From MIT Technology Review · · 2m
Senate bill could speed up US energy projects
The Bipartisan American Affordability and Jobs Act aims to cut red tape on energy infrastructure, but analysts disagree whether it will cut emissions or raise them.
In brief
The Bipartisan American Affordability and Jobs Act aims to cut red tape on energy infrastructure, but analysts disagree whether it will cut emissions or raise them. The Senate votes November ninth on a bill to speed up energy project approvals, but experts split on whether it will reduce or increase greenhouse gas…
Senate votes on permitting reform bill
The Senate is set to vote on the Bipartisan American Affordability and Jobs Act on November 9. The 417-page bill aims to speed up the slow, complicated process for getting energy projects approved.
Current system protects environment but moves slowly
Federal permitting is governed by laws including the National Environmental Policy Act and the Clean Water Act. The process today can take years and is incredibly complicated.
Bill opens doors for fossil fuels and renewables
The bill is largely technology neutral, with provisions that narrow which projects need federal permits and enact deadlines to speed approval. It creates a mishmash of supporters across the political aisle.
White House and clean energy groups back the bill
The White House Council of Economic Advisors found the bill would reduce review times and boost GDP. The American Clean Power Association analysis found it could unlock 350 gigawatts of new clean energy.
Environmental groups worry about weakened reviews
The Natural Resources Defense Council says transmission provisions could benefit the grid, but narrowing environmental reviews could damage public and private lands.
Best case cuts emissions four percent by 2040
Rhodium Group analysis found the bill could cut economy-wide emissions by four percent, reduce annual energy bills by seventy eight dollars per household, and add two hundred gigawatts of clean energy by 2040.
Worst case shows emissions rising from gas plants
Kevin Kircher, energy modeler at Purdue, modeled the bill and found that if it had been in place in 2025, energy sector emissions would have been higher than baseline.
“You get down to a trade-off between essentially growing the clean electricity industry on the one hand and then, as a compromise, growing the fossil-fuel industry on the other.”
Democrats could wait for next Congress
The bill is scheduled for a Senate vote on November 9, before the next Congress takes control.Democrats could decide to wait until next year when they control both chambers, but any deal needs Trump's signature.
Easier permitting means more of everything
In a world where permitting is easier, there will be more clean energy but also more natural gas. Lower prices could push electricity demand higher, leading to more emissions overall.
The main idea
The Senate votes November ninth on a bill to speed up energy project approvals, but experts split on whether it will reduce or increase greenhouse gas emissions.
