WHAT STATE LEGISLATORS NEED TO KNOW FROM DC CNEE State Clean Energy Academy July 18, 2017 0
What State Legislators Need To Know From DC Four Core Topics: What is Advanced Energy – and What Does It Mean For You? What is Federal Government’s Role in Energy Policy? What’s Happening in Washington? Early Signals and Priorities of Trump Administration What Does This Mean For State Legislators? 1
AEE – Business Voice of Advanced Energy Leadership Council Members 2
Advanced Energy: A Major Global Industry 3
Faster than Growth Rate of World Economy 4
Overall U.S. Advanced Energy Growth: 1%, Without Ethanol: 5% Growth – 3x U.S. GDP 5
Solar PV – up 30% Last Year, 3X over 2011 6
Wind – Steady. No More Boom and Bust. 7
Building Efficiency – Up 64% in 6 Years 8
Energy Storage – a Second Leap in 2016 9
PEVs continue growth despite low oil and gas prices 10
What is Federal Government’s Role in Energy Policy? Department of Energy 11
Federal Energy Regulatory Commission Regulates wholesale electricity markets and interstate transmission Independent, bipartisan agency 12
Regional Transmission Organizations (RTOs) and Independent System Operators (ISOs) 13
Environmental Protection Agency Clean Air Act requires regulation of pollutants that endanger public health In 2007, US Supreme Court upheld EPA’s authority to regulate GHG; EPA made “endangerment” finding in 2009. Withdrawal of Clean Power Plan creates legal uncertainty about GHG regulation. 14
Update from Washington, DC While Cabinet is in place, few sub-cabinet appointments yet. Most Presidential priorities – tax reform, infrastructure, immigration – still in infancy. 15
Congress Budget battle looming Non-controversial energy package introduced – again – yet outlook uncertain 16
Key Issues Looming at FERC Only 1 (of 5) Sitting Commissioners New Commission faces key issues: • Federal preemption of State policies impacting wholesale markets • Potential retirement of coal and nuclear fleets • Integration of storage and distributed energy resources. 17
What Does This Mean For State Legislators? Opportunity for state leadership as Trump Administration largely focused on other priorities Continued fight over FERC / state jurisdiction Potential Federal preemption of state policies Perry stated that “national security” concerns about reliable baseload generation may justifying pre-empting state energy policies Called for grid reliability study, with particular focus on whether subsidies for renewables are undermining traditional baseload generation. Also issued two ”emergency orders” to keep coal units running 18
Join us in creating an Advanced Energy Economy Malcolm Woolf mwoolf@aee.net 301-767-6698 www.aee.net / @aeenet / Washington DC San Francisco Boston / powersuite.aee.net 19
www.aee.net / @aeenet / Washington DC San Francisco Boston / powersuite.aee.net 20
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