Energy, Climate, & Grid Security

Washington, D.C. — House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA) blasted President Biden today following the administration’s decision to direct federal agencies to use "social cost of greenhouse gas emissions" ( SC-GHG) metrics more broadly. With this mandate, agencies will have the green light to apply these flawed metrics to decisions, including the purchase of goods and services, conducting environmental reviews, and penalizing American companies.  “President Biden’s relentless efforts to force an energy transition on American families is driving up costs across the board, threatening the security of people’s jobs and the reliability of their electricity, and making us more reliant on China. This announcement is not about reducing emissions—it's about asserting total control over people’s lives and livelihoods with deeply flawed metrics that benefit the administration’s political allies. The SC-GHG will enable the administration to disguise the true costs of its rush-to-green agenda on the American people. Vilifying American energy will not reduce emissions or make life more affordable for the hardworking people of this country.”  In Case You Missed It: In March 2022 , Chair Rodgers sent a letter, along with Senator Shelley Moore Capito (R-WV), to EPA Administrator Michael Regan requesting transparency and information on EPA’s use of SC-GHG.  

Washington, D.C. — House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA) and Energy, Climate, and Grid Security Subcommittee Chair Jeff Duncan (R-SC) announced a subcommittee hearing titled “Powering America's Economy, Security, and our Way of Life: Examining the State of Grid Reliability.”   “America's electric grid is essential to every part of our lives. A well-managed, balanced, and secure electric grid is vital for a strong economy and our way of life. Grid operators play a critical role in delivering reliable, affordable energy across the country. We look forward to hearing from these operators about how federal regulations, state policies, and subsidies affect Americans’ utility bills. We’ll also be discussing how to enhance electric generation, improve siting and planning of electric infrastructure, and what Congress can do to improve the reliability and management of our grid.”  Subcommittee on Energy, Climate, & Grid Security hearing titled “Powering America's Economy, Security, and our Way of Life: Examining the State of Grid Reliability.”  WHAT: Energy, Climate, and Grid Security Subcommittee hearing with electric grid operators. DATE: Thursday. September 28, 2023 TIME: 10:30 A.M. LOCATION: 2322 Rayburn House Office Building This notice is at the direction of the Chair. The hearing will be open to the public and press and will be livestreamed online at https://energycommerce.house.gov/. If you have any questions concerning the hearing, please contact Kaitlyn Peterson at Kaitlyn.Peterson@mail.house.gov. If you have any press-related questions, please contact Sean Kelly at Sean.Kelly@mail.house.gov.

Washington, D.C. — Subcommittee on Energy, Climate, and Grid Security Chair Jeff Duncan (R-SC) delivered the following opening remarks at today’s legislative hearing titled “American Hydropower: Unleashing Reliable, Clean Power Across the U.S.” UNLEASING MORE HYDROPOWER   “Our goal on the Energy and Commerce Committee is to enact policy that delivers affordable, reliable, and clean energy to all Americans and hydropower is essential to this mission.   “Hydropower and pumped storage provide clean power and storage. They are also flexible and can generate power to the grid immediately, which provides essential backup power in times of major outages or disruptions.”  “ Unfortunately, hydropower relicensing is among the most complicated and bureaucratic permitting processes in the U.S.    “The primary reasons for these delays are due to the number of federal statutes involved as well as the number of federal agencies. There are 11 federal agencies involved in the hydropower licensing process.   “I am glad we have some of these stakeholders in front of us today to give us their perspectives on the process.   “It is no question that in order to ensure hydropower remains a critical part of our energy matrix, the licensing and re-licensing processes must be reformed and streamlined.   “Nearly half of the nonfederal U.S. hydropower fleet will be up for relicensing in 2035. The current process creates uncertainty and confusion, and ends up costing millions of dollars.    “On average, relicensing a hydropower facility can take between seven to ten years, and can cost over 3 and a half million dollars. This doesn’t even consider the potential costs of fish passage, new turbines, and dam safety investments.   “The long and expensive relicensing process causes many hydropower owners to surrender their licenses instead and decommission their plants. That leaves America with less emissions-free, reliable electricity generation at a time when our electric grid desperately needs this type of generation.  “And it’s not just relicensing that requires projects to go through federal approvals.   “In my district, Buzzard’s Roost, a hydro dam in Greenwood County, South Carolina, is currently redesigning a fuse plug that requires FERC approval. This process faced countless delays, and the county feels as if FERC has given them the runaround on numerous occasions.  “Almost 20 years and $3 million later, not a single shovel has broken ground at Buzzard’s Roost to begin the project. This is a prime example of why FERC needs to focus on streamlining their approval processes, providing more certainty to applicants, and enabling projects to begin in a timely manner.”  HYDROPOWER CLEAN ENERGY FUTURE ACT “To address these licensing challenges, Chair Rodgers has introduced the “Hydropower Clean Energy Future Act.”    “Hydropower is the largest source of renewable energy, and this legislation will ensure that this clean energy stays online, preserving the existing fleeting and paving the way to bring more power online.    “This of course, is important for Chair Rodgers and her home state of Washington where hydropower accounts for nearly 70 percent of electricity generation; but it’s also critical for states and counties all over the country. For example, this bill will help my home state of South Carolina.   “In my district, the third district of South Carolina, Duke Energy has the Bad Creek Hydro Project, which is a hydro storage facility, is able to provide enough energy to power nearly 1 million homes.   “Last summer I was able to host members of this Committee on a tour of the facility and its approximately 1,600 - megawatt battery that stores mainly renewable solar energy as well as excess nuclear baseload power that would otherwise be curtailed because it was generated during periods of low demand.   “Recently, Duke Energy filed to relicense the existing Bad Creek Facility and also expressed a desire to build a second powerhouse that would offer an additional 1,600 megawatts of storage capacity that would help to integrate carbon free generation across the Carolinas.    “I am hopeful both the relicensing, as well as the possible expansion, are successful as this would help increase reliability and affordability for customers in my home state and the Southeast.   “So, I look forward to hearing from our witnesses today on how we can improve hydropower relicensing and licensing in order to unleash this critical source of reliable, affordable, and clean energy in the U.S.” 

Washington, D.C. — House Energy and Commerce Committee Republicans, led by Chair Cathy McMorris Rodgers, wrote to Ford President and CEO James Farley regarding a new partnership with Chinese-owned Contemporary Amperex Technology Co., Limited (CATL) to build lithium iron phosphate batteries in the United States.  CLICK HERE to read FOX News's coverage: BACKGROUND :  Earlier this year, Ford announced it would invest $3.5 billion to construct a lithium iron phosphate battery plant in Marshall, Michigan.  According to Ford, its wholly-owned subsidiary will manufacture the battery cells using Chinese company CATL’s technology and services.  KEY LETTER EXCERPTS :  “While Ford has labeled this project a ‘commitment to American manufacturing’ and asserts it will create 2,500 new American jobs, we are concerned that Ford’s partnership with a Chinese company could aid China’s efforts to expand its control over United States electric vehicle supply chains and jeopardize national security by furthering dependence on China.”  […]  “Additionally, Members learned at this hearing that Chinese companies often supply their own workers to projects in Latin America and Africa, reinforcing fears that CATL will import workers for this facility rather that creating jobs for United States workers.”  […]  “We seek to learn more about whether this partnership, and others like it, will potentially exacerbate our reliance on China. Should China gain control of domestic electric vehicle production, the United States would be exposed to serious national security risks at a time of escalating geopolitical tensions.”  The Members requested information and answers to the following questions by September 18, 2023:  A copy of the complete licensing agreement between Ford and CATL, including any appendices, amendments, or addenda.  All documents and communications exchanged between Ford officers or employees and officials, appointees, employees, contractors, or consultants of the United States government referring or relating to Ford and CATL’s partnership and eligibility for tax credits and federal incentives.  Did Ford consider making a similar investment in a partnership with a non-Chinese company? If so, why did Ford ultimately decide to partner with CATL? If not, why did Ford not consider other partners?  How many CATL employees will CATL supply to the Facility?  What steps did Ford take to prevent or limit CATL’s ability to halt production unilaterally, such as at the direction of the Chinese government?  CLICK HERE to read the letter. 

Washington, D.C. — House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA), Energy, Climate, and Grid Security Subcommittee Chair Jeff Duncan (R-SC), and Environment, Manufacturing, and Critical Materials Subcommittee Chair Bill Johnson (R-OH) sent letters to the Department of Energy (DOE), the Environmental Protection Agency (EPA), the Nuclear Regulatory Commission (NRC), and the Federal Energy Regulatory Commission (FERC) regarding their progress implementing National Environmental Policy Act (NEPA) reforms included in the Fiscal Responsibility Act (FRA). BACKGROUND:   FRA, which was signed into law by President Biden on June 3, 2023, included a provision directing DOE, EPA, NRC, and FERC to implement changes to NEPA.  In order to boost energy production and lower energy prices for Americans, it is critical that these agencies implement these changes, which lift regulatory burdens for the construction of more energy infrastructure.  The years-long, complicated reviews involved with NEPA and resulting litigation have sidelined many energy infrastructure projects across the U.S.  The provisions in the FRA would streamline NEPA and improve review times and the overall regulatory efficiency. The purpose of the letter is to ensure that these agencies are following the intent of Congress and adhering to the coordination requirements and deadlines set forth by the FRA. KEY EXCERPT FROM THE LETTER TO ENERGY SECRETARY GRANHOLM: "Section 321 of the FRA includes provisions from H.R. 1577, the BUILDER Act, which also passed the House of Representatives as part of H.R. 1, the Lower Energy Costs Act. The section in the FRA streamlines NEPA and improves federal review times by designating one lead agency, limiting evaluation to a single environmental document, setting page limits on environmental impact statements (EIS) and environmental assessments (EA), establishing deadlines of two years for EISs and one year for EAs, allowing for categorical exclusions, and instituting the E-NEPA unified permitting portal, among other provisions. Depending on the project, DOE could be considered a lead agency or a cooperating agency, both of which would have a key role in the implementation of the corresponding NEPA reforms." Members asked Secretary Granholm to respond to the following questions regarding the FRA NEPA changes by September 18, 2023:  What is DOE’s interpretation of Section 321 of the FRA?    How long will it take DOE to implement fully Section 321 of the FRA?   What changes are being made to DOE’s existing NEPA review processes to ensure that the Agency is following the updated law?    Are you confident that DOE will meet the two-year and one-year statutory deadlines for EIS and EA reviews, respectively?    Will you commit to adhering to the page limits for EIS and EA reviews set forth in the Fiscal Responsibility Act?    Will DOE apply the NEPA changes to projects and reviews that are already in process, or does the Agency plan to apply the NEPA changes just prospectively?  CLICK HERE to read the full letter to DOE. CLICK HERE to read the full letter to EPA. CLICK HERE to read the full letter to NRC. CLICK HERE to read the full letter to FERC.

Washington, D.C. — House Energy and Commerce Committee Chair Cathy McMorris Rodgers (R-WA), Energy, Climate, and Grid Security Subcommittee Chair Jeff Duncan (R-SC), and Oversight and Investigations Subcommittee Chair Morgan Griffith (R-VA) sent a letter to Hawaiian Electric seeking information regarding the role of electric infrastructure in the August fires that broke out on the island of Maui and in the town of Lahaina. Letters were also sent to the Hawaii Public Utilities Commission and the Hawai’i State Energy Office. KEY EXCERPT: “Our hearts are with the people of Maui as they confront immense grief, sadness, and despair, especially for those who are still searching for their missing loved ones. The pain is unimaginable and the road to recovery is long. We must come to a complete understanding of how this disaster started to ensure Hawaii and other states are prepared to prevent and stop other deadly wildfires.” […] “In our capacity as Chairs of the Committee on Energy and Commerce of the U.S. House of Representatives and its respective energy policy and oversight subcommittees, we are empowered to oversee energy supply, reliability of all power, and regulation of energy resources throughout the country. To that end, we seek a fuller understanding of the role, if any, of the electric infrastructure in this tragic event.” BACKGROUND: On Tuesday, August 8, 2023, a series of deadly fires broke out on the island of Maui and in the town of Lahaina, resulting in the tragic loss of many lives and the destruction of entire communities. The fires are the deadliest in modern U.S. history, with the current death toll at over 100 lives and many hundreds more still missing. Reported evidence of a downed power line sparking dry grass in Lahaina indicates that Hawaiian Electric equipment may have contributed to the fires. Information is also coming to light about actions taken – or not taken – by Hawaiian Electric to harden and modernize the electric grid of Maui in response to the growing risk of wildfires in recent years. Chairs Rodgers, Duncan, and Griffith asked Hawaiian Electric to respond to the following requests for information: What is your understanding of the sequence of events and actions on August 8, 2023, involving the Lahaina fire, including actions taken by Hawaiian Electric? Please describe all actions taken by Hawaiian Electric to address fire risks to the electric grid on Maui prior to August 8, 2023 (going back through 2013). Please describe all actions taken by Hawaiian Electric, Hawaii Public Utilities Commission, Hawai’i State Energy Office and any other applicable entities to mitigate invasive grasses and other vegetation on the island of Maui, in order to prevent or minimize fire risks. Please provide Hawaiian Electric spending on Maui for the past ten years, including, but not limited to, specific spending for utility infrastructure, for energy generation, to meet Hawaii’s renewable energy mandates, and to address identified fire risks. What Hawaiian Electric actions regarding fire risks to the Maui electric grid are pending before the Hawaii Public Utilities Commission? What is the status of those actions? Has the Hawai’i State Energy Office been involved in grid modernization, hardening, and resilience efforts by Hawaiian Electric? If yes, please describe those efforts. In July 2021, the Maui county government assessed and issued a report on the growing threat of fire to the island. Did the report involve any recommendations regarding the electric grid? If yes, what is the status of implementing those recommendations? What orders has the Hawaii Public Utilities Commission issued, or actions taken, since 2018, to address fire risks to the electric grid on Maui? What actions did Hawaiian Electric take after the Maui fires on August 8, 2023, relating to the removal of any equipment, including but not limited to, damaged power lines and poles? Did Hawaiian Electric, Hawaii Public Utilities Commission, and/or the Hawai’i State Energy Office receive any funds from the Infrastructure Investment and Jobs Act of 2021 or the Inflation Reduction Act of 2022? If so, please provide the amount of money, the program under which the funding was awarded, and the type of funding (grant, loan, etc.). CLICK HERE to read the full letter.