By 2030, half of the energy produced in the state of New York will come from renewables, according to a new policy adopted Monday by the state’s public service commission. The move is expected to reduce greenhouse gas emissions by 40 percent from 1990 levels (80 percent by 2050) and to attract billions in clean energy investment.
“New York has taken bold action to become a national leader in the clean energy economy and is taking concrete, cost-effective steps today to safeguard this state’s environment for decades to come,” said New York Gov. Andrew Cuomo. “This Clean Energy Standard shows you can generate the power necessary for supporting the modern economy while combatting climate change. Make no mistake, this is a very real threat that continues to grow by the day and I urge all other states to join us in this fight for our very future.”
The plan calls for New York to retain its nuclear reactors—though The Washington Post reports that those facilities don’t count as part of the 50 percent renewables target. According to New York regulators, doing so might cost $965 million over two years but could lead to net benefits of $4 billion due to avoided carbon dioxide emissions and air pollution. While supporters of this provision applaud New York’s effort to retain its emissions-free nuclear generation, opponents are likely to challenge the nuclear subsidies on the grounds they are discriminatory, hurt markets, and intrude on federal authority.
New York is not the first state to announce an ambitious greenhouse gas reduction target. In April 2015, California announced it planned to cut those emissions by 40 percent below 1990 levels in the same time frame with renewables increases. Like California, New York plans to phase in its renewables increase; 31 percent of its energy is to come from renewables by 2021 and 50 percent by 2030. Those targets are meant to give utilities and clean energy companies time to develop their business models.
White House to Federal Agencies: Consider Climate Change Impacts
In an action with broad implications for thousands of projects, including energy and mineral development on public lands, natural gas import and export facilities, and transportation projects, the Obama administration issued final guidance on how federal agencies should consider greenhouse gas emissions and climate change impacts when conducting reviews under the National Environmental Policy Act (NEPA) (subscription).
“Focused and effective consideration of climate change in NEPA reviews will allow agencies to improve the quality of their decisions,” the guidance states. “Identifying important interactions between a changing climate and the environmental impacts from a proposed action can help Federal agencies and other decision makers identify practicable opportunities to reduce greenhouse gas emissions, improve environmental outcomes, and contribute to safeguarding communities and their infrastructure against the effects of extreme weather events and other climate-related impacts.”
The guidance, the product of a six-year effort by the White House Council on Environmental Quality, advises agencies to quantify projected greenhouse gas emissions of proposed federal actions whenever the necessary methodologies and data are available. It also encourages them to draw on their experience and expertise to determine the appropriate level and extent of quantitative or qualitative analysis required to comply with NEPA and to consider alternatives that would increase the climate-change resilience of the action and affected communities.
“From the public standpoint, we are now going to know what all of our decisions add up to in terms of impacting climate change,” said Christy Goldfuss, managing director of the Council on Environmental Quality. “You can think of all the different federal decisions, and how they all add up. We have numbers where we can actually say, ‘this is a huge decision, given the amount of greenhouse gases coming out of it.’ And that gives the public a chance to really weigh in on decision-making.”
Several media outlets pointed out that because the White House guidance is not a regulation, agencies are not legally bound to follow it.
Clean Power Plan Analysis: National Costs Low, State Costs Varied
Wednesday marked one year since the U.S. Environmental Protection Agency formally rolled out the Clean Power Plan, which aims to reduce carbon emissions from power plants. Even with the February stay by the U.S. Supreme Court, which halted implementation of the plan pending resolution of legal challenges, some say the plan is having an impact while others are finding more reason to explore the legality of the rule (subscription).
Should the rule survive judicial review, a new paper by the Nicholas Institute for Environmental Policy Solutions uses the Nicholas Institute’s Dynamic Integrated Economy/Energy/Emissions Model to evaluate Clean Power Plan impacts on the U.S. generation mix, emissions, and industry costs. It indicates that industry trends are likely to make Clean Power Plan compliance relatively inexpensive, with cost increases of 0.1 to 1.0 percent. But policy costs can vary across states, which might lead to a patchwork of policies that, although in their own best interests, could impose additional costs nationally.
“The answer is not the same for everyone in terms of what’s going to be the least-cost way for a particular state to approach this policy,” said lead author and Nicholas Institute Senior Economist Martin Ross. “Nationally, it would make the most sense to have a broadly coordinated policy where you can take advantage of the usual economic [tools] to spread the cost reductions around and pick up the most cost-effective sources for reducing emissions.”
Similar findings were presented at a conference of the National Association of Regulatory Utility Commissioners. Because of lower-than-expected natural gas prices, renewable power, and extended federal tax credits for that power, the country as a whole is set to meet the Clean Power Plan’s early goals, reports ClimateWire.
The Climate Post offers a rundown of the week in climate and energy news. It is produced each Thursday by Duke University’s Nicholas Institute for Environmental Policy Solutions.