| | | | | |  | | By Kelsey Tamborrino | Presented by The American Institute of Architects | With help from Anthony Adragna, Eric Wolff, Annie Snider and Alex Guillén PROGRAMMING NOTE: Morning Energy will not publish on Thursday, Nov. 26 and Friday, Nov. 27. We'll be back on our normal schedule on Monday, Nov. 30. Editor's Note: Morning Energy is a free version of POLITICO Pro Energy's morning newsletter, which is delivered to our subscribers each morning at 6 a.m. The POLITICO Pro platform combines the news you need with tools you can use to take action on the day's biggest stories. Act on the news with POLITICO Pro. | | | | | | | — More than 50 House Democrats signed onto a letter Thursday backing Rep. Deb Haaland of New Mexico for Interior secretary in the Biden administration. — The Interior Department on Thursday proposed easing rules governing offshore oil drilling in the Arctic. — Joe Biden has signaled he will soon make his selection for a closely watched climate Cabinet position: Treasury secretary. WE MADE IT TO FRIDAY! I'm your host, Kelsey Tamborrino. Cheniere's Khary Cauthen gets the trivia win for correctly identifying John F. Kennedy, whose dog Pushinka was the offspring of a Soviet space dog that orbited the planet in 1960. For today: Who was the first sitting speaker of the House to lose reelection? Send your tips and trivia answers to ktamborrino@politico.com. Check out the POLITICO Energy podcast — all the energy and environmental politics and policy news you need to start your day, in just five minutes. Listen and subscribe for free at politico.com/energy-podcast. On today's episode: Obama's environmentally-messy first term. | | A message from The American Institute of Architects: This is a pivotal moment for our nation's infrastructure, and one group of experts can help us rebuild to succeed: Architects. In the wake of the election, updating the infrastructure of the United States is vital for the country—and the world. The global built environment accounts for about 40% of annual fossil-fuel carbon-dioxide emissions (CO₂). Simultaneously, the economy and infrastructure (schools, civic buildings, hospitals) need to be rebuilt. Here's how architects can help. | | | | | | HOUSE DEMS ALL IN ON HAALAND: More than 50 House Democratic lawmakers formally backed their colleague Rep. Deb Haaland (D-N.M.) for Interior secretary in a letter to President-elect Joe Biden. Haaland, who is already being vetted for the position, would be the first Native American Cabinet secretary in the nation's history. "You can make history by giving Native Americans a seat at the Cabinet table for the first time," the lawmakers wrote in a letter, obtained by POLITICO on Thursday. | 
Rep. Deb Haaland (D-N.M.) joins fellow House Democrats for a news conference. | Photo by Chip Somodevilla/Getty Images | The letter, led by House Natural Resources Chair Raúl Grijalva (D-Ariz.), was delivered to the Biden transition team this week, POLITICO's Sarah Ferris and Theodoric Meyer report . ME readers will recall Grijalva also endorsed Haaland for the post this week in a letter to the Congressional Hispanic Caucus. Haaland is a citizen of the Laguna Pueblo tribe, a federally recognized tribe near Albuquerque, N.M., and she is one of only two Native American women ever elected to Congress. Signing on: The letter was signed by progressives such as Reps. Ayanna Pressley (D-Mass.) and Rashida Tlaib (D-Mich.), as well as members of the moderate Blue Dog Caucus, such as Reps. Jim Costa (D-Calif.) and Ed Case (D-Hawaii). | | | | TRACK THE TRANSITION, SUBSCRIBE TO TRANSITION PLAYBOOK: As states certify their election results, President-elect Biden is building an administration. The staffing decisions made in the coming days, weeks, and months will send clear-cut signals about his administration's agenda and priorities. Transition Playbook is the definitive guide to what could be one of the most consequential transfers of power in American history. Written for political insiders, it tracks the appointments, people, and the emerging power centers of the new administration. Stay in the know, subscribe today. | | | | | | | | TRUMP PROPOSES LOOSENING DRILLING RULES: The Trump administration proposed easing rules governing offshore oil drilling in the Arctic on Thursday in a bid to weaken the environmental safeguards before Biden takes office, Pro's Ben Lefebvre reports . The Bureau of Safety and Environmental Enforcement said it would change 29 out of the 65 regulations in the current version of its Arctic Exploratory Drilling Proposed Rule, though it did not release the official text. The public will have 60 days to comment once Interior formally publishes the proposal in the Federal Register. "Our efforts to reform overly burdensome regulations continue to be careful, tailored and balanced," BSEE Director Scott Angelle said in a press release. The changes would likely include lengthening the period of time during the year when companies are allowed to drill in the Arctic, according to a fact sheet. FERC ENFORCEMENT PENALTIES FALL: FERC imposed $550,000 in civil enforcement penalties in fiscal 2020, down 96 percent from 2019, according to a staff presentation at Thursday's commission meeting. FERC said the $550,000 in penalties came from three settlements, Pro's Eric Wolff reports. The figure was well below the $14.7 million in penalties it imposed in 2019, as well as the $149 million recorded in 2018 and $93 million in 2017. The commission also denied a request from renewable power generators to reconsider changes the commission made to rules concerning utility payments for green power under the Public Utilities Regulatory Policy Act. "The commission's attack on PURPA is an attack on competition and provides another policy gift to incumbent utilities at the expense of consumers," Sean Gallagher, vice president of state affairs at Solar Energy Industries Association, said in response. He added SEIA has challenged the order at the 9th Circuit Court of Appeals and is confident the court "will conclude that this order represents an attempt to tip the scales in favor of monopoly interests, forgoing substantial cost savings." Chatterjee welcomes Biden: Commissioner Neil Chatterjee, who was recently demoted from the chairmanship, used his opening statement at Thursday's meeting to review actions FERC took under his watch and to praise Joe Biden. "As we look to the incoming administration, I want to thank President-elect Joe Biden and Vice President [ Kamala] Harris," Chaterjee said, noting that Biden as vice president always made time for Chatterjee when he worked for Senate Majority Leader Mitch McConnell. "I certainly have my disagreements on policy with him, but I wish him well for our country." SURPRISE SCIENCE: EPA on Thursday unexpectedly released a draft risk evaluation for the chemical ethylene oxide, which is used to sterilize medical equipment and fumigate spices — and is also emitted from major petrochemical facilities. The new risk evaluation was crafted by EPA's pesticide registration program and does not endorse the conclusions of EPA's independent IRIS program, which in 2014 found the chemical to be linked with breast cancer, leukemia and other ailments at extremely low levels of exposure. Industry fiercely fought those findings. Instead, the new assessment lays out a variety of approaches to evaluating the chemical's risk, including one from industry and one from the state of Texas that concluded that ethylene oxide is safe at levels more than 3,000 times higher than IRIS found. EPA will accept public comment on the draft for 60 days after it is published in the Federal Register. UTILITIES, ENERGY CONSUMERS CALL ON SENATE TO CONFIRM FERC NOMS: A coalition of 26 groups including the Edison Electric Institute, the American Chemistry Council, and the American Petroleum Institute sent a letter Thursday to Senate leadership asking the body to confirm the two FERC nominees advanced by the Energy Committee this week. The groups are concerned that one of the three sitting members of the commission could resign when Biden takes office in January, leaving the agency unable to do business. "FERC cannot approve new infrastructure, review rate or service proposals, or perform other key functions without a quorum," the letter said. "We ask that you support our efforts to create a modern, clean, reliable, and affordable energy system by filling the vacant seats on the Commission as quickly as possible." WHEELER PLANS TRIPS ABROAD: EPA Administrator Andrew Wheeler is planning two taxpayer-funded trips abroad before the Biden administration officially takes over, The New York Times reports. One is a three-day trip to Taiwan next month that is expected to require a chartered flight costing more than $250,000 to avoid coronavirus risks, three people knowledgeable about the trip told the Times. It will cost an estimated $45,000 for a delegation of 10 people. The other trip is planned for four Latin American countries in January. "Two people knowledgeable about the trip said meetings with top officials in Taiwan were not planned far in advance as is typical of such trips, and instead were hurriedly cobbled together," the Times reports. "The same people said there have been no stated policy goals or events for the Latin America trip, only a preference for countries to visit." EPA spokesperson James Hewitt said the agency was still working through logistics, but noted that Wheeler was invited to visit Taiwan "to collaborate on issues including the Save our Seas initiative and marine litter, air quality, and children's health." He added that Wheeler "remains head of the agency and will continue to advance environmental progress both here and abroad." On the Latin America trip, Hewitt said nothing had yet been scheduled. | | | |   | | | | | | COMING SOON: A TREASURY PICK: Biden will soon reveal who he has picked for his Treasury secretary — a closely watched pick for environmentalists who see the position as intrinsic to securing climate change victories. "You'll soon hear my choice for Treasury," Biden told reporters Thursday at a news conference in Delaware. "We made that decision, and you'll hear that just before or just after Thanksgiving." Biden signaled the nominee will garner broad Democratic support. "You'll find it is someone who I think is — will be accepted by all elements of the Democratic Party, from the progressive to the moderate coalitions," he said. As Pro's Zack Colman recently reported, green activists are hoping increased attention of the climate change risks to the financial system will translate into the selection of a climate stalwart at Treasury. Many have rallied around Sarah Bloom Raskin, who served as deputy Treasury secretary under former President Barack Obama and also was on the Fed Board of Governors, for the role. Sen. Elizabeth Warren (D-Mass.) is also a favorite of groups like the Sunrise Movement, while others have pushed back on Lael Brainard, a member of the Fed Board of Governors, who some perceive as carrying out Fed policies that they oppose. SQUAD, SUNRISE RALLIES OUTSIDE DNC: Progressive lawmakers and the Sunrise Movement gathered outside the Democratic National Committee in D.C. with a message to the incoming Biden administration: We're going to fight to see that you follow through on your pledged $2 trillion climate plan. "Climate is now a top three issue for voters across the country, and it's about time, our Congress, and our administration starts acting like it," Rep. Alexandria Ocasio-Cortez said. "That's what our next move is: To make sure that the Biden administration keeps its promise." | 
Rep. Alexandria Ocasio-Cortez (D-N.Y.) speaks outside of the Democratic National Committee headquarters on Nov. 19, 2020 in Washington, D.C. | Photo by Drew Angerer/Getty Images | Spotted: Sen. Ed Markey; Reps. Rashida Tlaib, Ilhan Omar and Ro Khanna; and Reps.-elect Jamaal Bowman, Mondaire Jones and Cori Bush. | | | BIPARTISAN WIND BILL UNVEILED: The bipartisan duo of Reps. John Curtis and Dean Phillips announced legislation on Thursday that would make it easier to export recycled parts to wind turbines overseas. The bill would authorize the U.S. Agency for International Development to provide donated parts for wind energy projects overseas. WESTERN CAUCUS PICKS NEW LEADER: Rep. Dan Newhouse will lead the Congressional Western Caucus during the next Congress, it announced on Thursday, replacing current Chair Paul Gosar. FOR YOUR RADAR: Conservative Coalition for Climate Solutions launched an online database this week, dubbed #RightVoices, devoted to tracking what Republicans are saying on energy, environment and climate policy. | | A message from The American Institute of Architects: Architects are key to helping the federal government make infrastructure investments that benefit our economy and the climate. To meet 2050 emissions targets set by the United States, at least 75% of commercial and public buildings must be renovated and retrofitted with new design strategies and technologies. To tackle a problem of that size, the federal government needs to do two things immediately. First, it needs to renovate public buildings to be carbon neutral by 2050. Second, it needs to incentivize private building owners to implement energy-efficient retrofits. This can be achieved by expanding existing tax incentives (like the Energy Efficient Commercial Buildings Deduction, 179D, and the Nonbusiness Energy Property Tax Credit, 25C) and creating new ones. Learn more about how architects can improve America's infrastructure. | | | | | | BREAKING UP IS HARD TO DO: When New Jersey's Board of Public Utilities announced Wednesday that PJM — the multi-state power market the state belongs to — would incorporate offshore wind goals into its transmission planning process , board President Joseph Fiordaliso took pains to emphasize PJM's cooperation in the matter. The move signaled to some that the icy relationship between the energy regulator and grid operator may be thawing, but as Pro's Samantha Maldonado reports, a breakup isn't off the table. "In the past, I have been critical of PJM, but PJM has done a wonderful job and under new leadership has really stepped up to the plate to be more than helpful to the states that are in the PJM region," Fiordaliso said during the BPU's virtual meeting. Fiordaliso previously lambasted PJM in 2018 for failing to support the state in disputes or come to its defense during key policy decisions, ultimately threatening to leave the marketplace. In spite of the recent chumminess, the state is still considering exiting PJM, among other possibilities. Stefanie Brand, director of the Division of the Rate Counsel, said New Jersey's turning to PJM to help assess offshore wind transmission scenarios doesn't have anything to do with the future of the state's involvement in it. "Those discussions relate to New Jersey's participation in PJM's capacity market, not to PJM's oversight over regional transmission," Brand wrote in an email. GM ACCELERATES ON EVs: General Motors anticipates increasing its electric vehicle ambitions over the next five years, pledging Thursday that 40 percent of its U.S. entries will be battery EVs by the end of 2025. GM Chair and CEO Mary Barra said the automaker will offer 30 all-electric models globally by mid-decade, more than two-thirds of which will be available in North America. In doing so, the company will also up its investment to $27 billion through 2025, from the $20 billion planned before the coronavirus pandemic. The company pointed to advances in battery technology, promising its Ultium-based EVs will be capable of driving ranges up to 450 miles on a full charge. "Climate change is real, and we want to be part of the solution by putting everyone in an electric vehicle," Barra said in a statement. But Luke Tonachel, director for clean cars and clean fuels at the Natural Resources Defense Council, was quick to point out the announcement made no acknowledgment of the Trump administration's auto emissions rollback. "While General Motors tells a nice story to Wall Street, it's working hand-in-hand with the oil industry and the Trump administration to gut the clean car standards that will actually bring about the transition to zero-emitting vehicles," he said. | | | — Microsoft has hired Lot Sixteen's Colin Hayes, Kelly Donnelly and Joseph Eaves to lobby on "programmatic design and funding, including treatments, to improve sustainability outcomes and address climate change." Donnelly joined the firm this spring from the Senate Energy and Natural Resources Committee, where she was chief counsel, while Hayes, the firm's founding partner, served as the committee's staff director before starting Lot Sixteen in 2017. Eaves worked for Rep. Paul Tonko (D-N.Y.), who serves on the House Energy and Commerce. (H/t POLITICO Influence) — A Republican Hill aide has landed a new job at the Federal Mine Safety and Health Review Commission. Michael Chirico, deputy chief of staff for Rep. Carol Miller (R-W.Va.) and previously chief of staff to former Rep. Evan Jenkins (R-W.Va.), is the new government liaison and policy adviser for FMSHRC, which handles legal disputes under the 1977 Federal Mine Safety and Health Act. — The Electric Power Research Institute designated its chief executive, Mike Howard, CEO Emeritus beginning Jan. 1, 2021, when EPRI President Arshad Mansoor will take the helm as CEO. Howard announced earlier this year he would retire Dec. 31. | | | | DON'T MISS NEW EPISODES OF GLOBAL TRANSLATIONS PODCAST: The world has long been beset by big problems that defy political boundaries, and these issues have exploded in 2020 amid a global pandemic. Global Translations podcast, presented by Citi, unpacks the roadblocks to smart policy decisions and examines the long-term costs of the short-term thinking that drives many political and business decisions. Subscribe for Season Two, available now. | | | | | | | | — "'No new coal,' U.N. chief tells EU," via POLITICO Pro. — "Due to COVID-19, 2020 greenhouse gas emissions in the U.S. are predicted to drop to lowest level in three decades," via USA Today. — "California wants its Imperial Valley to be 'Lithium Valley,'" Bloomberg. — "Biden vowed to ban new drilling on public lands. It won't be easy," via The Washington Post. — " Activist Erin Brockovich rails against Joe Biden's EPA transition team pick for skirting regulations in the past," via Newsweek. — "Trump wins fight to close solar tariff loophole he granted," via Bloomberg. THAT'S ALL FOR ME! | | | | Follow us on Twitter | | | | Follow us | | | | |
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