Climate grants bring out Democrats’ 2028 stars

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Mar 22, 2024 View in browser
 
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By Arianna Skibell

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 Democratic Govs. Wes Moore of Maryland, Gretchen Whitmer of Michigan, Josh Shapiro of Pennsylvania, J.B. Pritzker of Illinois and Gavin Newsom of California.

(From left) Democratic Govs. Wes Moore of Maryland, Gretchen Whitmer of Michigan, Josh Shapiro of Pennsylvania, J.B. Pritzker of Illinois and Gavin Newsom of California. | POLITICO illustration/Photos by Getty, AP

Democratic governors are laying out ambitious climate plans as they compete for a pot of federal funds to green their states — a contest that offers an early chance for the party’s rising stars to burnish their reputations before the 2028 presidential race.

The Climate Pollution Reduction Grants tucked away in President Joe Biden’s signature climate law, worth up to a half-billion dollars, could prove transformative for any state that gets a share of the money and for the politician who secured it, writes Adam Aton.

Climate action promises to be a critical yardstick for future Democratic presidential candidates vying for progressive votes and support from key party power brokers, including labor unions, energy industry donors and environmental groups. The governors pitching big ideas include California’s Gavin Newsom and Michigan’s Gretchen Whitmer, two prominent names in any shortlist of Democrats who might seek to succeed Biden as the party’s standard-bearer.

High-profile Democratic governors “have all taken this program pretty seriously,” Justin Balik of climate advocacy group Evergreen Action told Adam. Their plans include targeted carbon reductions along with analyses of how to spread the benefits to low-income and disadvantaged communities and how to align their states' workforces with their clean energy needs.

The competitive nature of the Environmental Protection Agency funding program — only a few states will land the biggest grants — means the winning governors will get the money to implement their vision along with bragging rights.

Republican governors have also used the grant competition to amplify their conservative credentials, namely by refusing to participate. Those include Florida Gov. Ron DeSantis, who quit the Republican presidential primary in January. And they include names bouncing around for the No. 2 spot on this year’s GOP ticket: South Dakota Gov. Kristi Noem and Iowa Gov. Kim Reynolds.

What’s the plan?

Governors are taking various approaches to curbing climate pollution tailored to the specifics of their states.

California is the only state with the authority to set tailpipe pollution rules stronger than federal limits. To build on California’s power over the transportation sector, Newsom would subsidize zero-emission medium- and heavy-duty trucks. The state plan also includes installing charging and hydrogen refueling stations at ports and warehouse districts.

In Pennsylvania, Gov. Josh Shapiro is leveraging a pair of hydrogen hubs planned for his state that have won $1.7 billion in federal funding. His plan would push the industrial sector to adopt hydrogen, carbon capture, electrification and other emerging technologies. The federal cash could help Shapiro boost his climate credentials without having to go through a Republican-controlled state Senate.

And Whitmer wants to use federal funds to help implement Michigan’s new laws requiring all electricity to come from “clean” sources by 2040.

 

Thank goodness it's Friday — thank you for tuning in to POLITICO's Power Switch. I'm your host, Arianna Skibell. Power Switch is brought to you by the journalists behind E&E News and POLITICO Energy. Send your tips, comments, questions to askibell@eenews.net.

 

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Can we grow our economy and reduce emissions? It’s proven we can. The key? Natural gas. Last year, US GHG emissions dropped 2% year-over-year driven by switching from coal to natural gas in power generation. Significantly, the emissions drop occurred at the same time US GDP increased by 2.6%. Read more about the role of natural gas to reduce global emissions.

 
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The energy industry continues to reduce emissions from natural gas. At Enbridge, we know the value of using all the tools in the toolbox to meet this objective. Here are a few examples. We were the first utility in North America to blend hydrogen into natural gas, lowering its carbon content. We’re investing up to $1 billion in facilities that will turn food waste into carbon negative renewable natural gas. And, we’re piloting technologies and equipment to avoid venting methane throughout our system. Enbridge is also investing in carbon capture and storage sites across North America with phased in-service dates expected in late 2026. We believe the onus is on industry to reduce emissions. And with the innovation and work underway, natural gas will remain a key part of our clean energy future. Read more.

 
 

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