Climate 411

What the SEC can do to protect investors, companies, and people from another Texas power crisis

This post was co-authored by David G. Victor of the Brookings Institution and EDF’s Stephanie H. Jones and Michael Panfil. It is also posted here

 The Securities and Exchange Commission (SEC) is considering making important changes in disclosure requirements to reflect the growing recognition that climate change poses significant risks to the U.S. financial system. This week, hundreds of investors, companies, and concerned Americans, including EDF, responded to the SEC’s request for public input on climate change disclosure.

The Brookings Institution’s recent analysis on the intersection of climate change and financial markets has shown that a significant blind spot for financial institutions is how the physical impacts of a warming world affects assets. But, outside of insurance, relatively little has been said about financial vulnerabilities stemming from extreme weather.

The massive storm that hit Texas in February — known as Winter Storm Uri — highlights the dangers of ignoring the physical risks of climate change. Frigid temperatures and ensuing blackouts led to the deaths of more than 150 people and caused billions of dollars in damages. The blackouts also disrupted dozens of public companies, hundreds of small businesses, and millions of lives, raising a slew of questions for public officials.

EDF and Brookings have now released a new report, What Investors and the SEC Can Learn from the Texas Power Crises, in which we focus on one of those questions: what did the financial markets know about the odds and impacts of a storm like this before it happened?  Our report looks at SEC regulatory disclosures made by publicly-traded electric utilities and suppliers in Texas, and offers a clear answer: not much. Read More »

Also posted in Cities and states, Economics, Energy, News, Partners for Change / Comments are closed

The key to reaching Biden’s new climate goal: An enforceable clean electricity standard that slashes pollution

Editor’s note: This post was last updated June 29, 2021.

A female engineer standing beside the solar panel.

At the Leaders Summit on Climate in April, President Biden pledged to go all-in to beat the climate crisis, setting an ambitious and credible target to cut U.S. greenhouse gas emissions 50-52% below 2005 levels by 2030. Now the administration and federal law makers must roll up their sleeves and work to achieve this target. The question is: What policies will they adopt that can secure the necessary cuts in pollution in less than 10 years?

While there are multiple pathways to meeting the target, a wide range of analyses agree on one core theme: The power sector is a critical linchpin to success. We need to cut emissions from electricity generation by at least 80% below 2005 levels by 2030.

Read More »

Also posted in Greenhouse Gas Emissions, Jobs, News / Comments are closed

California Accelerates Toward Zero-Emission Vehicle Standards That Will Save Lives, Save Money, Create Jobs

California just moved further down the road toward cleaner cars and vital air pollution reductions.

The state’s Air Resources Board hosted a public workshop on the development of its Advanced Clean Cars II (ACC II) program last week, where it announced that it intends to propose multipollutant standards that will ensure all new cars sold in California are zero-emitting vehicles by 2035.

At the workshop, the Air Resources Board for the first time laid out a proposed trajectory for the ACC II program, charting a course for ensuring 60% of new vehicles sold in 2030 are zero-emitting and 100% of new vehicles sold by 2035 are zero-emitting.

Slide from Air Resources Board workshop presentation, available here

The ACC II program will build from California’s long history of advancing vehicle pollution reductions under Clean Air Act authority. If adopted, the draft standards described at the workshop will reduce health-harming pollution and climate emissions from new passenger vehicles beyond the 2025 model year and increase the number of zero-emission vehicles for sale. They will also reduce climate pollution, deliver jobs, save Californians’ money, and – most important – save lives.

Read More »

Also posted in California, Cars and Pollution, Cities and states, Green Jobs, Greenhouse Gas Emissions, Health, Jobs, News / Comments are closed

Driving the electric vehicle transition: auto companies and states step up to lead

If you watched any major televised sporting events this year, from the NCAA Final Four to the Super Bowl, you saw ad after ad showcasing American auto companies’ new electric cars. It’s proof that electric vehicles (EVs) are ready for a mainstream market – you don’t pay Will Ferrell and LeBron James to promote your car just to niche buyers.

Momentum is clearly building. Companies are prepared to capitalize on the economic benefits of EVs, for both consumers and autoworkers, as well as the climate and health benefits that all Americans will see.

In the last three months, some of the largest automakers in the U.S. and the world have committed to dramatically expanding their EV lineup. They have announced plans to invest billions of dollars in EV development, and plans to transition to an all-electric future by 2035 or earlier.

The Biden administration made a commitment last week to reduce U.S. climate pollution by at least 50 percent by 2030 – a commitment that was supported by major automakers and that will require significant emission reductions from the transportation sector.

States are also playing a leading role in driving progress. Last week, a bipartisan group of 12 governors detailed the important role that states have played in deploying zero-emitting vehicles and urged the Biden administration to move forward with ambitious standards that would eliminate pollution from all motor vehicles. And next week, the California Air Resources Board will hold a workshop related to its development of Advanced Clean Car II standards – standards that are expected to help the state ensure all new vehicles sold in California are zero-emitting by 2035.

The transportation sector is responsible for over a quarter of U.S. climate pollution – more than any other sector. The transportation sector also emits a slew of health-harming pollutants, including oxides of nitrogen and particulate pollution. The transportation sector is key to meaningful climate action.

To achieve meaningful reductions in transportation pollution, it will be key for the administration follow automakers’ commitments and state leadership with bold, decisive air pollution standards that put the U.S. on a path to ensure all new vehicles are zero-emitting no later than 2035 for passenger cars and trucks, and no later than 2040 for freight trucks and buses.

Read More »

Also posted in Cars and Pollution, Economics, Greenhouse Gas Emissions, Health, Jobs / Comments are closed

DOE’s SuperTruck 3 Can Help Us Reach a Zero-Emission Future – If We Have the Right Clean Truck Standards Too

Cleaning up pollution from the U.S. trucking industry is an urgent need for the U.S. For the past decade, the U.S. Department of Energy’s (DOE) SuperTruck Program has helped showcase solutions for a cleaner future. Now Energy Secretary Jennifer Granholm has announced a new generation of the DOE SuperTruck program – SuperTruck 3 – that will focus on higher efficiency and zero-emission solutions.

Through the SuperTruck 3 program, DOE will provide $162 million in funding to “pioneer electrified medium- and heavy-duty trucks and freight system concepts that achieve even higher efficiency and lower emissions.” The funding focuses on a range of approaches, including all-electric systems, plug-in hybrid systems using renewable biofuels, and hydrogen and fuel cell technologies.

Previous generations of the SuperTruck have delivered much needed advancements. For example, major manufacturers including Navistar, Freightliner, Peterbilt and Cummins developed trucks that achieved between 10.7 and 13 miles per gallon – significantly better than the previous average of about five miles per gallon. These trucks were critical to developing and demonstrating technical solutions that fleets across the country are using in new trucks today to burn less fuel. SuperTruck 3 could have a major impact on the market too – if it is paired with a new round of Clean Truck multipollutant standards that further drive us to the zero-emission future that is both possible and desperately needed.

There is a lot of work between a successful demonstration project and truck fleets saving billions of dollars annually from fuel-saving technologies. Well-designed federal Clean Truck standards are a key element to making this leap. The required improvement and market certainty that these standards provide fosters the innovation necessary to bring more efficient and lower emitting trucks to market.

The results of the first generation of the DOE SuperTruck program came out between 2014 and 2016, while the Obama administration was considering a second round of emission standards for heavy-duty trucks. Those standards have pushed manufacturers to bring more efficient trucks to market. For example, the International LT Series improved efficiency by over 8% between 2020 and 2021.

Zero-emission truck technology has also made enormous strides since 2016, when that last generation of the EPA’s heavy-duty emission standards were finalized. Back then, there were a total of seven zero-emission truck models that were either commercially available or in advanced demonstration, and most of the available models were post-production retrofits.  Today there are over 125 models that are either available, in production or at an advanced stage of demonstration, most with established manufacturers. We are also seeing very large fleet deployments and major fleets, such as FedEx, stepping forward with clear timeframes for transitioning to 100% zero-emission fleets.

It is time to embrace this rush of innovation and further accelerate it through more protective standards – 100% zero pollution new trucks and buses by 2040, with key vehicle segments moving even faster. With the current generation of zero-emission technology, we can achieve wide spread electrification for most heavy-duty vehicles, including school buses, package delivery trucks, garbage trucks, and regional haul trucks. These vehicles typically travel 200 miles or less each day and return to a centralized depot where they can be recharged. New research investments in areas like more rapid charging can further enhance the  case for electrification of these vehicles. These investments can also expand zero-emission solutions into more challenging uses, such as long-haul trucking. These advancements can support the ability of manufacturers to accelerate fleet-wide deployment even sooner than 2040.

Clean Truck standards should be paired with ambitious societal investments that ensure zero-emission vehicles are deployed first and foremost to reduce pollution in communities that have long borne the brunt of vehicle pollution. President Biden’s infrastructure package is a good first step in this direction. Congress needs to move forward to enact this plan.

States also have a critical role to play in this transition. They need to develop the charging infrastructure for electric trucks while leveraging lowest-cost solutions, such as managed charging and battery storage,and adopting the Advanced Clean Truck Rule and Heavy-Duty Omnibus Regulation.

If we pair together these critical steps – technology development, federal emission standards, state-leadership, and societal investments – the impact would be massive. Moving to 100% zero pollution new trucks and buses by 2040 would:

  • Prevent as many as 57,000 premature deaths in total through 2050
  • Eliminate more than 4.7 billion tons of climate pollution cumulatively by 2050
  • Provide America with up to $485 billion in health and environmental benefits alone as a result of pollution reductions

As the new SuperTruck 3 program makes clear, there are a lot of gains we can still make in cleaning up trucking. Now is the time for a bold, achievable vision of a zero-emission future for our truck and bus fleet.

Also posted in Cars and Pollution, Economics, Greenhouse Gas Emissions / Read 2 Responses

The benefits of clean trucks and buses: thousands of lives saved, less pollution, more jobs

Passenger cars have been leading the way, so far, in the development of zero emission technologies. But there’s also a movement underway to develop heavy-duty electric vehicles – like freight trucks and buses – that could have sweeping benefits for the climate, public health, and American jobs.

At EDF, we just released a new report, Clean Trucks, Clean Air, American Jobs, that analyzes the effects of eliminating tailpipe pollution from those medium and heavy-duty vehicles – including buses, semis and other long-haul trucks, and the “last-mile” trucks that deliver packages to American homes.

Our report found that a rapid transition to zero-emitting freight trucks and buses will significantly reduce dangerous air pollution – pollution that disproportionately burdens lower income neighborhoods and communities of color.

Air pollution standards that ensure all new heavy-duty trucks and buses sold for urban and community use are zero-emitting by 2035, and all such vehicles sold are zero-emission by 2040, would:

  • Prevent a sum total of more than 57,000 premature deaths by 2050
  • Eliminate a sum total of more than 4.7 billion metric tons of climate pollution by 2050.
  • Significantly reduce two main components of smog – nitrogen oxides pollution by a sum total of more than 10 million tons by 2050, and particulate pollution by a sum total of almost 200,000 tons by 2050
  • Save $485 billion in health and environmental benefits alone as a result of pollution reductions.

Read More »

Also posted in Cars and Pollution, Economics, Health, Jobs, News / Comments are closed