Hill Heat

Videos from the Speaker’s blog:

Speaker Pelosi: “Earlier today, some of you saw me reference this baseball, signed by Bobby Thompson, the ‘shot heard around the world,’ October 3, 1951. An historic day in baseball. When he signed this baseball, he referenced a phrase used by Ralph Waldo Emerson referencing the shot fired at Concord which began the Revolutionary War, the fight for American independence. If Bobby Thompson could reference a shot heard round the world, we should indeed be able to do it today. This vote on this legislation will be a shot heard ‘round the world for energy independence for America.’”

Rep. Peter Welch (VT-AL) opens debate on the rule:

Rep. Welch: “Perhaps the best way to characterize what has been the US policy on energy is captured by looking at a photograph that serves as a metaphor. What it shows is the United States hand in hand with OPEC producers on whom we’ve become increasingly reliant and dependent, pursuing an energy policy of drill and drill, consume and consume, spend and spend, all with ever-escalating and budget-busting expense inflicted on our families and businesses, all with reckless denial – reckless denial – to the environmental damage that we are doing by this policy to the earth we all share, all with cavalier disregard to our national security by depending on regimes that are not our friends. Mr. Speaker, this bill brought before you does two fundamental things in changing the direction of energy policy…”

Rep. Ed Markey (MA-07), Chairman of the Select Committee for Energy Independence and Global Warming, speaks in favor:

Rep. Markey: “This is an historic debate. This is an historic day in the history of the United States. Today we debate energy independence and global warming for the first time in a serious way in our history. This legislation will accomplish things that will send a signal to the world. In this bill we will increase the fuel economy standards of the vehicles Americans drive from 25 miles per gallon to 35 miles per gallon. We will produce enough ethanol and cellulosic fuel that we can substitute for oil that by the year 2030 when both provisions are completely implemented we will be backing out twice the oil that we import on a daily basis from OPEC, from the Persian Gulf. What a signal to OPEC. Twice the oil from the Persian Gulf eliminated in one vote.”

Rep. George Miller (CA-07), Chairman of the Education and Labor Committee, speaks in favor:

Rep. Miller: “This bill also creates over three million jobs in the green industry that are supported by this legislation, that encourages that investment in wind and biofuels, in solar energy. Those three million jobs, we’re eight years late coming to those jobs, but they’re in this legislation, and those jobs will be created in almost every sector of the economy, no matter what geographical area people live in, but we need to develop those skills. And I want to thank John Tierney and Hilda Solis for their efforts on that. This is what… where they told us to go to generate the next generation of innovation, of technology, was in energy and that’s where we’re going to go and America’s going to have a much better energy future as a result of this legislation.”

Rep. Henry Waxman (CA-30), Chairman of the Oversight Committee, speaks in favor:

Rep. Waxman: “And there are some things this legislation will not do. It won’t diminish the EPA’s authority to address global warming, which the Supreme Court has recognized. It won’t seize authority from the states to act on global warming. President Bush has threatened to veto this bill because it takes away taxpayers subsidies to oil companies, and supports new renewable energy technologies. It’s time for the President to do what the American people want, not what the oil companies want.”

Rep. John Dingell (MI-15), Chairman of the Energy and Commerce Committee, speaks in favor:

Rep. Dingell: “I will be voting for this legislation because it contains a number of significant landmark achievements. It will raise fuel economy standards by 40%, to 35 miles per gallon. And it will do it in a way which achieves and protects American jobs, and it gives manufacturers proper flexibility in achieving our goals.”

Rep. Nydia Velázquez (NY-12), Chairwoman of the Small Business Committee, speaks in favor:

Rep. Velázquez: “Small businesses are not just the most impacted by high energy costs, but small businesses are also leaders in domestic production of energy. They make up 80% of all renewable fuel producers in this country. This legislation makes them part of the solution. It does this by developing innovative new technologies, reduces carbon emission, increases clean renewable energy production, and modernizes our energy infrastructure.”

Friends of the Earth:

This historic piece of legislation represents a paradigm shift in our nation’s approach to energy. The House of Representatives has voted to begin curbing our dependence on fossil fuels and reducing our global warming pollution. We applaud the bill’s passage in the House and commend Speaker Nancy Pelosi for standing up to special interests and ensuring that key provisions remained. This energy bill is not perfect – its fuel economy standards are too weak and its biofuels mandate too large – but, on balance, it represents a strong step forward. Especially important are a provision that will require all utilities to produce some of their energy from clean sources, such as wind and solar, and provisions that will end billions of dollars of subsidies for big oil and instead use these funds to hasten America’s transition to a clean energy future.

Sierra Club:

In January, Speaker Pelosi promised to deliver energy legislation that would put us on the road toward a new, clean energy future. The energy bill that the House passed today not only puts us on that road, but pushes the accelerator to the floor. It is a dramatic pivot away from the failed energy policies of the past and sets the stage for the Senate to flip the switch on America’s new energy future.

It is a bill of firsts: the first increase in fuel economy standards in more than three decades, the first national requirement for renewable energy, the first environmentally sensitive mandate for homegrown biofuels, and the first energy bill to provide billions for clean energy instead of shoveling subsidies to Big Oil and other polluters. Instead of a pork-laden monstrosity tailored to the needs of the dirty energy industry, this bill will give us clean electricity, greener cars, provide billions for clean energy instead of Big Oil’s bottom line, strengthen our economy, make us more secure, and begin to address the challenge of global warming. It is a tremendous achievement for the Congress, but more importantly, it is a victory for the hardworking American families who are now suffering as a result of decades of failed energy policies.

Energy Independence and Security Act

The New Direction Congress is poised to pass an ambitious legislative agenda to put us on a path toward energy independence—to strengthen national security, lower energy costs, grow our economy and create new jobs, and begin to reduce global warming. We are doing so by investing in the future of America with the passage of the Energy Independence and Security Act.

Specifically, we are taking groundbreaking steps to increase the efficiency of our vehicles, making an historic commitment to American grown biofuels, requiring that 15 percent of our electricity come from renewable sources, and strengthening energy efficiency for a wide range of products, appliances, lighting and buildings to reduce energy costs to consumers. We are repealing tax breaks for profit-rich oil companies, so that we can invest in clean renewable energy and new American technologies. Not only would this reduce our dependence on foreign oil, the measure would also save consumers billions of dollars.

This agreement with the Senate builds on the New Direction for Energy Independence, National Security, and Consumer Protection Act (H.R. 3221, and H.R. 2776) passed this summer, which includes wide-ranging solutions from 10 House committees. With passage of this measure, we are reducing carbon emissions that cause climate change and increasing our energy independence. The House will move forward next year with the next major effort to reduce global warming.

Strengthen our National Security by Reducing our Dependence on Foreign Oil

Historic Fuel Economy Standards for Cars and Trucks, Endorsed by Environmentalists and the Automobile Industry. The price at the pump demands groundbreaking and historic provisions to increase fuel economy standard to 35 miles per gallon by 2020 for new cars and trucks. These provisions will save American families $700 – $1000 per year at the pump, with $22 billion in net consumer savings in 2020 alone. This is the first increase by Congress since 1975 – marking a significant advancement in our efforts to address our energy security and laying the groundwork for climate legislation next year. The bill ensures that fuel economy standard will be reached, while offering flexibility to automakers and ensuring that we keep American manufacturing jobs and continue domestic production of smaller vehicles. It will reduce oil consumption by 1.1 million gallons per day in 2020 (one-half of what we currently import from the Persian Gulf), and reduce greenhouse gases equal to taking 28 million of today’s average cars and trucks off the road.

Renewable Fuels Standard/Historic Commitment to Homegrown Biofuels. The initiative includes a historic commitment to American biofuels that will fuel our cars and trucks – with a robust increase in the Renewable Fuels Standard. This isn’t just about the Midwest – this is about diversifying our energy crops from coast to coast. Whether it is sweet sorghum in Texas, rice straw in California, or corn stover in Minnesota, we will create American jobs and protect the environment. The measure ensures that biodiesel and cellulosic sources, such as switchgrass, are a key part of the increase. It includes critical environmental safeguards to ensure that the growth of homegrown fuels helps to reduce carbon emissions and does not degrade water or air quality or harm our lands and public health. The plan includes incentives to boost the production of biofuels and the number of Flex Fuel and other alternative fuel vehicles.

Incentives for Hybrids. It establishes a plug-in hybrid/electric vehicle tax credit for individuals and encourages the domestic development and production of advanced technology vehicles and plug-in hybrid vehicles.

Repealing Big Oil Giveaways to Invest in Renewable Energy. The measure repeals about $21 billion in tax subsidies for Big Oil, mainly including provisions from H.R. 6, which passed the House in January, and the President’s budget. It closes a loophole written into the international tax bill (H.R. 4520) and rolls back the 2005 Energy Bill tax break for geological and geophysical expenditures.

Lower Energy Costs with Cleaner Energy, Greater Efficiency, and Smarter Technology

Historic Step – Electricity from Clean Renewable Sources. This provision, which was contained in the House-passed bill, requires utilities to generate 15 percent of electricity from renewable sources – such as wind power, biomass, wave, tidal, geothermal and solar – by 2020. It permits utilities to meet up to 4 percent of their target through energy efficiency. A 15 percent Renewable Electricity Standard will reduce global warming emissions and lower energy prices and fossil fuel and natural gas consumption and is endorsed by a broad range of businesses, manufacturers, electric utilities, environmental, labor, farm, and faith-based organizations.

Landmark Energy Efficiency to Bring Down Costs. It includes landmark energy efficiency provisions that would save consumers and businesses hundreds of billions of dollars through 2030. It would require more energy efficient appliances, such as dishwashers, clothes washers, refrigerators and freezers, and would speed up Energy Department action on new efficiency standards after six years of delay. It would require improved commercial and federal building energy efficiency and assist consumers in improving the efficiency of their homes.

Incentives for the Renewable Energy Economy. It strengthens and extends existing renewable energy tax credits, including solar, wind, biomass, geothermal, hydro, landfill gas and trash combustion, while creating new incentives for the use and production of renewable energy. It bolsters research on solar, geothermal, and marine renewable energy. The bill provides new clean renewable energy bonds for electric cooperatives and public power providers to install facilities that generate electricity from renewable resources.

Create New Jobs and Reduce Global Warming

A Skilled Green Workforce. This package creates an Energy Efficiency and Renewable Energy Worker Training Program to train a quality workforce for “green” collar jobs – such as solar panel manufacturer and green building construction worker – created by federal renewable energy and energy efficiency initiatives. Major investments in renewable energy could create 3 million green jobs over 10 years.

Small Businesses Leading in Renewable Energy. The bill increases loan limits to help small businesses develop energy efficient technologies and purchases; provides information to small businesses to reduce energy costs; and increases investment in small firms developing renewable energy solutions, recognizing the leadership of entrepreneurs in the alternative energy sector.

Energy Efficiency Reduces Carbon Dioxide. The landmark fuel efficiency standard, renewable electricity standard and energy efficiency provisions will not only save consumers and businesses money, but will also significantly reduce carbon dioxide emissions.

Making Coal Part of the Solution. This initiative takes aggressive steps on carbon capture and sequestration to come up with a cleaner way to use coal – authorizing a nationwide assessment of geological formations capable of sequestering carbon dioxide underground and expansive research and development, including large-volume sequestration tests in a variety of different geological formations. It includes incentives for clean coal, which for the first time ever include a requirement for carbon sequestration.

CQ (subs. req.):

With oil nearing $100 per barrel and high prices at the gasoline pump, an agreement on corporate fuel economy standards is perhaps the most significant development to come out of the informal negotiations, which were launched after Republicans blocked a conference because they objected to provisions that would have increased taxes on the oil and gas industry and a requirement to have the nation’s electric utilities produce a percentage of their power from renewable sources.

Those tax and “renewables” provisions were in the House-passed bill but absent from the Senate legislation. Lobbyists said it was likely that they would be taken up next year in a separate bill, or as part of House legislation to address climate change.

EE News (subs. req.):

Sources on and off Capitol Hill said Democratic leaders may try to move the oil taxes and renewable electricity provision as a separate bill, or even abandon them for the year.

A Democratic aide close to the talks said House Democratic leaders “remain committed” to keeping these provisions. But both provisions face Senate roadblocks and would almost certainly draw GOP-led filibusters, which require 60 votes to overcome.

The House bill requires utilities to provide 15 percent of their power from renewable sources by 2020, though roughly a fourth of the requirement can be met with energy efficiency measures.

Pelosi and Senate Majority Leader Harry Reid (D-Nev.) both support the plan, but it has run into stiff resistance, especially among Southeastern GOP lawmakers who claim their states lack enough renewable resources to meet the mandate.

The renewable electric power standard is a top priority of environmental groups. Marchant Wentworth, a lobbyist for the Union of Concerned Scientists, said environmentalists are fighting to keep the provision alive. “It is a vital part of any comprehensive energy package,” he said.

The Bush administration, however, has issued veto threats over increased oil industry taxes and a renewable electric power mandate.

Among the provisions included in the energy package are three bills authored by House Science Committee Chairman Gordon. Those are:

• H.R. 364, Establishing the Advanced Research Projects Agency – Energy (ARPA-E), which would create a new agency charged with reducing US dependence on oil through the rapid development and commercialization of transformational clean energy technologies
• H.R. 1267, which would direct the U.S. Geological Survey (USGS) to conduct a national assessment of our country’s potential capacity for the sequestration of carbon dioxide (CO2); and
• H.R. 2083, which would raise the energy efficiency standards for home appliances, such as refrigerators and clothes washers.

HR 3221 also includes a provision to manage data on global climate change that was introduced by Space & Aeronautics Subcommittee Chairman Mark Udall (D-CO). The measure would provide federal, state, regional and local user groups better access to climate change information when making decisions to cope with or mitigate climate change impacts.

Mr. Udall also contributed a section to enhance carbon dioxide capture and storage. The measure authorizes large-scale demonstrations of both CO2 capture technologies and sequestration.

Rep. Jerry McNerney (D-CA) led the effort to authorize the research and development of technologies to locate and develop geothermal energy resources. The measure would greatly expand R&D and demonstration for Enhanced Geothermal Systems (EGS) – an emerging resource where geothermal reservoirs are engineered and which could significantly expand the use of geothermal energy across the country.

The energy bill also included a provision to support R&D of technologies to produce electric power from ocean waves. Rep. Darlene Hooley (D-OR) introduced the measure which supports the study of marine renewable technologies in order to bring them to commercial readiness and establishes a research center for information and outreach on the issue.

Energy and Environment Subcommittee Chairman Nick Lampson (D-TX) authored a provision to significantly expand authorized funding levels for biofuels research and development. The measure also supports research into biofuels infrastructure needs and the efficiency of biorefineries.

Finally, a solar power R&D measure authored by Rep. Gabrielle Giffords (D-AZ) was also included in the package. This measure aims to improve technologies to store solar power and studies the steps necessary to integrate concentrate solar plants (CSP) into the national electric grid.

GOP members on the Rules Committee boycotted a meeting called for Friday morning on the energy bill rule and other pending legislation.

“We told the majority that we were not going to participate because of what happened last night,” said a Republican committee aide, referring to the vote-tallying floor fight over the agricultural appropriations bill.

The $16.1 billion energy tax package would raise taxes on the oil and gas industry and redirect the proceeds for tax breaks for renewable energy sources. The broader energy bill is intended to promote energy efficiency, new technologies and tighter regulation.

Taxes Targeted

In the latest veto threat, issued today, the White House echoed the concerns of oil-state Democrats and House Republicans about the measures.

“The combination of these two bills will result in less domestic oil and gas production, higher taxes to disadvantage a single targeted industry, and duplicative energy efficiency and R&D efforts that are largely underway already,” the White House said in its statement of administration policy on the two bills.

The tax package may be in more trouble than the broader bill, because of the potential defection of oil-state Democrats who are concerned about raising taxes on an industry that provides jobs in their districts. Meanwhile, Republicans are trying to woo 36 members of their party who voted for a narrower energy bill (HR 6) in January.

Jim McCrery of Louisiana, the ranking Republican on the Ways and Means Committee, said this morning that he expected a substantial number of those 36 GOP members to vote against the tax package, though he still did not think he would have a majority. McCrery has proposed an alternate $5 billion package that would provide shorter extensions of many of the same tax credits that the main bill includes and exclude some of the more controversial tax increases on the energy industry.

The other potentially contentious issue is a requirement that could be added by amendment to the broader bill, which would require electric utilities to produce 15 percent of their power from renewable sources by 2020.

A potential hurdle is opposition from Majority Whip James E. Clyburn, D-S.C., who is concerned that Southern states may not have sufficient wind power to meet the standard, unless agricultural waste and other sources are allowed.

Rep. Tom Udall, D-N.M., had initially proposed a standard of 20 percent by 2020, but he softened that to 15 percent earlier this week. His latest proposal would allow utilities to meet more than a quarter of the requirement through energy efficiency.

Udall insists that Democrats already have a majority of votes to adopt the amendment, suggesting that the current discussions are intended to build further support and ensure a strong vote on the underlying bill.