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December 19, 2007

Does the Passage of a Stripped-Down Energy Bill Mean Momentum is Lost for Renewables?

Congress approved an energy bill that was sorely lacking in crucial renewable energy elements such as the production tax credit and a renewable electricity standard. What's next for these important policies? Might they still get enacted? --William T., Boston, Massachusetts

It's true that the news coming out of Congress has not been great the last couple of weeks if you're a renewable-energy advocate, but there are some key positives that came out of the experience. For one, a renewable electricity standard (RES) went further along in the process than it ever has before, with the House of Representatives recently passing energy legislation that included a 15% RES, along with a four-year production tax credit (PTC) and a new small-turbine tax credit. Although the Senate later blocked the bill, that's nevertheless a clear indication of the gathering momentum in terms of the public demand for renewable energy.

Then on December 13, a hard-fought battle to keep in the Senate energy bill a tax title that included a two-year PTC extension as well as a small-wind credit fell just one vote short of the 60 needed to overcome a filibuster. Late that evening, the Senate approved the stripped-down version of the energy bill, which also lacked an RES, sending it to the House of Representatives, which passed the bill on December 18. President Bush, who had indicated he would veto any legislation containing an RES or the tax title that included the PTC, is expected to sign the bill today, December 19th.

So do these events mean momentum is lost on these all-important issues?

Not at all. In fact, momentum for an RES and a full-value, long-term PTC continues to build, even as politics put a speed bump in their path for the near-term. Almost the moment the Senate voted to remove the tax title containing the PTC, Majority Leader Harry Reid (D-Nev.) made clear that he and the Senate would return to the issue in 2008.

"If President Bush thinks we'll stop fighting to end Big Oil giveaways-so that we can invest more in clean-energy innovation-he is mistaken," said Reid. "And if Senate Republicans think this is the last they'll hear of the renewable electricity standard, they are mistaken, too. Republicans may have blocked these priorities for now, but the drumbeat for change is far too loud and far too strong for them to keep blocking much longer."

That drumbeat to which Reid was referring is the voice of the public. Survey after survey shows that Americans support the enactment of policy that will provide them with clean, renewable energy. It should come as no surprise, then, that other members of Congress have said they expected the issues to return as well. Senator Jeff Bingaman (D-N.M.), for one, told reporters he would push for renewables legislation in 2008. So while politics, unfortunately, certainly can prove victorious in a near-term battle, public sentiment will inevitably demand further attention to what matters most in their eyes.

For their part, meanwhile, the American Wind Energy Association and other renewables advocates also are well aware that the time is still right for meaningful legislation to be passed on these issues. "Today's vote is out of step with Americans across the political spectrum who overwhelmingly support clean, home-grown renewable energy," noted AWEA Senior Director of Governmental and Public Affairs Gregory Wetstone, in a statement following the December 13 vote. "Wind and solar power can lower home energy bills, strengthen our energy security, create new manufacturing jobs and, perhaps most importantly, reduce global warming pollution even as we meet growing electricity demand. We will continue to work with Congressional leaders on these vital issues, and are confident that we will secure enactment of the tax incentives and other policies that Americans need and want to put our nation on the path to a clean and secure energy future."

So a full-value, long-term PTC extension and an RES remain very much in play as renewable energy advocates, and the vast majority of the American public, look to decision makers - many of whom are friends of renewables in the first place - to act on these important issues.

And so the battle in Congress is not over. In fact, now is a good time to let your Congressional representatives know about your support for renewable energy. Click here to see how your Senators voted. If they supported the legislation, thank them; if they did not, express your disappointment in their vote. Your action today may go a long way when legislation comes up the next time around.

Reader Comments (24)
 
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December 19, 2007
Ironic, strange, and pathetic that Senator McCain, who claims to care about global warming failed to show up for the cloture vote that killed things like the RES. Too busy losing the presidential campaign I guess.
Comment 1 of 24
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December 19, 2007
"So while politics, unfortunately, certainly can prove victorious in a near-term battle, public sentiment will inevitably demand further attention to what matters most in their eyes."

Wow, that's a statement crafted by a talented politician. Since when is public sentiment not a huge part of politics? Special interests craft public opinion through well funded efforts, and the public then puts pressure on elected officials... part and parcel of politics.

Granted, I sincerely hope the special interest parties in the renewables camp are the victors in this battle... but lets not pretend anyone seeking largesse from Uncle Sam can somehow stay out of the political mud hole.
Comment 2 of 24
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December 21, 2007
Let me compliment you guys on a great discussion. I'm ready to man the barricades on a protest. Where is everybody?
Comment 3 of 24
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December 21, 2007
..."What we are talking about here are "entrenched interests"."

Thanks Michael. I normally think more about what I want to express before hitting the submit button. I would like to revise my words and concur with your description.

However, an argument could be made that the RE bill would have been a benefit everyone!
Comment 4 of 24
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December 21, 2007
The commenter who said "if the goal is to reduce greenhouse gas emmissions..." is only partly right. The other side of that coin should be "energy independence," being free from the enslavement of OPEC. And, if we get truly cost-effective, grid-competitive, solar technology, a lot of good things will happen without the government doing anything.
Comment 5 of 24
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December 21, 2007
Giving 700 Billion to the "Pork" bill and nothing to RE is like eating all carbs and no greens; it is a very unhealthy diet. If Congress keeps this up, we are going to be a very sick country.

adrianakau2aol.com
Comment 6 of 24
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December 21, 2007
Be careful how you use the "special interests" label. A case can be made for any group who wants something from the government is a "special interest". That label can be very easily turned around. What we are talking about here are "entrenched interests".
Comment 7 of 24
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December 21, 2007
Perhaps letter writing, emails and phone calls to local politicians did not raise the profile of the renewable energy provisions high enough. The day after the vote all of the major networks and newspapers headlined with the baseball steroid scandal - little or nothing about stripping the energy bill bare and preserving big oil tax incentives.
How about an old fashion march on the capital? Call out all of the environmental groups, RE supporters, industry associations, GHG emission advocates, outraged citizens, informed college students, etc, etc. Surely a crowd of several thousand chanting and carrying signs will get some press coverage. Combine it with a coordinated web & texting campaign to get the young ones fired up.
Nothing gets better coverage than a mob, or motivates a politician like a crowd turing against them.
NO RE, NO PEACE.
Comment 8 of 24
December 21, 2007
If decentralized, community owned technologies, er solar, wind, ocean, geothermal could be centralized the way nukes, coal and oil can, perhaps the CONG (coal, oil, nukes, natural gas) industry wouldn't be so controlling and intransigent about adopting RE technologies and policy. Don't get me wrong, I'm all for distributed energy generation, hybrid RE systems, and the future of a world wide energy web—power to the ppl! But perhaps tactically, we in the RE industry need to approach this unyielding King CONG mindset from another angle? Just a thought...
Comment 9 of 24
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December 21, 2007
Let's be honest. Whether it's in Congress, Bali or California's effort to limit vehicle greenhouse emissions the game is not going well for our side. And time to respond is short, probably even shorter than we now know.
Of course momentum is building, and there are any many dedicated people on our side. But will it be enough, and soon enough to make any real difference?
Comment 10 of 24
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December 21, 2007
The USA is a Republic and not a democracy. The people we elect are supposed to act as a representative of us, NOT for special interests, not for the people with the deepest pockets. So, why can't we elect people that will represent us? Where are men that will hold true to US? BTW, McCain, you disgust me! I am a Renewable Energy business owner in Arizona and here's my message: You have a snowballs chance on a Phoenix highway in July of becoming my president.
Comment 11 of 24
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December 21, 2007
Curses foiled again !
Comment 12 of 24
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December 21, 2007
Nicely said Doug!
Comment 13 of 24
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December 21, 2007
This may sound way out there but consider this. During the Vietnam police action some one coined the phrase, "What if you had a war, and no one showed up." What if medical marijuana has a place in the pharmaceutical arena and you can produce it yourself. What if every new house start produced a net zero energy home. Would these things allow the common man to benefit? I just got my bill for 235 gallons of heating fuel in the amount of $670. Did the administration reject the Renewable section of the Energy Bill and pass the Farm Bill which continues subsidies for for the rich. Renewables will continue to fight for their place in the energy spectrum because this is a war between the rich, (subsidized) and the poor that few realize is in progress. GO SOLAR!
Comment 14 of 24
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December 21, 2007
If the goal is to reduce greenhouse gas emissions, why isn't that the requirement instead of specifically requiring a certain amount of renewable energy?
Comment 15 of 24
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December 21, 2007
It's enough to make a dyed in the wool Republican change to being a registered independent. No matter how many phone calls, hand written letters and e-mails to my elected officials- federal and state- got the message across to them. DISGUSTED,DISAPPOINTED,and ready for a change. Can't do any worse with a new group!Unless I'm wrong they work for the majority of us who said they want renewable energy legislation.
Comment 16 of 24
December 23, 2007
Does anyone know of a site that will tell us where we can direct resources and public opinion most effectively to create change? Writing my representatives here in California is simply speaking to the choir. Which representatives are up for election in '08, voted against RE and are vulnerable? That's where AWEA and Vote Solar need to be directing us to focus our efforts.
Comment 17 of 24
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December 23, 2007
McCain just shot himself in the foot, he could have been a hero, but now he can't be president. I'd rather have Lou Dobbs and/or Jack Cafferty, at least their in touch with our needs and not in bed with corporate America.
Comment 18 of 24
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December 24, 2007
If we concentrate our efforts and energy on the media, political,sports,(fill in the blank)... circus more than the real energy work, it is no wonder we are all in this sad current state of affairs. I contend that a multi-prong approach is necessary to crack this nut. 1) Science and technology are part of the answer to deliver viable solutions. 2)The ability of consumers to make an informed choice with their wallets and votes to sway the tide is also key to creating the support. Bad technologies and practices will evolve away if we choose to do better as a collective society. Totally informed energy choices applied intelligently by informed/committed voters who are passionate can have real sway in influencing the correct direction. Stay involved to make sure that elected officials do the job they promise and don't let them off the hook or they should be replaced with REAL workers.
Comment 19 of 24
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December 29, 2007
Why is there not a word in this article or the previous comments about the ITC that was also excluded from the energy bill? The ITC is vitally important to solar power, just as the PTC is important to wind. Is the renewable energy community becoming so splintered that individuals only care about issues that are important to a narrow part of the RE picture?
Comment 20 of 24
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December 29, 2007
I am am a Republican who is furious that one vote stopped the energy bill as written. I will consider voting for the Democratic nominee, after weighing all the other issues. I was really mad about the money still going to the oil companies, instead of to alternatives. I voted for Bush twice, and support Romney so far.

We need to really nail down the candidates positions on energy.
Comment 21 of 24
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January 2, 2008
According to the White House and the Washington Post, President Bush wants to leave a legacy of being known as a green President. He definitely has a long way to go in a short time if he wants to be known as a green President. He will have to start encouraging a stronger renewable energy bill with Congress rather than threaten veto power because of renewable energy.
Comment 22 of 24
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January 4, 2008
Good news!  I just found this article at the Union of Concerned Scientist website that states that Congress did in fact renew the Pproduction Tax Credit (PTC) for one more year @ $0.019/KWH as part of the Tax Relief and Health Care Act of 2006 (H.R. 6408). http://www.ucsusa.org/clean_energy/clean_energy_policies/production-tax-credit-for-renewable-energy.htmlHowever, the UCS points out that with the uncertainty of a sustained tax credit investment in renewable projects, which may take mulitple years to implement, is discouraged.
Comment 23 of 24
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January 4, 2008
The Natural Resources Defense Council provides this comprehensive summary of the Energy Bill.  It does not mention the ITC:  http://www.nrdc.org/legislation/factsheets/leg_07103001A.pdf
Comment 24 of 24
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