Climate 411

9 recommendations for getting US hydrogen hubs right from the start

This post was co-authored by Akin Olumoroti, Senior Analyst, Federal Climate Innovation

Photo of hydrogen tanks at sunrise

Photo Credit: Getty Images

Over the last year, hydrogen has gained significant momentum as a pathway to reduce pollution, create jobs and drive economic growth. Billions of dollars of private sector investment and tax credit support have been announced, and hydrogen build-out is already ramping up.

Earlier this summer, the Department of Energy (DOE) outlined its process for allocating $8 billion of investment for regional clean hydrogen hubs (i.e., close-proximity networks of clean hydrogen producers, consumers and connective infrastructure) from the Infrastructure Investment and Jobs Act (IIJA), and states and companies across the country are actively developing project plans and proposals.

But before we go all-in on deploying hydrogen, it’s essential we understand – and prepare for – its potential risks. EDF has been conducting research around the environmental and climate impacts of hydrogen and has identified several key considerations, including the indirect climate warming potential of hydrogen leakage, the steep energy requirements associated with hydrogen production, and the impacts that hydrogen build-out may have on local communities’ health and environment.

These considerations will be critical to apply as hydrogen hub planning gets underway, so that we not only support hydrogen deployment – but dedicate just as much energy to getting it right.

As hydrogen hub proposals come together, here are nine initial recommendations for federal and state policymakers and hydrogen hub developers to follow:

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Also posted in Energy, Innovation, News, Policy / Comments are closed

Key climate finance programs in the Inflation Reduction Act could unleash 10 times more private investment

This blog was co-authored by Nicole Buell, Director for Federal Climate Innovation at EDF.

The Inflation Reduction Act puts a nearly $370 billion down payment on clean energy and climate progress, making it the most significant climate action ever taken by Congress. But this federal funding only scratches the surface of the law’s transformative impact on our economy.

A new policy brief from Environmental Defense Fund shows that investment in a few of the law’s key climate finance programs could pack an even greater punch, catalyzing 10 times greater investment from the private sector. Finance programs, including a new federal green bank, a program to reinvest in energy infrastructure and additional support for existing Department of Energy loan programs, could translate $38.7 billion of federal spending into $385 billion of private investment. 

key climate finance programs unlock 10X more private investment

Here are some of the main ways the law can unleash more private dollars.

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Also posted in Innovation / Read 1 Response

The Inflation Reduction Act: A breakthrough for lower energy costs and climate progress

This post was authored by EDF policy experts.clean energy

Senate Majority Leader Chuck Schumer and Senator Joe Manchin on July 27 announced the Inflation Reduction Act of 2022 — an agreement that will improve Americans’ lives by fighting inflation, lowering healthcare costs, and making significant down payments on energy security and climate progress.

If passed by both the Senate and the House, this bill will be the largest investment in combating climate change ever passed by Congress — driving down carbon pollution 40% below 2005 levels by 2030. This will bring the U.S. substantially closer to President Biden’s goal of cutting climate pollution in half by 2030 and return the U.S. to a leadership role in the global fight against climate change.

These fiscally responsible investments will create good-paying clean energy and manufacturing jobs and boost U.S. energy security — all while saving families and businesses money. The bill also makes a historic down payment on environmental justice.

While the bill does contain some trade-offs, taken together, the Inflation Reduction Act of 2022 will greatly benefit our economy and our climate fight – now and for generations to come. Here are the key investments you should know and why they matter.

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Also posted in Cars and Pollution, Energy, Innovation, Policy / Read 2 Responses

The scoop on the Scoping Plan: California’s plan relies too heavily on emerging technologies (Part 3)

This post was co-authored by Caroline Jones, analyst for U.S. Climate, and Katie Schneer, High Meadows fellow for subnational climate policy.

Industry

Photo credit: pexels

In May, the California Air Resources Board released the draft 2022 Climate Change Scoping Plan, a roadmap that will guide the state toward meeting its 2030 emissions target and achieving net-zero emissions no later than 2045. This four-part series will unpack several key aspects of the plan and evaluate whether they raise California’s climate ambition to the levels needed to protect communities from the worst climate impacts.

While California already has most of the tools it needs to meet its climate goals, there are still hard-to-tackle areas of the economy – like industry – that will demand new climate solutions not yet widely available on the market. This is where newer technologies like hydrogen and carbon capture & sequestration (CCS) may help address those emissions. Carbon dioxide removal (CDR) is another solution needed to address legacy carbon pollution in the atmosphere, but all of these approaches need more innovation investment now to reach scale safely, affordably and reliably.

Currently, CARB is over-relying on these emerging solutions for critical emission reductions and removals in California’s Draft Climate Change Scoping Plan, rather than maximizing proven solutions we have right now – like reducing more pollution from the power and transportation sectors, and tightening the state’s cap on emissions. As a result, this strategy leaves reductions in climate pollution that can and should be achieved this decade up to chance. And as we’ve explained in Part 1 and Part 2 of this series, near-term ambition is essential for minimizing the most devastating climate damages in the long run, like wildfires and droughts.

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Also posted in California / Comments are closed

How RGGI cuts carbon and costs

This summer, electricity bills across the U.S. are poised to climb higher as a consequence of volatile fossil fuel costs and climate change impacts like extreme heat.

Rising natural gas prices, affected by Russia’s invasion of Ukraine, are expected to drive up costs in the U.S., including in places like Pennsylvania and Virginia where a significant number of households and businesses are reliant on natural gas for electricity. On top of this, extreme heat around the country is expected to drive up demand as people work to cool down with more air-conditioning use while heat, storms and other climate change-fueled impacts continue to increase the risk of blackouts.

In short, this summer is showing us the value of moving toward a clean, reliable and resilient power sector. The Regional Greenhouse Gas Initiative (RGGI), a market-based, multi-state climate program throughout the Northeast and mid-Atlantic, has been driving progress on a cleaner power sector for over a decade now. Since the program began in 2008, RGGI states have reduced carbon pollution from power plants by over 50% and increased renewable energy generation by 73%.

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Also posted in Carbon Markets, Cities and states, News / Read 2 Responses

The scoop on the Scoping Plan: California’s plan falls short in ensuring equitable access to an affordable, clean and safe energy system (Part 2)

In May, the California Air Resources Board released the draft 2022 Climate Change Scoping Plan, a roadmap that will guide the state toward meeting its 2030 emissions target and achieving net-zero emissions no later than 2045. This four-part series will unpack several key aspects of the plan and evaluate whether they raise California’s climate ambition to the levels needed to protect communities from the worst climate impacts.

The draft Scoping Plan released by CARB last month attempts to address important climate issues across many sectors in California, including equitable access to an affordable, clean, and safe energy system. As the plan appropriately notes, “a clean, affordable, and reliable electricity grid will serve as a backbone to support deep decarbonization across California’s economy.”

Unfortunately, the recommended actions for the electricity sector are insufficient. CARB needs to increase its ambition in order to fulfill the promise of an affordable, clean and reliable energy system. This includes clearly setting a goal of 0MMT or zero emissions from electricity generation no later than 2045 with direction for planning agencies to establish interim targets and front-loaded actions to measure that progress.

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Also posted in California / Read 1 Response