Reid to use spill to fashion new energy and climate bill

(Photo of Harry Reid from Flickr and talkradionews.)

The Great Gulf Oil Spill of 2010 should make it easier to pass climate legislation to get us off fossil fuels, now that we’ve seen the damage deepwater drilling can do. Right?

Not necessarily. Pundits have been saying the Kerry-Lieberman bill will lose the possibility of any GOP support if it backs away from more offshore drilling, and it will lose Dem support if it encourages it. The lines have hardened.

So how can Dem leadership improve its chances of passing a climate and clean energy bill before the November elections, when Republicans are sure to pick up more seats?

Majority Leader Harry Reid (D-Nev.) has had an “aha moment.” He’s going to turn this into a Spill Bill, with emphasis on holding oil companies accountable and reducing their tax breaks. With public concern about the spill running high, detractors would have more trouble voting against such a bill, he reasons.

Last week Reid sent a memo to eight committee chairmen with a role in climate and energy, asking them to put forth ideas about how to make oil drilling safer, make the companies pay for damage they cause and reduce some of the tax breaks they gained over the past decade.

Reid wants to bring a bill to the floor in July. Whether it will be a combination of oil spill and Kerry-Lieberman or oil spill and energy-only (no cap, no trade, no carbon limit) is still to be determined.

President Obama voiced his support for a comprehensive bill of the Kerry-Lieberman variety last week, but he may have to settle for less.

Reid will meet with the relevant committee chairs next Thursday to talk about how to proceed.

However they shape it, a climate/clean energy bill is going to be hard to pass before November.

My guess is they’ll end up with a Spill Bill that also encourages clean energy (perhaps with a renewable electricity standard) and other incentives to produce and use clean energy – and probably nuclear power. That may be the only way to get 60 votes, and even that will be hard.

Big Oil still has many supporters. Witness calls from Louisiana Gov. Bobby Jindal (R) and former Alaska Gov. Sarah Palin (R) to drill off their coasts, because their economies depend on it.

Stay tuned.

(Sources: Mother Jones, Politico, E&E News PM, Climate Progress)

Did Lieberman really say, “Accidents will happen” about oil spill? Lines harden on climate bill over offshore drilling

(Photo of Deepwater Horizon explosion that lead to massive oil leak from Flickr and SkyTruth)

Sen. Joe Lieberman (I-Conn.) was explaining Tuesday why expanded offshore drilling would not be taken out of the climate bill, despite some Dem Senators’ calls for its removal in light of the horrendous ongoing spill fouling the Gulf of Mexico.

Sen. Lieberman (I-Conn.) told reporters, “This terrible accident is very rare in drilling. Accidents will happen. You learn from them and you try to make sure they don’t happen again.”

So, let’s see. Of the three sponsors of the Senate climate bill, who have worked long and hard to craft something palatable to all parties, the Republican, Lindsey Graham (S.C.) dropped out about a week ago in a snit because immigration reform might come up before climate. Now Lieberman is insisting on keeping offshore oil in the bill despite the Gulf disaster.

And many likely supporters of the bill (all of whom are Dems because they’re the only ones supporting it) are now saying “no” to the offshore drilling section.

Sens. Bill Nelson (D-Fla.), Robert Menendez (D-N.J.) and Frank Lautenberg (D-N.J.) spoke out a news conference, backed up by the heads of some major environmental groups.

Nelson said if he had to filibuster to stop the bill, he would.

And a group of Dems, in a meeting Tuesday with chief sponsor John Kerry (D-Mass.) found themselves sharply split on the issue, according to Majority Whip Dick Durbin (D-Ill.), who was there.

Doesn’t look too good. The Kerry-noGraham-Lieberman alliance and their efforts to pass a climate bill seem to be falling apart. The only thing that could have been worse is if they’d had that press conference with heads of big oil companies in support last week as planned.

Sen. Jay Rockefeller (D-W.Va.) said, “Personally I will have a very hard time ever voting for offshore drilling again.” Of course, he was already having some trouble voting for a bill that targeted coal.

Nonetheless, Majority Leader Harry Reid (D-Nev.) was upbeat Tuesday, saying that perhaps the bill would get a boost from the oil spill. Calling the Gulf spill “just staggering,” he said maybe it could get Senators interested in doing something about energy.

I dunno. Doesn’t look to good to me.

(Sources: E&E Daily, E&E News PM, Associated Press, CllimateWire, the Hill)

If Sen. Inhofe is for it, I’m against it; plus what’s the latest with Graham and Reid on climate vs. immigration reform?

Sen. James Inhofe from Oklahoma, global warming denier, and his Republican colleague George Voinovich (Ohio) are touting a bill to slash 3 pollutants from power plants – if the climate bill fails, which they hope it does. Inhofe and Voinovich are the two ranking Republicans on the Environment and Public Works Committee.

On the face of it, who could be against cutting soot-producing sulfur dioxide 80%, smog-forming nitrogen dioxide 50% and mercury 90%. This 3-pollutant legislation was introduced last week by Sen. Lamar Alexander (R-Tenn.) and Tom Carper (D-Dela.)

The problem is this bill does nothing about carbon dioxide, the main greenhouse gas, and nothing for renewable energy. It allows coal to continue being the energy of choice for power plants. Fortunately, the measure is unlikely to get legs, because Chair Barbara Boxer’s (D-Calif.) committee has a majority of Democrats.

Voinovich also has a proposal to stop the EPA from regulating greenhouse gases, not only under the Clean Air Act, but also under the Endangered Species Act, Clean Water Act and National Environmental Policy Act. He's covering all his bases.

On climate bill is Graham in or out?
So far he's out. After cancellation of a news conference to unveil their comprehensive climate bill, Sen. John Kerry (D-Mass.), Joe Lieberman (I-Conn.) and Lindsey Graham (R-S.C.) huddled Monday but made no statement when emerging and headed off in different directions, reporters on the scene noted, as if that indicated discord.

At issue – in case you’ve been in a bunker the past few days – is Graham’s refusal to play ball on the climate bill if immigration reform is on agenda this year too. (See Saturday's post below)

Over the weekend and Monday it looked like Majority Leader Harry Reid (D-Nev.) was going to push immigration reform first. Graham, who is also a player on immigration, said he didn’t want to be part of a political ploy to get Hispanic votes for Democrats in November (including beleaguered Sen. Reid.)

But Tuesday Reid seemed to be saying climate change would, in fact, come first. Graham, however, is still sitting this one out. He wants assurance immigration won’t come up at all this year. He's moving the goalposts, as Kate Sheppard said in Mother Jones .

As Kerry tries to keep up the good fight and Lieberman tries to make peace, the two are sending their bill to the EPA for the necessary analysis that could take 4-6 weeks, keeping the bill off the floor.

Meanwhile two of the more moderate Republicans, Sen. George LeMieux (R-Fla.) and Richard Lugar (R-Ind.) told E&E Daily Tuesday that they’d rather take up energy first, as did several other Senators on both sides of the aisle.

Immigration seems to be something the GOP has no taste for, at least not right now.

What if there’s no climate bill?
A couple of less comprehensive energy bills are waiting in the wings: the Collins-Cantwell CLEAR cap-and-dividend bill that would reduce emissions 20% by 2020. It has no support from labor, however, so its chances are not good.

There’s also the clean energy bill (S. 1462) that passed out of Sen. Jeff Bingaman’s (D-N.M.) Energy Committee many months ago, which includes a rather small renewable energy standard. At this point that has been merged with Kerry-Graham-Lieberman, but presumably it could stand on its own.
Not a very good bill, though.

And of course the fallback is to just go with EPA regulations for large-source power plants, as well as letting states continue passing their own bills and regional cap-and-trade plans. The Kerry-Graham-Lieberman bill’s most recent draft does not restrict the EPA and allows California and other states to regulate tailpipe emissions, something the House-passed Waxman-Markey (H.R. 2454) bill does not.

(Sources: Solveclimate.com, E&E Daily, govtrack, cantwellsenate.org, Mother Jones, Sierra Club)

Lindsey Graham says he’ll pull out of climate bill negotiations in Dems' sudden move to put immigration reform first

UPDATE 6:30 p.m CDT: Kerry has cancelled the Monday press conference, The Hill's E2Wire reports.

It looks like Lindsey Graham is going to rain on John Kerry’s parade

Sen. Graham (R-S.C.) said, in a letter obtained Saturday by CNN, that he is no longer negotiating on the climate bill and won’t appear at a news conference planned for Monday to unveil it. In dropping out, Graham takes the “bi-partisan” out of the so-called bi-partisan comprehensive climate bill, leaving Sen. Kerry (D-Mass.) and Joe Lieberman (I-Conn.) holding the bag.

A particularly cruel blow after they managed to get two or three major oil companies, GE, the Christian Coalition and other leaders to stand with them Monday in support of the bill.

Graham wrote to business and other leaders he’s been negotiating with that he is withdrawing because it appears immigration reform will now get first dibs on the Senate floor. Graham called it a “panicked … political ploy” by the Democrats, who are reacting to threats by Latinos to stay away from the polls in November. He says between that and the Supreme Court nomination, it’s hardly likely climate will be on the agenda before year’s end.

It’s easy to see how he would be peeved. The trio working on the bill has toiled long and hard to make it palatable to enough Senators to get 60 votes. But politics being what they are, I suspect there are a few other reasons he may be backing out:

• They simply don’t have the votes they need for the climate bill. Other Republicans aren’t coming forward and Graham doesn’t want to be hanging out there alone. He has already caught hell from constituents for even working with the enemy on climate – not to mention some blogger who said he’s gay and Dems are blackmailing him to get his support.

• He’s hoping his threat to back out will make Dem leadership put climate first because, as a good Republican, he’d like to see immigration reform delayed until after Election Day.

• He’s trying to protect his buddy Sen. John McCain (R-Ariz.) from having to deal with immigration as he tries to veer to the right before a tough primary, as some Democrats suggested to CNN.

Kerry, Graham and Lieberman met with Majority Leader Harry Reid (D-Nev.) Thursday to talk about the timing of climate vs. immigration. Reid reportedly was non-committal but said he planned to bring both to the floor before August. As I noted in an earlier post, Reid is running behind in Nevada and definitely needs Latino votes if he is to have a chance at re-election.

Graham has also been working on the immigration issue, but said that bill is far from written.

(Sources: CNN , E&E News PM)

Will immigration (Nevada) politics get in way of climate bill?

(Photo of immigration rally in Chicago from Flickr and ProgressIL)

Rising pressure from Latinos to pass immigration reform is clearly on Majority Leader Harry Reid’s (D-Nev.) mind and those of others Senators running for re-election in states with a high Hispanic populations, such as Barbara Boxer (D-Calif.) and Michael Bennet (D-Colo.), who are at risk of losing to Republicans and badly need Latino votes.

U.S. Rep. Luis Gutierrez (D-Ill.) last week raised the prospect of Latinos staying home on Election Day next November if a vote on reform, promised by President Obama during the campaign, doesn’t come this year.

So there’s a real chance, as Latino leaders get increasingly vocal, that Democratic leadership may put immigration ahead of climate on the Senate floor, if it looks more likely to get bi-partisan support.

Meanwhile, Sens. John Kerry (D-Mass.), Joe Lieberman (I-Conn.) and Lindsey Graham (R-S.C.) continue to try to please all of the people all of the time (or at least 60). They are scheduled to introduce their comprehensive climate bill on Monday, but first have to figure out what to do about transportation. They had planned on a gas tax, but the president and others said that was a non-starter, so it’s off the table.

Moderates are suggesting it would be better to follow Sen. Byron Dorgan’s (D-N.D.) proposal to go ahead with the clean energy part now and put off trying to put a price on carbon. But climate bill advocates say no, that if they can’t link the more popular clean-energy incentives to a price on carbon to reduce emissions, the latter is never going to happen.

Meanwhile Sens. Susan Collins (R-Maine) and Maria Cantwell (D-Wash.) have their own proposal out there for a cap-and-dividend plan that would return revenue to residents to help pay increased energy bills.

(Sources: Wall Street Journal, The Hill’s E2 Wire , The Washington Post, PlanetArk, E&E Daily)