May 26, 1998
FEDERAL ENERGY BUDGET
1.) House/Senate Caucuses: Reps. Barbara Lee (D-CA), Jerry Weller (R-IL), and Mary Bono (R-CA) have joined the House Renewable Energy Caucus bringing its membership up to 123 (62 D's, 60 R's, and 1 I); let us know if you want us to fax you a complete membership list. In the Senate, Senator Paul Wellstone has become the seventh member of the newly-formed Senate Renewables & Energy Efficiency Caucus.
2.) 302B's: House Approrpiations Committee Chairman Rep. Bob Livingston (R-LA) expects to allocate 302B's to the Energy & Water Subcommittee shortly even though the House has yet to approve a Budget Resolution. Therefore, the House is looking at level funding for DOE's renewable energy programs, at best, between the FY'98 and FY'99 appropriations.
3.) RE Into ER?: There is an unconfirmed report that the House Energy & Water Appropriations Committee is planning to transfer all renewable energy funding out of the U.S. Department of Energy Office of Energy Efficiency and Renewable Energy (EE/RE) and into DOE's Energy Research office. In the latter, funds would be limited to only long-term research rather than near-term commercial applications that typify EE/RE programs.
4.) DOE's Nuclear Revival: On May 15, DOE Undersecretary Ernest Moniz told attendees at the Nuclear Energy Institute's annual meeting that broad discussions on nuclear power and its environmental benefits "are overdue" and that "nuclear power plant optimization as part of the President's Climate Change Technology Initiative is a key administration response to heading off [greenhouse gas] emissions." He said the White House [Comprehensive National Energy Strategy] plan is "intended to address the issues facing the long-term operation of existing nuclear power plants" and that "what I really want to stress is the need for a re-energized discussion of nuclear energy is reflected by nuclear energy's appearance throughout the plan."
May 17,1998 FEDERAL ENERGY BUDGET
1.) Budget Resolution: The May 13 Washington Post reports that House Republicans have reached a tentative agreement on a budget resolution that would reduce domestic spending by $100 billion more than required by last year's balanced budget deal and eliminate the "marriage tax" penalty. Earlier Rep. John Kasich (R-OH) was pressing for cuts of $154 billion including elimination of the Departments of Energy and Commerce. By contrast, the Senate-passed budget provides no more than the $300 billion of net savings spelled out in last year's budget agreement and $30 billion new tax cuts.
2.) Senate Budget Allocations: The interim subcommittee allocations approved by the Senate Appropriations Committee are based on last year's budget and this year's Senate budget plan. Energy & Water (which funds renewable energy and nuclear power programs) was allocated $21.1 billion in budget authority (BA) and $20.7 billion in budget outlays (BO), up $420 million in BA and $65 million in outlays. Interior (which funds energy efficiency and fossil fuel programs) was allocated $13.3 billion in BA and $13.8 billion in outlays, up $155 million in BA and down $32 million in outlays. Whether these increases will eventually translate into any increases for sustainable energy program budgets remains to be seen.
ELECTRIC UTILITY RESTRUCTURING
1.) California Restructuring Initiative: A coalition of consumer groups called Californians Against Utility Taxes reports that it had gathered 700,000 signatures, which should ensure a spot for a voter initiative on the November ballot. The initiative would stop utilities from billing ratepayers billions of dollars for their past investments in nuclear power plants and slash rates 20% for homes and small businesses -- on top of the 10% reduction that took effect January 1. In response, a coalition called Californians for Affordable and Reliable Electric Service has formed to oppose the initiative
2.) Pennsylvania/Restructuring: On April 30, the Pennsylvania Public Utility Commission tentatively approved a proposed settlement to the PECO Energy restructuring case. The Clean Air Council (215-567-4004) believes that "the terms of the settlement are much better for the environment and for consumers than previously proposed settlements." It includes a renewable portfolio standard for the block of customers (about 300,000, or 20%) that will be put out for bid to a "competitive default supplier;" it provides for 2% non-hydro renewables in 2001 going up half a percent annually indefinitely but allows the supplier to avoid this mandate if the cost of meeting the standard increases the cost of supplying the whole block more than 2%. It also includes improved rules for net metering, a guarantee of the use of renewable energy in PECO's weatherization program for low-income residents, a new Sustainable Energy Development Fund to help develop new clean energy and conservation/efficient projects, and policies that will lead to more rooftop solar panels. In addition, the tentative order guarantees all PECO customers an 8% rate decrease in 1999 and a 6% decrease in 2000. However, the decision also allows PECO to collect $5.26 billion in stranded costs between 1999 and 2010.
3.) Massachusetts/Disclosure: Based largely on proposals drafted by the Union of Concerned Scientists, new electricity disclosure labels were unveiled last week in Massachusetts as part of the state's utility deregulation program. The labels will disclose the price of electricity, the supplier's generation sources, its air emission content (e.g., carbon dioxide, nitrogen oxide, and sulfur dioxide), and whether union labor was used to produce it. For details, call Alan Nogee (UCS) at 617-547-5552); the Massachusetts deregulation hot line can be reached at 888-758-4469.
4.) Hydro/Regulation: Senator Larry Craig (R-ID) says he plans to introduce legislation in a couple of months that would change the licensing and relicensing process for hydropower facilities to enable the sector to remain competitive in a deregulated electricity market. He plans to have hearings on the proposed legislation this year and wants to evolve proposals that would draw bipartisan support. The National Hydropower Association has suggested that Congress and the administration establish a single agency with authority to regulate hydroelectric projects and streamline the regulatory process. A DOE report issued last September found that the hydropower regulatory system has cost the country billions of dollars in expense and resulted in the loss of more than 1,000 MW of generation capacity
CLIMATE CHANGE
1.) Corporations/Climate Change: The newly-created Pew Center on Global Climate Change has been launched with a $5 million grant from the Pew Charitable Trusts with former assistant secretary of state Eileen Claussen as its director. The group will include 13 corporate members including major Fortune 500 companies. They include British Petroleum, Sun Company, Toyota Motor Corp., Boeing Co., Lockheed Corp., Enron Corp., United Technologies Corp., American Electric Power Co., Whirlpool Corp., Maytag Corp., 3-M, U.S. Generating Co., and Intercontinental Energy Group. The 13 companies have worldwide revenues of more than $340 billion. In a joint statement, the corporate participants said they "accept the view of most scientists that enough is known about the science and environmental impacts of climate change for us to take action to address its consequences. ... We can make significant progress in addressing climate change and sustain economic growth in the United States by adopting reasonable policies, programs, and transition strategies." They also endorsed the Kyoto protocol as "a first step" to address climate change but said not only the industrial world but the poorer countries as well must join to find a solution.
MISCELLANEOUS
1.) Senate Caucus: A "Dear Colleague" letter, dated May 14, has been circulated by Senators Wayne Allard, James Jeffords, Robert Kerrey, Jeff Bingaman, and Tim Johnson inviting members to join the new Senate Renewables and Efficiency Caucus. Senator Lugar has already joined the Caucus. Let us know if you would like us to fax you a copy of the letter.
2.) Nuclear vs. Renewables: In its response to Public Citizen's recent study on nuclear economics in a deregulated market, the Nuclear Energy Institute stated, in part: "The idea that renewables can substantially affect energy needs regrettably is a pipe dream. In 1997, the total of new generation from wind power amounted to 11 megawatts. That's not a drop in the bucket; that's a drop in the ocean. (By comparison, efficiency improvements at nuclear power plants over the past 10 years have added the equivalent of 11 new, 1,000 megawatt plants.) Even with significant advances in renewable energy sources, the United States and the world cannot improve air quality without a sustained role for nuclear power. As the U.S. pursues its clean air goals, nuclear power's value relative to other viable energy sources will be increasingly recognized."
May 9,1998 FEDERAL ENERGY BUDGET AND TAXES
1.) DOE Buildings/Support: A 3-page statement "Buildings Research, Development and Demonstration: An Industry Statement" has been signed by 48 firms including Whirlpool, Maytag, Tucson Electric Power, Johnson Controls, Honeywell, General Electric, and Johns-Manville. It supports the Administration's FY'99 budget request of $317.5 million for the U.S. Department of Energy's buildings programs and notes that "investing in clean energy technologies, such as windows, lighting, energy-efficient appliances, insulation, fuel cells, microturbines, advanced heating and cooling systems, photovoltaics, and solar thermal research makes sound economic sense. Let us know if you want us to fax you a copy and list of signers
2.) Ethanol/Conference: The Renewable Fuels Association issued a 2-page news release May 6 applauding Rep. Newt Gingrich (R-GA) for appointing "pro-ethanol conferees" to the tax conference on H.R.2400, the highway reauthorization bill. Let us know if you would like us to fax you a copy of the 2-page release.
CLIMATE CHANGE
1.) Kyoto Signers: Following Japan's signing of the Kyoto protocol last week, Austria, Belgium, Denmark, Finland, France, Germany, Greece, Italy, Luxembourg, the Netherlands, Portugal, Spain, Sweden, Australia, Brazil, Canada, Norway, Monaco, and Britain followed suit with Ireland expected to sign shortly.
2.) Clinton/Buildings: On May 4, President Clinton formally dedicated the Partnership for Advancing Technology in Housing (PATH). The program is a federal government partnership with the insurance and home-building/construction industry and local and state governments, designed to cut energy use by 50% in homes built over the next 10 years. The program also aims to cut energy use by 30% in 15 million existing houses, approximately 20% of the nation's homes. If PATH's goals are met, they should yield $11 billion/year in consumer savings and greenhouse gas savings on the order of 24 million tons of carbon a year. In his remarks, Clinton noted that a third of greenhouse gas emissions come from factories, homes and office buildings, and commercial buildings with two-third of that coming from homes. "We know that we can substantially reduce greenhouse gas emissions and we know if we do so, we can -- in the right way -- we can do it and continue to grow the economy at a perfectly acceptable rate. ... So if we know that we can do things with available technology that will actually be profitable to homeowners, won't hurt home builders, and will help to save the planet, by definition it will put more money into consumers' pockets, and by saving the environment, we will generate higher, not lower economic growth." Let us know if you want us to fax you a copy of Clinton's 6-page statement or the White House's 7-page news conference transcript.
3.) Ashcroft/Kyoto: Senator John Ashcroft (R-MO) has introduced a bill (S.2019) to prohibit the use of federal funds to implement the Kyoto protocol until it has been ratified by the U.S. Senate. Specifically, the bill would ban federal funds from being used to pay for rules, regulations or programs designed to implement directly or indirectly, the terms of the climate change treaty. In a news release, Ashcroft commented that "the Administration has made it clear that it intends to begin implementing the treaty before the Senate ratifies the Kyoto Protocol. ... The American President is not a monarch who is able to make treaties without oversight by the people's elected representatives." The bill has been referred to the Environment and Public Works Committee, chaired by Senator John Chafee (R-RI), which may be a good sign given Chafee's sympathies towards controlling climate change. A companion bill has been introduced in the House of Representatives by Rep. Joe Knollenberg (R-MI).
MISCELLANEOUS
1.) Nuclear Waste: Public Citizen reports that the Nuclear Waste Policy Act (S.104) may be voted on in the coming weeks. The bill mandates moving 100,000 shipments of high-level nuclear waste through 43 states for a period of 30 years. The Environmental & Energy Study Institute (EESI) reports that the bill is being preconferenced by Senate and House members but there is no visible sign that the preconferenced package has won favor with enough members to secure a 2/3 vote in the Senate to override an expected White House veto. Let us know if you want us to fax you a copy of 3-page "action alert" Public Citizen has prepared or a 2-page EESI review of the preconferenced bill.
2.) Weapons vs. Environment: A new report "A Tale of Two Markets: Trade in Arms and Environmental Technologies" issued by the National Commission for Economic Conversion & Disarmament notes that the $400 billion-plus world market for environmental technologies is already twice the size of the world market for all types of military hardware. The envirotech export market ($45 billion) exceeds the arms export market ($32 billion) by 50% yet the U.S. government spends $12 promoting arms exports for every dollar it spends promoting envirotech exports. "The Clinton Administration's goal of bringing federal R&D spending on civilian priorities to parity with military R&D as yet to be met, but would be it its ambitious 'Research Fund for America' including the R&D spending in its Climate Change Initiative, is fully funded in the FY 1999 budget." For details, contact Miriam Pemberton (NCECD) at 202-319-3524.
3.) Environmental Data: A database on the environmental performance of five big industrial sectors will be available on the Internet under a new EPA program. The EPA says information facilities must provide under a number of environmental statutes would be in one database. The industrial sectors covered are auto assembly, pulp manufacturing, petroleum refining, iron and steel production, and the primary smelting and refining of aluminum, copper, lead, and zinc. The database covers 653 facilities in those five sectors. See: .
HOUSE RENEWABLE ENERGY & ENERGY EFFICIENCY EXPO
1.) What Is It? On Thursday, May 21, the Sustainable Energy Coalition, in cooperation with the members of the House Renewable Energy Caucus, will host the Third Annual House Renewable Energy Expo & Ice Cream (Ben & Jerry's) Social in the Cannon Caucus Room of the Cannon House (of Representatives) Office Building (1st & Independence Avenue, S.W.; Washington, D.C.) The Expo will feature exhibits by nearly 60 businesses, government agencies, and trade associations demonstrating the latest developments in renewable energy (i.e., solar, wind, geothermal, biomass, hydroelectric), fuel cells, district energy, and energy-efficient buildings, transportation, and buildings technologies. Last year's Expo attracted more than 1,400 attendees including members of Congress, their staff, key Administration officials, the media, and many others. The event is free and open to the public between 11:00 a.m. and 4:00 p.m. (EDT).
2.) You Can Participate via the Internet: The American Green Network (AGN) will be broadcasting live streaming video and audio over the Internet from the House Renewable Energy Expo from 10:30 a.m. until 4:00 p.m. EDT. Featured will be live interviews with Members of Congress visiting the Expo as well as other Expo exhibitors. The live webcast can be found on the date of the Expo by pointing your browser to . Note: You must have a software program called RealPlayer installed on your computer in order to see and hear the webcast. A free version of this software can be downloaded by visiting . For further details, contact Jim Sims at .
3.) How You Can Help: Last year, about two dozen Representatives and two members of the Senate attended the Expo. The Sustainable Energy Coalition is working to encourage all the members of Congress to stop by the event. However, the most effective way to bring members to the Expo is for them to be contacted by their constituents. Therefore, we would appreciate it if you could telephone or write your representatives and senators and urge them to visit the Expo. The Capitol telephone switchboard number is 202-224-3121; the Senate address is Washington, DC 20510; the House of Representatives address is Washington, DC 20515.
May 2, 1998
ENERGY BUDGET AND TAXES
Nuclear Budget: The April 27 issue of Inside Energy reports that Rep.
Joseph Knollenberg (R-MI) says that concerns about the management of
DOE's nuclear energy program will make it difficult to convince Congress
to fund the department's $34 million request for two new nuclear R&D programs. "It is difficult enough to get a new program funded," he
said. "There are some strong concerns that the nuclear energy office is
not being directed in a manner that makes Congress want to give it more
money."
ELECTRIC UTILITY RESTRUCTURING
1.) Restructuring/Congress: On April 28, Rep. Cliff Stearns (R-FL) said
he expected House Commerce Committee Chairman Thomas Bliley (R-VA) to
try to move an electric restructuring bill out of his committee in May
but that the measure lacked backing to reach a vote on the floor of the
House of Representatives. In the Senate, Energy Committee Chairman
Frank Murkowski (R-AK) charged that there was no policy leader on the
issue in the Administration and that it was "on the back burner." He
lacks the 60 Senate votes to move a bill that is not bogged down with
amendments.
2.) REPP/Restructuring: The Renewable Energy Policy Project has released
a new 20-page study, "Electricity Sector Reform in Developing Countries:
Implications for Renewable Energy" by Keith Kozloff which discusses the
perils and promise held by different types of reforms in developing
countries for the adoption of renewable energy technologies. Drawing
upon lessons learned from Indian, Argentina, and other nations, the
report presents several tasks to ensure that reform supports renewables
while improving efficiency and affordability. Persons interested in
acquiring a copy of the report should contact Virinder Singh at
202-293-2833; VirinderS@aol.com.
3.) Heritage/Restructuring: The Heritage Foundation has prepared a
7-page "backgrounder" paper entitled "A Five-Point Checklist for
Successful Electricity Deregulation Legislation" which calls for
restrictions on utility bailouts but also urges the privatization of
federal public power entities and not imposing any new environmental
mandates. Let us know if you would like to see a copy.
4.) Restructuring/Renewables: The April 14 issue of Mother Jones
magazine includes an 11-page article "Renewable Energy in the Brave New
World of Electricity Deregulation." It discusses the future of
renewables in a deregulated market, programs to support renewables in
states that have approved restructuring legislation, and the issue of
"how green is 'green'" where green power is concerned. Let us know if
you would like to see a copy.
CLIMATE CHANGE
1.)Clinton/CO2: In his Earth Day speech at Harpers Ferry (WV), President
Clinton commented: "The greatest environmental challenge we face today
is that of global climate change. If we are growing more interdependent
economically, if we are growing more interdependent socially, surely our
interdependence environmentally is apparent to every thinking person.
The world's leading climate scientists have warned that it we do not
reduce the emissions of greenhouse gases the Earth will warm, the seas
will rise, severe weather events will intensify and increase in number.
Fortunately, we know how to avert these dangers. We know we can make
great progress in reducing greenhouse gas emissions through innovative
technological, market-related solutions all around the world. We have
made an unprecedented commitment here of more than $6 billion for
research and development and tax incentives to promote new green
technologies that will dramatically reduce greenhouse gas emission. I
hope that you will all support that. And I hope you will tell your
elected representatives it is a great investment in our children's
future. ... We can only sustain economic growth if we can improve the
environment, if we can reduce greenhouse gas emissions, if we can build
a balanced future together." Let us know if you want us to fax you a
copy of the complete 4-page speech.
2.) Climate Change #1: The April 26 New York Times describes an 8-page
memorandum prepared by the major oil companies, related trade
association, and conservative policy research organizations that
proposes to spend $5 million over two years to convince the public that
the risk of global climate change is too uncertain to justify controls
on greenhouse gas emissions. The memo notes that "the public has been
highly receptive to the Clinton Administration's plans [to ratify the
Kyoto treaty]; there has been little, if any, public resistance or
pressure applied to Congress to reject the treaty, except by those
'inside the Beltway' with vested interests." The memo was leaked by the
National Environmental Trust and can be found on NET's web site:
www.envirotrust.com.
3.) Climate Change #2: The April 28 New York Times reports that
scientists have reconstructed temperature variations in the Northern
Hemisphere since about 1400 and concluded that the 20th century has been
the warmest century in the last 600 years -- and that the warmest years
in all of that period were 1990, 1995, and 1997. Let us know if you
would like us to fax you a copy of the 3-page article.
4.) Kyoto Signers: On April 28, Japan became the first major industrial
country to sign the Kyoto protocol. The European Union signed the treaty
on April 29.Thirteen other countries, mostly small developing states,
have already signed the treaty.
5.)Climate Change/Oil Companies: Royal Dutch Shell will not renew its membership in the Global Climate Coalition, an industry group opposing
the Kyoto Protocol on global climate change, thereby becoming the second
major oil company to express support for the principles of the treaty.
Last year, British Petroleum left GCC under similar circumstances. On
April 29, 4.6% of Exxon shareholders voted against the company's
leadership and in favor of a resolution introduced by the Interfaith Center on Corporate Responsibility to require Exxon to take stock of the
impact of its policies and operations on global warming; this was a large enough margin (more than the 3% minimum required by Securities and
Exchange Commission rules) to ensure that supporters will be able to
bring a similar measure up again next year.
MISCELLANEOUS
DOE Secretary: Utility Spotlight newsletter reports that the Hispanic
congressional caucus is pushing Rep. Esteban Torres (D-CA) to be the
next DOE Secretary even though he "apparently knows little about any
aspect of energy concerns or DOE itself."
