President Joe Biden is expected to sign the Inflation Reduction Act today.
Its main theme is addressing the threat of climate change, and clean-energy advocates in Minnesota are cheering its passage. Late last week, Congress sent the roughly $400 billion package to the president's desk, with supporters saying it will drive down greenhouse-gas emissions 40% by 2030.
Michael Noble, executive director of the group Fresh Energy, said a key element is the ten-year extension of tax credits for wind and solar projects, as opposed to shorter renewals, which created less certainty.
"So, businesses can plan, utilities can plan, homeowners can plan," Noble outlined. "And make sure that they buy that new heat pump or buy that new electric car, or buy that new wind farm with the tax credit from the federal government."
He pointed out leaning more on renewables will help energy costs go down in the long run for customers. Researcher shows sources like wind and solar are now cheaper to produce than fossil fuels.
Right now, 52% of electricity in Minnesota is carbon-free. The bill was opposed by congressional Republicans, while analysts noted it leaves out some important components, including bigger investments in reducing farm emissions.
The Inflation Reduction Act also aims to help rural communities by encouraging electric cooperatives to invest in clean energy.
Erik Hatlestad, energy democracy program director for CURE Minnesota, said co-ops still largely rely on fossil fuels because they have not had equal access to federal incentives for renewables like investor-owned utilities have. Instead, they have often had to work with third parties.
"Now, they'll be directly paid to cooperatives," Hatlestad explained. "It's a real leveling of the playing field when it comes to clean-energy incentives."
He suggested it could also help with the nearly $100 billion in debt co-ops have incurred due to outdated infrastructure. Supporters of the plan argued it will also address inequities in fighting climate change. For the first time, there will be an expanded tax incentive for wind and solar projects built or connected to under-resourced or Native communities.
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Programs in North Carolina and across the country are bringing energy efficiency to rural customers without breaking the bank.
Known as Inclusive Utility Investments, the programs provide upgrades at low repayment rates so customers do not go into debt and save money on their energy bills.
Roanoke Cooperative in North Carolina has a program called "Upgrade to $ave," which provides the service.
Susan Williams, community services coordinator for the cooperative, said the loan for upgrades is usually paid back over 12 years.
"Although they may have the added amount, the upgrades bring the amount of the bill down to a point where even adding the tariff to the bill, the member-owner still shows savings," Williams explained. "And their home is more energy efficient."
Rural Americans spend up to 40% more on energy than their urban counterparts, according to the Rural Power Coalition. Utilities in 10 states have invested more than $50 million through Inclusive Utility Investments, with a 99% cost-recovery rate.
The Rural Energy Savings Program and other federal programs make the investments possible for electric cooperatives. Williams pointed out the program has big benefits for the region Roanoke Cooperative serves.
"We have probably three of the poorest counties in North Carolina that we service," Williams observed. "We are always looking for ways to make things better for our members."
Williams noted many of the 14,000 member-owners of Roanoke Cooperative live in substandard housing and the cooperative provides free health and safety upgrades. She added energy efficiency lowers Roanoke Cooperative's bill, as well.
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Connecticut groups are rallying today against a natural gas pipeline expansion.
Project Maple would extend Enbridge's natural-gas pipeline stretching from New Jersey to Rhode Island with sections running under Connecticut. Residents' feedback is negative since it would increase statewide energy costs. Gov. Ned Lamont supported natural-gas expansion in his State of the State Address.
Sena Wazer, intern for the Connecticut Chapter of the Sierra Club, said now is not the time for an expansion.
"Right now, we're seeing massive federal rollbacks on climate action and climate progress," Wazer pointed out. "It is really important for our states to step up and to do better. Especially here in New England, many of our states including Connecticut pride themselves on being climate leaders and this is really a step in the wrong direction."
A 2024 Sierra Club report found building up offshore wind energy would save Connecticut residents around $3 a month on their energy bills. While renewable energy projects have higher up-front costs, they lower costs for people in the long run.
If Project Maple does go forward, it will be operational by November 2029. The Sierra Club and other groups are hosting a rally outside Eversource's Hartford headquarters at 3 p.m.
While Connecticut has long been a renewable energy and climate change policy leader, progress on the goals has stagnated in recent years. Wazer feels Lamont's recent recommendation of certain climate bills shows he wants to keep the state's climate goals alive. But she argued he must do more.
"It is not enough to recognize that climate change is impacting us," Wazer contended. "It's also really critical to take action to mitigate the impacts that we are having on climate change."
Reports show Connecticut is behind on achieving its 2030 and 2050 climate goals. The state's Department of Energy and Environmental Protection said accelerating emission reduction projects would help the state make its goals.
Natural gas is Connecticut's largest energy source, according to the U.S. Energy Information Administration.
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On the heels of a regulatory victory, utilities and various energy groups in Minnesota are expressing more optimism about the region's power grid - and its ability to accommodate a diverse set of electricity sources. In late January, the Minnesota Public Utilities Commission approved a permit request for the Northland Reliability Project, a new 140-mile transmission line stretching from the Iron Range to the St. Cloud area. Utilities behind the effort say this creates more grid space and ensures reliability as they focus on renewables such as wind and solar.
Rachel Stuckey, executive director of the Minnesota Conservative Energy Forum, says that peace of mind isn't just tied to meeting higher electricity demands.
"If a weather event happens or, God forbid, some kind of cyberattack, that we can either withstand or bounce back from that," she explained.
Her organization favors an "all of the above" approach when it comes to energy sources. Stuckey added that as these grid modernization projects come on board, it's important all voices are heard, including property owners worried about new power lines going up. The Northland project also calls for replacing two 20-mile stretches of existing lines and is scheduled to be ready by 2030.
Amelia Vohs, climate director is with the Minnesota Center for Environmental Advocacy, which prioritizes non-fossil fuel sources, says the region can't slow down in trying to modernize the power grid because demand keeps accelerating.
"Some of it [comes] from increasingly electrified appliances, or electric vehicles, but especially from the growth of data centers," she said.
Vohs added that creating more room on the grid eases the backlog of clean-energy development waiting to advance, and that while Minnesota has been a leader in trying to meet these challenges, it remains an open question of whether the state has enough transmission proposals coming together to keep pace. At least three other projects are being looked at by Minnesota regulators.
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