Fate of renewables lies with Senate

Congressional Round-up: Under pressure from more than 100 businesses, trade groups and environmentalists, the Senate continues to look for a way to extend tax credits for renewable energy and efficiency. The House has twice passed a bill extending the credits, due to expire at the end of the year, but both time the Senate fell 1 vote short of the 60 needed to avert a filibuster. Some GOP senators and the White House don’t so much object to extending the credits as they dislike the means of paying for them – rolling back tax incentives for oil companies. Senators were looking at the budget reconciliation bill as a way to extend the credits with the money coming from somewhere else, but that fell through this week. Options left include getting that extra vote (how about you, Sen. McCain?) or finding some other way to pay for it. GE and BP both added their voices to the call for extension. Both have investments in wind energy. Advocates say the extensions would create new jobs and help lower the cost of energy. Without them alternative energy projects are at risk, and investment is already slowing down. (Source: E&E Daily)

Two reps unveil bill to force EPA to grant tailpipe waiver
Reps. Peter Welch (D-Vt.) and Brad Sherman (D-Calif.) were to introduce a bill Thursday to force the EPA to grant a waiver that would give California and 12 others states authority to implement their tailpipe emissions bills. The EPA’s denial of the waiver “defied science, defied the states, and defied common sense,” Welch said. Called the Right to Clean Vehicles Act, the bill had 42 co-sponsors Wednesday, most of them Democrats. Call and ask your Congressman to add his/her name (202-224-3121). Senate Environment Committee Chair Barbara Boxer (D-Calif.) introduced an identical bill (S. 2555) in the Senate more than a month ago and has said she will subpoena communications between the EPA and White House on the matter, to see if there was undue influence. The EPA director clearly ignored his staff’s opinion in refusing the waiver. Meanwhile 15 states have filed suit to have the EPA decision overturned. (Source: E&E News PM)

Dingell issues white paper on pre-emption of state auto rules
Two leaders of the House Energy Committee have raised a concern about state and local global warming laws, acknowledging they have led the way, but saying a federal law may have to pre-empt them. Rep. John Dingell (D-Mich.), Energy Committee chair, and Rick Boucher (D-Va.), say that a patchwork of global warming laws could cause job loss in states that don’t have them, especially in the auto industry, which Dingell champions. The “patchwork” includes a tailpipe emissions law passed by California and 12 other states (currently blocked by the EPA), global warming emissions laws by California, Hawaii, Maine, Minn., N.J. and Ohio, emissions trading by regional groups involving 39 states, and several governors who have set emissions targets. In addition, more than 800 cities and villages have committed to meeting the Kyoto requirements of cutting GHG 7% below 1990 levels by 2012. The states, the two say, will probably need to do the monitoring, pass building codes and plan for land-use. The white paper, one of several related to global warming, is meant to stir debate of the issue and doesn’t offer specific answers, the authors said. (Source: Greenwire)

Rep. Dingell: Cap-and-trade unlikely this year

Congressional round-up: House Energy Chair John Dingell (D-Mich.) told E&E Daily this week that passing a global warming bill this election year is “on the verge of impossible.” With all House seats up, the election will be a “terrible distraction,” said the octogenarian, who will take the lead in drafting a House cap-and-trade bill. He indicated he is likely to include pre-emption of stronger state legislation. Rep. Rick Boucher (D-Va.) chair of the Energy and Air Quality subcommittee, said cap-and-trade will produce new jobs, spur new technology and produce a flood of exports. Ranking minority subcommittee member Rep. Fred Upton (R-Mich.), however, sees a loss of jobs and costs to the economy. (Source: E&E News PM)

Stimulus package not likely place for renewable credits
With the expiration of tax incentives looming for solar, wind and other renewable energy, trade groups and environmental organizations see an opportunity for inclusion in an economy stimulus package. But Senate Finance Chair Max Baucus said this week that is unlikely. He agrees the incentives need to be extended, or investment and renewable energy projects will slow down, but sees it in a separate package of bills. Senate Energy Chair Jeff Bingaman (D-N.M.) said the credits need to be extended soon, but that the stimulus package is not the best vehicle. (Source: E&E News PM)