2024: Year of the climate flip-flop

Presented by American Clean Power: Your guide to the political forces shaping the energy transformation
Apr 12, 2024 View in browser
 
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By Jack Quinn

Presented by American Clean Power

Sen. John Fetterman (D-Pa.)

Sen. John Fetterman (D-Pa.) speaks with reporters at the U.S. Capitol March 14, 2024. (Francis Chung/POLITICO via AP Images) | Francis Chung/POLITICO

Progressives who assumed they had an ally in John Fetterman — a tattooed, hoodie-wearing first-term senator with a raft of green-group endorsements — are confounded by the Pennsylvania Democrat’s takes on two hot issues: tailpipe pollution and natural gas exports.

There may be valid reason for the confusion: He once called global warming an “existential threat” and urged a rapid transition to clean energy, Emma Dumain writes.

Fetterman’s unease with the pace of the transition has surfaced in recent comments. He suggested he could support killing an Environmental Protection Agency rule meant to cut vehicle emissions and help clear a path for a shift to electric vehicles.

The measure introduced by Democratic Sen. Joe Manchin of West Virginia and Republican Sen. Mike Crapo of Idaho would block funding to implement the rule. EPA estimates that under the rule, 68 percent of new car sales will be electric vehicles in 2032.

“I haven’t even purchased [an EV], and I don’t anticipate purchasing one in the immediate future,” Fetterman told POLITICO’s E&E News in March, shortly after EPA released the rule. “I understand why we want to migrate more towards that, but at the end of the day, perhaps [the rule] might be overly aggressive.”

Fetterman has further frustrated environmental advocates such as the League of Conservation Voters and the Sierra Club – which endorsed him while he was running for office – by questioning the Biden administration’s freeze on new export permits for deliveries of U.S. liquefied natural gas to non-free-trade-agreement countries.

Pennsylvania is the second largest natural-gas-producing state, behind only Texas, according to the Energy Information Administration.

“I’m not comfortable with the choices that [Fetterman] is making and the way that he is framing these issues,” said Liz Green Schultz, political director for the Pennsylvania-based Clean Air Action Fund, in reaction to the senator’s comments on the EPA clean car standard. “I don’t understand his motivations.”

Fetterman has not yet said for certain whether he would vote to strip funding to implement a tougher tailpipe emissions standard. Transportation is the largest source of U.S. greenhouse gas emissions.

“Democrats need to be honest that the transition from fossil fuels isn’t going to happen overnight,” said an aide to the senator, who was granted anonymity to speak candidly.

GOP climate politics
Democrats in Congress aren’t alone in the struggle to calibrate their positions on President Joe Biden’s energy agenda.

In late March over 100 GOP representatives voted to protect the Inflation Reduction Act, joining Democrats to strike down an amendment that would have prevented certain companies using the climate law’s tax incentives from taking advantage of streamlined permitting, as Kelsey Brugger writes today. This is less than two years after the IRA became law with zero Republican votes.

Echoing the unsuccessful attempts to roll back the Affordable Care Act during the Trump administration, the IRA and its funding for clean energy projects are proving to be a challenge to repeal or obstruct for this crop of conservative Republicans.

Rep. Garret Graves (R-La.), who spearheaded the failed amendment, said Republicans will want to use a “scalpel” rather than a sledgehammer to revise the IRA should they take power in November.

All politics are local, after all. Just as Fetterman answers to constituents whose jobs are tied to natural gas production, many Republicans represent areas that have directly benefited from IRA-subsidized projects.

There’s no doubt, though, that IRA clean energy tax credits and manufacturing incentives face a foe in the White House in 2025 if Donald Trump, the presumptive Republican nominee, beats Biden in November.

 

It's Friday — thank you for tuning in to POLITICO's Power Switch. I'm your host, Jack Quinn. Power Switch is brought to you by the journalists behind E&E News and POLITICO Energy. Send your tips, comments, questions to jquinn@eenews.net.

 

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Today in POLITICO Energy’s podcast: James Bikales breaks down the Biden administration's ongoing oil dilemma after it approved a massive project in Texas this week.

 

A message from American Clean Power:

 The story of clean power is one of American success. This growing industry provides over 460,000 jobs across the United States and is creating a new domestic manufacturing boom. Clean power is not just clean—it’s reliable, affordable, and American made. Learn more.

 
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A sign at California’s Summerland Beach — where the state’s first offshore oil wells were drilled at the turn of the century — warns of crude oil in the water. Natural seeps and old oil wells can leak oil into the ocean.

A sign at California’s Summerland Beach — where the state’s first offshore oil wells were drilled at the turn of the century — warns of crude oil in the water. Natural seeps and old oil wells can leak oil into the ocean. | Heather Richards/POLITICO's E&E News

Who pays to remove old oil platforms?
A dispute over decommissioning two California offshore oil platforms will test the limits of a federal regulation requiring previous owners to cover the costs of cleanup, Heather Richards writes.

Three oil companies have appealed an order to decommission two defunct offshore oil platforms off the coast of Southern California in which they once owned a stake. They argue that the U.S. government should instead cover the ballooning costs of safely dismantling the infrastructure now that it's no longer pumping oil.

The challenge from ConocoPhillips, Occidental Petroleum and Devon Energy has implications for over 2,700 offshore oil and gas wells and 500 platforms currently overdue for decommissioning in the Gulf of Mexico alone, according to the Government Accountability Office.

Driving bans on the table in Germany
Germany’s transportation minister is threatening to ban driving on the weekends amid parliamentary infighting, Šejla Ahmatović writes.

Minister of Digital Affairs and Transport Volker Wissing said if lawmakers can’t agree on amendments to pending climate legislation by July 15, he will submit his own action program to tackle transportation emissions that will include “comprehensive and indefinite driving bans on Saturdays and Sundays.”

Members of the ruling government coalition under Chancellor Olaf Scholz have been at odds over whether to approve a provision that would eliminate sector-specific carbon emission reduction targets. Members of Wissing’s liberal party are generally in favor of the amendment.

Biden eyes California monuments
The Biden administration plans to expand the protected land area of two national monuments in California, Jennifer Yachnin and Robin Bravender report.

Biden plans to sign proclamations under the 1906 Antiquities Act “sometime this month,” a White House source with knowledge of the plans told E&E News. It would expand protected areas in the Berryessa Snow Mountain National Monument in Northern California and the San Gabriel Mountains National Monument in Los Angeles County.

The Biden administration has pledged to conserve at least 30 percent of U.S. lands and waters by 2030 under an Interior initiative known as the America the Beautiful program.

“You’ll see some more,” said White House energy and climate adviser John Podesta.

 

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In Other News

Nearing a peak: The International Energy Agency cut its forecast for global oil demand growth for 2024 and 2025.

Serious aid: Chinese electric vehicle giant BYD received $3.7 billion in direct government subsidies from Beijing in 2023 to supercharge China's EV transition.

 

A message from American Clean Power:

Clean energy supports over 460,000 American jobs, powers tens of millions of homes, and delivers billions in investments each year to local communities. 

As clean energy powers more homes and businesses than ever before, it's creating an American manufacturing boom. Over 120 new manufacturing facilities have been announced across the country—constructing the wind turbines, solar panels, and batteries that help our economy grow.

The clean energy sector is committed to building on that progress—which is why technicians, installers, and engineers from the American Clean Power Association are on Capitol Hill this week to urge Congress to:

  • Preserve tax incentives for the industry.
  • Protect the right to build clean energy on private property.
  • Pass bipartisan permitting reform.
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A showcase of some of our best subscriber content.

U.S. map with electrical plug.

Claudine Hellmuth/POLITICO (illustration); bowonpat/Freepik (outlet and plug); Calsidyrose/Flickr (grid paper)

Electricity prices outpaced inflation over the past year, as capital expenditures for new transmission projects continue to mount.

Community and environmental groups are suing Louisiana state authorities in an effort to derail the Calcasieu Pass 2 LNG expansion project.

Bill Gates and other former Microsoft employees have committed nearly $2 million to a lobbying campaign to save Washington state’s carbon market at the ballot box.

That's it for today, folks. Thanks for reading, and have a great weekend!

 

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