Welcome to your Friday Rundown for the week ending Oct. 6. Your feedback is also welcome at info@clearpathaction.org.
THE ART OF GRID RESILIENCY
The Federal Energy Regulatory Commission has opened up a potentially speedy formal rulemaking on the Energy Department’s proposal to improve grid resiliency.
While noting a sense of urgency in ensuring that nuclear power is being treated fairly in the wholesale pricing market, Nuclear Energy Institute President Maria Korsnick at an Oct. 3 House Energy and Commerce hearing said the “most important thing is we allow for the appropriate conversation to play out” in FERC’s rulemaking. DOE’s proposal to FERC is a “good baseline but additional conversations need to be had through the rulemaking process,” she said.
CLEARPATH’S TAKE:
The U.S. power grid clearly undervalues the benefits of clean and reliable baseload power. Reforms are necessary but must be based on free-market principles and integrated into wholesale power markets with minimal distortion.
We are supportive of the Department of Energy’s decision to begin a crucial process at FERC and broader conversation about better valuing our most reliable power sources. ClearPath hopes this is the beginning of a holistic review of the wholesale power markets, resulting in fair compensation for clean energy generators.
Proper valuation would decrease the chance for premature closures of nuclear facilities, while incentivizing clean coal investment. But this enormously complicated endeavor must be done right and with careful consideration.
U.S LOSING NUCLEAR GROUND TO CHINA, RUSSIA
Korsnick also stressed that DOE’s proposal is meant to stave off more premature closures of U.S. reactors.
Meanwhile, China is constructing 22 reactors and is planning for 136. China is also exporting nuclear technologies to Iran and Pakistan and Russia has exported to North Korea and Iran. It’s clearly a security risk for the U.S. to abandon the industry. “We are ceding our leadership at the international table frankly on nuclear issues,” Korsnick told the House committee.
There are multiple bills pending in Congress that could help and be in line with the Trump administration’s agenda.
At an Oct. 3 Senate Energy Subcommittee hearing, Energy Department Deputy General Counsel for Energy Policy Bernard McNamee didn’t take a direct position on the Advanced Nuclear Energy Technologies Act, a bipartisan bill led by Sen. Jeff Flake (R-Ariz.). But in prepared testimony, McNamee laid out similar goals and noting that DOE plans to partner with “nuclear technology developers, including those involved with existing fleet, small modular reactor and other advanced reactor designs, in cost-shared early-state research and development.”
NEWS NUGGETS
The Senate Oct. 5 confirmed the nomination of Bruce Walker to be assistant energy secretary for electricity delivery and energy reliability. The Senate Energy and Natural Resources Committee had unanimously forwarded his nomination, as well as that of Steven Winberg to be assistant secretary for fossil energy, to the full Senate two days earlier.
Senate Environment and Public Works Chairman John Barrasso said the request by Democrats to move Jeff Baran’s nomination for another term on the Nuclear Regulatory Commission alongside the nominations of Republicans Annie Caputo and David Wright is “a big ask.” Barrasso said he has opposed Baran’s nomination in the past and he has “given me little reasons to reconsider my vote.” NEI’s Korsnick is pushing for all three nominations to be approved“expeditiously” in order to create a full NRC quorum.
U.S. Lawmakers, Corporate America Breathe New Life Into Carbon Capture FORBES
THE PATH AHEAD
THURSDAY Energy Secretary Perry testifies before the House Energy Subcommittee on his “vision for managing and executing the department’s missions” and “opportunities to update and align DOE’s missions and operations with the emerging energy, national security, environmental, and technological challenges confronting the nation.” DETAILS
