“[The Inflation Reduction Act] does about two-thirds of the work we need to do to hit our climate goals, which for a single piece of legislation is a really big deal. And by driving down the cost of clean energy, it can make it easier for states or cities or companies to take further climate actions on their own,” said Jesse Jenkins, an energy systems engineer at Princeton who helped lead a new analysis of the bill.
CLEAN ENERGY
Must Be Equitable
Biden expands community solar. Though many homeowners are interested in installing solar arrays, upfront cost remains a big barrier for adoption. The White House announced new efforts to boost community solar power systems for low-income households. New guidance from the Department of Housing and Urban Development will allow residents of subsidized housing to sign up for community solar (without counting solar credits as income, which could jeopardize their eligibility for rental assistance. A pilot program will also develop a digital platform to manage community solar subscriptions for households participating in the Low-Income Home Energy Assistance Program. The Biden administration says these programs can save subscribers 20 percent on their energy bills, and believes these efforts could accelerate demand for up to 100 gigawatts of community solar. (The Verge)
CLEAN ENERGY
Is Affordable
Climate deal could lower energy bills. The $370 billion Manchin-Schumer surprise budget deal includes tax credits and rebates aimed at bringing down energy costs for consumers. These provisions in the Inflation Reduction Act are designed to make it cheaper for households to adopt money- and energy-saving technologies like electric vehicles, heat pumps, and home solar arrays. Specific provisions include up to $7,500 tax credits for new EVs, up to $4,000 tax credits for used EVs, up to $8,000 in rebates for heat pumps, up to $4,000 rebates for home electrical upgrades, and a 30 percent tax credit for residential solar. (Bloomberg $)
CLEAN ENERGY
Is A Good Investment
Climate bill offers a huge boost to auto and energy industries. The Inflation Reduction Act could reshape American industrial policy, offering a big leg up to the auto and energy industries. The bill includes investments and incentives to increase domestic energy production from clean energy and fossil fuels alike, as well as American EV supply chains. Overall, the bill aims to reduce U.S. reliance on foreign energy and jump start clean energy manufacturing in the U.S., lessening reliance on supply chains long dominated by China. (Wall Street Journal $)
CLEAN ENERGY
Is Replacing Fossil Fuels
New climate bill could reduce emissions by 41 percent. Analysis of the new Inflation Reduction Act finds that it would bring the U.S. much closer to its goal of cutting climate pollution in half by 2030. While it still falls short of the 2030 target, experts and analysts say the bill would take important steps to scale up clean energy while driving down costs — which could help accelerate the energy transition. Without the bill, the U.S. is only on track to reduce its climate pollution by just 26 percent by 2030. If passed, this would be the country’s largest-ever climate investment. (New York Times $)
Hawaii says goodbye to coal. Hawaii received its last-ever shipment of coal as it prepares to shut down its last remaining coal-fired power plant in September. While the plant once provided 13 percent of the state’s power supply, Hawaii has been aggressively pushing to decarbonize its energy resources over the last decade, pledging to reach 100 percent renewable energy by 2045. Much of its energy transition progress has come from the proliferation of rooftop solar installations. Utilities report that the state’s second- and third-most populous counties received more than half of their power from renewable sources last year. (Gizmodo)
A new world record for renewable energy investments. Global investment in clean energy rose to $226 billion in the first quarter of 2022, a new record and an 11 percent jump from the same period last year, according to data from Bloomberg New Energy Finance. The vast bulk of the spending went to finance solar and wind energy projects, which rose 33 percent and 16 percent year-over-year, respectively. Even as global supply chain challenges and inflation have raised the costs of energy, analysts say the new investments show that demand for clean energy remains strong. (Utility Dive)
CLEAN ENERGY
Is Challenging
Transmission woes hold back clean energy in Texas. Wind energy in Texas is growing and the state’s High Plains region could generate enough to power 9 million homes — but Texas’s inadequate transmission infrastructure is preventing that energy from being moved throughout the state. Texas has more wind turbines than any other state, and its wind farms supply over 20 percent of the state’s total energy mix. But the lack of transmission means that even when demand is high in other parts of the state, the High Plains region may still have to curtail its turbines. These transmission challenges come as high energy demand has strained the Texas grid, raising electric bills and forcing leaders to urge residents to conserve power. (Texas Tribune)
MULTIMEDIA
Video: Energy Secretary Granholm talks with Stephen Colbert
