This week, House Majority Leader Steve Scalise (R-LA) introduced H.R. 1, the Lower Energy Costs Act, which would unlock American energy and get clean American energy produced sooner, while protecting the safety of our communities.
This bill is a comprehensive package of energy policy changes focused on domestic energy production and permitting reform and includes bills like:
the BUILDER Act, which would set reasonable NEPA project timelines, along with expedited approvals while maintaining environmental safety;
the TAPP American Resources Act, which would make it significantly easier to build energy resources on Federal lands. In particular, it would support expedited permitting for geothermal energy resources, 90% of which is on federal lands.
What’s clear: This bill is House Republicans’ top legislative priority, and will restore America’s energy leadership.
2. Making America competitive on nuclear energy exports
Establish an Executive Office of Nuclear Energy Policy to design and execute a comprehensive strategy for enabling nuclear energy exports;
Direct the engagement with ally nations to deploy financing, research facilities and project development resources; and
Promote the safety, security and safeguards necessary to lay the foundation for a competitive U.S.-led nuclear export program.
What’s clear: “Developing countries have more recently looked to Russia and China for their new nuclear needs. Investing in our domestic supply chain and fostering export opportunities abroad will increase the energy security of our allies and create jobs here at home,” said Jeremy Harrell, Chief Strategy Officer, ClearPath Action.
The Nuclear Regulatory Commission (NRC) staff just published its draft proposed rule for licensing advanced nuclear reactors for the NRC Commissioners to review and vote on. Read ClearPath’s latest blog from Niko McMurray, managing director of policy.
The anticipated wave of new reactor applications will need a modernized licensing process in order to rapidly scale.
If crafted well, the licensing process known as Part 53 can accelerate the deployment of these reactors using a simplified regulatory framework
What’s clear: As the Commissioners review and vote on the draft proposed rule, they should keep in mind the significant support and funding that Congress has directed toward advanced reactors, and the bipartisan desire to enable the swift deployment of these designs to provide energy security and help address climate change policy trends.
Venture Global plans to invest $21 billion, all together.
Plaquemines facility has approval from the Federal Energy Regulatory Commission and export authorization from DOE.
What’s clear: The United States’ role as a global energy leader has taken on heightened importance since Russia’s invasion of Ukraine. As Europe rethinks its energy mix, U.S. LNG has become a critical lifeline to the European Union.
Plug in: A recent life cycle analysis conducted by the DOE’s National Energy Technology Laboratory on LNG exports shows that American LNG can be up to 30% cleaner than Russian natural gas.
5. Carbon capture backlogs
EPA Administrator Michael Regan told energy executives at the CERAWeek conference in Houston that “carbon capture and storage is a priority for this Administration.”
More than 40 carbon storage project applications are currently stuck in the approval queue at the EPA.
Only two CO2 sequestration wells, also known as Class VI wells, have ever received approval from the EPA.
To accelerate the process, several states are seeking primacy– the authority from EPA to permit Class VI wells.
What’s clear: The Administration is sending mixed signals to the CCUS community. In order to get projects built and carbon dioxide stored permanent underground, permitting reform will be essential.
Plug in: Administrator Regan also said, “those states that have or want primacy take the lead and we support that once they go through a rigorous process. And states that don’t, we partner with those states to provide adequate support to see these projects through.”
6. DAC hub bid submitted for SW Louisiana
Battelle Memorial Institute is collaborating with Climeworks AG and Heirloom Carbon Technologies on a bid for a direct air capture (DAC) hub in southwest Louisiana, called Project Cypress. Another partner, Gulf Coast Sequestration, would store the carbon dioxide underground.
Project Cypress would be capable of permanently removing at least 1 million tons of carbon dioxide from the atmosphere annually by 2030.
The coalition is seeking to receive up to $500 million from DOE’s $3.5 billion DAC hub program.
What’s clear: The U.S. has become a lucrative place to develop and deploy innovative solutions like DAC with supportive programs such as DOE’s $3.5 billion DAC hubs and $115 million Air Capture Prize, and incentives like 45Q attracting international innovators and investors.
7. ICYMI
Running Tide announced a new agreement with Microsoft to be the tech company’s first open ocean-based carbon removal supplier.
That’s all from us. Thanks for reading and have a great weekend!
