Hill Heat

SENATE SUMMARY 7/29/2009

Max Baucus (D-MT)

E&E News “There’s a reason why the House bill came up with its formula,” Baucus said. “And I suppose a lot of those same reasons will apply over here, too. But the Senate’s a little different than the House. We’ll take a fresh look, but respective of what the House did. We’ll look at ways to make sure U.S. companies are not taken advantage of, or discriminated against,” he said. “The trade-related remedies is one way.”

Kent Conrad (D-ND)

E&E News “On the energy bill to reduce our dependence, it is so centrally important to the economy that it needs to be done as soon as we can get it done, and there you have a chance for pretty strong bipartisan support,” Conrad said.

Byron Dorgan (D-ND)

EPW “…The second half of it, as my colleague described, is not something we are doing in this bill, but the ability to continue hydraulic fracturing, decade after decade, I think for nearly 50 years, I am not aware of any evidence that there is any contamination of groundwater with hydraulic fracturing when companies have followed the appropriate guidelines and regulations.”

James Inhofe (R-OK)

EPW Minority In the coming weeks, I intend to go through every single page of this climate bill, revealing the massive amount of spending, the labyrinth of new regulations, and expansion of government agencies and programs…I think the time is right to peel back the green veil and expose this 1,400-page monument to big government. There’s a lot in there, and at times the bill gets very complicated. But over the next several weeks, I plan to focus on some of the bill’s most damaging provisions, as well as those that reinforce the criticisms I’ve been making. Before the United States Senate moves to vote on the largest tax increase in history, the American public deserves to know exactly what is in this bill.

Mike Johanns (D-NE)

Des Moines Register “…you can have one foot in the campfire and another in the ice bucket, and on average you’d be just right, despite the fact that you’d be on fire. Similarly, using averages to estimate the impact of cap-and-trade does not help farmers and ranchers to calculate the true costs. Perhaps American agriculture will be fully on board with the secretary after reviewing solid analysis.”

John McCain (R-AZ)

The Hill “It depends on whether the administration has a proposal. That’s generally the way we work, but obviously that’s not been the case here,” McCain said. “It also depends on whether there’s a tangible desire for bipartisanship and whether the president decides to lead. I think that some of us have a legitimate desire to say, ‘Well, what is your proposal?’ to the president.”

Jay Rockefeller (R-WV)

Daily Mail “I’m glad to hear from so many West Virginians about this really important issue,” Rockefeller said. “I will absolutely fight for the future of coal and jobs in our state. I will not support an energy bill that threatens West Virginia’s future.”

John Barrasso (R-WY)

E&E News “Last year, the committee produced a bill, got to the floor, never got anywhere,” said Sen. John Barrasso (R-Wyo.), a member of the EPW Committee. “I’m expecting the same thing this year.”

Jeff Bingaman (D-NM)

E&E News Earlier this year, Bingaman said he would rather see the Senate tackle energy on its own and then come back to climate. Bingaman last week was not as specific, saying that that “there are a lot of complex questions that obviously are raised by cap-and-trade proposals.” “We’re still in a learning process in most committees,” he added. . . “I assume [Reid]’s waiting to see what the various committees come up with before he makes any judgment,” Bingaman said. “He’s got a difficult job packaging it all up and figuring what the procedure ought to be that gets us to a positive conclusion.”

Barbara Boxer (D-CA)

E&E News “To me, the more committees that are involved, the happier I am, because you get more and more colleagues that get to understand it, that get to be part of it,” Environment and Public Works Chairwoman Barbara Boxer (D-Calif.) told reporters last week. “The more colleagues that play a role, the better.” . . . “I am going to have to walk away from some things I believe should be in the bill,” she said.

Sherrod Brown (D-OH)

Roll Call Sen. Sherrod Brown (D-Ohio) has been pressing to make sure the measure won’t create an incentive for manufacturing companies to move jobs overseas to China or India. Brown said he hasn’t gotten much traction in his push for trade protections, but he predicted that top negotiators could not afford to ignore him. “They don’t likely get a bill if they don’t deal with manufacturing,” he said.

Tom Carper (D-DE)

E&E News Yet other Democrats on the committee, including Baucus and Sens. Arlen Specter (D-Pa.) and Tom Carper (D-Del.), will push Boxer toward the middle. “My hope is the legislation when it leaves our committee will be centrist,” Carper said.

Byron Dorgan (D-ND)

E&E News Moments after hosting a DPC luncheon with three corporate executives who support cap-and-trade legislation last week, Dorgan took to the floor for about 10 minutes to question efforts in the Senate to move on climate via the House-passed bill. “I know a lot of work has gone into that legislation, but my preference would be that we start to explore other directions,” Dorgan said, citing concerns about speculative trading in the carbon markets.

Roll Call “I am for a low-carbon future,” Dorgan said. “But, in my judgment, those that would bring to the floor of the Senate a replication of what has been done in the House, with over 400 pages describing the cap-and-trade piece, will find very little favor from me, and I expect from some others as well. There are better, other and more direct ways to do this to protect our planet.”

U.S. Senators making the news on climate change and clean energy.

Lamar Alexander (R-TN)

E&E News Sen. Lamar Alexander (R-Tenn.) challenged Democrats for pushing a climate bill that he said would pick winners and losers in the energy industry. “I wonder why we have a national windmill policy instead of a national clean energy policy,” said Alexander, himself an outspoken advocate for nuclear power.

WSJ So much talk about wind turbines exhausted the patience of Tennessee’s Lamar Alexander, who again called for a nuclear solution to America’s energy woes. “Is nuclear power renewable energy?” he asked Mr. Doerr.

Kit Bond (R-MO)

Reuters “My fear is that what the recession and faulty management decisions did to the auto industry, the U.S. Congress will do intentionally to the rest of Midwest manufacturing—kill U.S. jobs and drive many of them overseas to China,” said Republican Senator Kit Bond of Missouri.

Barbara Boxer (D-CA)

Politico Senate Environment and Public Works Chairwoman Barbara Boxer (D-Calif.), who faces an uphill fight in shepherding the bill through the Senate, says she appreciates all the attention from up the street. “It’s really been a pleasure for me, because last time I did this, I had an administration that was fighting me at every turn,” she said. “Here, I have a very supportive administration, so it’s a very nice change for us.”

E&E News “I think it’s very important we understand that the approach we’re taking, we don’t pick winners or losers. We put a cap on carbon and let the marketplace do it,” Boxer said. She highlighted the U.S. EPA analysis of the House bill that estimates it could lead to 260 new 1,000 megawatt nuclear plants by 2050. After Alexander called on President Obama to support his proposal for more nuclear plants, Boxer replied: “It is very clear he doesn’t have to support your proposal. His [support of the House bill] results in more nuclear power plants being built.” Boxer added after a hearing yesterday, “I think if you look at Waxman-Markey, the prediction is there being well over 100 nuke plants. I don’t know that we’ll need to have more than that. But we’ll certainly look at all of these issues.”

IB Times “When we unleash the American innovative spirit, we will drive economic growth and create jobs and create whole new industries here at home. American entrepreneurs will create jobs,” Chairman Barbara Boxer said. Boxer also said the Senate will do “more than protect consumers.” “You are going to hear some widely different views on how much is going to cost consumers,” Boxer told the panel. “But we have the modeling and we know what it is, we know what the Waxman-Markey bill shows,” Boxer added.

Talk Radio News “At the end of the day, our competitiveness in the world economy will depend on how we face the challenge of global warming,” said Sen. Boxer (D-Calif.)

From the Wonk Room.

In a C-SPAN interview, Rep. Artur Davis (D-AL) attacked Waxman-Markey, claiming it would “wreak havoc” on Alabama’s manufacturers. Even though a record-breaking heatwave has killed a woman in his state this week, the dynamic congressman now running for governor in Alabama explained his plan to vote against the Waxman-Markey American Clean Energy and Security Act (H.R. 2998/H.R. 2454) today by arguing it would destroy his state’s fragile economy:

“This bill is still going to wreak havoc with the manufacturing sector in some parts of the country.”

“The Senate, for example, is not considering cap and trade. The cap and trade provisions are the ones that frankly would damage the manufacturing sector short term and have a lot of other unpredictable consequences on our economy.”

“When we’re in the midst of a deep recession, we need to make sure we’re not making a dramatic change that could cost us jobs in the short term, because many states simply can’t afford to lose more jobs.”

“This is the wrong time for cap and trade, this is the wrong time to impose a renewable electricity standard on the Southeast.”

Watch it:

In fact, the Senate is continuing to work on cap-and-trade legislation for passage this fall, and studies have shown that states like Alabama need the clean-energy economy to recover from the Bush-Exxon recession.

A Clean-Energy Economy Will Create 29,000 Jobs In Alabama. The Waxman-Markey American Clean Energy and Security Act (H.R. 2454), the EPA found, will “create strong demand for a domestic manufacturing market for these next generation technologies that will enable American workers to serve in a central role in our clean energy transformation” and “play a critical role in the American economic recovery and job growth.” A report from the Center for American Progress and the Political Economy Research Institute “finds that Alabama could see a net increase of about $2.2 billion in investment revenue and 29,000 jobs based on its share of a total of $150 billion in clean-energy investments annually across the country. This is even after assuming a reduction in fossil fuel spending equivalent to the increase in clean-energy investments. [EPA, 4/20/09; PERI, 6/18/09]

Waxman-Markey Directs Billions Of Dollars To Energy-Intensive Manufacturing. The Waxman-Markey American Clean Energy and Security Act (H.R. 2454) includes cost containment provisions, allowances for worker assistance and training, investments in clean energy technologies, a new clean energy deployment agency, and billions of dollars in direct assistance to trade-vulnerable and other industries. [Committee on Energy and Commerce, 6/9/09]

A Renewable Electricity Standard Would Reduce Costs In Alabama. The Energy Information Administration projects that a renewable electricity standard of 25 percent by 2025 – much stronger than the one in the Waxman-Markey legislation – would drive electricity costs down by more than 10 percent in Alabama and throughout the Southeast, as utilities move away from increasingly expensive coal to renewable biomass. [EIA, 4/09]

Alabama Is Especially Susceptible To Global Warming Damages. As a coastal state, Alabama is highly vulnerable to the devastation of hurricanes, which will increase in intensity as the oceans warm and sea levels rise. Rainfall is expected to decrease, increasing the rate of devastating droughts like that of 2007. By the end of the century, Alabama will have deadly heat waves over 90 degrees for more than four months every year. [U.S. Global Change Program, 2009]

From the Wonk Room.

After long negotiations, House leadership has unveiled the final version of the American Clean Energy and Security Act (H.R. 2454), to be voted on by the full House today. The bill’s author, Rep. Henry Waxman (D-CA), introduced an amendment in the form of a substitute (H.R. 2998), which incorporates a score of amendments to the legislation. The schedule today includes five votes on the passage of this historic bill, which would national standards for clean energy and global warming pollution, with final vote expected at 5 PM:

1. H. Res. 587: Adoption of the rule to set the terms of debate, officially three hours in total.
2. H.R. 2998: Adoption of the Waxman amendment in the nature of the substitute.
3. H.R. 513: Adoption of J. Randy Forbes (R-VA) substitute, the New Manhattan Project for Energy Independence.
4. Motion to recommit.
5. Final passage.

The final version of the Waxman-Markey act includes a mixed bag of changes. Weakening amendments include Rep. Collin Peterson’s (D-MN) concessions on behalf of Big Ag. In exchange for a restriction of the Building Energy Performance Labeling Program on behalf of the National Association of Realtors, Rep. Ed Perlmutter’s (D-CO) beneficial GREEN Act to spur energy-efficient homes will be adopted. Waxman included several other beneficial changes, including the Inslee (WA)-Markey (CO) clean-grid legislation, several critical green jobs amendments, and the Titus (NV)-Giffords (AZ)-Heinrich (NM) renewable energy standard for Federal agencies.

Below is a summary of the Waxman amendment, broken down by its the component amendments:

• Waxman (CA): Makes changes to accommodate States that utilize a central purchasing model for its renewable electricity standard, and makes additional changes.
• Inslee (WA) / Markey (CO): Provides FERC with sitting authority for the construction of certain high-priority interstate transmission lines constructed in the Western Interconnection and amends the National Interest Electric Transmission Corridors.
• Peterson (MN): Requires the Agriculture Secretary to establish a list of types of domestic agricultural and forestry practices that result in reductions or avoidance of greenhouse gas emissions, exempts the agriculture and forestry sectors from the bill’s emission caps, redefines “biomass,” and grandfathers existing biodiesel plants to exempt them from lifecycle analysis under the RFS.

From ThinkProgress.

In a 219-to-212 vote this evening, the House passed the American Clean Energy and Security Act, which will “for the first time put a price on carbon emissions” in the U.S. In the final minutes of the debate, House Minority Leader John Boehner (R-OH) threatened to obstruct the bill by reading 300 pages of amendments, but eventually relented and read only a few sentences from selected portions. Progressive Media compiled a video detailing the major arguments both for and against the bill. Watch it:

Despite promises that Republicans would rally against the bill, several members defected to support it, including Reps. Dave Reichart (R-WA), Mike Castle (R-DE), Mary Bono Mack, Mark Kirk (R-IL), Leonard Lance (R-NJ), Frank LoBiondo (R-NJ), Chris Smith (R-NJ), and John McHugh (R-NY). 44 Democrats voted against the legislation. Reps. John Lewis (D-GA) and Pat Kennedy (D-RI) both returned to the floor for the first time after tending to significant health issues to support the legislation.

From the Wonk Room.

“House Democrats filed a 1,201-page energy package late Monday night,” the latest version of the Waxman-Markey American Clean Energy and Security Act (H.R. 2454), “and said they are confident that they will resolve all outstanding issues in time for a vote Friday.”

The Charleston Gazette reports: “Coal mining costs Appalachians five times more in early deaths as the industry provides to the region in jobs, taxes and other economic benefits, according to a groundbreaking new study co-authored by a West Virginia University researcher.”

“Switzerland’s glaciers shrank by 12 percent over the past decade, melting at their fastest rate due to rising temperatures and lighter snowfalls, a study by the Swiss university ETH showed Monday.”

From the Wonk Room.

During last year’s Democratic primary, Rep. Leonard Boswell (D-IA) “relied heavily on Al Gore’s endorsement” despite having “never been out in front on global warming,” but is now threatening to “vote down” the Waxman-Markey American Clean Energy and Security Act.

Utah’s next governor, Lt. Gov. Gary Herbert (R-UT) told the Western Governors’ Association “it appears to him science on global warming is not necessarily conclusive.” He is replacing Gov. Jon Huntsman, nominated to be the ambassador to China, who entered Utah into the Western Climate Initiative.

“Aides to Sen. Robert C. Byrd (D-WV) are in southern West Virginia for what they call a three-day fact-finding tour about mountaintop removal mining,” meeting with “coal industry officials, environmentalists and citizens.”

From the Wonk Room.

In an agricultural hearing Thursday, committee chair Collin Peterson (D-Minn.) offered a withering critique of the comprehensive climate and clean energy legislation under consideration by the House of Representatives. Peterson, a conservative Blue Dog Democrat, attacked the Waxman-Markey American Clean Energy and Security Act (H.R. 2454) for including both clean energy and global warming pollution standards:

My big problem is that they are mixing climate change together with energy independence. I don’t think that is smart.

Peterson, like other skeptics of action on climate change, does not want Congress to consider the entire lifecycle of energy use. Others, including Vice President Al Gore, have argued our energy and climate crises are “linked by a common thread – our dangerous over-reliance on carbon-based fuels.”

Strongly supported by corporate agriculture contributors, Peterson is attempting to alter Waxman-Markey to limit regulations of agriculture subsidies.

By replacing petroleum, biofuels have the potential to dramatically reduce global warming pollution. But scientists have found biofuels can also worsen global warming by encouraging farmers to cut down the diversity-rich tropical forests that soak up carbon dioxide. Similarly, farmers may be able to trap more carbon in soil and plants through changes in agricultural practices, allowing them to sell billions of dollars of “offsets” in a carbon cap-and-trade market. But experts such as Joseph Romm of the Center for American Progress have explained that poorly regulated offsets are little more than worthless subsidies.

The Environmental Protection Agency is considering the global warming consequences of biofuel production as it develops new renewable fuels standards. Similarly, Waxman-Markey would put the EPA Administrator and an independent scientific board in charge of devising the rules for agricultural offsets to maintain their integrity. Peterson’s response:

A lot of us on the Committee do not want the EPA near our farms. And, I don’t think you are going to get any type of a bill through Congress, whatever the administration wants, that is going to have that system, for whatever it is worth.

At Grist, Tom Philpott responds to Peterson:

The current version of Waxman-Markey contains almost no language on agriculture. (As I’ve written before, agriculture is exempt from any cap on greenhouse-gas emissions.) But farming projects would still be eligible for offsets through an offsets-review board that the legislation would set up within the EPA. Big Ag isn’t content with that arrangement. In the coming days, the game will be to insert specific language around ag offsets into the legislation—and promote a certification process developed by Big Ag itself.

For weeks, Peterson has threatened to block Waxman-Markey if his demands are not met. It appears that he’s in the driver’s seat.

From the Wonk Room.

“We really can’t say we’re the Saudi Arabia of coal anymore,” says Brenda Pierce, head of the USGS team that found the estimates of a 240-year supply of coal in the United States to be grossly inflated, as “relatively little of it can be profitably extracted.”

The Congressional Budget Office has released its cost estimate of the Waxman-Markey American Clean Energy and Security Act (H.R. 2454), finding that it would reduce budget deficits “about $24 billion over the 2010-2019 period.”

In a mock hearing today, Republican senators Lamar Alexander (R-TN), John McCain (R-AZ), and Jim Bunning (R-KY) “will propose building 100 new nuclear power plants over the next 20 years” instead of a mandatory cap on greenhouse gas emissions.