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Republicans On PA Senate Environmental Committee Report Out Bills To Eliminate Carbon Pollution Reduction Program Covering Power Plants, Establish Independent Energy Office

On January 27, Republicans on the Senate Environmental Resources and Energy Committee reported out bills to ‘abrogate’ Pennsylvania's carbon pollution reduction program covering power plants consistent with RGGI and establishing an Independent Energy Office by party-line votes.

Democrats on the Committee opposed the bills.

Senate Bill 186 (Yaw-R-Lycoming) abrogates Pennsylvania's carbon pollution reduction program covering power plants consistent with the Regional Greenhouse Gas Initiative.

Sen. Carolyn Comitta (D-Chester), Minority Chair of the Committee, said, “For many years now, you have heard my comments supporting RGGI – and against RGGI abrogation.

“I will not support any measure that is so fundamentally harmful, and ignorant of reality.

“Take a look around. We are in the middle of a climate crisis.

“I will strongly oppose any legislation focused on blocking or diminishing our efforts to address climate change and forge a healthy future for our children and grandchildren.”

The Pennsylvania Environmental Council and Environmental Defense Fund wrote to members of the Committee before the vote saying--

“On behalf of the Pennsylvania Environmental Council (PEC) and Environmental Defense Fund (EDF), we are writing to express our opposition to Senate Bill 186.

“This legislation, which would abrogate the CO2 Budget Trading Program rulemaking, will be considered by the Senate Environmental Resources & Energy Committee today (January 27).

“Pennsylvania needs proactive solutions to meet the growth in energy demand with cleaner generation.
“Other states in the PJM Interconnection footprint are surpassing the Commonwealth in attracting clean energy generation, manufacturing, and investment, as well as achieving better grid diversification, through policies that will ultimately deny our continued status as an energy exporter unless we proactively enact standards to drive decarbonization of our electricity generation.

“Abrogating the CO2 Budget Trading Program, which is not yet even in effect, would be a step backwards.

“The status quo has laid the groundwork for serious reliability and cost concerns with respect to the electric grid. Withdrawing this rulemaking won’t solve or abate those problems. In fact, the rulemaking – if implemented – could help with investments in new and cleaner generation, facility conversions, and grid resilience.

“The General Assembly could support and directly engage in those investment decisions.

“The Governor’s Task Force, which included diverse stakeholders from environmental, labor, and generation interests, recognized that a market-based cap and investment program like the Regional Greenhouse Gas Initiative (RRGI) was the most efficient and flexible approach to reducing emissions while also meeting the needs of consumers and the workforce.

“Our state can exponentially benefit from having a policy pathway that signals Pennsylvania is fully engaged in the energy transition; utilizing a proven policy like RGGI provides that certainty.

“For these reasons, we respectfully ask that you oppose Senate Bill 186.”

Senate Bill 187 (Yaw-R-Lycoming) would establish an Independent Energy Office like the Independent Fiscal Office.

Sen. Comitta told the Committee, “DEP already has an Energy Programs Office. We do not need a separate office.

“We definitely should not divert resources from the Alternative Fuels Incentive Fund for it.

“What we should be doing is working within DEP to strengthen what we already have and expanding renewables.

“We can do that right now, but the majority, to date, chooses not to.

“I am opposed. The [Shapiro] administration is opposed.

“I support addressing climate change and cutting our carbon emissions. I do not support setting up a separate office.”

Sen. Gene Yaw (R-Lycoming), Majority Chair of the Committee, said in a statement following the Committee meeting, “It may be the start of a new session, but the committee’s priorities remain the same.

“We are focused on putting forth commonsense energy policy that recognizes and champions Pennsylvania as an energy producer.

"Each of the bills approved today represent significant steps in ensuring energy reliability, sustainability and affordability for Pennsylvania families and businesses.”

“Pennsylvania has one of the most diverse energy portfolios in the United States.

"I believe an Independent Energy Office can streamline our approach to responsible energy policy and ensure a more cohesive strategy for managing our vast natural resources.”

The bills were then referred into and out of the Senate Appropriations Committee and are now on the Senate Calendar for action.

Sen. Gene Yaw (R-Lycoming) serves as Majority Chair of the Senate Environmental Committee and can be contacted by calling 717-787-3280 or sending email to: gyaw@pasen.gov. Sen. Carolyn Comitta (D-Chester) serves as Minority Chair and can be contacted by calling 717-787-5709 or sending email to: senatorcomitta@pasenate.com.

Resource Links:

-- Gov. Shapiro’s Work Group Concludes A Cap-And-Invest Carbon Pollution Regulation Program Would Be Optimal Approach To Reducing Greenhouse Emissions From Power Plants; Scale Up Solar Energy [PaEN]

-- Shapiro Administration Announces Appeal Of RGGI Rejection To PA Supreme Court To Preserve Authority For Future Governors [PaEN]

-- PA Senate Republicans Reintroduce Bills To Eliminate State Appeals Of Pipeline Permits; Limit Grounds For Appeal Of Any DEP Permits; Punish Communities For Protecting Their Constituents Against Shale Gas Drilling Impacts [PaEN]

PA Oil & Gas Industry Public Notice Dashboards:

-- PA Oil & Gas Industrial Facilities: Permit Notices, Opportunities To Comment - February 1 [PaEN]

-- DEP Posted 89 Pages Of Permit-Related Notices In February 1 PA Bulletin [PaEN]

Related Articles This Week - Natural Gas:

-- PUC: Calendar Year 2024 Act 13 Drilling Impact Fees To Remain Same As 2023; Dramatic Decline In Financial Support From Shale Gas Industry Continues [PaEN]

-- Range Resources And MarkWest Liberty Midstream File Legal Challenges To The 2,500 Foot Shale Gas Facility Setback Ordinance Adopted By Cecil Township, Washington County [PaEN]

-- Conventional Oil & Gas Industry Compliance With 2022 DEP Methane Reduction Regulation Put On Hold Pending Outcome Of Litigation [PaEN]

-- DEP Releases 2 Contracts For Bidding In Next Round Of Conventional Oil & Gas Well Plugging: 12 Wells In Kinzua State Park, McKean County, 18 Wells In Warren County [PaEN]

-- Rep. Vitali Introduces Bill To Restore DEP Authority To Increase Conventional Oil & Gas Well Plugging Bonds To Prevent Hundreds Of New Well Abandonments A Year [PaEN]

-- PA Republican Senator To Introduce Bill Suspending State Taxes On Natural Gas Producers; Cut DEP Permit Fees; End Drilling Moratorium On DCNR Lands; Exempt Coal-Fired Power Plants From EPA Regulations [PaEN]

-- DEP Invites Comments At March 5 Hearing On Title V RACT 3 Air Quality Permit For Hazleton Generation Natural Gas Power Plant In Luzerne County [PaEN]

-- Gov. Shapiro Proposes ‘Lightning’ Energy Plan To Increase & Diversify Energy Generation; Reduce Climate Changing Pollution; Lower Energy Costs; Create Jobs [PaEN]

-- Gov. Shapiro Reaches Agreement With PJM To Prevent Unnecessary Price Hikes And Save Consumers Over $21 Billion On Utility Bills [PaEN]

-- PA Senate Republican Leader: ‘Every Consumer Of Electricity In This Commonwealth Is Going To Pay More;’ ‘What You’re Going To Face Is Going To Be Really Unpleasant’ [PaEN]

-- Republicans On PA Senate Environmental Committee Report Out Bills To Eliminate Carbon Pollution Reduction Program Covering Power Plants, Establish Independent Energy Office [PaEN]

-- Inquirer: President Wants US To Be ‘Leading’ Producer Of Non-Fuel Minerals; Here’s How PA Could Help; Rare Earth Elements Could Be More Important Than Expansion Of Fracking [PDF of Article]

NewsClips:

-- The Energy Age Blog: Range Resources & MarkWest Liberty Midstream File Legal Challenges Against 2,500 Foot Shale Gas Setback Ordinance In Cecil Twp., Washington County

-- The Energy Age Blog: EQT Should Plug These Abandoned Conventional Wells In Peters Twp., Washington County Before Fracking From Mingo Well Pad

-- PennLive Guest Essay: Natural Gas Industry Operations [Wastewater Pipelines] Are Strongly Regulated In PA - By Marcellus Shale Gas Coalition [Shale Gas Wastewater Pipelines are NOT regulated by the PUC for construction, operations and safety. Read more here. ]

-- Inquirer: President Wants US To Be ‘Leading’ Producer Of Non-Fuel Minerals; Here’s How PA Could Help; Rare Earth Elements Could Be More Important Than Expansion Of Fracking [PDF of Article]

-- NYT: Oil, Gas Companies Embrace New President, But Not ‘Drill, Baby, Drill’ [No Plans To Increase Production Unless Prices Rise Significantly]

-- US EIA: Electric Power Sector Has Driven Rising PA Natural Gas Consumption Since 2013

-- UGI Gas Division Filed A Request With PUC To Increase Residential Gas Rates By 10.8%

-- Scranton Times: UGI Seeking To Raise Natural Gas Rates 10.8% For Residential Customers

-- Utility Dive: Calpine To Sell 2 PA Gas Power Plants To Avoid Market Power Concerns From Constellation Merger

-- Reuters: Diversified Energy To Buy Permian Basin Oil & Gas Producer Maverick In $1.3 Billion Deal [Diversified Specializes In Buying Old Wells]

-- Bloomberg: US Natural Gas Producers Likely To Gain Asian Market Share [China Buying 50% More US LNG, Cap Price At $10 - Currently $3.89]

-- Bloomberg: Europe’s Gas Traders Now Fear Summer More Than Winter

-- Reuters: Venture Global Given FERC OK To Start Up Another Louisiana LNG Gas Export Plant

-- Reuters: US EIA Sees 7% Higher US Wholesale Power Prices In 2025; Residential Increase Of 2%

-- Wall Street Journal: New Federal Administration Memo Orders Agencies To Broadly Pause All Federal Grants, Loans, Financial Assistance Programs Pending Review [PDF of Article]