EVs injected into biofuel policy fight

Presented by Chevron: Your guide to the political forces shaping the energy transformation

Dec 01, 2022 View in browser   By Arianna Skibell Presented by Chevron An oil well sits in the middle of a corn field near Norris City, Ill. | Scott Olson/Getty Images These days, it seems like everyone wants a piece of the rapidly growing electric vehicle market. And the biofuel industry is no exception. For the first time, the Biden administration has proposed expanding a politically charged renewable fuel program to include electric vehicles. That means farmers who turn their farming byproducts like corn and poop into power would be financially rewarded when that energy is used to drive electric cars and trucks. Electric vehicle manufacturers would also share in the benefits. The draft rule that the Environmental Protection Agency proposed today would also increase the amount of biofuel mixed into the nation's transportation fuel supply — a win for the ethanol industry. Unsurprisingly, major oil producers are not happy about the novel plan, which is in draft form and awaiting what will likely be a slew of public comments. "It's going to be kind of a frenzy," POLITICO's E&E News reporter Marc Heller said in an interview today. "You look throughout the proposal from EPA, and they keep hitting on the theme of 'this has never been done before.'" Former President George W. Bush signed the Renewable Fuel Standard into law in 2005 as part of a broader effort to reduce U.S. reliance on foreign oil by adding domestically produced biofuels to the nation's gasoline supply. (You might remember Bush talking about "switchgrass." ) The move kicked off years of fights between the agriculture and oil sectors over how much farm-raised fuel should be burned by the nation's vehicles, a feud that inevitably spilled over into presidential politicking in corn-rich Iowa. Percentages set by Congress expired this year. That means it's now up to the executive branch to determine the precise mix. "Fuel and petrochemical manufacturers, they were upset about this today," Marc said. "They're calling the proposal just another subsidy for EVs." Also unhappy: advocates for the truck stop industry, who say the proposal to offer renewable fuel credits to automakers would fail to create incentives for building EV charging infrastructure, as Kelsey Tamborrino writes for POLITICO Pro subscribers . The administration's proposal has a long way to go before it's a final rule, and a lot can change. But the inclusion of electric vehicles in the federal program is another indication the nation is undergoing a power switch.   It's Thursday — thank you for tuning in to POLITICO's Power Switch. I'm your host,  Arianna Skibell.  Power Switch is brought to you by the journalists behind E&E News and POLITICO Energy. Send your tips, comments, questions to  askibell@eenews.net.   A message from Chevron: We're working to help lower the lifecycle carbon emissions of transportation fuels. Find out how Chevron's renewable diesel can help fuel the way to a lower carbon future.   Listen to today's POLITICO Energy podcast Today in POLITICO Energy's podcast: Josh Siegel sat down with retiring Rep. Fred Upton to reflect on the Michigan Republican's 36-year tenure in the House and what he thinks about the current energy crisis. environmental justice Rep. Donald McEachin (D-Va.) spoke about climate change at the Capitol last year. | Chip Somodevilla/Getty Images The death of Rep. Donald McEachin has strengthened the resolve of some of his colleagues to push for a vote on the environmental justice legislation he long championed, write Emma Dumain and Nick Sobczyk.  A House vote on the "Environmental Justice for All Act" would be a capstone to years of work by McEachin (D-Va.) and community activists who for decades were largely ignored by Congress and the broader environmental movement. McEachin died Monday from complications due to colorectal cancer, his office announced. He was 61.   A message from Chevron:   Power Centers An offshore wind turbine generates electricity near Block Island, R.I., earlier this year. | John Moore/Getty Images All about that (wind) speed To meet the Biden administration's larger decarbonization goals, the White House wants to help raise 30 gigawatts of offshore wind power by 2030, writes Heather Richards. That pledge will require pushing 16 individual wind farms through the regulatory gantlet by the end of President Joe Biden's first term. So far, the Bureau of Ocean Energy Management has only approved two of them. Tribal knowledge heads to White House Indigenous people have closely observed changes to the climate for centuries, writes Scott Waldman. Now their knowledge — including firsthand experience passed down by oral tradition for millennia — will help inform federal research and policy decisions, Biden announced this week at the White House Tribal Nations Summit. Tango with Paris French President Emmanuel Macron snatched an unexpected win from his U.S. counterpart during a visit to Washington today, writes Clea Caulcutt. Biden suggested that European companies could benefit from a provision in the Inflation Reduction Act that European leaders fear will drain investment out of the continent. in other news Firefighters battle a fire burning in Orange County, Calif. | Noah Berger/AP Photo Fires: The cost of wildfires is rising. But states are struggling to budget for the increases due to incomplete data. Misinformation: Petition circulators are telling California voters that an upcoming ballot measure would ban new oil and gas wells near homes. In fact, it would do the opposite.   POLITICO APP USERS: UPGRADE YOUR APP BY DECEMBER 19! We recently upgraded the POLITICO app with a fresh look and improved features for easier access to POLITICO's scoops and groundbreaking reporting. Starting December 19, users will no longer have access to the previous version of the app. Update your app today to stay on top of essential political news, insights, and analysis from the best journalists in the business. UPDATE iOS APP – UPDATE ANDROID APP .     Subscriber Zone A showcase of some of our best subscriber content. A solar farm in Powhatan, Va., is pictured in 2019. | Steve Helber/AP Photos The Federal Energy Regulatory Commission approved a new plan this week for connecting energy projects to the power grid across much of the eastern U.S. The House Oversight and Reform Committee will soon issue a report wrapping up its investigation of the oil industry. That's it for today, folks! Thanks for reading.   Mark your calendar! The fourth annual edition of the Future Sustainability Week will take place from November 29 to December 1. Take part in discussions about the most current and pressing sustainability policies together with our expert speakers. Join this three-day-long summit, either in Brussels or online, by  registering today !       A message from Chevron: Renewable fuels can help lower lifecycle carbon emissions in industries around the world. At Chevron, we're working to bring more renewable fuels to vehicles, today. Our renewable diesel can fuel trucks, trains, heavy-duty vehicles, and more, without requiring new equipment or infrastructure. The fuel—which is made with bio feedstock—has lower carbon intensity than regular diesel. It's just one of the ways Chevron is committed to increasing our renewable fuel production, and fueling a lower carbon world. Find out more about our renewable diesel.     Follow us on Twitter Arianna Skibell @ariannaskibell   Follow us

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