The latest news in energy and environmental politics & policy — must-know stories and candid insights from POLITICO’s energy team and journalists across our newsroom. All in just five minutes each morning.
The nation’s premier energy event, CERAWeek, is underway in Houston, and observers to this year’s conference are noting a tone shift from previous years. While demand for oil and gas remains robust, there are signs all around the conference that the traditional oil industry is changing, and it’s all about investing in new climate technologies. POLITICO’s Matt Daily breaks down the vibe shift within the oil industry on climate tech. Plus, the Interior Department expects its final five-year offshore leasing plan in December.
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A Georgia nuclear plant finally takes big step ...
Plagued by delays and cost issues, the only nuclear power plant under construction in the U.S. is moving closer to startup. The two reactors being built by Southern Co’s Georgia Power are projected to produce emission-free electricity for half a million homes and businesses once complete. POLITICO’s Catherine Morehouse breaks down the major development. Plus, the Biden administration’s EPA is at odds with the agency’s Inspector General over Trump-era changes to an assessment of PFAS.
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House GOP rolls out new energy agenda
The House GOP is preparing a massive new energy bill. Speaker Kevin McCarthy is hopeful the bill will unite his sometimes fractured party, whose members touted many of the energy-related proposals on the campaign trail. But, passage of the bill will not be easy.
The package includes both long-time ideological priorities, such as boosting drilling on federal lands, as well as an opening bid to ease permitting of energy projects, a policy area of bipartisan interest. But since the Republicans hold such a slim majority, moving the bill to the finish could prove tricky. Politico’s Josh Siegel breaks down the key points in the bill, and the challenges McCarthy could face ahead of the legislation hitting the floor at the end of March.
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Immigration issues are creating a climate heada...
President Joe Biden’s agenda to green the nation’s economy relies on a simple pitch: creating good-paying jobs for Americans. However, there is one big issue: there might not be enough American workers to fill them.
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How chemical recycling is putting red states in...
Republican-led states are embracing chemical recycling, a high-temperature plastic melting process that’s criticized by environmentalists. The GOP approach is allowing them to financially benefit off Democrat-led states that recycle more plastic waste. POLITICO’s Jordan Wolman breaks down the red-blue divide over recycling. Plus, Holtec International is pursuing a separate DOE lifeline to restart its Michigan nuclear facility.
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Permitting reform on the rebound
Rep. Garret Graves proposed legislation on Tuesday to overhaul the rules for environment reviews under the National Environmental Policy Act for energy infrastructure. The pitch would form the backbone of a larger legislative energy package that House Republicans are planning to introduce in March. POLITICO’s Josh Siegel breaks down the GOP permitting reform efforts, and why they will (once again) face an uphill legislative battle. Plus, EPA says it will propose allowing year-round sales of gasoline blends containing 15 percent ethanol in several Midwestern states.
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EPA’s Regan faces tough PFAS test back home
Community groups in North Carolina are suing EPA Administrator Michael Regan for failing to require sufficient testing of PFAS chemicals contaminating water, air, and blood. The lawsuit poses a significant test for Regan, who grew up in North Carolina and has promised to hold polluters accountable in marginalized communities. Annie Snider breaks down the lawsuit, EPA's response, and what this means for Regan's environmental justice promises. Plus, an EPA watchdog slammed the agency’s wood heater program in a new report.
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The solar industry divide over Treasury’s low-i...
The initial rollout of a low-income tax credit program under the Inflation Reduction Act has some solar developers concerned it will be difficult to expand solar power into low-income communities - a Biden administration environmental justice priority. But community solar advocates are rejecting those concerns and applauding the Treasury Department’s approach. POLITICO’s Kelsey Tamborrino explains the divide in the solar sector. Plus, the Department of Energy is offering a conditional $375 million loan for the construction of a first-of-its-kind lithium-ion battery recycling facility in North America.
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The Ohio train derailment blame game
The National Transportation Safety Board put out an initial report last week about what caused the train derailment in East Palestine, Ohio, that has triggered a massive cleanup. POLITICO’s Tanya Snyder breaks down the report, why this train derailment has caused partisan finger pointing, and how the Department of Transportation might be scrutinized moving forward. Plus, the Department of Energy is exploring a plan to offer a government endorsement for natural gas that meets a minimum standard for cleanliness.
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Why Putin’s energy strategy backfired
When Russia invaded Ukraine a year ago, Moscow thought it could intimidate Kyiv’s European allies through energy blackmail. But that strategy has actually backfired because of America’s growing energy role in Europe’s economy and the changing global energy landscape. POLITICO’s Ben Lefebvre breaks down how the energy world has changed since Russia invaded Ukraine. Plus, President Joe Biden nominated former Mastercard CEO Ajay Banga to head the World Bank.
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Why the green transition has a labor problem
The Biden administration’s ambitious green transition is facing a labor crunch despite the incentives included in Democrats’ Inflation Reduction Act. So far, clean energy companies have announced 100,000 clean energy job openings since the law was passed, but the construction and manufacturing sectors are already short hundreds of thousands of workers. POLITICO’s Zack Colman breaks down why the green transition has a labor problem and how industry is responding. Plus, the Interior Department proposed the first ever Gulf of Mexico offshore wind lease sale.
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Is a greener World Bank on the way?
The Biden administration has a new opportunity to reshape the World Bank after David Malpass announced he would step down as president last week. President Joe Biden is expected to name a president who will push the World Bank to focus more on climate change and other global challenges. However, the administration’s path to installing the bank’s next leader won’t be as easy as it has been in the past. POLITICO’s Zack Colman breaks down Biden’s window to redefine the World Bank. Plus, EPA orders Norfolk Southern to pay for train crash clean-up.
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New Jersey’s new, lofty climate ambitions
New Jersey Gov. Phil Murphy, a Democrat, announced a suite of executive orders and regulatory actions last week that raised the bar much higher for the state’s climate ambitions, including the most aggressive clean energy target of any large state and a ban on the sale of new gasoline-powered cars by 2035. POLITICO’s Ry Rivard breaks down the suite of New Jersey’s climate ambitions – and whether they are feasible. Plus, EPA reinstated an Obama-era regulation that significantly curbed mercury emissions.
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Officials search for best way to protect the na...
Government regulators and industry officials are debating how to secure the nation’s power grid against physical attacks, which have surged to a decade-high peak. Those discussions come as Democrats and climate change advocates press to expand the use of electricity and shift the nation’s energy consumption to renewables. POLITICO’s Catherine Morehouse breaks down the different strategies and factors officials are considering. Plus, EPA administrator Michael Regan promises results after the Norfolk Southern train crash in Ohio.
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White House and Tesla announce major EV charger...
On Wednesday, the Biden administration announced an agreement with Tesla that would open portions of its EV charging network to other carmakers’ electric vehicles. POLITICO’s James Bikales breaks down how the deal got done and why the White House hopes a more expansive network of EV charging stations will support its green tech goals. Plus, World Bank chief David Malpass announced he is leaving in June, months after a fumbling interview in which he seemed to cast doubt on climate change science.
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Inside Biden’s new $27 billion green fund
On Tuesday, the Biden administration unveiled details of the new Greenhouse Gas Reduction Fund, which will distribute $27 billion dollars in grants to meet the needs of low-income and minority communities that often face the worst effects of pollution. POLITICO’s Zack Colman breaks down the fund’s details and how it targets a Biden campaign promise. Plus, EU officials met with executives from US and European LNG companies to help European member countries meet their natural gas needs.
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Does Biden’s green agenda have a China problem?
Republicans are expressing concerns that President Biden’s climate policies could end up benefiting companies tied to China. The incentives in the Inflation Reduction Act and the Bipartisan Infrastructure Law are pushing America away from fossil fuels too quickly, they argue, which means using China’s clean energy supply chain. Democrats counter that those laws are aimed at building up the U.S. manufacturing base to ease the country’s dependence on China’s sector. POLITICO’s Josh Siegel and Kelsey Tamborrino analyze the GOP’s strategy and what experts say about China’s role in the American clean energy transition. Plus, the Treasury Department issues guidance on climate law incentives for low-income and coal communities.
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Why Biden is funding Nevada’s lofty EV vision
The state of Nevada wants to develop an electric vehicle ecosystem — from mining critical minerals to the actual manufacturing of the vehicles. And that vision is something the Biden administration is heavily investing in. E&E News reporter David Ferris breaks down Nevada’s vision and why the Biden administration is supporting it. Plus, EPA is delivering another $1 billion in Superfund spending from the bipartisan infrastructure law.
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How the White House is selling the Inflation Re...
The Biden administration is hitting the road to tout the Inflation Reduction Act ahead of a potential reelection campaign. But according to polls, the law remains relatively unknown to most Americans. POLITICO’s Zack Colman breaks down how the Biden administration plans to increase awareness. Plus, the Energy Department is granting a $2 billion loan for electric vehicle battery materials.
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The growing U.S. fears over China’s buildup nea...
Chinese state-owned companies are investing billions of dollars near the Strait of Hormuz, one of the world’s busiest oil transitways. Some Western interests fear that China’s buildup could lay the groundwork for a future military presence in the region. POLITICO’s Ben Lefebvre breaks down why China’s commercial investment in the Middle East is causing national security worries for the U.S. Plus, a California lawmaker is restarting an effort to expand the state’s participation in the western regional energy grid.
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The SEC’s climate risk rule dilemma
Securities and Exchange Commission Chair Gary Gensler is reportedly considering scaling back the historic 'climate risk disclosure' rule, which would require large companies to disclose the carbon emissions from their supply chain. POLITICO’s Declan Harty breaks down the potential legal backlash if the rule is approved as is, why the SEC might soften the rule, and how environmental advocates might react if the regulation is scaled back. Plus, the International Energy Agency says growth in renewables will help stabilize emissions from the power sector — but not fast enough to meet climate goals.
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Why the West is struggling to solve its Colorad...
Last week, the seven Western states that rely on the Colorado River failed to find consensus on a water conservation plan, leading to a potential intervention by the Biden administration to avoid a water and power catastrophe. POLITICO’s Annie Snider unpacks the tricky politics of the water dispute and how it may mirror future political battles over adapting to climate change. Plus, racially-motivated extremists have been charged for plotting an attack on Baltimore's power grid.
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Why the EU’s green industry plan could escalate...
The European Commission unveiled the Green Deal Industrial Plan last week in hopes of countering America’s Inflation Reduction Act amid fears the IRA could drive business across the Atlantic to the United States. However, the plan from the European Commission already faces major criticisms, including that Europe might be waging a subsidy race it can’t win. POLITICO Europe’s Sam Stolton breaks down Europe’s plan. Plus, the Treasury Department settles on a standard for EV tax credits that automakers were campaigning for.
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Can the US win the carbon management race?
The federal government is investing billions of dollars into developing the carbon management sector. The US hopes to become a global leader in the tech that could become critical to fighting climate change rather than playing catch up like it did with wind and solar. POLITICO’s Zack Colman breaks down how the US is trying to win the carbon management race. Plus, the Energy Department says no taxpayer funding has been provided to companies for battery production operations in China.to win the carbon capture race, how the industry is responding, and the reaction from the world. Plus, the Energy Department says no taxpayer funding has been provided to companies for operations in China.
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Can a gas company help Puerto Rico reach a gree...
Puerto Rico’s 100% renewable energy target is attainable, according to a new study by the Department of Energy. But the island’s residents are nervous that a new contract with natural gas company New Fortress Energy will jeopardize chances of reaching that goal. New Fortress Energy will take over the island’s power plants system, and residents – who are already wary of more privatization of the power system – worry the company isn’t committed to greening its grid. POLITICO’s Gloria Gonzalez breaks down how Puerto Rico’s power privatization deal casts a shadow over its renewable energy goals. Plus, the Biden administration advanced the proposed ConocoPhillips Willow oil project in Alaska.