SUMMER 2009                                                                                                 Volume 19 / Number 3

Good but not yet good enough
U.S. Senate must improve climate bill
By Michael Noble, executive director

For two decades, my overarching commitment has been to an American economy that doubles in size by 2040 while CO2 is reduced to 10 to 20 percent of today’s emissions. That means a revolution in energy innovation that will drive new industries and new prosperity, replacing the antiquated energy system we have with one that’s better and smarter. The Waxman-Markey American Clean Energy and Security Act strives to retain this central integrity, and Fresh Energy joined the vast majority of clean energy groups who supported its historic passage in the House of Representatives on June 26, 2009, despite the bill’s myriad flaws.

UNMET PROMISES  How flawed is it? The Waxman-Markey bill falls far short of what President Barack Obama wants and what he promised: a cap on global warming emissions, with all pollution permits sold (none given away), and the vast majority of revenue dedicated to protecting middle-class buying power. He promised a renewable electricity standard for American utilities, so that a quarter of all electricity will be drawn from solar, wind, and geothermal energy within 15 years. Despite these campaign promises, powerful coal and utility interests have taken the bill off course. It is my fervent hope that the U.S. Senate and the President can work to strengthen its weak links.

Instead of a market price set by supply and demand curves, the carbon market will begin as a government muddle, beset by free permits to favored sectors and local utilities. Instead of a consumer protection program based on equitable rebates, the politicians risk alienating the middle class with offsets and gimmicks designed to keep the price low. Instead of a renewable electricity standard that drives the industry forward, a so-called standard sets clean electricity benchmarks at what we’d have achieved with existing state laws.

KEEP CLEAN AIR act strong  However, as the Senate begins its work, one of its highest priorities must be to retain the hard-won authority of the Environmental Protection Agency to regulate CO2 from coal-fired power plants under existing law. The House bill eliminates EPA’s regulatory authority over existing and proposed coal plants under the Clean Air Act. Over the past few years, the threat of regulation has prevented coal construction because risky schemes face financial barriers. Some 27 coal plants in America are currently seeking permits that would belch CO2 for 50 years.

If that coal surge takes place, we will have to de-carbonize electricity at a much steeper rate from 2020 to 2050, and the hole we will have to dig out of would be much deeper. As NASA’s eminent climate scientist James Hansen has often said, fixing the climate at that point will no longer be possible, since it’s barely still possible today.

This bill must be fixed in the Senate and in conference committee before it gets to the President’s desk. I believe President Obama knows the truth about the climate crisis…and the truth about how to solve it. Mr. President, I call on you to put a stake in the ground—ask Congress to stand up and deliver policy that will drive the innovations needed to revitalize the economy and protect the planet. 

Smarter energy and more of the clean stuff
Federal and state legislation paves the way for progress

Energy use and production were on the legislative agenda at both the state and federal levels in 2009, yielding exciting policy at both levels. The combination of federal investment in energy efficiency and state provisions for wind and solar is a gratifying result for clean energy advocates. Fresh Energy staff are working daily to ensure that these initial efforts are intelligently implemented.

FEDERAL FUNDS COME TO MINNESOTA  The American Recovery and Reinvestment Act of 2009 is pumping billions into the economy. Midwestern energy policy advocates are monitoring spending of energy-related stimulus funds to ensure they provide immediate economic benefit as well as long-term energy system benefits.

In Minnesota, funds will be used for critically needed investment in new and existing energy programs. The Minnesota Department of Commerce, Office of Energy Security, will administer funds allocated by formula among the states for four programs.

1. Energy Efficiency and Conservation Block Grant program. These funds are distributed directly by the U.S. Department of Energy to large cities and counties and through the Minnesota Office of Energy Security to smaller cities and counties (about $10 million). Grants allow local governments and school districts to make their communities more energy efficient, focusing on public building efficiency.
2. Weatherization Assistance. Almost $132 million is designated to help families at up to 200 percent of the federal poverty level make their homes more energy efficient. The large increase in this program, which was just $23 million last year, will create many immediate jobs, increase market demand for materials, and substantially improve the affordable housing stock in the state.
3. State Energy Program. This program, with funding for energy efficiency and renewable energy, will receive $54.1 million, a huge increase over its usual $900,000. The state legislature has earmarked about half of that for energy efficiency and half for investment in renewable energy.
4. Energy-Efficient Appliance Rebates. A much smaller amount will fund rebates for energy-efficient appliances.

Nearly all of the funds must be spent within two years. This massive investment over such a short time requires oversight and transparency. Fresh Energy will be following stimulus spending closely and working to ensure that spending is smart and straightforward. You can learn more from a Minnesota Management and Budget Office review of the stimulus package at www.mmb.state.mn.us/recovery.

STATE PROGRESS FOR SOLAR AND WIND  The Omnibus Energy Policy Act, a collection of various energy policy provisions, has two notable components.

1. A series of small changes were made to statutes to allow Xcel Energy to invest $25 million to $30 million in solar energy over the next couple of years. A large investment will be made along the central corridor light rail line to be built between St. Paul and Minneapolis along University and Washington Avenues. A sizable portion will also be available throughout Xcel’s territory.
2. All utilities that purchase wholesale power must develop a standard contract (except for price, which will be negotiated) for purchasing electricity from renewable energy generation projects of five megawatt capacity and smaller.

These provisions, while making small advances in the statutes, could result in large advances in solar energy and in smaller wind, solar, and other renewable energy technologies and projects.

Getting Minnesota on track
Rail transportation improvements are on the way

Our economy depends on our ability to quickly move people and goods long distances. In a clean air contest among transportation modes, trains come out on top. High speed passenger rail produces only 10 to 20 percent of the global warming emissions produced per passenger by bus, air, or auto travel. A train uses one gallon of diesel fuel to haul a ton of freight more than 430 miles. A full train can haul more than 250 semi trucks and help relieve road congestion at the same time. Improving both passenger and freight rail are key elements in a comprehensive strategy to reduce global warming pollution from the transportation sector.

After languishing for decades, rail improvements are in the spotlight at the state, regional, and national levels.

• State Freight and Passenger Rail Plan. The Minnesota Department of Transportation (MnDOT) is developing a new statewide passenger and freight rail plan. More than 500 people attended open house sessions across the state in April and May. Fresh Energy serves in an advisory role, working to help shape the plan over the coming months. 
   
• Midwestern Governors’ Association. Lynne Bly, director of Fresh Energy’s Transportation Connections program, was appointed by Governor Pawlenty to the Midwestern Governors’ Bioeconomy and Transportation Advisory Group. The group has been helping to shape regional climate goals and strategies. Among the group’s strongest recommendations are 1) implementation of the Midwest Regional Rail Initiative’s (MWRRI) plan for passenger rail improvements along corridors linking to a Chicago hub, including links from the Twin Cities, and 2) projects that will relieve regional bottlenecks for the nation’s freight rail system.
   
• Intercity Passenger Rail Forum. Fresh Energy is also the designated representative for environmental and transportation advocacy interests at sessions of the Intercity Passenger Rail Forum. The forum was convened to advise MnDOT about developing a state application for part of the $8 billion available for passenger rail through the American Recovery and Reinvestment Act (ARRA, aka stimulus). Minnesota is working with Wisconsin on a joint application to fund planning and preliminary engineering work, including analysis of route alternatives, for the Madison to Twin Cities segment of the MWRRI system.
   
• Federal Rail Administration (FRA) ARRA Guidance. The FRA, which oversees selection of intercity passenger rail projects for ARRA funds, issued selection guidelines on June 17. The guidelines echo some of Fresh Energy’s suggestions on improving freight or commuter rail operation. We’re especially heartened that the FRA criteria also strongly emphasize environmental quality, energy efficiency, reducing dependence on foreign oil, creating green jobs, and promoting livable communities, including transit-oriented development. 
   
• Federal Transportation Bill. Minnesota representative Jim Oberstar released a summary on June 18 of proposed sweeping revisions to the federal legislation that provides policy direction and funding for transit, highways, rail, and other surface transportation investments. Beyond ARRA-funded investments, the summary reports that the bill will provide $50 billion over six years to develop 11 authorized high-speed rail corridors linking major metropolitan regions in the United States (including the MWRRI system). The high-speed rail initiative will provide greater consideration for projects that connect well with transit and other transportation facilities and services; produce energy, environmental, and other public benefits; create new jobs; and leverage contributions from state and private sources.

Clean energy and clean energy jobs
Landmark climate policy passes U.S. House

Heeding President Barack Obama’s request to bring him legislation that will limit and lower global warming pollution and create millions of clean energy jobs, Congress has turned up the heat on climate policy. For the first time in history, a comprehensive climate and energy bill including a cap on carbon emissions has passed the U.S. House of Representatives, and Fresh Energy has been educating citizens, businesses, and decision makers about the importance of this landmark policy for our economy and environment.

The American Clean Energy and Security Act (ACES), sponsored by Representative Henry Waxman, chair of the House Energy and Commerce Committee, and Representative Ed Markey, chair of the subcommittee on Energy and Environment, establishes a market-based program to reduce global warming emissions economy-wide by 17 percent by 2020 and 80 percent by 2050 compared to 2005 levels. The bill also creates a national renewable electricity standard (RES) requiring that 20 percent of the nation’s electricity come from renewable sources by 2020 in combination with energy efficiency requirements. Other important provisions in the bill require new buildings to be 50 percent more efficient than business as usual in 2016.

IMPORTANT NEXT STEPS  Although the key ingredients of the bill—renewable energy, efficiency standards, and a cap on carbon—will save consumers money, boost investment in cleaner sources of energy, and help speed the transition to a new energy economy, these elements must be strengthened by the Senate to provide the most benefit for Minnesota and the rest of the nation. The RES should be strengthened to 20 percent by 2020 with additional separate standards for energy efficiency. In addition, pollution allowances under the cap should be sold to industries rather than given away for free. Revenue from selling the allowances would be returned to consumers to help ease the transition to a low-carbon economy. Fresh Energy will continue to work with Senate leaders to make sure their version of this important federal climate policy is strengthened and passed before heading to the President’s desk. 
 

Tar sands oil development

Photo: Rainforest Action Network

Most Americans have never heard of tar sands. But in Canada, where Native communities are seeing the negative effects of tar sands development first hand, it’s a matter of life and death.

Tar sands are naturally occurring mixtures of sand or clay, water, and bitumen, an extremely heavy form of petroleum, and are found in large deposits in Canada and Venezuela. Squeezing oil from tar sands is not an easy—or inexpensive—process. To produce just one barrel of oil from tar sands requires approximately four tons of mined material and huge quantities of water and natural gas. Once the oil is extracted, the leftover mixture of water, sand, clay, and residual bitumen is sorted into enormous tailing ponds—reservoirs of toxic sludge so huge that an existing tar sands mining and drilling operation in Alberta, Canada, is already visible from space. That operation will spread across an area the size of Michigan over the next 50 years.

Because of all the energy consumed producing oil from tar sands, tar sands development causes much more global warming pollution than conventional oil. Additionally, bringing this dirty fuel source to the United States requires increased infrastructure—-new or upgraded pipelines, refineries, rail lines, and roads. So far, 31 crude pipeline projects and 13 new or expanded refineries have been proposed in the United States alone.

DIRTY ENERGY, TOXIC AFTERMATH  Tar sands typically contain high volumes of dangerous gases and toxic waste. It’s estimated that three million gallons of the polluted wastewater in these ponds is already leaking into Canadian rivers every day. Deformed fish have been found downstream of tailing ponds, and in one documented news report, about 500 migratory birds died after simply landing in one of the ponds.

The effects aren’t limited to animals. Tar sands mining operations in Canada are located near tribal communities, and the toxins leaking from the ponds are polluting their water and poisoning their fish. Communities located downstream from tar sands mining projects often experience severe health effects, including a rise in rare forms of cancer. An elevated prevalence of diabetes, hypertension, renal failure, and lupus has also been found in tribal communities near the mining operations. All these diseases have been linked with one or more of the toxins commonly found in the tailings.

SUPPORTING THE ADVOCATES  In an effort to arm activists opposing tar sands development, the Media Center at Fresh Energy conducted ambitious communications research earlier this year. We studied Midwesterners’ baseline values and feelings on tar sands, holding interviews with more than 80 focus group participants in four Midwest cities. We tested arguments, recorded reactions to photos, and asked participants for reasons for and against mining for tar sands oil. Those findings were analyzed and prepared for organizers and activists to use when communicating with the public and the policy leaders who represent them.

Using tar sands for fuel is a step backward that will continue to delay development of cleaner energy sources. The small amount of energy produced is inefficient, expensive, more polluting than the oil we already use, and harmful to public health. It’s time to strive for clean, modern, and safe energy sources—and leave the old ones behind. 
 

Getting the message
The Media Center amplifies a clean energy story across the Midwest

The Media Center is a large presence at Fresh Energy. In fact, by staff size and budget, it’s the biggest department. But it also has perhaps the lowest profile. With no policy agenda of its own to promote, the Media Center team works behind the scenes to support effective communications that advance the policy objectives of Fresh Energy and all other RE-AMP organizations.

RE-AMP includes more than 100 organizations and foundations working together to reduce global warming pollution in the electric sector by 80 percent by 2030. This ambitious project unites organizations in Minnesota, North Dakota, South Dakota, Iowa, Illinois, Michigan, Ohio, and Wisconsin. The Media Center serves them all.

KEEPING UP WITH NEW MEDIA  Initially the Media Center used the time-tested tools of public relations for this task. It trained RE-AMP staffers in the basics of writing press releases, pitching story ideas to newspapers and TV stations, and staying on message in press interviews. And it conducted focus group research to determine which sorts of messages were likeliest to have broad appeal with the public.

Now, as mainstream media continue to shrink in size and devote increasingly less attention to energy issues—or public affairs subjects generally—the Media Center is helping advocates to be the media.

The staff has made some initial forays into producing original video content and is looking into smarter ways to use blogs and social media like Facebook and Twitter. In the drawing-board phase is a special news site that would offer the public up-to-date energy-related news in the RE-AMP region, with special tools for journalists and—within the RE-AMP family only—a steady stream of guidance on what strategies are working and which are not.

Thanks to recent fundraising success, the Media Center plans to add a staff member, probably someone with a strong background in new media and social media, to a team that now includes the following:

• Ron Meador, director, who joined Fresh Energy last September after a 30-year career at newspapers including the StarTribune and the New York Times.
• Rick Fuentes, senior media relations specialist, who joined Fresh Energy in 2007 after a 20-year career in TV journalism, including a prominent role at WCCO-TV.
• Elena Velkov, media relations coordinator, who joined the staff in 2007 after getting her journalism degree from the University of Florida and working in AmeriCorps projects.
• Erick Boustead, who coordinates RE-AMP’s online collaboration website known as the Commons—the other RE-AMP unit housed at Fresh Energy—joined Fresh Energy last November and recently moved into the Media Center. While they remain separate entities, the Commons and Media Center are both concerned with providing strategic support to RE-AMP, and increasingly they will be undertaking cooperative projects, such as the new news site.

PUBLIC SUPPORTS CLEAN ENERGY  You might think that President Barack Obama’s election has made the public more receptive to progressive energy policies, and probably that’s true. On the other hand, there’s a strong tendency in some quarters to assume mistakenly that local, state, and regional action doesn’t matter anymore, because it’s all getting done in Washington.

That’s a problem for effective advocacy to overcome, but there’s good news as well: focus group research conducted for the Media Center right after the presidential election shows that the public is increasingly supportive of the coming transition to clean, renewable energy systems—indeed, they’re eager to get on with it after too many years of paralysis and delay.