Energy Update: Week of April 8th

Friends,

I hope you survived the “Big” 4.8 earthquake in New Jersey on Friday. I was in Philly at SEJ and didn’t even feel it! (although both my daughters Hannah and Olivia who are in the Philly area called me during the SEJ Hydrogen Panel to tell me about it). Now, get ready for the big solar eclipse this afternoon.  I just hope there are no clouds around.  The action begins when the moon’s shadow will start to cover the edge of the sun at 2:04 p.m. The eclipse will peak at 87% coverage of the sun (in DMV) at 3:20 p.m. Then the amount of sun covered will start to diminish until the eclipse ends just before 4:33 p.m.  I will be using the “Path of Totality” for almost every update going forward.

NCAA hoops closed out yesterday for the women with South Carolina beating Iowa and Caitline Clark. For the third time, the Gamecocks are national champions, completing a perfect 39-0 season. Men’s Final tonight with defending champ UConn taking on Purdue. This game will likely be a thriller!! Tip at 9:20 p.m.

This week is shaping up to be a big week for the Biden LNG Pause. The Japanese Prime Minister will be here for a State Dinner and ceremonies around the Cherry Blossom festival and we are paying attention to the discussions of LNG and Japan, especially after enviros demanded that the Japanese get rid of fossil fuels (have news for you; that is NOT happening). Anyway, tomorrow, the Japanese PM and his delegation will be at the Chamber for meetings, and we expect the LNG pause and access to US LNG will be on the agenda.

Congress is back after two weeks in the districts. Most of the action is looking for a resolution to Ukraine funding. To that end, last week, “White House sources” appeared to leak that the Administration was open to trading LNG pause for Ukraine, which of course was quickly shot down by official White House spokespeople.  We are definitely tracking this especially with Japanese headed to the White House.

To that end, this morning, House Energy and Commerce holds a field hearing in Port Arthur TX on the Biden LNG export ban and how the politics are hurting local communities and US energy security. Port Arthur Mayor Thurman Bill Bartie, Port of Port Arthur CEO Larry Kelley, Lamar State College job program expert Betty Reynard and Port Arthur Community Action Network CEO James Beard all testify.

It is Master’s Week.  I will be closely tracking “Amen Corner” on Thursday and Friday on www.masters.com, so you can call with questions, but maybe they’ll go unanswered. (You know they won’t…)

Best,

Frank Maisano

(202) 828-5864

C. (202) 997-5932                                                                                                                      

FRANKLY SPOKEN

"Secretary Tom Vilsack and I decided that there needed to be updates to that model for future programs that this administration was designing. We put some money into updating the model to be Clean Air Act compliant. We have all the players at the table. Our timeline has fallen by a couple weeks, if not a month. But in the very near future, we will have that model up and running and applied in the ways we said it would be applied.

EPA head Michael Regan at SEJ in Philadelphia when asked by a reporter about the update of the GREET model and how he sees EPA implementing the update of the GREET model for the Renewable Fuel Standard.

ON THE PODCAST

NET Power Talks Oxy-Combustion – On this episode of EDU Connect, Energy Dialogues University podcast hosts, Hope Pratt and Chloe Young, sit down with NET Power CEO Danny Rice. The conversation provides a look into Danny’s career in the energy industry and how NET Power is transforming natural gas into clean energy through its patented oxy-combustion process.

FUN OPINIONS

Frost, Gonzalez: LNG Pause Hurt US Geopolitical Strength – In a new op-ed in RealClearPolitics, two Democrats, Rep. Vicente Gonzalez and retired Rep. Martin Frost, took aim at the Biden administration’s LNG pause, arguing that it reneges on a “multi-decade era of bipartisan cooperation” on U.S. energy policy, including under former President Barack Obama, and risks making the nation more reliant on adversaries for energy supplies. Gonzales and Frost praised the U.S.’s new status as the world’s largest LNG supplier., saying the US’s LNG dominance has created a “new geopolitical tool” for the country that is helpful when going toe-to-toe with OPEC and energy-rich nations that have sought to leverage their energy influence in previous decades to shape foreign policy. “We are living in a uniquely challenging time where unwise domestic policies in Washington can have profound foreign geopolitical implications,” they wrote. “DOE’s decision to stall LNG exports is certainly one of them.”

FROG BLOG

RMI Expert Highlights Why We Need Hydrogen Hubs – This week the RMI blog features an interview with RMI Principal Nabil Bennouna about the role regional clean hydrogen hubs will play in advancing the clean energy transition. Building on more than fifteen years of experience in the execution of large-scale infrastructure projects and corporate strategy, Bennouna focuses on catalyzing the economy for clean hydrogen, which has low or zero carbon emissions associated with its production, storage and distribution. To advance this market, Nabil provides advisory support to regional hydrogen hubs, works to develop international clean hydrogen trade, and designs novel counterparty arrangements between supply, demand, and finance to facilitate project development. Nabil thinks of hydrogen hubs as more than just pipes and wires: hubs will be a layered system of human interactions, economic policy, and cross-regional collaboration. I sat down with him to get his take on hydrogen hubs, why they are needed, and what a successful rollout could look like.

FUN FACTS

Levels of GHGs Continue to Rise: Levels of the three most important human-caused greenhouse gases – carbon dioxide (CO2), methane and nitrous oxide – continued their steady climb during 2023, according to NOAA.

IN THE NEWS

EFI Survey: Industry Faces Serious Challenges with Growth – A new report from the EFI Foundation says there are several ongoing challenges with spiking demand growth from new manufacturing, electrification and data centers, including ongoing barriers to building new power generation and transmission and large, unexpected load additions. EFI also warned that emissions may rise in the near term as more gas generators will be needed to meet the sudden rise in electricity demand. EFI collectively sorted through detailed takeaways from a meeting with 30 senior-level experts representing utilities, system operators, former policymakers and regulators and others.

SEC Pauses Regs – The SEC has decided to Pause its implementation of its climate reporting rules.  The move is expected to speed the agency decision on the rules’ legality. The SEC told the US Court of Appeals for the 8^th Circuit late last week it would stay the requirements for public companies to report their greenhouse gas emissions and disclose climate-related risks to their business, pending the court’s review.

DOE Releases Building Efficiency Blueprint – The Department of Energy released a plan for reducing greenhouse gas emissions from buildings – the first sector-wide strategy for decarbonization in buildings from the federal government. In partnership with other agencies, such as the Department of Housing and Urban Development and the Environmental Protection Agency, the plan is meant to reduce GHGs from buildings by 65% by 2035, and 90% by 2050. The blueprint has four basic objectives: increasing building energy efficiency, accelerating onsite reductions, reforming the connection between buildings and the electricity grid, and reducing emissions from producing, transporting, installing, and disposing of building materials. To reach those goals, the department plans to fund research and development to create lower-cost technologies, directly fund and finance these technologies, and implement building codes and appliance standards that are less emissions-intensive.

AGA Pushes Back on DOE Plan – The American Gas Assn push back hard saying DOE’s Blueprint is not based on sound science or facts and would jeopardize our country’s energy security and environmental progress. AGA and the industry have consistently supported efforts to improve efficiency and lower emissions, and natural gas has played an essential role in helping our nation achieve its energy and environmental goals. The “blueprint” lays out a plan that would impose higher costs on families and businesses and decrease the reliability of the energy system with little documented environmental benefits. AGA’s study Net-Zero Emissions Opportunities for Gas Utilities examined the numerous pathways natural gas utilities can take to reach net-zero greenhouse gas emissions. Pathways that utilize natural gas and the vast utility delivery infrastructure offer opportunities to incorporate renewable and low-carbon gases, provide optionality for stakeholders, help minimize customer impacts, maintain high reliability, improve overall energy system resilience, and accelerate emissions reductions.

“Our industry has a proven track record of lowering emissions while continuing to provide safe, affordable and reliable service to our customers,” said AGA President and CEO Karen Harbert. “This DOE report calls for the electrification of 75% of all space heating and 25% of water heating by 2035 on the premise that 100% of our electricity will be from renewable sources a single decade from now. According to the federal government’s National Renewable Energy Lab’s 100% Clean Electricity by 2035 study however, current policies plus accelerated electrification would nearly double the amount of fossil fuels used for power generation. We encourage DOE to recognize the role natural gas and the natural gas delivery system have had in driving down emission, underscoring it as one of the most powerful decarbonization tools available today.”

DOE Talks Heat Pumps At Summit – At the annual Better Buildings, Better Plants Summit today, the U.S. Department of Energy (DOE) announced new Better Building Initiatives to help organizations in all sectors of the U.S. economy save energy while reducing costs and emissions. Among the new initiatives is the Better Buildings Commercial Building Heat Pump Accelerator, through which manufacturers will produce higher efficiency and life cycle cost-effective heat pump rooftop units and commercial organizations will evaluate and adopt next-generation heat pump technology.

DOE also announced the following at the Summit today:  

• Recognizing Leadership: More than 40 organizations received Better Project, Better Practice and Climate Finance Innovator awards for their industry-leading accomplishments in decarbonization, energy and water efficiency, or waste reduction. 65 organizations were recognized as recipients of the tenth annual Green Lease Leaders awards for their leadership in leveraging green leases for the advancement of sustainability or net zero goals.  
• New Working Groups on Decarbonization: DOE launched three new working groups for Better Climate Challenge partners focusing on central plant decarbonization, shifting to low-impact refrigerants, and financial strategies for industrial decarbonization.  
• Sharing Successful Pathways: DOE’s Better Buildings Solution Center has been overhauled to improve navigation, functionality, and design, focusing on a new, powerful search platform to more effectively filter 3,000+ efficiency and decarbonization solutions. 

DOE Lighting Prize American Made Challenge: The third and final phase of the challenge offers $10 million in prizes for up to four winners for producing and installing next-generation lighting products for commercial buildings. 

DOE Announces $4 Billion in Tax Credits Under 48C – DOE announced $4 billion in tax credits under the Qualifying Advanced Energy Project Tax Credit 48C. The announcement includes over 100 projects across 35 states to accelerate domestic clean energy manufacturing and reduce greenhouse gas emissions at industrial facilities. The 48C Program was expanded with a $10 billion investment under the Inflation Reduction Act of 2022. At least $4 billion of the total $10 billion will be allocated for projects in designated § 48C energy communities—communities with closed coal mines or coal plants as defined in Appendix C of IRS Notice 2023-44. The § 48C Program provides an investment tax credit of up to 30% of qualified investments for certified projects that meet prevailing wage and apprenticeship requirements. DOE has announced an intent to open a new round of opportunities for obtaining this tax credit expected to be issued this summer. Three FCHEA members (Nel, Ballard and Electric Hydrogen) were selected for funding under § 48C. Frank Wolak said, “As an association, it is rewarding to see the industry realize the benefits of coordinated and wide-ranging advocacy efforts of FCHEA and our members.”

ON THE SCHEDULE THIS WEEK

Solar Eclipse Expected – On April 8^th, there will be a total solar eclipse. NASA holds a media briefing tomorrow with scientific and transportation agencies on plans for it.

Energy Storage Discussion Set – This morning, the Edison Foundation’s Institute for the Energy Transition, the U.S. Department of Energy, EPRI, and Long Duration Energy Storage Council host the inaugural Long-Duration Energy Storage Summit, which will highlight successful long-duration energy storage (LDES) projects underway and advances in LDES research and technologies. DOE Assistant Secretary for Energy Gene Rodrigues and officials from the DOE Sandia National Laboratories LDES National Consortium will deliver keynote remarks on the federal LDES efforts underway. Xcel Energy and Alliant Energy, along with partner organizations, will present key findings and lessons learned from three successful LDES case studies implemented across the United States, including the process for funding, developing, and deploying large-scale LDES projects. EPRI and LDES Council executives also will present on their latest LDES research efforts. Live Stream HERE.

DOE Hosts Clean Fuels Forum – The U.S. Department of Energy (DOE) will host the Clean Fuels & Products Shot™ Summit today and tomorrow. The two-day virtual summit will focus on research, development and demonstration strategy to establish the United States as a world leader in clean fuel and clean carbon-based chemical production. The event that will gather stakeholders across government, industry, academia, and non-profit organizations to engage on the objectives, progress, priorities, and future plans for the 7^th DOE Energy Earthshot™. Our Friend DOE’s Jeff Marootian speaks along with Nebraska Gov Jim Pillen, DOE’s David Turk, Brad Crabtree and Geraldine Richmond.

Wilson to Look at Climate Smart Ag – Today at Noon in a China Town Hall panel, the Wilson Center’s China Environment Forum looks at Climate-smart agricultural practices that could help the US and China reach net zero goals and ensure food security.  Shaoxin Li (Climate Bonds Initiative) and Ben Thomas (EDF) will discuss strategies in the United States and China for funding and incentivizing climate-smart agriculture.

Forum Discusses US Steel Sale – Mighty Earth hosts a news conference today at 3:30 p.m. at the

National Press Club on the Climate, Health, and Security Implications of the U.S. Steel Sale. The panel will explore the climate and health effects of U.S. Steel’s operations and its pending sale, followed by a Q&A session moderated by Ben Geman, Energy Reporter at Axios. SAFE’s Joe Quinn, an expert on strategic industrial materials and RMI’s Aaron Brickman are among the speakers.

House Field Hearing Set for LNG Discussion – House Energy and Commerce Committee and Energy, Climate, and Grid Security Subcommittee hold a field hearing today at 4:30 p.m. in Port Arthur, Texas, today on Biden’s LNG export ban and how politics hurts local communities and US energy security.

Forum Looks at Adapting, Mitigating Climate – Tomorrow at 8:30 a.m., the Atlantic Council's Global Energy Center holds a discussion on the most impactful ways to adapt to and mitigate against climate change. Akshat Rathi, senior reporter for climate at Bloomberg News, argues that you could do both in his new book, Climate Capitalism: Winning the Race to Zero Emissions and Solving the Crisis of Our Age. Neela Banerjee, National Public Radio’s first-ever chief climate editor will join Rathi to delve into the key questions

Forum Look at Green Trade – The Peterson Institute for International Economics holds a virtual discussion tomorrow at 9:00 a.m., on how trade can become greener.

Forum Look sat Military Energy Use – The Institute for Defense and Government Advancement holds its 16^th Operational Energy Summit tomorrow and Wednesday in Reston.  Principal Deputy Assistant Army Secretary for Energy Installations and Environment Paul Farnan delivers remarks on exploring electrification.

RMI Looks at Virtual Power Plants – Tomorrow at 2:00 p.m., RMI holds a forum on Virtual power plants (VPPs) offering utilities and grid operators cost-effective, reliable, and resilient grid service solutions, while providing customers savings on their energy bills. This webinar explores principles for policy and regulation that can support the fair and efficient growth, integration, valuation, compensation, and advancement of VPPs.

GW Discusses Russian Resources – The George Washington University Elliott School of International Affairs holds a discussion tomorrow at 4:00 p.m. on the effect of sanctions on Russia's natural resources revenues after February 2022.

Senate Environment Looks at Air Quality Tech – The Senate Environment Committee holds a hearing Wednesday at 10:00 a.m. on the state of air quality monitoring technology.

Senate Approps Hosts Forest Service – The Senate Appropriations Interior, Environment, and Related Agencies Subcommittee holds a hearing on a review of the President's FY2025 Budget Request for the U.S. Forest Service.

House Energy Panel Looks at Nuclear – The House Energy and Commerce Energy, Climate and Grid Security Subcommittee holds a hearing Wednesday at 10:30 a.m. on American nuclear energy expansion. The Hearing will address spent fuel policy and innovation.

C3 Looks at Clean Energy Innovation – On Wednesday at noon, C3 holds an online panel discussion on ways to accelerate private and public innovation. – Innovation is essential to meeting the world’s energy needs and environmental goals. The path to breakthrough technology means moving from idea to lab to commercial market–and depends on many factors.

House Resources Tackles Wildlife Rule – The House Natural Resources Water, Wildlife and Fisheries Subcommittee holds a hearing on Wednesday at 2:00 p.m. addressing risks to the national wildlife refuge system. The heating will look at the impacts of the U.S. Fish and Wildlife Service's proposed BIDEH (Biological Integrity, Diversity, and Environmental Health) rule.

Senate Energy Focuses on Water Resources – On Wednesday at 2:30 p.m., the Senate Energy Water and Power Subcommittee holds a hearing on Federal and non-Federal role of assessing cyber threats to and vulnerabilities of critical water infrastructure in our energy sector.

CRES to Host Tax Credit Discussion – The Citizens for Responsible Energy Solutions (CRES) holds a CRES Forum briefing on Wednesday at 4:00 p.m. on clean energy tax credits. The event will explore whether the federal clean energy incentives are working and what other policies Congress should pass to spur clean energy deployment on IRA and IIJA, any private sector barriers and returns, as well as what lies ahead.

WaPo Host Tipping Points Summit – On Thursday at 9:00 a.m. Washington Post Live holds a compelling and high-powered summit with policymakers, innovators and civic leaders examining the tipping points at this critical moment. Speakers include John Podesta, MD Gov. Wes Moore and many more.

Forum Looks at Cyber Security of Grid – The US Energy Association holds a virtual discussion Thursday at 11:00 a.m., on managing cybersecurity risks in a rapidly expanding electric grid.

POLITICO Hosts Climate Health Forum – POLITICO holds a conversation on Thursday at 3:45 p.m. examining links between catastrophic weather events and medical challenges, and how industry and government can better collaborate to tackle disparities at the intersection of climate change and health care. The Rainey Center’s Sarah Hunt is among the speakers.

DOE, Rep. Carter to Discuss Manufacturing Supply Chain with Axios – On Thursday at 5:30 p.m., Axios holds an evening event to discuss the best ways to build stronger supply chains, particularly the mineral supply chain, enhance domestic energy sourcing, and other pathways that could expedite the transition to renewable energy sources. Axios Pro policy energy and climate reporter Jael Holzman and Axios senior climate reporter Andrew Freedman will host one-on-one conversations with DOE’s Director of Office of Manufacturing and Energy Supply Chains Giulia Siccardo and House Energy & Commerce Committee member Buddy Carter.

EESI Hosts Clean Energy Investments – The Environmental and Energy Study Institute (EESI) holds a briefing on Friday at 9:30 highlighting the impacts of the latest Department of Energy (DOE) research and innovations in energy efficiency, renewable energy, and sustainable transportation. In particular, the briefing will focus on Office of Energy Efficiency and Renewable Energy (EERE) program successes, as well as plans for future investments. The briefing will highlight key proposed investments in the Biden-Harris Administration’s fiscal year 2025 budget request and partnerships between EERE and the private sector that improve and deploy clean energy. Panelists will discuss how investments in advanced technologies supported by DOE can drive decarbonization while building a clean energy workforce, advancing environmental justice, and keeping energy affordable. DOE’s Jeff Marootian leads a group of speakers.

THE FUTURE

Hochstein, Bechtel Headline Columbia Energy Summit – On April 16, the Center on Global Energy Policy at Columbia University SIPA holds its annual Columbia Global Energy Summit. This year’s day-long Summit will address myriad issues at the heart of today’s complex geopolitical, environmental and economic landscape, including the impact of climate change and the energy transition on geopolitics and security; the outlook for clean energy deployment in the face of growing policy support, as well as challenges such as interest rates, permitting reform and trade conflict; pathways to mobilize finance for clean energy in emerging and developing economies; energy justice imperatives; and the impact for energy and climate policy in key elections around the world in 2024. Speakers from around the world, including current and former minister-level officials, CEOs of major companies, leaders from civil society, and experts from academia and think tanks will offer valuable global and regional perspectives on critical challenges facing the global energy and climate community. Program highlights include Bechtel CEO Brendan Bechtel, former U.S. National Security Advisor Tom Donilon, Senior Advisor to the President for Energy and Investment Amos Hochstein and German State Secretary and Special Envoy for International Climate Action Jennifer Morgan.

Energy Thought Summit Set for Austin – Zpryme holds the 11^th Energy Thought Summit (ETS) in Austin, TX on April 15-18^th to look the industry’s past achievements, and opportunities that lie ahead. Industry pioneers, thought leaders, and visionaries, will address the boundaries of what is possible and shape a future powered by clean, accessible energy sources. Part of the event includes nominating six energy thought leaders from across the nation to be awarded 2024's Thought Leader of the Year. Our friend Bryan Hannegan of Holy Cross Energy is among the nominees.

WaPo Talking Decarb – On Wednesday, April 17 at 3:00 p.m., key stakeholders and experts join Washington Post Live to assess the state of manufacturing, the workforce required to sustain its growth and how manufacturing can play a role in decarbonizing the economy. NAM’s Jay Timmons and UMBC President Valerie Sheares Ashby discuss electric vehicles and other clean-energy technologies and their contributions to the recent growth in American manufacturing and new opportunities for modernization.

DOE Minority Business Event Set for LA – DOE is hosting its 2^nd annual Minority Business Enterprise Summit on Wednesday April 17^th and Thursday April 18^th in Los Angeles.  It will feature a number of speakers highlighting important minority business leadership. The event connects minority business enterprises (MBEs) with opportunities at DOE Program Offices and National Labs and other federal agencies, financial institutions and nonprofit organizations working to realize an equitable clean energy future and build lasting, productive relationships.

Semafor World Economy Summit Set for DC – The 2024 Semafor World Economy Summit – the only major media event to be held against the background of the IMF and World Bank meetings, will take place in Washington, D.C. on April 17^th and 18^th.  Chamber President Suzanne Clark is among the high-profile speakers at the event.

Forum Promotes MDBs on Sustainability – On Thursday April 18^th, the Center for Global Development holds a forum at 11:00 a.m. on mobilizing the private sector through multilateral development banks (MDBs). In this event, CGD President Masood Ahmed will moderate a panel discussion with key public and private leaders to grapple whether MDBs can the effectively mobilize private finance at the necessary scale. They will discuss feasible mobilization levels and what must be done to achieve them.

Reuters Event Look sat Hydrogen – Reuters Events are hosting a forum on Hydrogen investment – strategies for success on Wednesday April 18^th at 11:00 a.m. ET.  Speakers include Michelle Michot Foss of the Baker Institute for Public Policy and Henrik Solgaard Andersen, VP Low Carbon Solutions - Global Hydrogen from Equinor.

EPA’s Uhlmann to Address Air Regulators – The Association of Air Pollution Control Agencies (AAPCA)holds its 2024 Spring Meeting on April 24-26^th in Indianapolis.  David Uhlmann, Assistant Administrator for U.S. EPA’s Office of Enforcement & Compliance Assurance (OECA) will provide the keynote.

Economists Look at Reliability – The National Capital Area Chapter of the U.S. Association of Energy Economists hold its 27^th Annual Energy Policy Conference on Thursday April 25^th at George Mason University. The forum will be on ensuring reliability.  Keynote speaker will be Julian Nebreda, President and CEO of Fluence. This conference will examine the potential supply-demand gaps across energy systems and consider the solutions through the lens of energy economics. Topics will include the supply and demand challenges, both domestically and internationally, how data centers and electrification are driving unexpected electricity demand while examining the constraints on supply and the incentives needed to drive solutions. Finally, it will examine the role of natural gas in this context and feature a major study by the National Petroleum Council on greenhouse gases across the gas value chain to be released that week.

WHCA Dinner Set – The White House Correspondent Association’s next annual dinner is on Saturday April 27^th at the Washington Hilton.

Cement Techs on Display at Denver Forum – The cement industry holds its 66^th annual IEEE Industry Applications Society (IEEE-IAS) and the Portland Cement Association (PCA) Conference in Denver, Colorado on April 28^th to May 2^nd at the Colorado Convention Center. Keynoters include Baseball great Jim Abbott and geologist Rob McCaffery.

Forum Looks at Procurement, Supply Chains – Ceres and the Security and Sustainability Forum co-host a webinar on Monday April 29^th to address a new era of Federal procurement, managing climate risks and promoting sustainable supply chains. The event will provide a comprehensive overview of the proposed rules, including their scope, compliance requirements, and broader relevance to meeting climate goals, saving taxpayers money, and promoting national security.

CLEANPOWER Set for Minnesota – The American Clean Power Assn holds its annual CLEANPOWER 2024 forum on May 6^th to 9^th at the Minneapolis Convention Center in Minnesota.

ACORE Holds NYC Finance Forum –   ACORE Finance Forum will be held on June 4-5 in New York City.