Climate 411

Blog highlights from the past few days

Climate Progress highlights Tom Friedman’s New York Times column “No Fooling Mother Nature” where Tom describes how

“There is only one meaningful response to the horrific oil spill in the Gulf of Mexico and that is for America to stop messing around when it comes to designing its energy and environmental future. The only meaningful response to this man-made disaster is a man-made energy bill that would finally put in place an American clean-energy infrastructure that would set our country on a real, long-term path to ending our addiction to oil.”

The New Republic showcases a new report by the Energy Information Administration which shows that CO2 emissions in the United States are down 10% from 2005 levels.

On E2, Kerry and Lieberman say they are set to unveil the climate bill on Wednesday.

The Financial Times poses the question that is in the back of everyone’s minds:  “If we can fix the ozone layer, why do we struggle in tackling climate change?”

Also posted in Climate Change Legislation / Read 1 Response

The New and Improved Climate 411

In order to better serve our readers, Climate 411 has introduced a new feature: blog highlights. The blog highlights lists the top climate stories of the moment with our comments and expert insights.

We have a team of experts who will be both regularly commenting on relevant stories and contributing original posts when possible. Please let us know what you think of our new format.

A word on our experts:

Mark Brownstein is deputy director of Environmental Defense Fund’s national energy program. Mark leads EDF’s efforts on smart grid deployment, transmission development, wholesale and retail electric market design, and the environmentally sustainable siting of both renewable and conventional utility scale generation. Prior to joining EDF, Mark was director of Enterprise Strategy for Public Service Enterprise Group (PSEG), where he worked directly with PSEG’s senior leadership in crafting and implementing the corporation’s business strategy.  Mark was also an active member of the U.S. EPA’s Clean Air Act Advisory Committee and New Jersey’s Renewable Energy Task Force. Aside from PSEG, Mark’s career includes time as an attorney in private environmental practice, a regulator with the New Jersey Department of Environmental Protection, and an aide to then-Congressman Robert G. Torricelli (D–NJ). Mark holds a J.D. from the University of Michigan Law School and a B.A. from Vassar College.

Nathaniel Keohane is Director of Economic Policy and Analysis at Environmental Defense Fund, a leading nonprofit advocacy organization based in New York.  Dr. Keohane oversees EDF’s analytical work on the economics of climate policy, and helps to develop and advocate the organization’s policy positions on global warming.  His research in environmental economics has appeared in prominent academic journals, and he is the co-author of Markets and the Environment (Island Press, 2007), and co-editor of Economics of Environmental Law (Edward Elgar, 2009).  Before coming to EDF, he was Associate Professor of Economics at the Yale School of Management.  He lives in New York City with his wife and two daughters. Dr. Keohane received his Ph.D. from Harvard University in 2001, and his B.A. from Yale College in 1993.

John Mimikakis works to develop global warming solutions within transportation, power-generation and agricultural sectors, by raising support on Capitol Hill for effective greenhouse gas emissions reduction policies. From 2001 to 2006, John was Deputy Chief of Staff for the Committee on Science in the U.S. House of Representatives where he was involved in legislation on a variety of issues, including energy, environment, space exploration and technology policy. Prior to that, John served as a legislative advisor to U.S. Congressman Sherwood Boehlert (R-NY) on environmental, energy, and agriculture issues. In 1997, John was the American Chemical Society’s Congressional Science Fellow. He holds a P.H.D. in Biochemistry from the University of Wisconsin and a B.S. from Tulane University.

Gernot Wagner is an economist in the Climate and Air Program. He focuses on carbon finance and works on developing and applying economically sound climate policy in the U.S. and internationally. Prior to EDF, he wrote for the editorial board of the Financial Times and worked at the Boston Consulting Group. Gernot holds a Ph.D. in Political Economy and Government from Harvard and an M.A. in Economics from Stanford.

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Comments on yesterday’s top blogs

On E2, Nike, eBay and others are asking Senators to “get stalled climate and energy legislation back on track.”

Reuters reports that the U.S. Environmental Protection Agency will start analyzing the comprehensive climate and clean energy bill. “The EPA analysis is an important step in the legislative process.” “We are sending the bill to be modeled now with Lindsey Graham’s consent,” Senator Kerry told reporters.

Green Inc. focuses on a new EPA report released yesterday called “Climate Change Indicators in the United States.”  The report is full of interesting data points and graphics including:

  • “The portion of North America covered by snow has generally decreased since 1972, although there has been much year-to-year variability. Snow covered an average of 3.18 million square miles of North America during the years 2000 to 2008, compared with 3.43 million square miles during the 1970s.”
  • “In the United States, greenhouse gas emissions caused by human activities increased by 14 percent from 1990 to 2008.”

Gernot Wagner, EDF economist notes:

“The EPA report is a terrific reminder of the fact that climate change is not some distant phenomenon our grand kids may or may not experience. We can already see some of the direct effects all around us. It’s also good reminder of the certainties among the sea of uncertainties surrounding climate change. We don’t know all the details, but the general direction has become increasingly clear. And the parts we don’t know are even scarier.”

Graph from EPA report Climate Change Indicators in the United States

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Highlights from top blogs and news stories in the last few days

The Wonk Room draws attention to a new report that shows how climate legislation will boost the economy. “This CCS analysis finds that instead of slowing the economy, household wealth and jobs will grow faster in a green economy.

Marc Gunther explores the potential of the growing wind power industry and how innovative companies are working to “capture high-altitude wind energy and turn it into electricity for off-the-grid users. Potential customers include the U.S. military, chic eco-resorts in remote locations and poor people in the global south in desperate need of power.”

The Washington Post has an editorial stressing the importance of keeping the climate bill on the Senate agenda this year. The editorial board reminds us that “every year Congress waits to legislate, adequately curbing emissions will get harder and more expensive.”

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A low carbon economy: the gift that keeps on giving

A Practical Guide To A Prosperous, Low Carbon Europe is the latest McKinsey study to show how it is eminently affordable to achieve the transition to a low-carbon world. The headline on a post by Financial Times climate über-scribe Fiona Harvey puts it best: “Europe’s energy in 2050: Cutting CO2 by 80% no more expensive than business as usual.”

How is that possible?

Initial capital expenditures are higher for renewable energy but operational cost savings along the way make up the difference. It’s the gift that keeps on giving.

To be sure, there are some very clear obstacles. The old economists’ mantra applies here as well: if it’s so cheap, why aren’t we doing it already? Well, we ought to be. The obstacles are largely political, driven by vested interests. If you are just now building a new coal plant and haven’t put much thought into carbon capture and storage technology, you may be less inclined to cheer than your neighbor investing in wind and solar.

McKinsey isn’t saying that everyone wins in this new world. The ones who see the future and act accordingly do. Most importantly, society and the planet win as well.

Also posted in News, Policy / Comments are closed

China Takes the Lead on Clean Energy Jobs: How the U.S. Can Still Win

A majority of Americans are worried that the United States’ role in the world economy will diminish in the coming years, according to a new Washington Post-ABC News poll.

But the truth is, China is already beating the U.S. to clean energy jobs.

China is quickly becoming the global powerhouse in clean energy manufacturing and innovation, dwarfing the efforts of America. Backed by huge investment and an industrial policy bigger than the world has ever seen, China has become the worldwide leader in new energy technology markets while the U.S. is quickly falling behind.

But we can match the scale of China’s centralized industrial policy by fully deploying the engine of American prosperity: our marketplace. It is the only tool we have with the scale and capital to compete with China.

If the U.S. puts a limit on carbon pollution from dirtier sources of energy, we will send a clear signal to the marketplace that will unleash a massive wave of private investment in clean energy that would allow us to compete with the Chinese.  Only when American policy creates a profit motive for investors, inventors and entrepreneurs, will we have a chance to win the race.

President Obama made that case to the Business Roundtable. He called for a price on carbon to kick-start America’s efforts to win the clean technology race.

Key excerpts of the President remarks:

A competitive America is also an America that finally has a smart energy policy.  We know there is no silver bullet here – that to reduce our dependence on oil and the damage caused by climate change, we need more production, more efficiency, and more incentives for clean energy.

But to truly transition to a clean energy economy, I’ve also said that we need to put a price on carbon pollution …

What we can’t do is stand still.  The only certainty of the status quo is that the price and supply of oil will become increasingly volatile; that the use of fossil fuels will wreak havoc on weather patterns and air quality.  But if we decide now that we’re putting a price on this pollution in a few years, it will give businesses the certainty of knowing they have time to plan and transition.  This country has to move towards a clean energy economy.  That’s where the world is going.  And that’s how America will remain competitive and strong in the 21st century.

If Congress puts a limit on carbon pollution, the U.S. will compete with China. If we don’t, there’s no reason to believe the future will look any different than the facts we see today. Those facts are listed below, or you can download and print EDF’s one-page handout version [PDF].

China’s Climate and Energy Policies Create an Investment Advantage

  • In 2009, China dedicated $440 billion in government funding solely to clean energy. –AFP, 5/24/2009
  • Renewable energy industries in China reached 1.12 million jobs in 2008 and are increasing by 100,000 a year. –NYT, 1/31/2010
  • China is already moving aggressively on measures it promised at Copenhagen, including closing an additional 10 gigawatts of inefficient, polluting coal plants. – Washington Post, 1/7/2010
  • In December 2009, China passed a law requiring its electric grid companies to buy any and all electricity generated from renewable sources. – WSJ, 12/27/2009

China Goes into Wind Power Overdrive in 2009

  • Five years ago, there was almost no Chinese presence in the wind manufacturing industry, and now China hosts the world’s largest wind market with installed capacity of over 25,000 MW, a significant increase from 2008, when China was home to about 12,000 MW. –  GWEC, 2/3/2010
  • As the world’s wind power capacity grew by 31% in 2009, China was responsible for one-third of the additions, experiencing industry growth of over 100%. – GWEC, 2/3/2010

The Saudi Arabia of Solar

  • China has leapfrogged the West in the last two years to emerge as the world’s largest manufacturer of solar panels. – NYT, 1/31/2010
  • Already home to one-third of global solar manufacturing capacity, Chinese competition has reduced global solar prices by 30% and is forcing rivals to shift production facilities to China: U.S. Evergreen Solar Inc. is moving its assembly line from Massachusetts to China, while BP PLC’s solar unit said it would stop output in Maryland and rely on Chinese suppliers instead. – WSJ,  12/15/2009
  • Responding to domestic demand, Applied Materials – the world’s largest supplier of equipment to the solar photovoltaic industry – opened the world’s largest private sector solar research center in Xian, China in October 2009. – TIME, 11/30/2009

Green Technology Investment

  • Batteries and Electric Cars — China is also leading in advanced vehicle and battery technology. Chinese firm BYD introduced the world’s first plug-in hybrid vehicle , China’s production of lithium ion batteries had accounted for 41 percent of the global market by 2008, and the number of battery companies in China increased from 455 to 613 between 2001 and 2004. – Breakthrough Institute, 11/09
  • Transmission — China is an emerging world leader in ultra-high-voltage, or UHV transmission technology, with more than 100 domestic manufacturers and suppliers.  The State Grid Corporation will invest $44 billion through 2012, and $88 billion through 2020 in building UHV transmission lines. – Center for American Progress, 6/4/2009
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