National Bureau of Economic Research
NBER: FW: FYI - House Energy and Commerce Committee Passes Energy and Climate Legislation

FW: FYI - House Energy and Commerce Committee Passes Energy and Climate Legislation

From: Fullerton, Don <dfullert_at_illinois.edu>
Date: Tue, 26 May 2009 09:05:30 -0500

FYI. Don
________________________________

FYI - House Energy and Commerce Committee Passes Energy and Climate Legislation

After about 37 hours of debate, the House Energy and Commerce Committee reported out the American Clean Energy and Security Act of 2009 (H.R. 2454) on May 21, 2009. The legislation is also known as the Waxman-Markey bill, named after the bill's sponsors. This over 900-page bill has been at the center of attention in the House for the last several weeks. The House leadership and President Obama have pledged to enact energy and climate legislation this calendar year, and yesterday's passage meets an important early deadline for the House majority.

While the main purpose of the bill is to provide a regulatory framework to transition the U.S. to a clean energy economy and address climate change, the bill includes a few provisions relating to research and education:

* Last week, full Committee Chairman Henry Waxman (D-CA) and Subcommittee Chairman Edward Markey (D-MA) released proposed allowance allocations for the cap and trade program that is included in the bill. For example, 35 percent of the allowances would go to the electricity sector and 9 percent to local natural gas distribution companies. The proposal also includes one percent for "Clean Energy Innovation Centers" at research universities and institutions "for applied research and development on clean energy technology." (Note that President Obama's FY 2010 budget request proposes funding to establish eight multidisciplinary "Energy Innovation Hubs" throughout the civilian research offices at the Department of Energy, similar to the Waxman-Markey proposal.) The allocation proposal would also provide allowances for domestic and international adaptation activities, for which there could be a role for universities and other research institutions. The full list of allowances is posted here<http://energycommerce.house.gov/Press_111/20090515/allowanceallocation.pdf> (http://energycommerce.house.gov/Press_111/20090515/allowanceallocation.pdf).

* Title IV of the Waxman-Markey bill is focused on transitioning to a clean energy economy and includes sections on green jobs and adaptation to climate change:

- The bill would establish a program authorizing the Secretary of Education to award competitive grants to educational partnerships made up of at least one local educational agency, at least one postsecondary institution, and representatives of the business, labor and industry communities with experience in clean energy, for the purpose of developing programs of study focused on emerging careers in the areas of renewable energy, energy efficiency and climate change mitigation.

- Title IV also contains a section on adaptation, which includes planning activities to address state adaptation needs, addressing the effects of climate change on public health, and ensuring natural resource resilience through adaptation. These strategic planning and policy development processes include roles for the science community.

- The adaptation section also includes placeholder language regarding the establishment of a national climate service within the National Oceanic and Atmospheric Administration (NOAA). A number of House Committees are currently working on proposals that could to be included in the package in future mark ups, including the House Science and Technology Committee, which postponed the mark up of its National Climate Service Act (H.R. 2407) until early June, and the House Natural Resources Committee, which is currently working on a draft bill. The purpose of developing a national climate service is to coordinate the federal government's activities relating to climate change adaptation and mitigation and to provide user-friendly, accessible and timely information to decision makers and stakeholders at all levels.

* In addition, an amendment offered by Rep. Tammy Baldwin (D-WI) that would authorize the Secretary of Energy to establish 10 regional Centers for Energy and Environmental Knowledge and Outreach at institutions of higher education was agreed to on Tuesday. The purpose of these centers would be to coordinate and advise industrial research and assessment centers, Building Assessment Centers, and Clean Energy Application Centers located in each of the 10 regions. The amendment would authorize $10 million for FY 2010 and each fiscal year thereafter, and would provide each center with at least $500,000 for each year. Funding for the centers is not provided in the allowances mentioned above.

The bill passed the committee by a vote of 33 to 25. Only one Republican - Rep. Mary Bono Mack (R-CA) - voted in favor of the bill while four Democrats voted against it.

Despite this week's victory, the bill has a long way to go before it is ready to be sent to the President for signature. Eight House committees have jurisdiction over the measure, with four expressing interest in holding their own mark up sessions - Ways and Means, Agriculture, Science and Technology, and Natural Resources. The House leadership plans to map out its strategy for getting the bill to the floor after next week's week-long Memorial Day recess. Majority Leader Steny Hoyer (D-MD) stated this week that a vote could happen in June or July. However, the Energy and Commerce Committee and Congress now plan to turn to health care reform, which for many members is viewed as a higher priority and could compete with the energy legislation for floor time.

A summary of the bill can be viewed here<http://energycommerce.house.gov/Press_111/20090515/hr2454_summary.pdf> (http://energycommerce.house.gov/Press_111/20090515/hr2454_summary.pdf) and additional information regarding the mark up can be found on the Energy and Commerce Committee website<http://energycommerce.house.gov/index.php?option=com_content&view=article&id=1622&catid=155&Itemid=55> (http://energycommerce.house.gov/index.php?option=com_content&view=article&id=1622&catid=155&Itemid=55).

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Received on Tue May 26 2009 - 10:05:30 EDT