Hill Heat

The Environmental and Energy Study Institute (EESI) invites you to a briefing on the opportunities and barriers facing renewable energy development in the United States with regard to the electric transmission infrastructure. Like any infrastructure, the transmission grid is aging and needs upgrading to meet future load requirements. While the country has very large low and no-carbon energy resources, including a broad variety of renewable energy resources (solar, geothermal, wind, biomass and water power), the existing transmission grid was not designed to tap into all of these resources. The Western Governors’ Association (WGA) recently said, “A critical barrier to continued expansion of renewable energy in the region has been the lack of transmission lines to areas with the greatest potential.”

There is a significant backlog of renewable energy projects waiting to sign the interconnection agreements necessary to bring power to market. According to the Independent, thousands of wind turbines in the United States are sitting idle or failing to meet their full generating capacity because of a shortage of power lines able to transmit their electricity to the rest of the grid. A proposal for $6.4 billion of new power lines linking new wind farms with Texas’ public electricity grid, whose cost will be borne mainly by consumers, is proving politically controversial. The American Wind Energy Association (AWEA) recently said, “There are large backlogs of interconnection requests around the country. . . .The result is that many good projects are unreasonably delayed, harming wind development nationally and harming many states’ ability to meet renewable energy goals.” Additional transmission concerns include cost allocation for new transmission, integration of intermittent resources and energy storage technologies, high upfront capital costs, integrated regional planning, the role of energy efficiency, conservation, demand response programs and distributed generation, and whether DOE transmission studies conducted under EPACT 05 are being done in a manner that takes into account the opportunities for renewable energy. Our speakers include:

• Jon Wellinghoff, Commissioner, Federal Energy Regulatory Commission (FERC)
• Robert Gramlich, Policy Director, American Wind Energy Association (AWEA)
• Raymond Wuslich, Partner, Winston & Strawn LLP

The Energy Policy Act of 2005 (P.L. 109-58) requires the Department of Energy (DOE) to complete a study of the nation’s electric transmission congestion every three years. On May 28, DOE announced that it will work with the Western Governors’ Association (WGA) to identify areas in the West with substantial renewable energy resources and to expedite the development and delivery of that energy to meet regional energy needs. On September 20, 2007, Senate Majority Leader Harry Reid (D-NV) introduced the Clean Renewable Energy and Economic Development Act (S. 2076) which would provide additional financing options for building new transmission lines and interconnections to areas rich with renewable energy resources. By designating renewable energy zones, where natural clean resources could generate at least 1,000 megawatts of power, the bill would establish a framework for developing new renewable energy-dedicated transmission. The Senate Committee on Energy and Natural Resources is expected to hold a hearing on renewable energy and transmission in the near future.

This briefing is free and open to the public. No RSVP required. Please forward this notice. For more information, contact Fred Beck at fbeck@eesi.org or 202-662-1892.

With prices for oil and gas higher than ever, energy independence is at the forefront of almost everyone’s mind. When your constituents ask you how they can take charge of their energy future while decreasing their monthly electric bills, what do you tell them? In some states model interconnection and net metering laws help individuals and businesses become a part of the solution, but in too many parts of the country the opportunities for renewable energy investment and green job growth are held up by nothing more than senseless policy barriers.

Representatives Jay Inslee and Roscoe Bartlett invite you to attend a briefing by the authors of “Freeing the Grid,” a report that details America’s patchwork of policies that make some states leaders in the booming renewable energy industry, while other states are left behind. You will learn how good net-metering and interconnection policies can help America develop a world-class renewable energy market, strengthen our domestic economy, protect our climate and our environment, increase electric grid stability, and reduce our dependence on costly peak energy.

Our panel of experts will also address how federal legislation, like the Home Energy Generation Act (H.R. 729) can address the problems, remove discrepancies between state policies and invigorate renewable energy deployment in your state AND throughout America.

Panelists include:

• James Rose, Network for New Energy Choices (NNEC)
• Chris Cook, SunEdison
• Adam Browning, The Vote Solar Alliance

We hope that you or a member of your staff can attend, and we look forward to seeing you there. For more information, contact Liz Mustin at elizabeth.mustin@mail.house.gov or 202-225-6311.

On July 30, Speaker Pelosi set the agenda for her energy independence initiative, which she had originally hoped to complete by July 4th. The legislative package will be introduced to the floor in two parts:

• the Renewable Energy and Energy Conservation Tax Act of 2007 (HR 2776) from the Ways and Means Committee, reported out at the end of June
• and the New Direction for Energy Independence, National Security, and Consumer Protection Act (HR 3221), which needs to be signed off by the relevant committees

HR 2776 provides tax incentives for renewable electricity production, biofuels, efficient appliances, plug-in hybrids, and renewable energy bonds. It pays for these incentives buy reducing oil and gas royalties and closing the “Hummer” tax loophole.

HR 3221 is a wide-ranging omnibus, under the jurisdiction of the following committees:

• Education and Labor (Title I: green jobs)
• Foreign Affairs (Title II: foreign assistance and trade)
• Small Business (Title III: small business sustainability initiative)
• Science and Technology (Title IV: research funding—HR 364, HR 906, HR 1933, HR 2773, HR 2774, HR 2304, HR 2313)
• Agriculture (Title V: biofuels)
• Oversight and Government Reform (Title VI: carbon-neutral government)
• Natural Resources (Title VII: Energy Policy Act of 2005 reforms, changes in oil and gas royalties, wind energy, CCS, wildlife, oceans)
• Transportation and Infrastructure (Title VIII: public transportation, highways, shipping, public buildings)
• Energy and Commerce (Title IX: appliance, lighting, and building efficiency, smart grid, renewable fuel infrastructure, plug-in hybrids)
• Armed Services (it’s unclear which components are under its jurisdiction)

All amendments to HR 3221 must be introduced by Wednesday afternoon. The Rules Committee will convene Thursday at 3 PM to establish the debate rules and timetable.

After the amendment process and ratification, the package will then go into conference to be reconciled with the Senate energy bill, SA 1502, passed mid-June.