Energy And Environmental Update - December 9, 2012

Energy and Climate Debate

House and Senate leaders are hoping to close the lame duck session of the 112th Congress by December 24, though there remains a chance that they will return to complete a fiscal cliff deal the week between Christmas and New Years. Though a final agreement is still forthcoming, all potential components, including tax extender items such as the production tax credit, are being discussed and scored.

More than 100 groups representing wild life enthusiasts, sportsmen, consumers, conservationists, and environmental advocates sent a letter to Congress December 4 expressing their support for the production tax credit. Additionally, the Western Governors' Association urged Congress to extend the tax credit December 7.

House Natural Resources Ranking Member Ed Markey (D-MA) led 70 of his colleagues December 6 in sending a letter to President Obama and Speaker of the House John Boehner (R-OH) asking for a fiscal cliff agreement to include eliminating breaks and other loopholes currently provided to the oil and gas industry.

As fiscal cliff negotiations continue, Congress will move on other issues this week. The Senate will consider a motion to proceed to a bill (S. 3254) that would extend a deposit insurance program. The House plans to appoint conferees on the National Defense Authorization Act (H.R 3410) to come to a consensus with their Senate counterparts.

Though movement on climate change legislation during the lame duck session is unexpected, the 113th Congress may bring renewed efforts on the issue. Environment and Public Works Chair Barbara Boxer (D-A) and Bernie Sanders (I-VT) have indicated that they intend to introduce climate change legislation in the coming year. Others, including Dianne Feinstein (D-CA) and Sheldon Whitehouse (D-RI), have indicated interest in reopening the debate soon. In the wake of Hurricane Sandy, a joint Yale-George Mason University survey found that in September 2012 70 percent of Americans believed that climate change is real compared to 57 percent in January 2010.

Congress

EE Legislation Approved

The House passed, 398-2, the American Energy Manufacturing Technical Correction Act (H.R. 6582) December 4, allowing alternative technologies to be used to meet existing efficiency standards for coolers, refrigerators, and water heaters. The measure includes provisions from earlier House and Senate efficiency bills, including some minor language from Senators Jeanne Shaheen (D-NH) and Rob Portman (R-OH) that requires a study of industrial electric efficiency and standards for federal energy management. The package approved by the House differs slightly from legislation the Senate approved in September by unanimous consent. The Senate approved the measure December 7, sending the bill to the president's desk for signature.

EE Caucus Formed

Representatives Cory Gardner (R-CO) and Peter Welch (D-VT) announced the formation of a bipartisan caucus December 5 focused on promoting energy efficiency in government buildings. Additional members include Democrats Earl Blumenauer (OR), Madeleine Bordallo (Guam), Michael Michaud (ME), and Charlie Rangel (NY); and Republicans Charlie Dent (PA), Paul Gosar (AZ), Lee Terry (NE), and Joe Wilson (SC).

LIHEAP Funding Requested

A bipartisan group of 40 Senators sent a letter December 7 to President Obama asking the administration to restore federal heating aid funds for the Low Income Home Energy Assistance Program. With heating costs expected to rise this winter, the senators are seeking $4.7 billion for the 2014 fiscal year.

Groups Oppose Revisions to Science Advisor Standards

Public heath scientists and environmental organizations sent letters December 6 to the House Science, Space, and Technology Committee opposing the adoption of legislation (HR. 6564) that they argue would reduce safeguards against conflicts of interest in the Environmental Protection Agency's scientific research. Committee Chairman Ralph Hall's (R-TX) measure would revise current ethical standards for nominees to the agency's scientific advisory panel.

Legislation Introduced

Senator David Vitter (R-LA) was joined by 20 of his Republican colleagues in introducing a concurrent resolution December 5 opposing the creation of a carbon tax.

Representative Mike Pompeo (R-KS) introduced a concurrent resolution (H. Con. Res. 144) December 7 expressing the sense of Congress that a carbon tax is not in the economic interest of the United States.

Upcoming Hearings

The Senate Finance Committee will hold a hearing December 12 to review tax reform as it relates to the nation's federal energy policy, particularly energy efficiency incentives.

Administration

OMB Requests Spending Information From Agencies

The White House Office of Management and Budget asked federal agencies December 6 to submit additional information including a record of sequestrable administrative expenses and analysis on their spending in advance of spending cuts slated to go into effect January 2.

Department of Defense

TX Wind Farm Agreement

Officials from the Department of Defense, the Department of the Navy, E.ON Climate and Renewables North America, and Petronila Wind Farm announced a memorandum of understanding December 3 to allow the development and operation of new wind turbines in Nueces County, Texas, while working to protect the Navy's ability to continue its training mission at NAS Kingsville and NAS Corpus...