Climate 411

2016 Wrap-Up: States, Power Companies Lead in Cutting Carbon; Election Not Slowing Expected 2017 Progress

By Pam Kiely / Published: January 4, 2017

(This post was co-authored by EDF Associate Charlie Jiang. It was revised on January 6, 2017)

The new Block Island Wind Farm in Rhode Island -- one of many examples of clean energy progress in 2016. Photo courtesy Deepwater Wind

The new Block Island Wind Farm in Rhode Island — one of many examples of clean energy progress in 2016. Photo courtesy Deepwater Wind

2016 was a big year for progress in the U.S. power sector. Renewable energy sources provided 16.9 percent of the country’s electricity in the first half of 2016, up from 13.7 percent for all of 2015. The country’s first offshore wind farm opened off the coast of Rhode Island. Most importantly, carbon emissions from the power sector are projected to continue to decline and hit levels not seen since 1992.

Strong leadership by forward-thinking governors, policymakers, and power company executives who recognize the imperative of lower-carbon generation and the promise of clean energy, powerful market forces intensifying the push to lower-carbon resources, and the critical federal regulatory overlay of the Clean Power Plan — which has made clear that unlimited carbon pollution is a thing of the past — have all combined to deepen a trend towards cleaner electricity production at this dynamic moment in time.

Even with any possible political maneuverings in Washington, D.C. to reverse clean energy and climate progress, it is clear that the transition to a low-carbon future is well under way.

States and power companies are surging ahead — and given the favorable economics of clean energy and the urgent need to reduce climate-destabilizing pollution it would be foolish to turn back.

  • More than 21 gigawatts of wind and solar power (utility-scale and rooftop) are projected to have been installed in 2016, accounting for 68 percent of new U.S. capacity additions. That’s according to analyses by FERC, SNL Energy, EIA, and SEIA/GTM Research.
  • Some of the country’s oldest and least efficient power plants were scheduled to close in 2016, transitioning 5.3 gigawatts of capacity, in no small part due to increasingly favorable economics for low-carbon generation.
  • Since 2014, solar installation has created more jobs than oil and gas pipeline construction and crude petroleum and natural gas extraction combined. According to recent reports, there are now more than 400,000 jobs in renewable energy.

Together, these trends indicate the U.S. power sector is well-positioned to continue to reduce carbon pollution at a significant pace. And because of the favorable economics for low-carbon generation and the urgent need to protect against climate risks, hundreds of major corporations are on record supporting the Clean Power Plan and the achievement of emission reduction targets.

Power sector carbon emissions declined to 21 percent below 2005 levels in 2015, and are expected to drop again in 2016, meaning the power sector is already two-thirds of the way towards meeting its 2030 pollution reduction goals under the Clean Power Plan.

Notably, this de-carbonization of the electric sector has proceeded while the U.S economy has grown. In addition, recent analysis by the Brookings Institution shows that as of 2014, at least 33 individual states have also decoupled their economic growth from carbon pollution — continuing to grow their gross domestic product while significantly slowing their rate of greenhouse gas emissions.

Heading into 2017, companies from coast to coast are well-positioned to secure ongoing reductions in carbon emissions from their fleets – thereby helping the United States to achieve international commitments under the Paris Agreement, delivering greater value to customers and shareholders while ensuring state or municipal policy objectives will be achieved, and sharpening their ability to meet declining emissions limits in accordance with a federal regulatory framework.

Even the vast majority of states litigating against the Clean Power Plan can comply with the CPP targets by optimizing the carbon pollution benefits from already planned investments and compliance with existing state policies. The Clean Power Plan is crucial to making certain that states and companies take advantage of the opportunity to ensure the carbon reduction potential of these investments are fully realized, so they can in fact achieve these reasonable protections.

The shift to a lower-carbon future should continue, as power companies recognize both the imperative to reduce emissions and the benefits of moving in this direction despite changing political winds in Washington.

For example, shortly after the November election, a number of executives from historically coal-intensive companies convincingly reaffirmed their commitment to de-carbonization:

  • No matter who occupies the White House, “[coal is] not coming back,” said American Electric Power CEO Nick Akins. “We’re moving to a cleaner-energy economy and we’re still getting pressure from investors to reduce carbon emissions. I don’t see that changing.”
  • “It can’t just be, ‘We’re going to get rid of these regulations, and you guys can party until the next administration comes,’” Cloud Peak Energy Vice President Richard Reavey said. “There are serious global concerns about climate emissions. We have to recognize that’s a political reality and work within that framework.”
  • “Markets are driving a lot of the behavior,” said Tom Williams, a spokesman for Duke Energy. “[W]e’ll continue to move toward a lower carbon energy mix.”
  • “We’ve always had a point of view at Southern that there’s a reasonable trajectory in which to move the portfolio of the United States to a lower carbon future,” said Southern Company CEO Tom Fanning. “There’s a way to transition the fleet now.” In a later interview, Fanning added: “It’s clear that the courts have given the EPA the right to deal with carbon in a certain way.”
  • “Regardless of the outcome of the election,” said Frank Prager, Xcel Energy’s Vice President of Policy and Federal Affairs, “Xcel Energy will continue pursuing energy and environmental strategies that appeal to policymakers across the political spectrum because we are focused on renewable and other infrastructure projects that will reduce carbon dioxide emissions without increasing prices or sacrificing reliability.”

Acting on these commitments, many power companies are continuing to expand their renewable investments while phasing out high-carbon generation, putting them in a solid position to comply with robust carbon pollution regulations.

Here are a few recent highlights just from the last months:

  • At the end of December, Florida Power & Light (FPL) showed strong leadership when announcing plans to shut down the recently-acquired 250-megawatt Cedar Bay coal plant at the end of the year. “I’m very proud of our employees for proposing this innovative approach that’s environmentally beneficial and saves customers millions of dollars,” said CEO Eric Silagy. FPL plans to replace the retired power with natural gas and solar — the company added 224 megawatts of solar capacity in 2016. FPL also noted that their system is now “cleaner today than the 2030 carbon emissions rate goal for Florida outlined by the Clean Power Plan,” while average residential bills are about 30 percent lower than the national average.
  • On December 30, Southern Company announced an agreement with Renewable Energy Systems America to develop 3,000 megawatts of renewable energy scheduled to come online between 2018 and 2020. The agreement comes as Southern Company continued to boost its renewable portfolio with the acquisition of 300 megawatts of wind power in late December, bringing its total to more than 4,000 megawatts of renewable generation added or announced since 2012.
  • Duke Energy acquired its first solar project in Colorado on December 8. The purchase advances Duke’s goal of owning more than 6,000 megawatts of renewable energy projects by 2020.

After the election, a number of power companies reiterated their commitment to reducing air pollution and meeting their obligations under the federal Clean Air Act by transitioning aging coal plants.

  • PNM Resources spokesman Pahl Shipley said the company has no change in plans for retiring two units at a New Mexico plant, totaling 837 megawatts of capacity, in 2017. PNM will replace the retired capacity with solar and nuclear power.
  • The Tennessee Valley Authority is moving forward with plans to retire two coal plants in 2017, as well as a third in 2018.
  • Colorado-based electric cooperative Tri-State Generation will move forward with plans to retire its 100-megawatt Nucla coal plant and Unit 1 of the Craig coal plant. “We are moving forward with retirement activities and developing a transition plan for the employees and communities,” said Tri-State spokesman Lee Boughey after the election.

These announcements follow one of the biggest clean energy leadership stories of 2016 – commitments by two midcontinent utilities, Xcel Energy and Berkshire Hathaway Energy, to go big on cost-effective investments in new wind resources.

  • This past year, Minnesota regulators approved a plan for Xcel Energy to construct as much as 1,800 megawatts of new wind power and 1,400 megawatts of solar in the state by 2030. Xcel also received approval to build a 600 megawatt wind farm in Colorado.
  • Berkshire subsidiary MidAmerican Energy secured approval to construct a massive 2,000 megawatt wind farm in Iowa that will be the “largest wind energy project in US history.” Said CEO Bill Fehrman: “Our customers want more renewable energy, and we couldn’t agree more.”

State policymakers have not stayed on the sidelines, either. 2016 sustained progress as states moved forward with commonsense efforts to reduce emissions of harmful air pollutants. And even with promises to roll back critical clean air, climate, and clean energy progress coming out of Washington, D.C., states made clear after the election that they will not be slowed down by potential federal backsliding:

  • On December 7, Illinois enacted a comprehensive new energy bill that will in part double the state’s energy efficiency portfolio and allow for 4,300 megawatts of new solar and wind power while providing for continued operation of zero-emission nuclear facilities. These measures are expected to reduce the state’s carbon emissions 56 percent by 2030.
  • On December 15, Michigan lawmakers approved a new bill to increase the state’s renewable portfolio standard to 15 percent by 2021, up from 10 percent. Republican Governor Rick Snyder touted the bill in a statement: “What we’re in is a huge transition in how we get our energy. We’ve got a lot of aging coal plants that are beyond their useful life, and it’s not worth investing in them anymore … We can transition to both natural gas and renewables and let the markets sort of define the balance between those two, so we’re moving away from an old energy source [where] we had to import all of this coal.”
  • Also in December, Washington Governor Jay Inslee proposed the state adopt a first-of-its-kind carbon tax of $25 per metric ton of carbon pollution. The proposal supplements the state’s innovative Clean Air Rule, adopted in September, which caps carbon emissions from individual polluters.
  • Nine states comprising the Regional Greenhouse Gas Initiative are engaged in a stakeholder process designed to establish new, more protective, standards for climate pollution.
  • In Oregon, regulators are evaluating options for a market-based mechanism that could link to the California-Quebec carbon market, releasing a partial draft report on November 21.
  • Governors such as Colorado’s John Hickenlooper continue to display strong leadership and a keen understanding of the imperative to move to a low-carbon future. After the election, Hickenlooper said he remains committed to fulfilling the goals of the Clean Power Plan, no matter what happens to the rule.
  • In Pennsylvania, a spokesman for Governor Tom Wolf’s Department of Environmental Protection (DEP) noted that: “Pennsylvania’s carbon footprint has been shrinking rapidly due to market based decisions being made in the state’s electric generating sector … It is likely that this trend will continue.” He added that the DEP “will continue to seek ways to continue addressing climate change.”
  • In California, Governor Jerry Brown mounted a vigorous defense of California’s climate leadership and the role the state will continue to play in setting the stage for ongoing progress and defending the important progress of the last eight years. “We’ve got the scientists, we’ve got the lawyers and we’re ready to fight. We’re ready to defend,” he said.

The momentum that power companies and states have generated towards achieving a clean energy future is powerful and encouraging.

Looking to 2017 and beyond, market trends are expected to continue to help facilitate de-carbonization of the electric sector, while federal and state policies must continue to provide certainty about the pace and depth of emissions reductions needed to address the threat of climate change. These policies will help companies plan clean energy investments in a way that maximizes benefits for consumers and facilitates optimal deployment of available resources.

The Clean Power Plan remains crucial to achieving these goals. Any disruption in the Clean Power Plan’s implementation could put long-overdue and readily achievable emission reductions at risk.

As we ring in the New Year, EDF will keep working with a diverse set of stakeholders across the country — including many state officials and power companies — to defend these critical environmental safeguards. At the same time, we will work vigorously to ensure that we achieve the reductions in carbon pollution envisioned by the program.

 

Also posted in Clean Power Plan, Economics, Energy, EPA litgation, Green Jobs, Greenhouse Gas Emissions, Jobs, Partners for Change, Policy / Comments are closed

EPA Responds to States, Provides Useful Information for Developing Cost-Effective Programs to Reduce Carbon Pollution

By Nicholas Bianco / Published: December 20, 2016

By Pam Kiely and Nicholas Bianco

Earlier today the U.S. Environmental Protection Agency (EPA) released several draft  documents designed to provide additional information for states and other stakeholders as they work together to reduce emissions of carbon pollution from power plants.

EPA notes that making these working drafts available:

[A]llows us to share our work to date and to respond to the states that have requested information prior to the end of the Administration.

The materials provide valuable insights that can be used by states currently implementing or considering developing their own programs for reducing carbon pollution, and can be leveraged as states evaluate ongoing state policy efforts to achieve pollution reductions under the Clean Power Plan.

The Clean Power Plan establishes America’s first ever limits on carbon pollution from power plants. Once implemented, it will provide essential protections for public health and the environment – saving up to 3,600 lives each year and delivering up to $54 billion in annual climate and health benefits – while also reducing electricity bills for American families.

These documents reflect extensive public input and engagement as well as decades of practical experience reducing air pollution at the state and federal level. They provide constructive information in response to direct requests for this type of material made by states who are interested in having the best information available as they undertake their own planning, public engagement, and regulatory initiatives.

A letter submitted to EPA by 14 states  requested “additional information and assistance” to help states “prudently plan for and implement a variety of state and federal obligations” because many states, as well as their stakeholders, understand that continuing to navigate the dynamic transition underway today in the power sector requires comprehensively evaluating and integrating state policy priorities with their best understanding of existing and future federal policy.

While the Supreme Court has stayed enforcement of the Clean Power Plan, EPA’s provision of helpful information in response to this letter is entirely consistent with actions taken by past Republican and Democratic Administrations to provide clarification and information on Clean Air Act rules that had been stayed by the courts.

States such as Pennsylvania and Colorado have recently underscored their commitment to continuing state-driven efforts to address climate change and greenhouse gas emissions, while more than a dozen power companies have continued to affirm that the transition to cleaner energy resources and progress toward de-carbonization of the electric sector is ongoing.

State officials and many companies keenly understand that prudent evaluation of the federal policy landscape, and ongoing deployment of no-regrets strategies and investments that well-position them to meet declining limits on carbon pollution, make sense. Additional information about options for Clean Power Plan implementation will only facilitate sensible alignment of state efforts already underway.

EPA released four draft documents today:

  1. Draft state models to help policymakers and regulators develop state-specific strategies to realize the benefits and achieve the emissions reduction targets in the Clean Power Plan. The draft models outline two highly flexible approaches for reducing carbon pollution in a cost-effective manner. By providing these models, EPA is helping to facilitate state innovation and the realization of pollution reductions aligned with state policies and prerogatives. These models provide greater clarity about practical implementation considerations so that states have the best information available about cost-effective opportunities to reduce climate pollution as they move ahead navigating, and helping to facilitate, the transition underway in the power sector.
  2. Draft EM&V Guidance for Demand-Side Energy Efficiency. EPA published draft guidance that states can use if they decide to implement demand-side energy efficiency projects. This guidance details methods for ensuring that project developers deliver high quality projects by providing options for monitoring and verification procedures that states can adopt if they are interested. Such support is extremely valuable, particularly when one considers that energy efficiency projects routinely deliver $2 in savings for Americans for every $1 invested, and in some cases up to $5 for every $1 invested.
  3. Draft Clean Power Plan Tracking Systems White Paper. EPA released draft materials designed to further assist states by providing information about how a tracking system could be designed to facilitate administration of the program. In so doing, EPA further demonstrates the relative ease with which a state can administer a flexible, cost-effective program to achieve carbon pollution reductions.
  4. Draft Technical Support Document: Leakage Requirement. If choosing to adopt a mass-based emission budget trading program instead of other program alternatives, this document  provides valuable information for addressing emissions leakage and securing the emissions reductions contemplated by the Best System of Emission Reduction. In addition to the streamlined approach for leakage mitigation that EPA finalized in the Clean Power Plan (using larger state budgets with the “new source complement” and including all fossil sources in the program), the working draft helpfully outlines a set of sample strategies that states could potentially use to guarantee the expected emissions outcome of their program, depending on particular state circumstances. The draft document notes the expectation that any strategy will include a process for performing periodic evaluations and look-backs that states and EPA could use to ensure the effectiveness of those measures. It also discusses the value of establishing mechanisms to address any shortcomings in performance. Together these measures underscore the importance of continuing to ensure on an ongoing basis that state program design secures the expected level of emissions reductions, and highlights the many options available to do so.

These draft materials build on decades of experience that EPA and states have in successfully implementing flexible compliance programs to reduce air pollution and drive innovation, and they show how these approaches can be applied for the Clean Power Plan. These same flexible frameworks have been used to reduce emissions under other Clean Air Act standards at a fraction of the cost that opposing parties have claimed –  and there is strong evidence that this will hold true for the Clean Power Plan as well (for examples see here, here, and here).

Climate pollution from the electricity sector has already fallen 21 percent below 2005 levels – which means America is already almost two-thirds of the way towards the 2030 Clean Power Plan emission targets. Emissions reductions and clean energy investments are widespread across states and power companies – even those that may be opposed to the Clean Power Plan itself. Analysis conducted for EDF by M.J. Bradley & Associates found that all 27 litigating states can comply with the Clean Power Plan just by leveraging already planned investments coupled with flexible compliance programs. Many of the power companies litigating against the Clean Power Plan are also well positioned to reach their targets, thanks to the increasingly low cost of lower- and zero-carbon generation.

While this progress is encouraging, the analyses also show that the Clean Power Plan has an essential role to play in ensuring that reasonable protections from climate pollution are realized. With the release of today’s draft documents, EPA is responding to the request by states, power companies, and other stakeholders to share lessons learned for flexible cost-effective implementation of the Clean Power Plan. These insights will prove to be valuable to states at all stages of planning for a low-carbon future.

 

Also posted in Clean Power Plan, News, Policy / Comments are closed

Congressman Gives Trump a Plan to Erase Health, Safety, And Environment Safeguards

By Jeremy Symons / Published: December 19, 2016

At Risk: The Air We Breathe, Water We Drink, and Food We Eat

The conservative House Freedom Caucus has provided President-Elect Trump a “recommended list of regulations to remove.” Congressman Mark Meadows (R-NC), chair of the all-Republican Freedom Caucus, identified 228 federal rules they hope Trump will help eliminate.

Thirty-two of the proposals would roll back safety, health and environmental standards that protect the air we breathe, the water we drink, the food we eat, and our nation’s infrastructure (from pipelines to airports). By rolling back these regulations, the plan would essentially prevent the agencies responsible for protecting us from doing their job.

Another 43 proposals are aimed at undermining America’s progress on clean energy and climate change, pushing us away from energy efficiency and renewable energy sources toward more reliance on fossil fuels. This includes eliminating two dozen Department of Energy energy efficiency standards that save families money on energy bills, reduce energy waste, and prevent pollution.

Environmental Defense Fund has posted a copy of the Freedom Caucus document online (first obtained by the Washington Post) and added highlights to show the 75 health, safety, environment, and energy rollbacks.

The leading targets for these attacks are the Environmental Protection Agency and Department of Energy, but other agencies targeted include the Federal Aviation Administration, the State Department, the Department of Interior and others.

Trump’s Pick to Lead EPA Is An Added Threat

The danger of this regulatory ‘kill list’ is compounded by Donald Trump’s picks for key cabinet positions that would traditionally be the first to defend their agencies from political interference. Many of the recommendations are favorites of the fossil fuel lobby, which will have unprecedented power in Trump’s cabinet.

Trump’s decision to entrust Scott Pruitt with running the Environmental Protection Agency is especially dangerous. EPA is responsible for protecting our families from air and water pollution as well as toxic chemicals. Pruitt, however, has repeatedly and systematically teamed up with fossil fuel companies to sue the Environmental Protection Agency to prevent EPA action on regulating toxic mercury, air pollution and greenhouse gas emissions. In a 2014 investigative report, the New York Times exposed Pruitt’s “secretive alliance” with oil and gas companies while Attorney General of Oklahoma.

Breaking Down the Regulations at Risk

Here is a summary of some of the most alarming Freedom Caucus proposals that Pruitt and others in Trump’s cabinet will be looking over. The Freedom Caucus list has inaccuracies, and it seems to be based on the premise that Trump can erase rules with a stroke of the pen in the first 100 days. For most of these, he cannot, because the agencies have responsibilities to implement laws and are subject to oversight by the courts. But that does not mean that these regulations are safe from diversion of funds, lack of enforcement, legislative attacks, and other efforts to weaken them.

In the following list, the numbers in parentheses match the numbers in the House Freedom Caucus plan.

  • Eliminate air pollution standards for smog-forming ozone (174), lung-damaging soot (fine particles, 178), and rules to reduce air pollution from tailpipes (175, 181) and smokestacks (182, 183)
  • Reverse course on climate change, including: erasing carbon pollution regulations for power plants (173, 182, 183), tailpipes (175, 181), and airplanes (194); cancelling the Paris agreement (161); and eliminating the Green Climate Fund (172).
  • Roll back Clean Water standards that protect the Great Lakes (186), Chesapeake Bay (185), and to prevent pollution of wetlands (13) and rivers (199) across the nation.
  • Block regulations to prevent dangerous chemical accidents that release toxic chemicals into surrounding communities (189).
  • Jeopardize Worker safety, including repealing standards to prevent lung cancer among workers exposed to silica dust (135).
  • Repeal two dozen energy efficiency standards for appliances and industrial equipment (28-53).
  • Repeal natural gas pipeline safety standards passed in response to gas pipeline disasters, including the 2010 San Bruno disaster in California (153).
  • Repeal fuel economy and tailpipe standards for cars that are saving consumers money at the pump, reducing our dependency on oil, and reducing air pollution (175, 181).
  • Eliminate food safety regulations, including fish inspections (3).
  • Strip FDA’s authority to regulate the tobacco industry (55).
  • Repeal an FDA rule to safeguard our food supply against tampering by terrorists (83).
  • Eliminate the State Department agencies responsible for environmental science, protecting our oceans, and addressing climate change (162, 170, 171).
  • Block FAA regulations aimed at improving the safety of air traffic management at airports (156).
Also posted in Cars and Pollution, Clean Power Plan, Greenhouse Gas Emissions, News, Policy, Science / Comments are closed

What Do the 2016 Elections Mean for the Clean Power Plan?

By Tomas Carbonell / Published: November 21, 2016

President-Elect Trump has repeatedly claimed that climate change is a “hoax,” and has appointed notorious climate denier Myron Ebell to run the transition team for the Environmental Protection Agency (EPA). During the campaign, Trump advocated for “scrapping” the Clean Power Plan – the nation’s first limits on harmful climate pollution from existing power plants, which are among the United States’ very largest sources of these contaminants.

Lost in this campaign rhetoric was the reality that states and companies across the country are already making cost-effective investments in transformative clean energy technologies that are rapidly reducing emissions of climate pollution across the power sector. These investments are helping deliver a more reliable and affordable electricity grid, yielding tremendous public health benefits by reducing emissions of soot and smog-forming pollutants, and driving job growth in communities around the country.

The Clean Power Plan builds on all of these trends and helps ensure they will continue for years to come, but the Trump Administration will be hard pressed to stop the progress underway in its tracks.

If Trump does try to roll back the Clean Power Plan, he will find himself on the wrong side of history, the law, and public opinion. The Clean Power Plan is firmly rooted in our nation’s clean air laws, and there are millions of Americans across the country – along with a broad and diverse coalition of states, cities, businesses, faith organizations, consumer advocates, and other leaders – who support these protections and will fight to preserve them.

cpp_supportmap_600Large Majorities of Americans Support the Clean Power Plan.

Donald Trump did not get elected with a mandate to dismantle important climate protections supported by large majorities of Americans. Poll after poll shows that Americans all across this country — in red and blue states alike — broadly support clean air, clean energy, and climate progress. This includes strong, diverse support for the Clean Power Plan, even in states currently suing over the standards. More than two-thirds of voters favor federal action to reduce emissions of pollutants that cause climate change.

If the new administration tries to take steps to roll back these important measures, they will have to do so knowing that they are woefully out of touch with the majority of the American people.

Weakening or rescinding the Clean Power Plan, or other public health and environmental protections, also won’t do anything to address the economic concerns that did figure prominently in Trump’s campaign.

As recent analyses by respected energy experts have demonstrated, the coal industry has been experiencing declining production and employment due to factors that have nothing to do with the Clean Power Plan – including intense competition from natural gas, the falling cost of renewables, and a slew of bad investment decisions. Even Senate Majority Leader Mitch McConnell recently expressed doubt that attacking environmental regulations will cause a turnaround for the coal industry.

At the same time, undoing the Clean Power Plan could adversely and needlessly affect long-term growth in America’s vibrant clean energy industry –  which currently supports hundreds of thousands of manufacturing and construction jobs around the country, and employs far more people than the coal or oil and gas industries.

Leading Businesses, Cities of All Sizes and in All Regions Support the Clean Power Plan

In addition to enjoying the support of millions of Americans, limits on carbon pollution represent good business and good governance. Our cities, states, and companies support limits on climate pollution and investments in new, clean energy technologies that bring jobs and economic opportunity to our communities.

The week after the election, more than 360 of the nation’s leading businesses — including DuPont, General Mills, Levi Strauss, Nike, and Starbucks — signed a remarkable statement urging Trump to honor the United States’ commitments in the Paris Agreement to reduce dangerous climate pollution. These companies declared that “Failure to build a low-carbon economy puts American prosperity at risk,” and that the “right action now will create jobs and boost US competitiveness.”

Power companies that together own or operate one of every ten megawatts of the nation’s generating capacity – including some of the nation’s largest operators of fossil fuel powered plants – are supporting the Clean Power Plan in court.

So are many large energy users. Leading businesses that employ tens of thousands of people in all regions of the country — including Adobe, Apple, Amazon, Google, IKEA, Mars, and Microsoft — recognize the importance of the Clean Power Plan to their economic growth and are also supporting the rule. More than 100 of America’s top companies signed a public statement this spring calling for “swift implementation” of the Clean Power Plan.

Adding to this groundswell of support, 18 States, 60 cities, the U.S. Conference of Mayors, and the National League of Cities are supporting the these standards in court. These municipalities include major cities in states that are litigating against the Clean Power Plan, such as Houston, Grand Rapids, and Miami.  Many of these cities are on the front lines of climate change and they know their citizens don’t want leaders who put politics above their safety and well-being.

Our Nation’s Clean Air Laws Require EPA to Protect the Public from Harmful Pollutants that are Destabilizing Our Climate

EPA has a legal responsibility to protect the public from dangerous climate pollution that threatens our prosperity, security, and public health.

The Supreme Court has affirmed EPA’s authority to regulate greenhouse gases under the Clean Air Act three times since 2007, including EPA’s authority to limit carbon pollution from power plants under the Clean Air Act provision that is the basis for the Clean Power Plan.

As so many Americans around the country recognize, the Clean Power Plan is a common-sense and cost-effective step towards fulfilling this bedrock legal obligation. Many companies and states also recognize that it provides unprecedented compliance flexibility that may not be replicated in another regulatory approach. Although Congress could attempt to modify or roll back the Clean Power Plan by amending the Clean Air Act, such action would be extremely controversial and encounter especially stiff opposition. Americans across the country — and the numerous states, municipalities, businesses, consumer advocates, faith organizations, and other leaders who support the Clean Power Plan — will vigorously oppose any attempt to weaken these vital, hard-fought protections for climate and public health.

The Incoming Administration Cannot Simply Dismantle the Clean Power Plan by Fiat

In addition to deep support, proponents of a safer climate have America’s bipartisan bedrock clean air laws on our side.

Any attempt to withdraw or modify the Clean Power Plan or other clean air protections would first have to go through the same rigorous, inclusive public notice and comment process that EPA carefully followed in adopting them. Such changes would also be subject to judicial review in the federal courts, and would be set aside if they are contrary to the Clean Air Act or do not rest on sound technical and policy foundations.

Previous Administrations that have attempted to make sweeping changes to Clean Air Act protections – including the George W. Bush Administration – abandoned these efforts in the face of strong public opposition and defeat in the federal courts.

The Clean Power Plan Builds on and Accelerates the Transition to a Clean Energy Future that is Already Under Way in the Power Sector

Perhaps the biggest reason opponents shouldn’t expect to overturn the Clean Power Plan overnight is that this important rule is only cementing the direction our energy system has been moving for years.

States and power companies across the country recognize this transition is the best way to provide ratepayers with affordable, reliable, and low carbon electricity – and they understand that the Clean Power Plan provides a common-sense, flexible, cost-effective framework for achieving those goals.

Even without the Clean Power Plan targets in effect, the Energy Information Administration has reported that power sector carbon emissions have fallen by 21 percent since 2005 –almost two-thirds of the way towards meeting the Clean Power Plan’s 2030 emission reduction targets.

Wind and solar are expected to account for almost two-thirds of the electric generating capacity added to the grid in 2016. Many states are on track to fully meet their Clean Power Plan reduction targets. Meanwhile, retail electricity prices actually fell in 2016 for the first time in many years.

That doesn’t mean the Trump Administration can’t attack the Clean Power Plan. We fully expect a fight, and we know it won’t be easy. But we are ready to fight – and we hope you’ll join us.

The transition to a clean energy future is already well underway, and it cannot and will not be stopped. The health and prosperity of America’s families and communities depend on it.

Also posted in Clean Power Plan, EPA litgation, News, Partners for Change, Policy / Read 1 Response

Today’s Clean Power Plan Oral Argument: A View from Inside the Courthouse

By Martha Roberts / Published: September 27, 2016

rp_Gavel-and-earth-from-Flickr-300x199.jpgEarlier today the U.S. Court of Appeals for the D.C. Circuit heard oral argument on the Clean Power Plan — America’s first-ever limits on climate pollution from power plants, which are our single largest source of this harmful pollution.

For the first time, these vital safeguards are being reviewed on the merits. Ten active judges on the D.C. Circuit presided over today’s argument.

I was at the courthouse today. Here’s my read out:

Judges’ probing questions reflected their active engagement and preparation as anticipated in such a high profile case — as well as a skeptical view of opposing arguments

The judges today were prepared and engaged. They asked sharply probing questions of all sides.

But the big news is that a majority of judges appeared receptive to arguments in support of the Clean Power Plan.

The court understood that EPA was carrying out long-established legal authority — affirmed in three separate Supreme Court opinions — to tackle the urgent threat of climate change by addressing our nation’s largest source of climate pollution.

Judge Millett characterized petitioners’ arguments against EPA’s authority as a “bait and switch”— one that would gut the Supreme Court’s conclusion in an earlier groundbreaking case, American Electric Power, which concluded that Section 111(d) “speaks directly” to EPA’s authority regulate greenhouse gases from existing power plants. (564 U.S. 410, 424, 2011)

Judges also recognized that the Clean Power Plan’s approach reflects familiar, time tested strategies to reduce pollution — strategies that the Supreme Court and the D.C. Circuit have upheld in numerous past Clean Air Act programs adopted under administrations of both parties.

The judges’ questions demonstrated their keen understanding of how the power sector works. Several judges underscored the unique nature of the interconnected electricity grid system —which distinctly enables sources to reduce emissions cost-effectively through shifting generation to lower-emitting sources — in discussing EPA’s inclusion of generation shifting as part of the best system of emissions reduction reflected in the Clean Power Plan. Judge Tatel, for example, expressly recognized the point that generation-shifting strategies incorporated in the Clean Power Plan are “business as usual” for power companies.

Meanwhile, the judges expressed skepticism towards petitioners’ claims. In one exchange, Judge Pillard questioned why petitioners’ arguments would not entirely “immunize” highly polluting sources from pollution control.

Legal experts representing a wide variety of perspectives forcefully and effectively argued in support of the Clean Power Plan

A diverse and impressive suite of presenters argued in support of the Clean Power Plan.

Seasoned U.S. Department of Justice (DOJ) attorneys articulated the clear and compelling legal and technical basis for the Clean Power Plan, which was informed by an unprecedented level of public and expert input including more than four million public comments. The DOJ attorneys underscored how the Clean Power Plan’s approach carefully respects statutory limits on EPA’s authority and embodies well-established, proven strategies to reduce pollution.

The attorney representing power companies supporting the Clean Power Plan — a robust coalition that represents almost ten percent of America’s electricity generation capacity —emphasized that the power sector is already reducing its carbon pollution by shifting to low-cost cleaner generation, making Clean Power Plan targets eminently achievable. For these companies, the carbon reduction strategies EPA recognized in the Clean Power Plan are “business as usual” — the phrase that was then raised by Judge Tatel later during the day. The power company attorney’s remarks also emphasized that petitioners’ approach would ask EPA to ignore the widespread strategies that power companies are already using to reduce carbon pollution cost-effectively through shifting generation to lower and zero emitting resources.

Counsel for the numerous states and cities across the country that are supporting the Clean Power Plan spoke on behalf of their citizens on the urgent need for protections against climate pollution. The state attorney’s remarks highlighted how the rule’s flexible approach echoes other traditional, successful Clean Air Act programs, and properly respects states’ role in the interconnected electricity grid system.

Sean Donahue, counsel for public health and environmental organizations including Environmental Defense Fund, forcefully articulated the clear basis for EPA’s authority and the urgent need to protect our communities, our families, and our economy against climate change. In particular, Donahue underscored that Clean Power Plan opponents seek to fundamentally obstruct any progress in addressing the most pressing environmental challenge of our time – climate change. Indeed, opponents of the Clean Power Plan have, in previous statements, conceded that EPA has authority to issue the Clean Power Plan — entirely undercutting their current claims to the contrary.

It’s challenging to predict an outcome from oral argument

It’s difficult to guess a case’s outcome from any oral argument. That’s even more true in today’s case, which was heard by an en banc court – all ten active judges on the court, aside from Judge Merrick Garland who recused himself. With ten judges to observe and interpret, each with an individual perspective and background, prognostications are particularly challenging.

Nonetheless, we have many reasons for optimism after today’s rigorous review of petitioners’ claims. Most of all, the rock solid legal and technical foundation for the Clean Power Plan gives us confidence that climate protection can win the day.

Now, the judges deliberate

The judges now turn to deliberation and discussion. In a typical case, the D.C. Circuit can take several months to issue an opinion. Here, there is a true sense of urgency in resolving EPA’s clear authority to combat climate change — earlier in the case, judges issued an order for expedited consideration — but there will also be ten judges’ opinions to resolve. Our nation’s biggest step to protect the health and well-being of our communities from climate pollution hangs in the balance.

Also posted in Clean Power Plan, EPA litgation, Greenhouse Gas Emissions, News, Partners for Change, Policy / Read 1 Response

It’s Time for the Coal Industry to Come Clean

By Nicholas Bianco / Published: September 26, 2016

coal_mine_wyoming
By now you have all heard the coal industry claims that the Clean Power Plan will kill the coal industry. This week federal judges hearing oral argument on the rule will no doubt hear the same. A new report by Sue Tierney of the Analysis Group clearly demonstrates just how misleading these claims are.

Dr. Tierney’s analysis examines changes in the industry since the 1970’s to unpack the factors that led to coal’s rise through 2000 and steady decline since. It shows how shifting economics for energy production have caused cost-effective lower-emitting natural gas generation and zero-emitting renewables to steadily out-compete coal and erode its market share. The analysis also shows how the industry made a large number of badly misplaced bets that have left them with over-burdened balance sheets, and facing bankruptcy as a result of these self-inflicted wounds.

Citing analyses by the Energy Information Administration and others, the analysis shows the irreversibility of these trends as coal is simply no longer the cheapest form of generation. These trends will also continue to drive a transition to cleaner lower-carbon fuels regardless of the fate of the Clean Power Plan. The clear implication is that industry should focus on preparing for the future and adapting to these new market conditions as opposed to fighting long-delayed protections that will help secure a more stable climate, a sustainable economy and vital public health benefits.

The analysis also examines the significant job losses seen since 1980, and finds that here too the blame has been misplaced. Data clearly show that decades ago, increasing productivity and a shift from eastern to western coal led to significant job losses even while the industry’s overall production was in a period of dramatic growth. Remarkably, coal mining jobs fell by one-half from 1975 to 2000 even as coal production increased by more than 60 percent.

These market shifts have affected local mining communities. But as the analysis makes clear, these trends have been decades in the making and are driven by profound changes in the energy markets and the way in which coal is produced. Much as the coal industry and its allies like to divert attention from these fundamentals, rolling back life-saving measures to protect our climate and public health from power plant pollution won’t bring back past levels of coal mining jobs or production. However, there is ample room for coal mining companies to support these communities in transition by engaging constructively in the debate on how to move forward in light of these market fundamentals, and how best to harness unique local opportunities. These companies owe it to their workers and communities to do so.

The Clean Power Plan is essential for ensuring vital reductions in climate pollution from the power sector, America’s largest contributor of these emissions. It is expected to deliver $54 billion in annual climate and health benefits while saving up to 3,600 lives each year. It is possible that these benefits could also result in some incremental reductions in coal consumption, depending on how states themselves choose to design their strategies to cut pollution. However, most analyses find that these declines would be only a fraction of those driven by market forces over the past decade.

Therefore, instead of distracting investors and local communities through unfounded attacks on EPA and the Clean Power Plan, coal companies should be honest about what is really driving the erosion of their market share and of their balance sheets. They should come clean about the fact that lower carbon generation is simply beating them in the marketplace and that they made a bunch of bad bets when times were good. So doing would help everyone engage in a more serious and honest discussion about how to move these communities forward and transition into a position of success in the modern energy economy.

There is no time to waste – let’s start working together to forge such solutions for these communities.

About the analysis: This independent report was commissioned by Environmental Defense Fund but solely authored by Susan Tierney. Dr. Sue Tierney is a Senior Advisor at the Analysis Group, specializing on electric and gas economics and policy.  She formerly served as the assistant secretary for policy at the U.S. Department of Energy, state cabinet officer for environmental affairs, and state public utility commissioner.

Also posted in Clean Power Plan, Economics, EPA litgation, Jobs, Policy / Read 2 Responses