NASEO News

NATIONAL NEWS

President Obama Announces Historic 54.5 mpg Fuel Efficiency Standard
U.S. Environmental Protection Agency

President Obama announced last week a historic agreement with thirteen major automakers to pursue the next phase in the Administration’s national vehicle program, increasing fuel economy to 54.5 miles per gallon for cars and light-duty trucks by Model Year 2025. Building on the Obama administration’s agreement for Model Years 2012-2016 vehicles, which will raise fuel efficiency to 35.5 mpg, the next round of standards will require performance equivalent to 54.5 mpg or 163 grams/ mile of CO2 for cars and light-duty trucks by Model Year 2025. Achieving the goals of this historic agreement will rely on innovative technologies and manufacturing that will spur economic growth and create high-quality domestic jobs in cutting edge industries across America. The standards also curb carbon pollution, cutting more than 6 billion metric tons of greenhouse gas over the life of the program – more than the amount of carbon dioxide emitted by the United States last year. The oil savings, consumer, and environmental benefits of this comprehensive program are detailed in a new report entitled Driving Efficiency:  Cutting Costs for Families at the Pump and Slashing Dependence on Oil, which the Administration also released last week.  

EPA Proposes Air Pollution Standards for Oil and Gas Production
U.S. Environmental Protection Agency

The U.S. Environmental Protection Agency (EPA) proposed standards last week to reduce harmful air pollution from oil and gas drilling operations. These proposed updated standards - which are being issued in response to a court order - would rely on cost-effective existing technologies to reduce emissions that contribute to smog pollution and can cause cancer while supporting the administration’s priority of continuing to expand safe and responsible domestic oil and gas production. The standards would leverage operators' ability to capture and sell natural gas that currently escapes into the air, resulting in more efficient operations while reducing harmful emissions that can impact air quality in surrounding areas and nearby states.

U.S., Seeking to Reshape Electric Grid, Adopts a Power Line Rule
The New York Times

Federal regulators recently laid down principles for planning and paying for new power lines, part of a long-term policy effort to help the nation’s electricity grid grow enough to meet the demands of renewable energy and a competitive electricity market.  The rule, which has been in the works for several years, is intended to push the organizations that manage the grid into cooperating with one another, so that developers can build power lines across several states and multiple electrical jurisdictions.  Passed unanimously by the Federal Energy Regulatory Commission, the rule does not specify what the formula should be for allocating costs, or precisely how new lines should be planned. But it does lay out general guidelines, including the notion that the costs should be borne by those who benefit.

Bipartisan Senate Bill would Delay, Alter EPA Boiler Rule
The Hill

A bipartisan coalition of senators recently introduced legislation aimed at delaying and reworking a set of U.S. Environmental Protection Agency (EPA) regulations for industrial boilers that industry groups have blasted as overly burdensome.  The legislation mandates that the EPA rework the regulations over a 15-month period.  EPA’s current regulations require that industrial boilers and incinerators install “maximum achievable control technology” to reduce harmful emissions like mercury.  The Senate legislation specifies that EPA’s existing boiler regulations “are of no force or effect, shall be treated as though such rules had never taken effect, and shall be replaced.”  The bill also mandates that EPA gives facilities at least five years to comply with the rules — two years more than EPA’s current compliance period.  EPA must also take into account the cost, feasibility and impact on jobs of the reworked regulations, according to the bill.

DOE to Award Over $6 Million for Clean Energy Projects on Tribal Lands
U.S. Department of Energy

U.S. Energy Secretary Steven Chu recently announced 31 tribal energy projects to receive $6.3 million over two years as part of the U.S. Department of Energy's ongoing efforts to support tribal energy development and continue strengthening the partnership with Tribal Nations. These competitively selected projects will allow Native American Tribes to advance clean energy within their communities by developing strategic energy plans, expanding the skills and knowledge of tribal members, and improving the energy efficiency of their buildings. These investments will help tribal communities to save money and reduce energy waste, expand the use of clean energy technologies, and promote economic development. 

Interior Department Approves Four Major Renewable Energy Projects
U.S. Department of Interior

Advancing the Obama Administration’s commitment to rapid and responsible development of large-scale renewable energy, Secretary of the Interior Ken Salazar recently announced the approval of four new projects on public lands, the launch of environmental reviews on three others, and the next step in a comprehensive environmental analysis to identify ‘solar energy zones’ on public lands in six western states.  The renewable energy projects that Salazar announced - two utility-scale solar developments in California, a wind energy project in Oregon, and a transmission line in Southern California - together will create more than 1,300 construction jobs, provide a combined 550 megawatts of electricity, enough to power 185,000 to 380,000 homes, and generate several million dollars annually in local government tax revenues. The projects are part of Interior’s “Smart from the Start” approach to processing existing applications for renewable energy development on public lands in a coordinated, focused manner with full environmental analysis and public review.

REPORTS

Blue Ribbon Commission Releases Draft Report on America’s Nuclear Future

The Blue Ribbon Commission on America’s Nuclear Future (BRC) was formed by the Secretary of Energy at the request of the President to conduct a comprehensive review of policies for managing the back end of the nuclear fuel cycle and recommend a new plan.  The Commission and its subcommittees met more than two dozen times between March 2010 and July 2011 to hear testimony from experts and stakeholders, to visit nuclear waste management facilities in the United States and abroad, and to discuss the issues identified in its Charter. A wide variety of organizations, interest groups, and individuals provided input to the Commission at these meetings and through the submission of written materials. Copies of all of these submissions, along with records and transcripts of past meetings, are available at the BRC website (www.brc.gov).  This draft report highlights the Commission’s findings and conclusions to date and articulates a preliminary set of consensus recommendations for public review and input.

IMT Releases Report on Building Energy Transparency

The Institute for Market Transformation (IMT) released a report last week that offers the first-ever national review of building energy rating and disclosure policies in the United States.  The policies, recently enacted into law by five cities and two states, require large commercial building owners to measure their properties’ energy consumption and reveal that data. By making building energy use and costs more transparent, these laws will encourage building energy improvements and stimulate market demand for energy efficiency.  Building Energy Transparency identifies best practices that help jurisdictions overcome common challenges in implementation.  IMT’s report will be an essential road-map for jurisdictions seeking to adopt rating and disclosure policies.  In addition to the report, IMT worked with real estate services firm CB Richard Ellis on a compact user’s guide to the requirements, which is also released today. CBRE’s “Guide to State and Local Energy Performance Regulations” can be downloaded at www.cbre.com/USA/Sustainability/Envirometrics.

SURVEY REQUEST

Sandia National Laboratories Survey

Sandia National Laboratories and OurEnergyPolicy.org are partnering to survey key energy sector stakeholders as to how the United States should align the priorities that drive its energy policies.  Recently, they reached out to NASEO asking for our input and help.

They have provided a survey designed to identify how informed professionals are thinking about energy, and what their thinking might mean for the direction of American energy policy. Specifically, it asks respondents to reflect on the importance and relative emphasis of the three most common goals and considerations of energy policy:the economy, the environment, and national/energy security. The survey also encourage respondents to suggest any additional goals that energy policymakers should account for.  Sandia and OurEnergyPolicy.org would like to include the perspectives of NASEO's members in the results.

If you are interested, you can access the survey at https://www.surveymonkey.com/s/QHFB5LG.  The results of the survey will form the basis of a joint report by Sandia and OurEnergyPolicy.org.

STATE NEWS

2 Wind Projects Under Way in Maine this Summer
Bloomberg Businessweek

With four grid-scale wind projects already built in Maine and another two under construction, the state is poised to surpass an important milestone as it moves toward its 2015 wind-power generation goal.  Power produced from all of the completed projects, along with an approved portion of another planned wind farm in Aroostook County, will put the state past 21 percent of the 2,000 megawatt wind power goal set by state law, said Jeremy Payne, executive director of the Maine Renewable Energy Association.  Total wind project investments in Maine approach $1 billion and construction has created or supported more than 600 jobs, according to a study the University of Southern Maine's Muskie School of Public Service.

DOE Offers $730 Million Loan Commitment for Michigan Steel Plant
U.S. Department of Energy

The U.S. Department of Energy recently announced the offer of a $730 million conditional loan commitment to modernize a high-strength steel factory in Dearborn, Michigan. The funding will support the modernization of Severstal Dearborn, LLC's existing facilities in addition to the construction of new facilities to produce the next generation of automotive steel. The Severstal project has the potential to significantly increase the supply of the steel needed to spur the growth of fuel-efficient vehicles. Severstal estimates the project will generate more than 2,500 construction jobs and more than 260 permanent manufacturing jobs.

Vehicle Charging Stations are Coming to Washington’s I-5, U.S. 2
Snohomish County Business Journal

Within six months, drivers will be able to recharge their plug-in electric vehicles, like the Nissan Leaf, Chevrolet Volt and upcoming Ford Focus, along Washington State's Electric Highways. With funding provided through the Washington State Energy Office  State Energy Program (SEP), the Washington State Department of Transportation selected AeroVironment to ready I-5 and U.S. 2 for the new generation of electric cars. The State Energy Office in the Washington Department of Commerce is investing a $1.32 million Recovery Act SEP grant as seed funding and the Washington State Department of Transportation is developing the partnerships to implement the Electric Highways network. Project funding will be supplemented with contributions from private businesses, other public agencies and drivers of electric vehicles who will pay for the fast-charge services.  Washington's electric-highway infrastructure is a key component of a future West Coast Green Highway. When complete, it will extend a seamless network of recharging stations along all 1,350 miles of I-5 from Canada to Mexico, serving more than 2 million electric vehicles that market analysts say will be sold in Washington, Oregon and California in the next decade. 

EVENTS

SAVE THE DATE:
NASEO 2011 Annual Meeting

September 11-14, 2011
Crowne Plaza Riverwalk, San Antonio, TX

NASEO/ASERTTI Industrial Energy Efficiency and Competitiveness Workshop
October 4-5, 2011 – Cleveland, OH

ASERTTI Fall Meeting
October 5-6, 2011 – Renaissance Cleveland Hotel, Cleveland, OH

Do you have news you would like to share? Send us your stories and announcements.
Email or call Garth Otto with the details: gotto@naseo.org , 703.299.8800, ext. 16.
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