Monday, March 22, 2010

Enviro groups praise Kerry-Lieberman-Graham; but energy standard may include non-renewables



(Photo of nuclear plant from Flickr and photographers iluvcocacola/Bill and Vicki Tracey)


Twenty environmental groups praised the Kerry-Lieberman-Graham Senate climate bill Friday, despite the fact that it is business-friendly.

Meanwhile issues like a renewable energy standard, offshore-drilling revenue sharing, free permits for power plants, and pre-emption of EPA and states’ programs are still being discussed and resolved by the bill’s three authors.

Saying they are “encouraged by the progress” of the bill, which curbs emissions by 17% in 2020 and 80% in 2050, were the Alliance for Climate Protection, Sierra Club, Natural Resources Defense Council, Environment America, League of Conservation Voters, Environmental Defense Fund, National Wildlife Federation, Blue Green Alliance, Center for American Progress Action fund, Union of Concerned Scientists, National Tribal Environmental Council, Environment Northeast, National Audubon Society, Interfaith Power and Light, Conservation International, Defenders of Wildlife, Clean Water Action, Wilderness Society, Climate Solutions and Environmental Law and Policy Center.

In an effort to avoid industry’s heavy lobbying against the bill and draw bi-partisan support, the authors made major concessions on domestic oil and gas drilling, help for nuclear power, and support for “clean coal.” It has been positioned as a jobs and anti-pollution bill that reduces dependence on foreign oil.

Unresolved issues
With plans to show the bill to other Senators as early as tomorrow, the trio has been working to finalize several matters.

One involves state revenue sharing of offshore oil royalties. To give an incentive for state approval, which is needed to drill off their coastlines – even in federal waters – there is a proposal to give states 25% of what the federal government stands to gain. Another 10% would go in a Land and Water Conservation Fund. It remains to be seen if the west coast of Florida, the only area off-limits to offshore drilling, will have a change of status.

Another issue still unresolved is whether a renewable energy standard will be morphed into a “clean energy” standard, to include one or more of the following: nuclear power, which is greenhouse-gas-free but not renewable (big problem); natural gas (which has about half the emissions of coal); and coal plants that use carbon capture and storage. Sen. Lindsey Graham (R-N.C.) has floated a plan with a higher standard than last year’s Energy Committee bill (20% in 2020, rather than 15%), but it is a clean – not renewable – energy standard. Sen. Joe Lieberman (I-Conn.) clearly favors adding nuclear.

It also appears that power plants, the first to be affected by the bill, would get free pollution permits to start, in what now may be back to a cap-and-trade, or at least cap-and-dividend, system. And they would be able to use offsets, to protect forests and land here and abroad, to meet their quota. Power plants emit about 40% of all GHG.

Finally, the bill has a controversial section that takes aim at the EPA and states, pre-empting EPA regulation of GHG emissions and of hydraulic fracturing used to get natural gas out of shale. It will also override states’ and regions’ cap-and-trade plans. Some from states that are out front on climate change object, saying every level of government needs to be involved in the fight against climate change.

For those wanting to read more on the work-in-progress, a post on Grist and Wonk Room compares the current draft with Obama’s proposal and the Waxman-Markey bill passed by the House last summer.

Also, scroll down to see Earthling Angst posts over the past couple of weeks as this bill was fine-tuned after meetings with all sides.

(Sources: Reuters, E&E Daily, E&ENewsPM, grist.org)

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