Energy Exchange

Ohio Supreme Court ends FirstEnergy’s illegal subsidies in a win for customers and the environment

Update: On August 20, the Ohio Supreme Court rejected FirstEnergy’s motion for reconsideration of “credit support” charges approved by state regulators in 2016. The Supreme Court ordered the charge be removed, saying state regulators had failed to place the necessary conditions on how FirstEnergy spent the subsidies. 

In the three years’ time the appeals process has taken, FirstEnergy has collected nearly all of the $600 million it was seeking. Current law states that FirstEnergy gets to keep the $600 million rather than refund it to customers. Environmental Defense Fund and our partners have been working hard to change the refund law and today’s ruling should give added momentum to this effort.

The Ohio Supreme Court today rejected FirstEnergy’s “credit support” charges approved by state regulators in 2016. The Supreme Court ordered the charge be removed, saying state regulators had failed to place the necessary conditions on how FirstEnergy spent the subsidies.

For years, FirstEnergy has been seeking a bailout for its uneconomic coal and nuclear plants. The Ohio-based utility finally got its wish in late 2016, when the Public Utilities Commission of Ohio approved more than $600 million in customer-funded subsidies.

Today the Ohio Supreme Court ruled that those customer funded subsidies must be removed. In the three years’ time the appeals process has taken, FirstEnergy has collected nearly all of the $600 million it was seeking. Current law states that FirstEnergy gets to keep the $600 million rather than refund it to customers. We have been working hard to change the refund law and today’s ruling should give added momentum to this effort.

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Also posted in Clean Energy, FirstEnergy, Ohio / Comments are closed

New and better way to assess the climate impact of new pipelines

The urgent need to decarbonize the energy system makes it imperative for state and federal regulators to understand the climate impacts of proposed energy infrastructure. Officials deciding whether to approve new natural gas pipelines must be able to answer a crucial question: Will a particular pipeline reduce pollution by speeding the demise of more carbon intensive alternatives, or increase greenhouse emissions by locking in dependence on another fossil fuel?

Yet to date, natural gas utilities and pipeline developers have been largely unwilling to provide detailed life cycle greenhouse gas (GHG) assessments to regulators reviewing their supply projects and plans. Nor have regulatory agencies been pressing for this data.

In fact just this morning, Federal Energy Regulatory (FERC) Commissioner Richard Glick testified to Congress that “the Commission is ignoring its statutory mandates under the Natural Gas Act by refusing to analyze reasonably foreseeable greenhouse gas emissions associated with new interstate natural gas pipelines and facilities used to import or export liquefied natural gas.”

But a new analysis released this week of a proposed interstate pipeline project in New York and New Jersey significantly advances this compelling need. The fact that it was commissioned by a utility company makes it even more significant.

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Also posted in Natural Gas, New Jersey, New York / Comments are closed

Illinois’ Clean Energy Jobs Act taps power of energy efficiency

By Christie Hicks and Andrew Barbeau

This post is the fourth in our CEJA series.

The rollout of Illinois’ Clean Energy Jobs Act (CEJA) has focused attention on the bill’s four main pillars: a 100% renewable energy target by 2050, the decarbonization of the state’s power sector by 2030, the electrification of the transportation sector and a focus on equity and economic justice.

But there’s a hidden gem of an opportunity in the bill that is just as promising as solar panels and electric cars: energy efficiency.

Energy efficiency programs and technology are among the most cost-effective routes to lower climate emissions and energy bills. And just like solar, wind and other clean energy tools, it’s a job creator. CEJA recognizes and capitalizes on that potential.

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Also posted in CEJA, Energy Efficiency, Ohio / Comments are closed

Equity, innovation can be part of Illinois’ efforts to electrify transportation

By Christie Hicks and Andrew Barbeau 

This post is the third in our CEJA series

As Illinoisans consider ways to drive down pollution and the costs of energy, one place to look is what they drive.

The transportation sector has now overtaken the power sector as the leading source of carbon pollution in Illinois, responsible for nearly one-third of all carbon emissions. Any state-level climate action must address transportation emissions.

That is why electrification of the transportation sector is one of the four key pillars of the newly-introduced Clean Energy Jobs Act (CEJA). By incentivizing electric vehicles (EVs), mass transit and other transportation alternatives, we can remove the equivalent of a million gas and diesel-powered vehicles from the road. Doing so will have immediate air quality benefits, especially in low-income communities and communities of color that bear the biggest burden of this pollution.

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Also posted in CEJA, Clean Energy, Electric Vehicles, Illinois / Comments are closed

Jobs, equity and economic justice are at the core of new Illinois Clean Energy Jobs Act

By Christie Hicks and Andrew Barbeau 

This post is the second in our CEJA series.

Illinois has once again put itself at the forefront of the movement to promote a clean energy economy. In March, we wrote about the Clean Energy Jobs Act (CEJA), a groundbreaking bill that Environmental Defense Fund was proud to play a central role in developing.

Like its predecessor, the Future Energy Jobs Act (FEJA), CEJA recognizes that growing the clean energy economy is not just a core solution for climate change. It can also be a vehicle for expanding equitable access to quality jobs, economic opportunity and wealth creation — especially in economically disadvantaged communities and communities of color that have borne the heaviest burden of dirty fossil fuel pollution.

Simply put: jobs, equity and economic justice are at the core of this legislation.

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Also posted in CEJA, Clean Energy, Illinois / Comments are closed

This new bill is the next step on Illinois’ path to becoming a clean energy leader

By Christie Hicks and Andrew Barbeau

This post is the first in our CEJA series.

It’s been just over two years since Illinois enacted the groundbreaking Future Energy Jobs Act (FEJA), which set bold new goals for solar, wind and energy efficiency. Already, substantial gains from FEJA are being seen across the state.

But, a just-completed lottery for renewable energy credits demonstrates that there is a voracious demand for solar and wind energy in Illinois that far exceeds current capacity. Meanwhile, other states are poised to act on clean energy, threatening to catch up with – or pass – Illinois in the race for jobs and investments. This is the precise moment for Illinois to redouble its commitment to renewable energy and claim its spot as an undisputed clean energy leader.

The next important step for Illinois is passing the Clean Energy Jobs Act (CEJA), which will create more clean energy jobs, enhance equity and achieve more reductions in climate and air pollution. CEJA recognizes and addresses many of the challenges workers, customers and members of the community face as we transition away from old, dirty electricity.

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Also posted in CEJA, Clean Energy, Illinois / Comments are closed