow week in Washington.  The action starts today when the Center for a New American Security releases a report that offers suggestions on Energy to the next President, with speakers like Kevin Book, Elgie Holstein, and Bob McNally.  Other events include a couple of very good RFF Seminars (one with Stanford on NatGas and one on Carbon pricing with IMF) and AGA releases its Winter Outlook on Wednesday.  Also, EIA’s Adam Sieminski addresses the NatGas Roundtable tomorrow.  Finally, the Senate Energy Committee Heads to Hawaii for a field hearing on Wednesday…tough assignment there. I think all of you covering Senate Energy should go for the hearing!

BTW, our friend Zach Colman, who many of you know has returned from the ivy halls of a Harvard/MIT reporting fellowship has written his first major byline/cover story in this week’s Christian Science Monitor weekly magazine. It’s on an innovative water deal that the feds think could prove a model for contentious struggles over shrinking supplies in the drought-stricken West.  The story is housed in the new energy/enviro/climate vertical that he and others are starting at CSM, called Inhabit.  You can sign up for weekly updates here.  I already have signed up and encourage you to do it as well.

Finally, our Bracewell PRG colleague Dee Martin was named a finalist for the Professional Women in Advocacy Conference’s “Excellence in Advocacy” Awards, one of the top awards in Washington.  Dee is in the “Women Serving Women” category.  Other finalists include Dana Singiser of Planned Parenthood Federation of America and Lyric Thompson of the International Center for Research on Women.  Winner will be announced November 10th.

On duty…Call with questions.

 

Best,

Frank Maisano

(202) 828-5864

(202) 997-5932

 

FRANKLY SPOKEN

“The agreement is just the first step in a multistep process. Our industry is hard at work doing the research on the HFC alternatives that will be used in the world’s air conditioners, heat pumps, and refrigeration equipment, and getting that right is certainly as important as reaching agreement.”

Steve Yurek, head of the Air Conditioning, Heating & Refrigeration Institute from the UN HFC negotiations in Kigali after 200 Nations agreed to limit Question from Missouri voter Ken Bone, the second to last question in the debate

 

“Alongside nearly every country on Earth, have taken another historic step in carrying out that mission by cutting down on the use of damaging hydrofluorocarbons, or HFCs.”

EPA Administrator Gina McCarthy on the Kigali agreement

 

“The plan provides financing to countries in need, so that new air conditioning and refrigeration technology can be available for their citizens. It shows that we can take action to protect our planet in a way that helps all countries improve the lives and livelihoods of their citizens.”

President Obama in a White House Statement on the HFC agreement.

 

IN THE NEWS

Countries Finalize Limits for HFCs – Leaders from nearly 200 nations approved an agreement in Kigali, Rwanda by the Parties to the Montreal Protocol (MP) to include hydrofluorocarbon (HFC) refrigerants in the treaty’s purview. Acknowledging the success of the MP in phasing out hydrochlorofluorocarbons (HCFCs).

HVAC Industry Praises Deal – The Air-Conditioning, Heating, and Refrigeration Institute (AHRI) applauded the agreement and has long supported including HFCs in a global phasedown plan under the treaty.

“While the freeze dates and step down levels are ambitious, the HVACR industry is confident we can meet them and continue to provide quality, innovative, energy efficient products and equipment for the benefit of the world’s citizens,” said AHRI President and CEO Stephen Yurek, who attended the Kigali meeting.

“The agreement is just the first step in a multi-step process,” Yurek said.  “Our industry is hard at work doing the research on the HFC alternatives that will be used in the world’s air conditioners, heat pumps, and refrigeration equipment, and getting that right is certainly as important as reaching agreement.  Also very important are the education and training initiatives that will have to occur to ensure safe, efficient installation of the equipment that will contain these new refrigerants.  Some of this is already being undertaken by AHRI in cooperation with the United Nations Environment Program and other global organizations,” he added.

Groups All Worked Together – AHRI, U.S. government agencies, and energy efficiency advocacy groups have all worked diligently for many years to ensure a phasedown of these chemicals. In 2011, AHRI initiated a global refrigerant research program, known as the Low-Global Warming Potential Alternative Refrigerants Evaluation Program (Low-GWP AREP), to identify the most promising HFC alternatives. After two phases of research, the most promising alternatives are currently classified as mildly flammable or flammable, so additional field research is being undertaken to determine their suitability in different applications. That research is being sponsored by AHRI, ASHRAE, the U.S. Department of Energy, and the state of California.

Deadline, Timetables – Here is aa chart of the deadline and percentages in the agreement:

  A5 Group 1 A5 Group 2 A2
Baseline 2020-2022 2024-2026 2011-2013
Formula Average HFC consumption Average HFC consumption Average HFC consumption
HCFC 65% baseline 65% baseline 15% baseline*
Freeze 2024 2028
1st step 2029 – 10% 2032 – 10% 2019 – 10%
2nd step 2035 – 30% 2037 – 20% 2024 – 40%
3rd step 2040 – 50% 2042 – 30% 2029 – 70%
4th step     2034 – 80%
Plateau 2045 – 80% 2047 – 85% 2036 – 85%

* For Belarus, Russian Federation, Kazakhstan, Tajikistan, Uzbekistan 25% HCFC component of baseline and different initial two steps (1) 5% reduction in 2020 and (2) 35% reduction in 2025.

 

Notes:

  1. Group 1: Article 5 parties not part of Group 2
  2. Group 2: GCC, India, Iran, Iraq, Pakistan
  3. Technology review in 2022 and every 5 years
  4. Technology review 4-5 years before 2028 to consider the compliance deferral of 2 years from the freeze of 2028 of Article 5 Group 2 to address growth in relevant sectors above certain threshold.

President Obama Praises Nations for Coming Together – President Obama hailed the deal in a statement on Saturday.  “Through the Montreal Protocol, a proven forum for solving environmental challenges like protecting the ozone layer, the world community has agreed to phase down the production and consumption of HFCs and avoid up to 0.5°C of warming by the end of the century – making a significant contribution towards achieving the goals we set in Paris. The plan provides financing to countries in need, so that new air conditioning and refrigeration technology can be available for their citizens. It shows that we can take action to protect our planet in a way that helps all countries improve the lives and livelihoods of their citizens.”

White House Fact Sheet: https://www.whitehouse.gov/the-press-office/2016/10/15/fact-sheet-nearly-200-countries-reach-global-deal-phase-down-potent

EPA Hails Climate Victory – EPA Administrator Gina McCarthy headed the US delegation and said in a blog post protecting the air we breathe and slowing the effects of climate change are a core part of EPA’s mission. McCarthy: “Alongside nearly every country on Earth, have taken another historic step in carrying out that mission by cutting down on the use of damaging hydrofluorocarbons, or HFCs.

Countries, including the United States, have long used HFCs to meet their refrigeration and air conditioning needs. These greenhouse gases can have warming impacts hundreds to thousands of times more potent than carbon dioxide. World leaders took a giant leap forward by agreeing to a global phase-down of these harmful gases.

Moniz Praise Deal on Twitter – Energy Secretary Moniz took to Twitter to praise the success, tweeting out the statement from the White House and adding “Another win for climate! This Montreal Protocol agreement will cut heat-trapping HFCs equivalent to 80 billion metric tons of CO2 thru 2050.”

SoCo Kemper Plant Producing Electricity – Southern’s Kemper coal plant in Mississippi has produced electricity from synthetic gas, a significant step toward the plant becoming fully operational, set for November 30th.  Kemper has hit a series of milestones in the past several months. These include producing synthetic gas from lignite coal. Mississippi Power has been testing the plant’s ability to produce electricity on syngas, natural gas or a combination of both, which is what happened this week.

EIA Says Carbon Emissions Down in 2016 – The Energy Information Administration said carbon dioxide emissions from energy use in the U.S. for the first half of 2016 were the lowest for that period since 1991.  The agency said three major factors contributed to the drop in emissions: Mild weather for the first six months of the year that drove down demand for heating fuels; a large decrease in coal use and a small decrease in natural gas use; and increased use of wind, solar and hydropower.

Coal Ash Recycling Topped 50% Last Year – The American Coal Ash Association released a new report that says more than 50% of all coal ash produced last year was recycled into concrete, roofing shingles and other products.  It marks the first time industry has recycled more than half of its output. According to ACAA’s “Production and Use Survey,” 61.1 million tons of coal combustion products were beneficially used in 2015 out of 117.3 million tons that were produced. Although the rate of ash utilization increased from 48% to 52%, the total volume of material produced and utilized declined. Coal ash production volume declined 10% from 2014 levels as coal’s share of the electricity generation mix shrank in response to environmental regulations and competition from other energy sources.

ClearPath Endorses Upton – ClearPath Action Fund is endorsing Rep. Fred Upton, the veteran Michigan Republican who has chaired the powerful House Energy and Commerce Committee for the past six years. The House last year approved the Upton-sponsored North American Energy Security and Infrastructure Act, which would help clean energy sources such as hydropower by streamlining onerous permitting to enable critical investments in our environment and the nation’s energy security. It also requires the Department of Energy to lay the groundwork for the next generation of nuclear technologies by planning a critical testbed for advanced reactors here in the U.S. Upton has backed bills aimed at supporting carbon capture and storage technologies. Michigan is a leader in carbon-capture research, from Western Michigan University to the University of Michigan, and Upton has helped secure funding for their efforts.

NAM Reports Outlines Infrastructure Reforms – The National Association of Manufacturers (NAM), released a new report “Building to Win,” an ambitious, new initiative to revitalize our nation’s failing infrastructure.  Both major party presidential candidates have indicated their desire to address our infrastructure needs in 2017. As plans move forward, the NAM will work collaboratively to encourage the next president and lawmakers to address our most pressing infrastructure priorities and to ensure that investments not only strengthen manufacturing in the United States but also deliver world-class infrastructure for the American people. “Building to Win” identifies many of the most serious infrastructure challenges in America, offers solutions to our problems and provides a menu of possible funding options to consider to pay for the more than $1 trillion investment that is needed.

 

ON THE SCHEDULE THIS WEEK

Forum to Look at Next Admin Energy Policy – The Center for a New American Security holds a discussion this morning on Energy and the Next U.S. Presidential Administration. The event will coincide with the release of a CNAS report entitled, “Increasing Prosperity, Resource Stewardship, and National Security: An Energy Policy Strategy for the Next President,” part of the CNAS Papers for the Next President series. The report co-authors, David Goldwyn, Chairman of the Atlantic Council’s Energy Advisory Group, Robert McNally, a nonresident Senior Fellow at Columbia University’s Center on Global Energy Policy, and Elizabeth Rosenberg, Senior Fellow and Director of the Energy, Economics, and Security program at CNAS, will provide a short briefing on the report’s main findings.  Speakers on the following panel will also include ClearView Energy’s Kevin Book and former DOE chief of staff Elgie Holstein. Here is the Livestream.

Atlantic Council Looks at Arctic Chairmanship – The Atlantic Council holds a discussion at Noon looking at the US Arctic Council Chairmanship focusing on the US’s achievements and remaining priorities.  Ambassador Mark Brzezinski, the Executive Director of the US Government Arctic Executive Steering Committee, and State’s Melanie Nakagawa will speak.

Rogers Headlines New Energy Summit – The 2016 New Energy Summit will be held in Washington at the House of Sweden today and tomorrow in Washington, DC. The 4th annual event will cover such topics as tax equity, community solar, net metering, and more. This year’s event will also feature a roster of pioneers, innovators and industry champions including Jigar Shah – Co-Founder of Generate Capital, Jim Rogers – Former CEO of Duke Energy, and Reed Hundt – Co-Founder of Coalition for Green Capital.

CSIS to Host Fukushima Governor – The CSIS Proliferation Prevention Program will host Governor Masao Uchibori today to discuss the present situation of Fukushima Prefecture 2047 days after the Great East Japan Earthquake, as well as his efforts aimed at revitalization.  Governor Uchibori was elected as Governor of Fukushima in October 2014 and assumed office as Governor in November 2014. Uchibori’s mission is to ‘take back the Fukushima known for beauty and calm’. In accomplishing this mission, Governor Uchibori has visited all over the Prefecture and listened to the voices of the people of Fukushima to develop his bottom-up approach.

AMS to Hold Resilience Workshop – The American Meteorological Society holds a workshop tomorrow morning at 8:00 a.m. on “Opportunities and Needs in Integrated Water Prediction, Risk Assessment, and Management for Coastal Resilience,” focusing on the West Coast and Gulf Coast.

CAP to Look at Dams – The Center for American Progress holds a discussion tomorrow at 10:00 a.m. on assessing the condition of America’s dams and rivers.  He event features a panel discussion to highlight the progress that has already been made and explore the future of policymaking that aims to modernize the management of dam infrastructure, remove unneeded dams, and restore the health of American rivers.  Interior’s Mike Connor heads the panel moderated by our friend Annie Snider of POLITICO.

Roundtable Hosts EIA Director – The Natural Gas Roundtable will host Adam Sieminski, administrator at the U.S. Energy Information Administration (EIA), will be the featured guest speaker at the Natural Gas Roundtable luncheon tomorrow at Noon.  Sieminski has served as administrator of EIA since June 4, 2012.

RFF-Stanford Hold Second NatGas Seminar – Resources for the Future Stanford Woods Institute for the Environment and the Stanford Natural Gas Initiative will host a Webinar tomorrow at 2:00 p.m. on the shale gas and oil wastewater disposal cycle.  This is the Second seminar in the series and will look at managing earthquake and other environmental risks.  At this webinar, experts at RFF and Stanford University will address some of these questions. RFF’s Yusuke Kuwayama will review the risks associated with shale gas and oil wastewater storage, the unknowns regarding these risks, and policy and technology options for addressing the risks. RFF’s Alan Krupnick will describe a new framework that could be used for making decisions about water and wastewater management options and infrastructure investments, while considering environmental impacts. Finally, Stanford’s Mark Zoback will focus on wastewater disposal via underground injection, discussing the aspects of shale gas and oil development that cause earthquakes and explaining the science behind recent earthquakes in Oklahoma.

House Energy to Look at Hawaii Water Issues – The full House Energy and Commerce Committee holds a field hearing tomorrow at 4:00 p.m. on opportunities for federal and non-federal partnerships in integrated water management and efforts to improve water security in Hawaii.

Wilson Book Forum Looks at 70s Gas Panic – The Woodrow Wilson Center’s (WWC) History and Public Policy Program holds a book discussion tomorrow at 4:00 p.m. looking at “Panic at the Pump: The Energy Crisis and the Transformation of American Politics in the 1970s.”   MIT & Princeton expert and author Meg Jacobs shows how a succession of crises beginning with the 1973 Arab oil embargo prompted American politicians to seek energy independence, and how their failure to do so shaped the world we live in.

CIBO Meeting Set – The Council of Industrial Boiler Owners (CIBO) will hold its annual meeting on tomorrow and Wednesday in Woodstock, Vermont.  The meeting will consider the energy and environmental questions corporate and institutional CEO’s and Government legislative and regulatory leaders will be asking in the upcoming year as well as discuss the broader energy and environmental issues that could be impacting overall corporate operations and planning in the near term.

AGA Look at Winter Outlook – The American Gas Association (AGA) will host a media briefing on Wednesday to present expectations for peak month natural gas supply and demand as we move into the 2016-17 winter heating season. Experts from AGA will discuss the winter outlook for the natural gas market including market stability, natural gas bills for consumers, U.S. natural gas imports and exports, the global LNG market as well as energy efficiency and the benefits of the direct use of natural gas. An open question and answer session will follow the presentation.

World Energy Forum Set for NYC – More than 2,000 world leaders, corporate executives and trade delegates are expected to attend the World Energy Forum 2016 in New York City on Wednesday at  multiple venues including the U.N. and the Harvard Club of New York. Heads of state, government ministers and ambassadors from more than 150 countries will join corporate leaders, associations, academics, and financiers to discuss the roles of business and government in providing universal energy access – part of the United Nation’s 2030 Agenda for Sustainable Development. The event will bring the areas of policy, technology, and finance together to enhance the global economy, create a sustainable future, and deliver the hopes and aspirations of all nations and peoples.

RFF to Look at Carbon Pricing – Resources of the future and International Monetary Fund will hold a seminar on Wednesday at 12:30 p.m. that will provide perspectives on how to move carbon pricing forward at both domestic and international levels.  Many experts believe that carbon pricing can play a critical role in meeting these commitments, for advanced and developing countries alike. To move forward, however, governments need country-specific information on appropriate emissions price trajectories as well as the environmental, fiscal, distributional, and other impacts of emissions pricing. They also need a strategy to overcome practical obstacles, such as burdens on vulnerable groups.

This panel will include experts and representatives from international organizations, including the IMF’s Vitor Gaspar, former EIA head and current RFF CEO Richard Newell and Andrew Steer of the World Resources Institute.

Atlantic Council Looks at Power in Developing Countries – The Atlantic Council holds a discussion on Friday at 9:00 a.m. looking at a new report, “Transforming the Power Sector in Developing Countries.” To achieve the goals of the Paris Agreement on Climate Change, a fundamental transformation of the energy sector toward more efficient, more urgency and ambition to shift to lower-carbon systems is needed. Electricity is the fastest growing energy subsector and developing countries are expected to account for the majority of global electricity demand growth over the next twenty-five years.  AC’s Ichord will lead an effort to address the challenges to creating a conducive environment for augmenting investment in sustainable energy.  The event is the launch Ichord’s strategy and a discussion with leading experts and policy makers, including State’s Melanie Nakagawa and WCEE veteran Branko Terzic.

 

FUTURE EVENTS

Engineers Conference Set for OK –The 34th USAEE/IAEE Conference will be held in Tulsa, OK on October 23-26. So the U.S. Presidential election will be only two weeks away and the election will be followed by many months of transition, with uncertainty as who will be in charge of what; how policies, spending, and contracting might change; and what expectations for those already working in government agencies will be.  Seasoned policy experts from both sides of the political aisle will offer their perspective on what lies ahead after election day.  The full program can be found online here.

IEA to Release Investment Report at CSIS – The CSIS Energy and National Security Program will host the release of the International Energy Agency’s (IEA) inaugural World Energy Investment 2016 report on Tuesday October 25th.  The report looks at the level of investment in the global energy system in 2015 and will feature Laszlo Varro, Chief Economist at the IEA.  Varro leads the newly-created Economics and Investments Office, which aims to provide sound and consistent energy economics and methodological support for the Agency’s work. Varro also served as IEA Head of Gas, Coal and Power Markets.

ELI Annual Dinner Honors Paulson – The Environmental Law Institute will hold its annual dinner on Tuesday October 25th  where they will honor former Treasury Secretary Hank Paulson at the Omni Shoreham.  As usual, the event will launch in the afternoon at 1:30 p.m. with the Business of Water forum.  ELI and an expert panel of business leaders, legal minds, academics, and nongovernmental advocates for an in-depth discussion about the law, policies, and private initiatives that will play important roles in the future of water resource governance.

Solar Insight Conference Set – GTM will host the U.S. Solar Market Insight Conference on October 25th and 26th at the Loews Coronado Bay Resort in San Diego, CA.  The event will provide industry thought leaders and insights into the U.S. solar industry.  NARUC’s Travis Kavulla will speak along with a number of others.

GW to Host Electricity System Forum – On October 27th, George Washington University Law School will convene top policy-makers and industry leaders for a one-day conference on the interface of state and federal initiatives addressing the way in which electricity in the U.S. will be produced, delivered and used in the future. The learning sessions will examine the work occurring in Minnesota, California and the Southeast and at FERC, NERC and U.S. DOE. Additional learning sessions will include remarks from a leading consumer advocate and a newer market entrant, plus a lunchtime presentation on grid architecture for the future grid. The facilitated discussion session, in which all are encouraged to participate, will address how federal, state, and local efforts complement or conflict, and seek ideas from the discussion panel and the audience for additional means for coordination across jurisdictions and regions.

Conference to Focus on Consumers, Cities – On November 1st and 2nd, The Energy Times 2nd annual Empowering Customers and Cities conference will be held in Chicago.  The conference we will feature Jeremy Rifkin, bestselling author of 20 books on science, technology and the economy, society and the environment. Rifkin will kick off our conference and lay out his entire vision for the coming global transformation and how it will transform electric power production and consumption.  Anne Pramaggiore, President and CEO of ComEd, will discuss ComEd’s vision of what its customers will want and need in coming years, and the steps they are taking to provide those services. Thomas Birr, Chief Strategy Officer of RWE, Germany’s second largest utility, will discuss what RWE is doing to become the utility of the future and the steps they are taking to secure the most innovative and potent technologies to help build a 21st century energy enterprise.

COP 22 Marrakesh – November 7-21

TransForum East Set for Nov – GenerationHub’s TransForum East is scheduled for November 15-16 at the Capital Hilton in DC. TransForum East brings together electric transmission executives who operate, plan, build, regulate and invest in electric power transmission systems in Eastern North America.

This regional forum provides two days of interaction and collaboration on the business of power transmission. You’ll gain insight from case studies of successful business models, regional planning strategies, financing trends and practical lessons learned from new construction and upgraded transmission projects occurring in the United States and Canada.

Energy Update: Week of July 25

Friends,

I must say, we had a really good time in Cleveland last week at the RNC.  The people were wonderful and the convention went off without a hitch – logistically at least.  As for the substance and political results?…enough said. Either way, we’re watching closely to see if Michelle Obama cribs from our energy update for tonight’s DNC speech.

While there was definitely some party chaos in Cleveland, the Democratic National Convention in Phily starts with similar unrest as long-time DNC Chair Debbie Wasserman-Schultz resigned last night after thousands of emails leaked showing evidence that the DNC was undermining the Sanders campaign.  All this has overshadowed Hillary Clinton naming current VA Sen./former Gov (and former DNC Chair) Tim Kaine to be her VP.  While Kaine is known as a somewhat progressive and has some street cred with the party faithful from his time at DNC, the Sanders wing is sure to see this as the beginning of a move away from their more extreme approach, especially on most energy issues.  Expect to not see the “brotherly love” tonight as Sanders and Elizabeth Warren take the stage.

Another sidebar for Phily that I thought might be of interest is a new group of Republicans – not affiliated with Democratic groups – that will be at the convention discussing their reasoning for supporting Hillary Clinton.  Along with several other like-minded Republicans, former Bush 43 White House advisors John Stubbs and Ricardo Reyes launched R4C16, Republicans for Clinton after Donald Trump accepted the Republican nomination for President. Last Friday, John laid out his reasoning in an op-ed for the Washington PostWhy Republicans Should Vote for Hillary Clinton.

If you are going to Phily, make sure to stop at the POLITICO (historic Rittenhouse Square at 2001 Market Street, 2 Commerce Square) and the Washington Post (City Tap House Logan, 2 Logan Square) Hubs.  Both places were excellent for events, fellowship and serious reporting in Cleveland so I expect the same here.

As for energy events at DNC, POLITICO’s Elana Schor hosts CO Gov. John Hickenlooper, Hillary Energy advisor Trevor Houser, WA Gov. Jay Inslee, Iowa Rep. Dave Loebsack, former PA Gov./Phily Mayor Ed Rendell and Heather Zichal on Wednesday and does a Breakfast Newsmaker with Tom Steyer on Thursday.  Hickenlooper also hits the WaPo’s Politics and Pints with Chris Cillizza tomorrow at 6:00 p.m. and WaPo look at the energy platform earlier in the day at 10:00 a.m. with Steve Stromberg.  Finally, on Thursday at 4:00 p.m., the Bipartisan Policy Center and EEI will host Southern Company CEO Tom Fanning and DOE Secretary Ernie Moniz to discuss energy policies and priorities.  Besides a speech from Sanders tonight that is certain to tap the progressive “keep it in the ground” energy issues, tomorrow at 2:30 p.m., John Podesta, WA Gov. Jay Inslee, Tom Steyer and the leaders of major environmental groups will attend climate reception at the Warwick Hotel Rittenhouse Square.

Other events in DC this week: today at 2:30 pm, Heritage and CEI host a panel discussion in Senate Visitors Center 215 on repealing the Renewable Fuel Standard and other Biofuel Programs, the NatGas Roundtable is hosting BG&E CEO Calvin Butler tomorrow at lunch and tomorrow afternoon USEA looks at future global nuclear growth.

Finally, overseas in Vienna this weekend, Secretary Kerry (why do we let him talk), EPA Administrator McCarthy, our friends in the environmental community and AHRI made significant progress toward locking down final efforts to limit the super-warming hydrofluorocarbons (HFCs) under the Montreal Protocol.  The parties reached significant agreement on key challenges and solutions, and have made great progress on ambitious schedules for freezing and phasing down HFC production and use in both developed and developing countries, and financial assistance to help developing countries achieve their phase-down commitments.  The HVAC industry has been a strong player in these negotiations and AHRI President Steve Yurek was there all last week for the talks, which are the final prelude to October meeting in Kigali where parties will close the deal.  It is a huge success that likely will dwarf the uncertainty of cuts that the Paris Treaty may/may not produce.   There have been a number of stories on the progress, but Coral Davenport’s NYT story from Sunday captures the details.

Remember, our PRG team will be covering elections closely and offering our analysis running up to and following the November vote.  So stay in touch on the topic.  Sounds like maybe one more short update next week as we hit August to wrap DNC week, but then off until September.

 

Best,

Frank Maisano

(202) 828-5864

(202) 997-5932

 

FRANKLY SPOKEN

“That Trump’s run an awful campaign, alienated every group & still within striking distance makes you wonder who’s really a weaker candidate.”

Andrews Kaczynski of Buzzfeed yesterday on Twitter

____

“Charging infrastructure is an important priority when getting electric vehicles on the road, but it’s not the only piece of the puzzle,” said “Dollar for dollar, infrastructure is most valuable when it is accompanied by robust consumer education, public-private partnerships, experiential marketing, and support from the business community.”

Robbie Diamond, CEO of the Electrification Coalition, responding to DOE announcement of $4.5 billion in loan guarantees to expand the nation’s electric vehicle charging infrastructure

 

IN THE NEWS

World Leaders Make Progress on HFCs – With far less attention this past week, negotiators from almost 200 countries neared a deal that many say will be the most significant concrete action to reduce global warming in years. Parties, which will finalize the deal in Kigali in October, made significant progress toward locking down final efforts to limit the super-warming hydrofluorocarbons (HFCs) under the Montreal Protocol.  The parties reached significant agreement on key challenges and solutions, and have made great progress on ambitious schedules for freezing and phasing down HFC production and use in both developed and developing countries, and financial assistance to help developing countries achieve their phase-down commitments.

HVAC Industry Pushing for Strong Deal – The global HVAC industry has been one of the significant players pushing for a strong deal.  They have been promoting inclusion of an HFC phase down amendment to the Montreal Protocol for nearly six years, having already successfully phased out HCFCs under that global agreement.  A global agreement creates predictability for producers and manufacturers alike and eliminates the hodge-podge of different HFC reduction schemes that they would surely face as the world’s focus on climate change continues.  As well, an orderly phase down schedule provides the time necessary for manufacturers to conduct the necessary R&D on the next generation of equipment using the latest refrigerant replacements for HFCs and for producers to begin making sufficient supplies of replacements refrigerants.

Will the Replacement Actually Be Ready – Replacements will be ready to go when the time comes because industry anticipated the eventual action of the Montreal Protocol parties to phase down HFCs and thus began a major research program in 2011 to identify potential alternatives, which has recently completed its second phase.  Many of the most promising replacements, however, are classified as either flammable or mildly flammable and thus must be researched further to determine their performance in real-world conditions.  That research is about to commence under a funding agreement by AHRI, ASHRAE, the Department of Energy, and the state of California, which will collectively contribute nearly $6 million to study these refrigerants in advance of upcoming building code updates.

NYT Reports on the Progress – There have been a number of stories on the Vienna negotiations progress, but Coral Davenport’s NYT story from Sunday captures the details very well.

DOE Promises Loans for EV Charging – On the heels of the United States Department of Energy’s (DOE) first-ever Sustainable Transportation Summit, DOE announced $4.5 billion in loan guarantees to roll out a coast-to-coast network of electric vehicle charging stations. The program will provide support for federal, state, and local governments, and it will partner with Ford, GM, Nissan and Tesla.

SAFE Says Decision Should Focus on Accelerator Communities – SAFE’s Electrification Coalition said the decision to allocate $4.5 billion is an urgent priority that will sever the nation’s dependence on oil and boost American energy security. The EC notes a number of important considerations when it comes to EV deployment and charging infrastructure:

  • The U.S. transportation sector relies on oil for more than 92% of its energy, a dependence that undermines national security and economic prosperity. Last year, the United States spent $500 billion on petroleum fuels.
  • Public investment is necessary to decouple our transport system from the global oil market, which continues to operate against free market principles under heavy influence from foreign governments and national oil companies.
  • Development of a robust charging network sends an important signal to potential buyers that EVs are a viable choice, not hindered by infrastructure availability.
  • Simultaneously, 90% of charging occurs at home and in the workplace.
  • Fast-charging is a key component of improving public electric vehicle charging infrastructure.
  • The EC advocates for use of accelerator communities as a policy tool—targeted geographical regions for EV deployment in which everything necessary to support this important technology is deployed simultaneously.
  • Experiential marketing—putting motorists behind the wheel of an electric vehicle to familiarize them with the technology—has proven to be a highly effective method of increasing exposure and boosting electric vehicle sales.
  • EVs offer consumers an opportunity to opt-out of the uncertainties of the global oil market and rely instead on electricity for transportation, which is diverse and domestic in source and stable in price.

Chamber’s Energy Institute to Start Energy Accountability Series – In a new effort to educate voters about energy policy, the U.S. Chamber’s Institute for 21st Century Energy will be launching the “Energy Accountability Series.” This series of reports will explain what would actually happen if the policies proposed by candidates and groups were to be adopted.  With energy issues a major part of the U.S. Chamber’s voter education efforts this fall, the new series will hold candidates and groups accountable for the statements they make on energy policy. The Chamber has already launched advertisements on energy policy in the key Pennsylvania Senate race.  The Obama presidency has demonstrated clearly that a candidate’s views and things they say and do to win support of interest groups has a real impact on how policy is shaped and implemented. The Energy Accountability Series will ask the tough questions and provide quantitative answers on the full impacts and implications of these policies, irrespective of which candidates, groups, or political parties happen to support or oppose them.  For more information and to sign up for updates, visit  www.energyxxi.org/energy-accountability.

New Pipelines Will Force U.S. to Miss Paris Targets – Environmental groups said in a report last week that the U.S. will miss its emission-reduction targets under the Paris climate agreement if 19 pending natural gas pipelines are built across eastern states.  The report pipelines are expected to move natural gas from the shale fields of Pennsylvania, Ohio and West Virginia to states from Louisiana to New York would unlock at least 15.2 billion cubic feet per day of new natural gas production.   Now that sounds Like a great Idea… Why wouldn’t we want to do that since increasing our natgas usage has reduce emissions by 50% already.   Unless of course, you just want to block use of natural gas.

Experts Discuss Fuel Economy Issues with Platts PodcastOn this week’s Platts Capitol Crude podcast Sam Ori, executive director at the Energy Policy Institute at the University of Chicago, Joshua Linn, a senior fellow at Resources for the Future, and Kevin Book, managing director at ClearView Energy Partners discuss the US concerns about falling short of the 54.5 miles per gallon fuel efficiency target and how low gasoline prices impacting efforts to boost fuel economy.  Finally, Scheid taps that all important questions with his dad: Does driving with your windows down increase or decrease your car’s fuel efficiency?

FirstEnergy Closing Smaller Coal Units – FirstEnergy on Friday said it will retire or sell five units at two of its coal-fired power plants by 2020, citing “challenging market conditions.”  The company that powers much of Cleveland and sponsors Browns Stadium will retire four units totaling 720 megawatts at its W.H. Sammis plant in Stratton, Ohio, by May 2020, and either sell or deactivate its 136-megawatt Bay Shore unit in Oregon, Ohio, by October 2020.  Collectively, the 856 megawatts constitute 5.6 percent of Ohio’s coal-fired electric capacity, which totals 15,394.5 megawatts, according to data from the U.S. Energy Information Administration. Three remaining units at the W.H. Sammis plant will continue to provide 1,490 megawatts in base load power.

 

ON THE SCHEDULE THIS WEEK

Democratic Convention –Democrats will head to Philadelphia for the 2016 Democratic National Convention at the Wells Fargo Center on today through Thursday. The action launches at 4 p.m. with First Lady Michelle Obama, Elizabeth Warren and Sen. Bernie Sanders are set to address the crowd. Later in the week, headliners include President Barack Obama, Vice President Joe Biden, and former POTUS Bill Clinton.  Other favorites include CO Gov. John Hickenlooper (who is doing a couple of energy panels), NY Gov. Andrew Cuomo, Sen. Barbara Boxer, Cali Gov. Jerry Brown, former Michigan Gov. Jennifer Granholm and Flint Mayor Karen Weaver.

AAAS Forum to Look at Human Rights, Climate –All day today, the American Association for the Advancement of Science will hold a day-long forum on the human rights implications of climate change and the contributions scientists, engineers, and health professionals can make towards addressing these concerns.  The sessions will highlight examples of scientific research that is contributing to human rights-based policies for climate change prevention, mitigation, adaptation, and community relocation. In addition, panelists will share models for collaborative climate research in partnership with vulnerable communities. Coalition meetings convene scientists, engineers, and health professionals with human rights leaders and policy makers to discuss emerging issues at the nexus of science and human rights. The Coalition serves as a catalyst for the increased involvement of scientific, engineering, and health associations and their members in human rights-related activities.   The main speaker will be Robert Bullard, Dean of the Barbara Jordan-Mickey Leland School of Public Affairs at Texas Southern University.

Heritage, CEI Look at Biofuel Programs – The Heritage Foundation hosts a panel discussion this afternoon at 2:30 p.m. in Senate Visitors Center 215 on repealing the Renewable Fuel Standard and other Biofuel Programs. U.S. biofuels policy is a case study in the unintended consequences of government intervention. In contrast to what politicians and special interest groups promised, biofuel policies have increased costs to taxpayers and drivers, had little-to-no impact on oil prices, hurt rural economies, and had unforeseen environmental costs. This panel will provide background on the RFS and other biofuels programs, analyzing the many harmful effects of these federal policies. Does the RFS reduce dependence on foreign oil? What impact does it have on food prices? What environmental harms are caused as a result of the RFS? Does the RFS actually hurt agricultural producers? The presenters will answer these questions and identify several critical solutions.  Speakers will include Heritage’s Nick Loris, CEI’s Marlo Lewis and Dan Simmons of the Institute for Energy Research.

Forum to Look at Emissions at Chinese Ports – The Wilson Center’s China Energy Foundation (CEF) will host a panel discussion next Tuesday at 9:30 a.m. with Green Port experts as they assess how China’s new policies and on-the-ground efforts—such as port/vessel emissions inventories and emission control zones—are reducing pollution and climate emissions at major Chinese ports. Dr. Peng Chuansheng (China Waterborne Transport Research Institute) will lead the discussion in exploring how and why China is taking action on green ports. Ms. Freda Fung (Natural Resources Defense Council) will highlight Hong Kong’s successes in controlling port pollution and discuss needed incentives for green port/vessel technology development and emission compliance in China. Dr. Dan Rutherford (ICCT) will draw on a port study in Shenzhen produced for the China Environment Forum to discuss how shore power and fuel-switching offer critical solutions in reducing port emissions in China.   This meeting – part of CEF’s Choke Point: Port Cities initiative – is co-sponsored with the International Council on Clean Transportation (ICCT) and the Wilson Center’s Kissinger Institute on China and the United States.

NatGas Roundtable Hosts BGE Exec – The Natural Gas Roundtable is hosting Calvin Butler Jr., Chief Executive Officer of the Baltimore Gas and Electric Company (BGE), as its speaker at the next NatGas Roundtable luncheon at the University Club on Tuesday July 26th. Butler became chief executive officer of the Baltimore Gas and Electric Company on March 1, 2014 after serving as BGE’s senior vice president, regulatory and external affairs.

Forum to Look at Energy Potential – Future Tense and the Wilson Center’s Canada Institute will host a conversation tomorrow at Noon at New America on what it will take for North America to fulfill its energy potential. People tend to obsess over the monthly gyrations of oil prices and the latest regulatory battle over shale or pipeline-building, but we want to look forward to 2050. What concerted steps should Canada, Mexico, and the United States be taking to ensure that North America will become the world’s leading energy power for generations? And how can this region lead the world not only in output and economic growth, but also in setting new standards of environmental responsibility and sustainability?  Speakers include Sharon Burke of New America, Arizona State’s Hector Moreira (Director of Energy Model for Mexico Initiative) and Laura Dawson of the Wilson Center’s Canada Institute.

USEA to Host Global Nuke Discussion – The US Energy Assn will host a forum tomorrow at 2:00 p.m. looking at the global nuclear landscape to 2040 and the US role will be.  Affordable baseload electricity is crucial for countries to sustain the high level of economic growth they have experienced during the last decade. Government support, via regulations and financing, has been pivotal to the accelerated growth of nuclear energy. In China and India, as well as most of Asia and Europe, government enterprises are responsible for the construction and operation of nuclear power plants. The US cannot idly let its leadership position wither away in the global nuclear energy landscape. In the nuclear arena, leadership cannot be simply “restored” based on the old “push” model of Supply-side dominance from the 20th Century. Urban demand-side factors outside Europe and North America now are pulling nuclear power construction forward in the 21st Century to satisfy burgeoning electric demand, primarily in Asian cities, and for growing populations and water needs in the Middle East and Africa. USA and allies must redefine leadership in nuclear energy via international partnerships and alliances that are unfolding now. Speaker Andrew Paterson of the Environmental Business International will address the topic.

DEM Convention Forum Set – The New Policy Institute and NDN will host a major event at the Democratic National Convention in Philadelphia, tomorrow looking ahead at the future of America and American Politics.  This event will feature a dozen inspiring thought leaders who will offer their different perspectives on what is coming down the road for the US and our politics.  The event will take place at the Pennsylvania Convention Center, Room 204C, 200 Level Concourse, and run from 10:30 am to 2:30 pm If you would like to attend, please RSVP on our Eventbrite page today.  The event is free and open to the public.

Podesta to Headline Enviro Event at DNC – John Podesta, chairman of Hillary Clinton’s presidential campaign, will appear with Washington Gov. Jay Inslee, Tom Steyer and the leaders of major environmental groups at a Tuesday reception at 2:30 p.m. at the Warwick Hotel Rittenhouse Square in Philadelphia.  The reception, “winning on Climate Together” will also include Sierra Club Executive Director Michael Brune, LCV President Gene Karpinski, and NRDC President Rhea Suh.

ELI Forum Look at Distributed Solar Battles – On Wednesday, July 27th, ELI will host a forum on the recent changes in net metering policies and the future of distributed solar at the D.C. Bar Conference Center.  Thousands of Nevada consumers purchased solar arrays expecting to sell their electricity back to the grid at the same rates they pay for power – called “net-metering.” Solar companies expected to continue booming sales – and leasing – based on this high rate of return. That all changed last December when the Nevada Public Utility Commission significantly reduced net-metering rates. Existing customers were furious and sales of new systems basically ground to a halt. A few months later, after a similar fight, the California Public Utilities Commission reached a different result, maintaining full net-metering rates until 2019. And just this April, a coalition including Con Edison, Solar City, and Sunpower, Inc., submitted a net-metering proposal to the New York Public Service Commission billed as a breakthrough in utility-solar collaboration. The coalition claims their proposal will continue to incentivize residential solar while also providing utilities with protections necessary to insure that distributed solar will not cause the ever-dreaded Death Spiral for the utility industry.  These recent developments are only a sample of the debates raging before Public Utility Commissions across the country, where numerous proposals to change net-metering policies are pending, with important implications for the future of residential solar. Please join us for a panel discussion of these ongoing developments.

Fanning, Moniz, Daschle Headline DNC BPC Energy Event – The Bipartisan Policy Center and EEI will host a forum at the Democratic National Convention in Phily. The discussion will feature some of our nation’s most influential leaders on energy innovation as we discuss the respective roles of the public and private sectors in realizing the full potential of this opportunity as well as growing congressional support for energy innovation.  The event will feature Southern’s Tom Fanning, former Senate leader Tom Daschle, and Energy Secretary Ernie Moniz.

 

FUTURE EVENTS

Annual Enviro Superconference Set for Austin – The 28th annual Texas Environmental Superconference is set for August 4th and 5th at the Four Seasons in Austin, TX.  This year’s theme is Yogi Berra quotes and the conference is fittingly entitled “It’s like déjà vu all over again”; each topic has an appropriate quote assigned to it.   The event is co-sponsored by the State Bar of Texas Environmental and Natural Resources Law Section, the Air & Waste Management Association – Southwest Section, the Water Environment Association of Texas, the Texas Association of Environmental Professionals, The Auditing Roundtable, and the American Bar Association Section of Environment, Energy, and Resources. Bracewell will be hosting an event on Thursday, August 4th during the superconference with cocktails, small bites and a live performance by Quiet Company.  Speakers will include Gary Jonesi of EPA’s Enforcement office and Bryan Shaw of TCEQ, as well as Bracewell enviro experts Tim Wilkins and Kevin Collins.  See more on the event here.

Power-Gen Forum Set for Columbus – Regardless of the Democratic Platform challenge of natgas, Pennwell will host Mark McCullough, Executive Vice President, American Electric Power to discuss the growing role in natural gas in power generation at the upcoming GenForum scheduled August 22nd in Columbus, Ohio. The half-day event is connected with PennWell’s POWER-GEN/Natural Gas.

Forum to Look at Environment Policies, Investments in Electricity – The Bipartisan Policy Center, the Great Plains Institute and the Nicholas Institute for Environmental Policy Solutions are hosting a workshop in Atlanta at the Hyatt Regency on Tuesday September 13th.  The event will feature experts, state officials and stakeholders from across the Eastern Interconnect for a one-day workshop exploring recent modeling analyses that provide new insights into trends in the electricity sector. The event will explore what these trends mean for state energy and environmental policy choices. Experts will present their findings and stakeholders will have an opportunity to reflect on those findings.

SEJ Conference Set For Sacramento – The annual Society of Environmental Journalists (SEJ) Conference will be September 21-25 in Sacramento.  Of course, Bracewell’s PRG will be hosting our annual big reception on Thursday Night to welcome everyone.  More on this as we get closer.

Energy Update: Week of January 25

Friends,

Happy Snow!!!!  Now that was a good snow storm.  But the difference between here and the North (Detroit for me) is that you usually have weeks/months of freezing cold temps and more snow still ahead of you.  Here, we had two straight days of sunny and 45 degrees following the storm, and today we are getting rain.  That should help clear some of the snow off the roads, even if the plowing isn’t quite as good as the colder climates.  Speaking of plowing, while I think Maryland did a good job, my drive (in the Volt, mind you) into the Capital today showed that DC still has a lot of catching up to do, as the downtown area remains basically gridlocked with minimal open lanes.  Thinking I might be on the MARC train/Metro for a few days.

Speaking of the storm, as the Mid-Atlantic region digs out, AHRI reminded local residents to protect their furnace vents and heat pumps by clearing piled up snow away from them:

“With a massive winter storm blasting the Nation’s Capital, it is important clear away snow and other debris that block airflow through the outdoor part of your heat pump.” said AHRI President Stephen Yurek. “We have so many things on our minds during a massive storm like this, but it is very important for those who use heat pumps to keep warm, to keep the outdoor part of their unit clear of snow.  Yurek also reminded those who have highly-efficient furnaces (those that require through-the-wall venting) to keep the vents clear of snow and ice for their safety and that of their loved ones. Failure to do so can result in a buildup of deadly carbon monoxide gas.”

With school off another day, I just had to get back to work.  And the Senate does too, launching its energy reform package tomorrow.  The legislation, a bipartisan measure that cleared committee on an 18-4 vote last year, and includes provisions pushed by both Republicans and Democrats. They include measures to expedite liquefied natural gas exports, reform federal energy programs and improve the reliability of the electric grid.  While Senate Energy Chair Lisa Murkowski said she hopes the legislation will move forward in a bipartisan manner, that may be wishful thinking in this election year.  Lots of rumors about amendments and they may take all forms from simple fixes in a manager’s amendment to off-the-wall political bombshells.  We’ll see how it plays out over the next couple weeks.

Many events are cancelled especially today and tomorrow, including the two House hearings and the Senate EPW markup/hearing.  I have provided a list of other events below but check them events before you venture out because Uber and Cabs are still up-charging I think.

Finally, if you want to think WARM, remember next week launches the Waste Management Phoenix Open.  Weather report from TPC Scottsdale says SUNNY and 70s all week.  WM launches with its 6th annual Executive Sustainability Forum on Tuesday, Celeb Pro-Am on Wednesday and real PGA golf starting Thursday.

Call if you have energy bill questions, need driving tips or are wondering how to prevent snow plows from covering your driveway after you’ve already shoveled it… and be safe out there.

Best,

Frank Maisano

(202) 828-5864
(202) 997-5932

 

IN THE NEWS

SCOTUS Lets FERC DR Rule Stand – The Supreme Court rejected a challenge to a FERC rule  that promotes electricity conservation, handing a big victory to environmentalists and federal power regulators.  The 6-2 decision overturned a federal appeals panel ruling and affirmed the commission’s authority to offer incentives to reduce power consumption during peak demand periods by paying large users to curb their electricity use, policies that green groups say help open the power grid up to more renewable sources like wind and solar.

Bracewell FERC Experts Weigh In – My colleagues who are FERC experts weighed in with an Energy Blog Post yesterday. They say the Court was persuaded that FERC had taken care not trample on state regulatory authority by the fact that FERC’s DR regime permitted retail purchaser’s to participate in wholesale markets only if state regulators did not forbid them from doing so. They added that although it is early to tell, this decision appears to affirm a broader view of FERC’s jurisdiction over wholesale power markets than previously understood.

NRECA Protests Ruling – NRECA expressed disappointment over the Court’s ruling.  NRECA had challenged FERC Order 745 on the grounds that the Commission overstepped its jurisdictional authority.  “For decades, co-ops have been able to save co-op member-owners millions of dollars by creating robust demand response programs. We are concerned that by giving this pricing authority squarely to FERC, the Court has diminished the ability of state public utility commissions and the cooperative and municipal boards, to protect the interest of consumers. NRECA will continue to advocate for compensation levels that benefit co-op owner-members,” said Jay Morrison, vice president of regulatory affairs.  Electric cooperatives have aggressively pursued cost savings for consumer-members by offering a wide range of demand response programs; in fact in 2012, co-ops’ share of total retail electric sales was 11%, yet they were responsible for 19% of actual peak reduction,” he added.

Segal Looks at Impact on CPP Consideration – My Bracewell colleague Scott Segal, also the director of the ERCC read the opinion and found it interesting looking for implications towards future consideration of arguments on the CPP.  Segal said the Court says there is still a substantial statutory separation between FERC’s wholesale authority and state retail rate-making and recognized demand response as an exception noting that FERC was responding to a market-developed concept that had been approved by Congress and had a consumer protection and reliability rationale.  Segal adds that is a pretty limited view.  Segal: “The Court’s reasoning should give no comfort to supporters of the Clean Power Plan.  First, CPP in no sense was developed by the market.  Far from approved by Congress, it has been roundly opposed by Congress as inconsistent with 40 years of Clean Air Act precedent.  And rather than protecting consumers and reliability, a broad consensus of impartial third parties has found that CPP will have the opposite effect.”

BLM Rolls Methane Rules Just Before Big Storm – Talk about clearing the decks… Interior’s Bureau of Land Management (BLM) proposed updates on Friday to 30-year-old natural gas emissions regulations for oil and gas operations on public and Native American lands, including a requirement that producers adopt modern techniques and equipment to limit flaring.   My expert colleague Sandra Snyder said if adopted, BLM’s regulations may have the unintended effect of deterring development on federal lands, thereby decreasing federal royalties.  The BLM rule BLM announced today rule proposes to add additional requirements to the already onerous process of obtaining an Application for Permit to Drill (APD).  Since 2010, it has taken industry on average well over 200 days to obtain an APD from BLM.  Adding additional requirements will inevitably lead to additional delays.  Moreover, she adds BLM needs to make good on its pledge to avoid redundant requirements, while also recognizing the voluntary efforts of industry to reduce emissions through the implementation of innovative technologies.  The financial benefit of capturing more of its product is not news to oil and gas production companies — they’ve been ahead of the government on this issue for quite some time.

Cabot Already Ahead of BLM Rules – As Sandra mentioned, the fact is, industry has been ahead of the curve on this for years, working diligently on its own to reduce methane emissions.  It’s both good environmental stewardship and makes sense from a business standpoint; since companies strive for efficiency, it makes sense to capture as much product as you can.  To cite one example: Cabot Oil & Gas has been achieving substantial methane emissions reductions for years. Starting back in 2011, Cabot unleashed new technological initiatives to decrease methane emissions from its operations.  The company cut methane emissions by 85% between 2011 and 2014—particularly impressive given that its natural gas production grew 250% during the same period.  A big part of the trick involves optimizing “green completions,” which means minimizing natural gas flaring during the cleanup phase after a well is completed by diverting gas into a pipeline.

IPAA Says Rule’s Timing is Bad – The IPAA said the reduction of emissions through limited venting and flaring is in the government and the industry’s best interest. Financially, no oil or natural gas producer would choose to lose valuable resources that could otherwise be sold. And when the product is sold, the U.S. treasury receives a royalty. Further, increased natural gas production and use have resulted in cleaner air for the United States. We are concerned that these new rules could create a regulatory regime that prevents the extension of the financial and important environmental benefits generated by American oil and natural gas production.  “This is the latest in the string of bad policies released by this administration showing a lack of knowledge of how the oil and gas industry truly works. Imposing these new regulations will make it more expensive and harder for independent producers to operate, reducing America’s total energy production and preventing additional receipts from going back to the US Treasury. Making matters worse, lifting the royalty rate ceiling simply leaves the door open for the federal government to increase rates on producers down the road. This will change the predictability and certainty for operators on federal lands, making it harder to plan and commit to long-term projects. With oil and natural gas prices currently at their lowest in decades, now is the worst time to raise fees on America’s independent producers.”

Court Denies Stay Request for CPP – Last Thursday, a three-judge panel of the D.C. Circuit Court of Appeals granted a petition for expedited briefing in the case regarding the carbon rules for the power sector, while denying the imposition of an immediate stay.  My colleague Scott Segal said the expedited briefing schedule is indicative of the seriousness with which the court is taking the case and the very substantial legal issues that need to be resolved in order to safeguard electric reliability and consumer interests.  He added a record 27 states are challenging the GHG plan, along with some 25 national and state trade associations, 39 rural cooperatives, 12 major corporations, and three labor unions with combined membership nearing one million.”

WV AG Considers SCOTUS Review on Stay Request – West Virginia Attorney General Patrick Morrisey said his office will consider urging the U.S. Supreme Court to halt ongoing, irreversible harm caused by EPA’s Power Plan.  Morrisey says if left intact, the plan will lead to skyrocketing electricity bills and devastate West Virginia’s coal industry and the countless jobs depending upon its success.  “We are disappointed in today’s decision, but believe we will ultimately prevail in court,” Attorney General Morrisey said. “The court did not issue a ruling on the merits and we remain confident that our arguments will prevail as the case continues. We are pleased, however, that the court has agreed to expedite hearing the case.”

Rural Co-ops Say Stay Important to Protect Rural Consumers – NRECA also expressed deep disappointment with a court’s refusal to halt implementation of EPA’s rule. NRECA was among those that petitioned the court to stay the rule while a separate battle over its legality plays out: “Charging ahead with implementation of the Clean Power Plan will cause immediate and irreparable harm to America’s electric co-ops,” said Debbie Wing, NRECA director of media relations. “While the rule’s emission reduction requirements don’t kick in for several years, co-ops must start taking immediate costly and irreversible steps to achieve the goals set forth in the EPA’s overreaching regulations. The result will be lost jobs, economic harm to rural communities and significant electric rate increases for some of our nation’s most vulnerable citizens—families living on fixed incomes or in poverty.”

Chamber Says Expedited Review of CPP Essential – The U.S. Chamber’s Institute for 21st Century Energy, said the D.C. Circuit Court decision to expedite legal review of carbon regulations indicates that the court agrees that it is important to review the rules quickly. As the Chamber and its partners have argued all along, the rule is already hurting American businesses. The Court’s decision to deny the stay motion is about procedure. The Chamber says it looks forward to presenting our arguments to the Court as part of an expedited review process, and we will continue our efforts to halt the EPA’s unprecedented effort to restructure the American economy.

AEA: Don’t File a Plan – AEA President Thomas Pyle penned an op-ed in Morning Consult cautioning state leaders against submitting a state plan for EPA’s carbon regulation–what EPA calls the “Clean Power Plan.” EPA, environmental groups, and utilities are pressuring state leaders to submit state plans by implying that a federal plan will be much worse for their citizens. But as Pyle points out, state and federal plans are essentially the same. The only major difference is that a state plan locks citizens in to this costly regulation—even if the rule is thrown out in court—while a federal plan does not.  Click here to continue reading the op-ed.

ON THE SCHEDULE THIS WEEK

Washington Auto Show Sets Policy Bar – After the Snow out over the weekend, the Washington Auto Show continues really launched this week.  The opening on Friday was delayed due to the weather.  The show runs through Sunday.

AHRI Forum To Highlight New Technologies – Our friends at AHRI were lucky to miss the storm by decamping to Orlando for their annual AHR Expo, an annual trade show co-sponsored by AHRI and ASHRAE. It is one of the largest industry expos, drawing over 1400 exhibitors and over 60,000 HVAC professionals.  The event focuses on highlighting advancements that address the dynamic requirements of today’s HVACR industry.  Over 80% of the Show Exhibitors are introducing new or upgraded products, systems and technologies that are being unveiled and showcased on the 2016 AHR Expo floor.  Spanning categories from indoor air quality to software, and addressing the interests of contractors, engineers, wholesalers/distributors, facility managers and owners/operators, these innovations are expected to touch every corner of interest from across the HVACR industry.

CANCELLED — House Ag to Host EPA’s McCarthy – The House Agriculture Committee hearing today on the impact of EPA regulations on the rural economy featuring EPA Chief Gina McCarthy will be rescheduled

CANCELLED – SAFE Forum to Look at Iran, Saudi Arabia Conflict – Securing America’s Future Energy and the Foundation for Defense of Democracies (FDD) Capitol Hill lunch event tomorrow has been postponed to February 12th pending speaker confirmations.  The event was to discuss the rising tensions between Iran and Saudi Arabia and U.S. energy and national security interests in the region and feature  SAFE Energy Security Leadership Council member General Charles F. Wald (U.S. Air Force, Ret.), former NSC head John Hannah, former National Economic Council official Bob McNally and FP Correspondent Indira Lakshmanan.

NAS Social Cost of Carbon Presser – CANCELLED

Forum to Look at Paris Event – The United Nations Environment Program and the George Washington University Sustainability Collaborative will host an event tomorrow that will highlight key achievements of 2015: the United Nations 2030 Sustainable Development Agenda and the outcomes of the recent Paris climate conference.  The event will provide an overview of the Sustainable Development Goals (SDGs) and what they mean for the public and private sectors with a particular focus on implementation of the environmental dimension. It will also highlight the SDGs regarding sustainable cities, sustainable consumption and production, and climate change and their relevance for North America.

CANCELLED – House Oversight to Look at RFS – The House Oversight Hearing On the RFS will also be rescheduled to a Later date.

NAM State of Manufacturing Tour to Start in NH, FL – The National Association of Manufacturers, the unified voice of more than 14,000 manufacturers in the United States, will tour the country for the 2016 State of Manufacturing Tour starting tomorrow in Manchester, New Hampshire and Tampa, Florida.  See full schedule here.  NAM is showcasing modern manufacturing, highlighting the importance of manufacturing to America and laying out solutions that will create more jobs, seize global leadership and expand the circle of opportunity so wide that the American Dream is available to everyone.

Nuclear Summit Set for Newseum – Third Way and the Idaho National Laboratory are partnering with Argonne National Laboratory and Oak Ridge National Laboratory to host a first-of-its-kind Advanced Nuclear Summit and Showcase in Washington, DC on Wednesday at the Newseum.  In North America, 48 companies, backed by more than $1.6 billion in private capital, are developing plans for advanced nuclear reactors. The influx of ideas and investment into the advanced nuclear industry has made it a burgeoning part of the clean energy sector. The Advanced Nuclear Summit and Showcase builds upon the conversations sparked by the White House Summit on Nuclear Energy and the Nuclear Innovation Workshops sponsored by the Idaho National Laboratory.   Along with national policymakers and influencers, the Summit will establish that there is a robust advanced nuclear sector being developed by private companies and research institutions, and that government has a vital role to play in bringing the promise of the sector to reality.

CSIS to Look at GHG plan – Tomorrow at 10:00 a.m., the CSIS Energy and National Security Program is hosting a discussion on the future of the Clean Power Plan (CPP) in 2016. The expert panel will provide an overview of the state, federal and court level activity and planning that is likely to take place throughout the upcoming year.  John Larsen, Director with the Rhodium Group and Senior Associate with the Energy and National Security Program at CSIS, will highlight recent analysis from the CSIS-Rhodium Group study regarding emissions impacts and preview forthcoming work on energy sector impacts of the rule. Kathryn Zyla, Deputy Director with the Georgetown Climate Center, will give an overview of the approaches being considered by various states and the issues that matter most to their decision making. Kyle Danish, Partner with VanNess Feldman LLP, will discuss legal challenges to the CPP and the likely timeframe and pathways for resolving those challenges. Emily Holden, ClimateWire Reporter with E&E Publishing, will provide additional perspective on the various state, regional, and congressional issues that are important to watch this year.

ELI Book Forum to Tackle Coal Grandfather Issue – On Wednesday at Noon, the Environmental Law Institute will host a book forum to anti-coal lawyer Richard Revesz.  In their forthcoming book, “Struggling for Air: Power Plants and the ‘War on Coal’”, Revesz and Jack Lienke detail the history of the Clean Air Act (CAA) and the political compromises that led to exempting existing power plants, many of which are coal-fired, from significant portions of the CAA’s regulatory authority. ELI will feature an expert panel with Revesz, Lienke,, Bill Bumpers, NRDC’s Dave Doniger, and former EPA Air Administrator Bill Rosenberg as they discuss the environmental implications of the Clean Power Plan and the ramifications of grandfathering. Hear Professor Revesz and other experts in the field discuss to what degree the Clean Power Plan really reduces pollution, and the interaction between grandfathering and pollution reduction

RFF to Look at FIP, Trading on GHG Plan – Resources for the Future will hold a forum on Wednesday at 12:30 p.m. on the federal implementation plan and model trading rules. The comments, due January 21, 2016, give stakeholders the opportunity to provide feedback on the challenges and opportunities for state implementation of the carbon dioxide emissions guidelines for power plants.  RFF will be joined by EPRI for a special seminar focusing on a diverse set of stakeholder comments on how the federal implementation plan and model trading rules might impact the electric power sector.  This is the first event in the RFF/EPRI 2016 Clean Power Plan Seminar Series. The next event, on February 11, will highlight modeling results of how the Clean Power Plan impacts various states and regions. Speakers will include NRDC’s Ben Longstreth, EPRI’s Vic Niemeyer, RFF’s Karen Palmer and AEP’s Resource Planning Managing Director Scott Weaver.

CSIS to Host Infrastructure Discussion – On Wednesday, CSIS will hold an expert panel discussion on meeting infrastructure demands around the world. According to the World Bank’s Global Infrastructure Facility, the unmet demand for infrastructure around the world is estimated to be above $1 trillion per year. Meeting the financing need for bankable and sustainable projects must be a priority, for both governments and the private sector, in the coming decades. In addition to financing needs, donors and the private sector must work together to build capacity and provide technical assistance that will ensure continued success long after the individual projects have been completed. Panelists will discuss ways in which infrastructure can become a driver of development and stability, and how targeted investments in smart projects and capacity building can produce measurable results to pave the way for sustainable economic growth in low and middle-income countries.

Forum to Look at Low Oil Prices, Middle East Impacts – The Atlantic Council’s Global Energy Center will host a panel discussion on Thursday at 9:00 a.m. looking at the impact of low oil prices in the Middle East. The collapse in crude oil prices since mid-2014 has shaken the foundation of global energy markets, with sweeping economic and political implications for the Middle East. Amidst falling oil revenues, governments from the Gulf to Iraq and beyond face fiscal crises, market upheaval, disruption of traditional ways of doing business, challenges to longstanding fuel subsidy programs, and slumping economic growth. In the midst of this volatile landscape, energy producers in the region face an uncertain future that will have ramifications in the years to come.  Our friend Jamie Webster of IHS will be among the speakers.

Senate Energy to Explore Innovative Nuclear Technologies – The Senate Energy and Natural Resources Committee will hold a hearing on Thursday to examine the status of innovative technologies within the nuclear industry.

Battery Storage 101 Features ESA, Tesla – On Friday at 1:00 p.m., the Battery Energy Storage Caucus and the Renewable Energy and Energy Efficiency Caucus will hold a “Battery Energy Storage 101 and Introduction to the Battery Storage Industry” briefing.  The future of renewables comes in a battery. Companies across the country are developing batteries for home storage connected to solar panels, grid scale storage and automobiles. From Tesla’s lithium ion battery Gigafactory in Nevada to Michigan-based Sakti3 which is commercializing a high-energy density battery, the storage revolution is upon us.  The event will discuss how exactly battery energy storage works with the Energy Storage Association and learn what leaders in the industry are doing in the grid side application of storage to make our grid more secure and cost effective.

FUTURE EVENTS

Greenest Show on Grass: Waste Management Phoenix Open – February 1st through 7th, Waste Management will host its annual PGA tour event at the Phoenix Open in Arizona.  Waste Management has been a partner of the Phoenix Open for 15 years, and is dedicated to making the Open the greenest tournament on the PGA TOUR. The tournament has also become a major platform for Waste Management Think Green solutions, including the Four Rs – reduce, reuse, recycle and recover.  As a regular part of the event, WM is hosting its 6th annual Executive Sustainability Forum which provides a platform to discuss how and why the circular economy is fractured.  The event will identify collective challenges, and approaches to overcoming these challenges through collaboration along the value chain.  Speakers will include WM CEO David Steiner, our friend Dana Perino, NYT’s John Tierney  and Bloomberg View’s Adam Minter, among many others.

Panel to Look at Geoengineering – Next Monday, February 1st at 12:15 p.m., Future Tense New America will hold a book lunch on Geoengineering and how it could change the world.  Geoengineering is the deliberate hacking of Earth’s climate and might be one of the most promising potential responses to climate change, especially in the absence of significant carbon emission reductions. It’s also one of the most controversial.  In his new book, “The Planet Remade: How Geoengineering Could Change the World,” Oliver Morton argues that the risks of climate change merit serious action. According to Morton, geoengineering is not a simple or singular solution to the problem, but it is worth exploring, even if it’s never actually deployed.

Wilson Forum to Look at Middle East Oil Price Equation – The Wilson Center’s Middle East Program will host a forum next Tuesday at 3:00 p.m. on the implications of the collapse of oil prices for the Middle East.  The collapse of the oil prices has shocked both producers and consumers worldwide. As the most important producing region of the world, the Middle East has been particularly affected; state revenues are down, and cutthroat competition for market share and low global demand translates into greater challenges and uncertainty. The regional economic outlook is unclear, and questions remain about the potential long-term impact of sustained low oil prices. Three experts will analyze the geopolitical and financial aspects of the sharp decline in oil prices on both importing and exporting countries in the Middle East.

WCEE Forum with FERC ALJs – The Women’s Council on Energy & Environment will host a Litigation Roundtable next Tuesday at 6:00 p.m. with the women Administrative Law Judges at FERC and EPA. The Judges will discuss why and how they became Administrative Law Judges, interesting developments in their careers, who mentored them along the way and how they have mentored others, and share the dos and don’ts regarding hearings and settlement conferences.

Jacobson to Address Anti-Nuclear Group – The anti-nuclear group NIRS will hold a tele-briefing next Tuesday on “Paris and the path forward to a nuclear-free, carbon-free energy future.  As if there is one…  The discussion will feature controversial advocate/academic Mark Jacobson of Stanford and IEER’s Arjun Makhijani, both of who will explain what the climate agreement achieved and what its implications are for our energy future and nuclear power here in the U.S.

BPC Event to Look at Energy Innovation – On Wednesday, February 3rd at 8:30 a.m. at the Liaison Capitol Hill Hotel, the American Energy Innovation Council of the BPC will hold an event that will examine the rationale and implications of expanding federal support for energy innovation. The first panel will explore the economic impact of federal investments in energy innovation, focusing on how these investments can best leverage additional investments and ensure America’s competitive advantage in a rapidly evolving global energy marketplace. Phil Giudice, CEO at Ambri, will join to discuss how his grid storage company is working to develop transformative innovations in energy storage. A second panel will review new, collaborative institutional models that are working to create better bridges across the “valleys of death,” while aligning public and private sector priorities. ARPA-E Director Ellen Williams and our friends Kevin Kolevar of Dow Chemical and author Steve LeVine,

Forum to Discuss Transformations in Energy Technology – On Wednesday, February 3rd at 9:00 a.m., the Atlantic Council will host a panel discussion reflecting on BP’s Technology Outlook and its insights on how we may identify, extract, store, and ultimately consume our energy. The event will feature a presentation and panel with David Eyton, Head of Technology at BP, and Melanie Kenderdine, Director of the Office of Energy Policy and Systems Analysis at the Department of Energy and Energy Counselor to Secretary Moniz.

NAS Hosts Meeting on Domestic Transportation of Petroleum, NatGas, Ethanol – On February 4th  and 5th, the National Academies of Science will host a meeting on domestic transportation of fuels.  Given a number of recent events, look for a candid discussion of potential policies.

Sustainable Energy Factbook Release – For the fourth year in a row, Bloomberg New Energy Finance (BNEF) & the Business Council for Sustainable Energy (BCSE) have produced the Sustainable Energy in America Factbook, which provides the latest industry information and trends from the energy efficiency, natural gas & renewable energy sectors in the United States. On Thursday, February 4th at 12:00 p.m., a panel of executives from BCSE member companies and analysts from BNEF will discuss why 2015 was a watershed year for the US clean energy economy,

WCEE Feature World Bank Expert on Green Bonds – The Women’s Council On Energy and the Environment will host a forum on Thursday, February 4th at 12:00 noon on Green Bonds featuring World Bank expert Akiko Nakagawa. Nakagawa shares her work on developing and supervising projects financed through green bonds as well as how these bonds are placed in the climate negotiation’s context.  Laura Tlaiye will explain the requirements of green bond eligible projects and how bonds are structured.

Woolsey to Headline Lecture – On Friday, February 5th at 5:30 p.m., the Institute of World Politics will host the third Brian Kelley Memorial Lecture on the topic of “Energy Security in the 21st Century.”  The year’s lecture will feature Ambassador R. James Woolsey, Former Director of Central Intelligence.  Woolsey has been one of the most prominent analysts of national security issues, as well as energy policy. He has been a proponent of US energy independence and the protection of major infrastructure vulnerabilities, such as our electric grid upon which everything in our civilization depends.

Sustainability Forum Set at GMU – Leaders in Energy, Association of Energy Engineers – National Capital Chapter, and George Mason University will hold an Energy and Sustainability Extravaganza on its GMU Arlington campus on February 5th.

Wind Summit to Look at Finance, Investment – Infocast is holding its annual Wind Power Finance & Investment Summit February 9-11 at the Rancho Bernardo Inn in San Diego.   Now that the PTC question has been settled, the Summit will focus on the critical issues and opportunities for the wind industry, including the impacts of EPA’s Clean Power Plan on Wind, long-term outlook for natural gas prices, the outlook for tax equity and debt and many other topics.

Nuclear Innovation Conference Set – The Energy Innovation Reform Project and Oak Ridge will hold a nuclear innovation conference on February 10 and 11th in Oak Ridge, TN. Continuing on the important work of the 2015 Advanced Reactors Technical Summit II at UMass Lowell and the inaugural 2014 Special Technical Symposium at Argonne National Laboratory, the Technical Summit III will continue the discussion on approaches for improving the cost and deployment time frame of advanced reactors. Specifically the Summit III will engage in a discussion of common ground practical ideas and concepts that have the potential of significantly accelerating advanced reactor design, deployment, and operations. The Technical Summit III features the leading advanced reactor concepts as well as key thought and policy leaders.  Speakers will include NRC Commissioner William Ostroff and DOE’s John Kotek, among many others.