How the New Senate Energy Bill Will Impact Renewable Energy Prospects

Energy resources have always been recognized as a key ingredient for economic development and growth. Yet as climate and environmental concerns grow, energy security and supply threats multiply, and technology advances, there's been a global turn towards the potential and promise of renewable's to power our future planet. National energy policies have started to reflect this shift and many countries now have National Renewable Energy Action Plans and comprehensive energy policy legislation. The United States is no exception. In fact, the Senate recently passed a long-stalled national energy bill, the five-part 424-page Energy Policy Modernization Act of 2015 (S. 2012). Now headed towards a formal conference where the House and Senate can agree on its final version, the bill is jam-packed with key provisions and overflowing with controversy. Despite much contention, the bill contains many “notable wins for solar energy,” as well as other renewable and clean energy sources. Key provisions, focusing on the development of renewable energy, could have significant implications for strengthening America's security and economy, and reducing our carbon footprint for years to come.

Surprising, and of great dismay to many in the renewable energy industries, the bill centered around expanding conventional energy sources, such as increasing natural gas for exports (which is raising opposition from environmental groups). Yet while renewable energy is not the main feature of the bill, numerous benefits for solar and renewable energy integration are included. There are measures requiring research to study energy storage and grid modernization, two of the most prominent barriers to widespread use and implementation of renewable energy. Specifically, the bill allocated $50,000,000 between 2017 to 2026 to the U.S. Department of Energy (DOE) to develop pilot programs and conduct research to address challenges identified in the 2013 DOE Strategic Plan for Grid Energy Storage. The funding request for FY 2017 alone in this area of R&D was $44,500 million. That being known, the funding allotment seems smaller than it should be.

Another area of R&D the bill emphasizes is renewable's in regards to vehicle technology. It mandates research for hydrogen vehicle technologies, such as fuel cells and internal combustion engines, and hydrogen infrastructure, including hydrogen energy storage to enable renewable's and provide hydrogen for fuel and power. These research and development requirements are significant. As the Vehicle Technologies Office notes, “substantially improving vehicle efficiency has the potential to drastically increase the United States’ economic, energy, and environmental security.” Over 25 percent of our country’s greenhouse gas emissions, the major contributor to climate change, and almost 60 percent of all U.S. oil consumption is due to on-road vehicle use. Aside from greenhouse gases, vehicle emissions also contain harmful pollutants, including carbon monoxide and nitrogen oxides, which have notable health effects. According to the Clean Power Plan, policies implemented to drive a cleaner energy sector will prevent 3,600 premature deaths and lead to 90,000 fewer asthma attacks by 2030.

One advocate of the bill and its “notable solar wins” is Solar Energy Industries Association. Vice President of Federal Affairs Christopher Mansour notes the chief wins for solar energy as the inclusion of solar heating and cooling as technologies that now fulfill the federal government’s renewable portfolio standard and provisions that improve permitting of PV projects sited on federal lands. Permit restrictions and other unnecessary regulatory burdens on solar energy have acted as key barriers for greater integration. However, solar is growing. At the end of 2015, the U.S. had 25 GW of installed PV capacity, along with an additional 2 GW of concentrated solar power. Continued solar growth, while it will not replace conventional energy sources anytime soon (if ever), still benefits the economy. The solar industry employs more than 174,000 solar workers in the U.S. and solar installations were valued at $13.7 billion in 2013. What’s more, solar and other renewable energy technologies provide the opportunity to mitigate greenhouse gas emission, thereby reducing global warming through trading out conventional sources.

Although renewable energy sources are easy to fantasize about, we must evaluate their potential realistically. As energy expert Scott Montgomery notes in his book, The Powers That Be, it is “better to view these sources not as universal 'cures' nor 'government give-aways,' but as options with certain advantages and limitations.” In 2016, renewable's are more cost competitive than ever, but still more expensive than fossil fuels. They need to be supported by government policies that incentivize their development while not wasting resources or fostering unreal expectations.

Works Cited

"Department Of Energy FY 2017 Congressional Budget Request." (n.d.): 84-85. Office of Chief Financial Officer, Feb. 2016. Web. 28 Apr. 2016.

"Fact Sheet: President Obama to Announce Historic Carbon Pollution Standards for Power Plants." The White House. Office of the Press Secretary, 03 Aug. 2015. Web. 28 Apr. 2016.

Montgomery, Scott. "Ch 9 Renewables Response Post." Message to the author. 26 Apr. 2016.

Montgomery, Scott L. "Renewables Part 1." The Powers That Be: Global Energy for the Twenty-first Century and beyond. Chicago: U of Chicago, 2010. 153. Print.

Munsell, Mike. "US Solar Market Sets New Record, Installing 7.3GW of Solar PV in 2015." Green Technology. Greentech Media, 22 Feb. 2016. Web. 28 Apr. 2016.

Panwar, N. L., S. C. Kaushik, and Surendra Kothari. "Role of renewable energy sources in environmental protection: a review." Renewable and Sustainable Energy Reviews 15, no. 3 (2011): 1513-1524.

Roselund, Christian. "Senate Passes Energy Bill with Benefits for Solar and Renewable Energy Integration." Photovoltaic Markets & Technology. PV Magazine, 22 Apr. 2016. Web. 28 Apr. 2016.

2012, 114th Congress (2015-2016)

"SEIA Applauds Bipartisan Senate Passage of the Energy Policy Modernization Act." SEIA. Solar Energy Industries Association, 20 Apr. 2016. Web. 28 Apr. 2016.

Singh, Gurpreet. "Vehicle Technologies Office: Emission Control." Department of Energy. Office of Energy Efficiency & Renewable Energy, n.d. Web. 28 Apr. 2016.

"Solar Industry Facts and Figures." Research & Resources. Solar Energy Industries Association, n.d. Web. 28 Apr. 2016.

"U.S. Senate Committee on Energy and Natural Resources." S. 2012. U.S. Senate Committee on Energy & Natural Resources, 22 July 2015. Web. 28 Apr. 2016.

"Vehicle Technologies Office: Fuel Efficiency and Emissions." Department of Energy. Office of Energy Efficiency and Renewable Energy, n.d. Web. 28 Apr. 2016.