This Week in Climate & Clean Energy Wins: Week of 12/2:
FOR IMMEDIATE RELEASE
DATE: December 2, 2022
CONTACT: Erik Mebust, [email protected]
See our state by state breakdown here.
THREE NUMBERS TO KNOW:
The Biden administration’s investment in expanding and modernizing the grid.
KORE Power’s latest fundraising round to build another battery Gigafactory in Arizona
The number of jobs that LG Chem will create with their battery plant in Tennessee.
Clean energy companies continued their massive spurt of new investments in American made clean energy, with over $3 billion announced this week for new factories in Tennessee and Arizona. Analysts and utility executives painted a picture of the Inflation Reduction Act luring factories for clean energy products to America from European and Chinese manufacturers, and making things like domestically produced batteries and green hydrogen profitable for the first time. The Biden administration continued to power this transformation, including through $13 billion in new funding for expanding and modernizing the grid and $550 million for lowering energy costs, as well as a suite of new regulations to make energy production cleaner.
Thanks to the clean energy tax incentives in the Inflation Reduction Act, clean energy companies are continuing to launch major new initiatives across the country:
- LG Chem, investing over $3 billion, is set to launch the largest cathode plant in the US in Tennessee for EV Batteries. [The EV Report, 11/23/2022]
- The plant will produce 120,000 tons of cathode material, enough to power batteries in 1.2 million EVs with a range of 310 miles, and create more than 800 jobs.
- KORE Power raises $75M to build lithium-ion battery cells in Arizona, allowing it to break ground. [Canary Media, 11/30/2022]
- The Idaho based lithium-ion battery company announced $75 million of a planned $150 million investment round necessary to start construction of its Gigafactory in Arizona.
- Additionally, Lithium CEO is ‘accelerating’ his U.S. investment plans, thanks to the Inflation Reduction Act. [Fortune, 11/29/2022]
- Hyundai chose SK On Co., a company that manufactures in the U.S., over Chinese manufacturers in order to qualify for climate law incentives. [Bloomberg, 11/29/2022]
- The two companies are mulling a $1.9 billion investment in new manufacturing facilities in the U.S, on top of the $5.5 billion Georgia project they announced earlier this year. [Electrek, 11/28/2022]
- Barclays Plc, one of Europe’s biggest coal financiers, said its analysis of the climate law has led it to commit to wind down its funding for coal in the US five years earlier than planned. Barclays Coal Plan Exposes Reach of Biden’s Inflation Reduction Act [Bloomberg, 11/30/2022]
The Inflation Reduction Act tax incentives are so successful, they are drawing investment in new manufacturing facilities away from Europe to the U.S.:
- The CEO of Europe’s biggest utility Enel said the Inflation Reduction Act is superior to Europe’s system for supporting domestic energy sector components. [Reuters, 12/1/2022]
- “There are better ways to doing things than the system in Europe, and the U.S. have a great package not only to change the infrastructure and the energy generation mix but also to help re-shore some critical components.”-Francesco Starace, CEO of Enel.
- The Inflation Reduction Act is luring clean energy manufacturing investment away from Germany to the U.S. [Bloomberg, 12/1/2022]
- “IRA has changed the dynamics for suppliers. The entire value chain is looking at North America instead of at Europe,” said a spokesperson for Northvolt, a major European battery company that has delayed a planned battery factory in Germany to consider building it in the U.S. instead.
Clean energy is providing innovative solutions in states to modernize and expand grid infrastructure and helping to create new job opportunities:
- According to a report, a potential RPO covering 11 Western states could add 4,400 MW of new clean energy while saving states $2 billion annually on energy costs. [E&E News, 11/22/2022]
- The Latino Academy of Workforce Development in Madison, WI led a pilot program to teach minority contractors skills needed to expand their businesses into solar installation, weatherization, and other clean tech areas. [Yale Climate Connections, 11/23/2022]
- A new New York project will use high-tech sensors to get more clean energy onto grid. [Canary Media, 11/29/2022]
- In a first of its kind project for the U.S, National Grid and LineVision will deploy technology that senses the real-time capacity of transmission lines by 2023, limiting output reductions at two wind farms.
- This will result in reducing curtailments by more than 350 MW and increasing capacity by 190 MW, making this grid more energy efficient.
Due to the Inflation Reduction Act, companies, states, and workers that have been hesitant to transition to clean energy, are now embracing the clean energy incentives in the historic climate law:
- A top Goldman Sachs analyst said the climate law changed the game for the economics of clean energy, making several technologies profitable for the first time. [CNBC, 11/30/2022]
- “It finally makes technologies like green hydrogen, local green battery production [and] carbon capture, profitable in large scale.”
- U.S. wind outlook lifted by tax breaks for long duration storage [Reuters, 12/1/2022]
- With Federal Aid on the Table, Utilities Shift to Embrace Climate Goals [New York Times, 11/29/2022]
- Major utilities have started collaborating to transition away from fossil fuels, instead of fighting federal regulators to keep fossil-burning power plants open, and are looking to partner with federal regulators.
- Green Factories Are Changing Minds in More Conservative US States [Bloomberg, 11/28/2022]
- Bloomberg reports that the QCells solar panel factory in Dalton Georgia is winning support for clean energy in Marjorie Taylor Greene’s congressional district. “Everyone is trying to move forward. If we don’t change what we’re doing, we’re going to get left behind,” admits Wayne Lock, a quality engineer at a solar factory in Dalton, Georgia.
- Green Jobs Are Flourishing & Winning Over The Hearts Of Conservative Workers [CleanTechnica, 11/30/2022]
This week, the Biden administration announced a grant to update America’s school infrastructure with clean energy, and released new rules and regulations to support tribal communities and workers:
- Interior Department Takes Action to Reduce Methane Releases on Public and Tribal Lands [Department of Interior press release, 11/28/2022]
- Grants for Energy Improvements at Public School Facilities [Department of Energy press release, 11/29/2022]
- Biden Interior rule would limit methane leaks, gas flaring from public lands drilling [CNBC, 11/29/2022]
- Treasury outlines wage, apprenticeship requirements for clean energy tax credits [CNBC, 11/29/2022]
- Biden-Harris Administration Makes $135 Million Commitment to Support Relocation of Tribal Communities Affected by Climate Change [Department of the Interior press release, 11/30/2022]
- Departments of the Interior, Agriculture Advance Mining Reforms Aimed at Protecting and Empowering Tribal Communities [Department of the Interior press release, 12/1/2022]
And in case you missed this while we were off last week, the Biden Administration announced new multi billion dollar clean energy investments and rolled out an economic justice screening tool:
- The Biden Administration announced $13 billion aimed at modernizing and expanding America’s electric grid. [Department of Energy press release, 11/18/2022]
- Using funding from the Bipartisan Infrastructure Act, President Biden announced $550 million to support community-based clean energy in state, Tribal, and local governments. This funding, through the Energy Efficiency and Conservation Block Grant, will develop local programming to support the deployment of clean energy. [Department of Energy press release, 11/22/2022]
- The White House announced its first version of the Climate and Economic Justice Screening Tool (CEJST), which is an essential first step in achieving the administration’s goal of 40% of climate investments going to frontline communities. [White House press release, 11/22/2022]
Climate Power’s Executive Director Applauds House Democratic Leadership Elections
WASHINGTON, DC — In response to House Democratic leadership elections, Lori Lodes, Executive Director of Climate Power, released the following statement:
“Today we celebrate the historic election of Rep. Hakeem Jeffries as Leader of the House Democratic caucus, along with Rep. Katherine Clark as Minority Whip, and Rep. Pete Aguilar as House Democratic Chair. These leaders have been tried and true climate champions throughout their careers—from advocating for clean air and water for their communities, to playing instrumental roles in passing the Inflation Reduction Act—and we look forward to seeing the next generation of Democratic leaders acting on climate.
“Voters made it clear this midterm cycle that they overwhelmingly support clean energy investments that will create millions of jobs and lower costs for families. We have full faith in our new Democratic leaders in Congress to fight against Big Oil’s campaign to undo the progress we’ve made these past two years, and look forward to working with them to build a more just and equitable clean energy future.”
La directora ejecutiva de Climate Power aplaude las elecciones del liderazgo demócrata en la Cámara de Representantes
WASHINGTON, DC – En respuesta a las elecciones del liderazgo demócrata en la Cámara de Representantes, Lori Lodes, Directora Ejecutiva de Climate Power, publicó la siguiente declaración:
“Hoy celebramos la histórica elección del representante Hakeem Jeffries como líder del Caucus Demócrata de la Cámara de Representantes, junto con la representante Katherine Clark como líder de la minoría y el representante Pete Aguilar presidente del Caucus Demócrata en la Cámara Baja. Estos líderes han sido verdaderos defensores del clima a lo largo de sus carreras -desde abogar por aire y agua limpios para sus comunidades, hasta el papel decisivo en la aprobación de la Ley de Reducción de la Inflación- y esperamos ver a la próxima generación de líderes demócratas actuando sobre el clima”.
“Los votantes han dejado claro en este ciclo de mitad de término que apoyan de forma abrumadora las inversiones en energías limpias que crearán millones de puestos de trabajo y reducirán los costos para las familias. Confiamos plenamente en nuestros nuevos líderes demócratas en el Congreso para que luchen contra la campaña de las grandes petroleras para deshacer los avances que hemos logrado estos dos últimos años, y esperamos trabajar con ellos para construir un futuro de energía limpia más justo y equitativo”.
This Week in Climate & Clean Energy Wins: Week of 11/18:
See our state by state breakdown here.
The value of new domestic factories clean energy companies have advanced in three months since passage of the Inflation Reduction Act
The number of new electric vehicles registered in the U.S. through September this year, a 57% increase over last year
NextEra’s estimate of how much the Inflation Reduction Act will reduce the cost of utility scale solar and wind by the end of the decade
As President Biden touted the benefits of the Inflation Reduction Act at COP27 this week, new announcements continued to roll in showing the scale of its impact. New domestic manufacturing projects worth billions of investment were announced in Georgia and Alabama, and the nation’s first EV battery materials supplier reached a major deal with Panasonic in Kansas. New reports showed the Inflation Act powering an explosion of activity in the markets for energy storage, which is projected to grow 12x in the next 5 years, and new registrations of electric vehicles are up 57% since last year. Executives from most major utilities declared that the Inflation Reduction Act would save their customers money while speeding the transition to clean energy. Leading this activity, President Biden announced ambitious new regulations and funding in Egypt, while his administration made more than $750 million in new clean energy grants available this week.
Clean energy companies announced new manufacturing and processing facilities representing billions in investments across the Southeast:
- FREYR Battery to invest $2.57 billion in Georgia. [Georgia press release, 11/11/2022]
- FREYR Battery will open a gigafactory in Coweta County, Georgia, with planned first phase production of 34 gigawatt hours.
- The facility will create 723 new jobs over the next seven years.
- Inflation Reduction Act “accelerated our ambitions,” FREYR CEO says [Yahoo!News, 11/16/2022]
- First Solar Picks Alabama for $1.1 Billion Panel Factory [Yahoo!News, 11/16/2022]
- The facility will create more than 700 new jobs and has a planned annual capacity of 3.5 GW.
- GM Building EV Battery Separator Plant with $200 Million Grant [Thomas Insights, 11/17/2022]
- The plant is supported by a $200 million grant from the U.S. Department of Energy’s Battery Materials Processing and Battery Manufacturing initiative.
- Redwood Materials Inc. reached a deal to supply Panasonic with U.S. made critical battery components. [Bloomberg, 11/15/2022]
- The agreement is the first major contract for domestically processed cathode material, the substance that makes up more than one third of the cost of a finished battery pack.
- Redwood Materials CEO and Tesla co-founder J.B. Straubel said the Inflation Reduction Act’s domestic manufacturing incentives were “like what happens if you attach a rocket engine to supersonic airplane.”
All told, Bloomberg estimates the value of the new cleantech companies announced since passage of the Inflation Reduction Act at $16.2 billion. [Bloomberg, 11/17/2022]
- Billions flow to nascent US battery sector with push from climate law [Financial Times, 11/15/2022]
- The automotive battery management system market size is expected to grow from US$ 61.03 million in 2022 to US$ 161.84 million by 2028 [Yahoo!News, 11/16/2022]
Wood Mackenzie forecasts U.S. energy storage capacity will grow 12x by 2026 due to Inflation Reduction Act Incentives. [Reuters, 11/16/2022]
Utility executives praised the Inflation Reduction Act for saving customers money and speeding the transition to clean energy.
- NextEra’s projections show the cost of solar and wind dropping 35-44% because of the Inflation Reduction Act. [Utility Dive, 11/17/2022]
- Duke Energy Chief Financial Officer Brian Savoy said “This will buy down the cost of that transition with our customers.” Duke had previously announced the law would save its customers $56 million. [Bloomberg, 11/14/2022]
- American Electric Power Chief Executive Officer Nick Akins said “The act was really positive for the industry to move to a clean energy economy,.” [Bloomberg, 11/14/2022]
- NextEra’s general counsel Sam Walsh said “We have a once-in-a-lifetime set of incentives that are on the table. The biggest risk for ratepayers would be a failure to capitalize on that right now.” [Utility Dive, 11/17/2022]
- A PG&E spokesperson said “”These tax credits make it more affordable to develop wind plus storage projects, and savings are passed through to customers and reflected in their rates.” [Reuters, 11/16/2022]
Demand for electric vehicles is exploding, driving increases in profit.
- More than 530,000 new battery-electric vehicles were registered in the U.S. through September, a 57% increase over the same period last year. [Utility Dive, 11/14/2022]
- US EV adoption likely to get 20% boost by 2030 from Inflation Reduction Act: BloombergNEF report [Utility Dive, 11/17/2022]
- GM expects EV profits to be comparable to gas vehicles by 2025, years ahead of schedule, crediting the Inflation Reduction Act. [CNBC, 11/17/2022]
President Biden and cabinet officials announced new initiatives at COP27 to strengthen U.S. leadership in tackling climate change. [White House press release, 11/11/2022]
- President Biden announced the U.S. would double its pledge to the Adaptation Fund to $100 million and announced over $150 million in new support to accelerate the President’s Emergency Plan for Adaptation and Resilience (PREPARE) efforts in Africa.
- The U.S. also announced strengthened methane regulations on the domestic oil and gas industry.
- Secretary Granholm announced the U.S. would aim for zero-emissions heavy-duty vehicles by 2040 [Reuters, 11/17/2022]
Back home, the Biden administration announced more than $700 million in new clean energy grants.
- Biden-Harris Administration Announces $250 Million To Finance Energy Efficiency Upgrades For American Families And Businesses [Department of Energy press release, 11/15/2022]
- Biden-Harris Administration Announces Nearly $74 Million To Advance Domestic Battery Recycling And Reuse, Strengthen Nation’s Battery Supply Chain [Department of Energy press release, 11/16/2022]
- Biden-Harris Administration Announces Nearly $350 Million For Long-Duration Energy Storage Demonstration Projects [Department of Energy press release, 11/14/2022]
- Biden-Harris Administration Launches First-Of-Its-Kind $50 Million Program to Help Nonprofits Make Critical Energy Upgrades [Department of Energy press release, 11/10/2022]
- FACT SHEET: One Year into Implementation of Bipartisan Infrastructure Law, Biden-Harris Administration Celebrates Major Progress in Building a Better America [White House press release, 11/15/2022]
Climate and Progressive Groups Launch Next Wave of Ads in Climate Action Education Campaign
Additionally, Climate Power Expands to Radio and Podcast Content
WASHINGTON, DC — This week, Climate Power, Black Progressive Action Coalition, Somos Votantes, League of Conservation Voters, and NRDC Action Fund announced three new digital ads in their $10 million dollar campaign aimed at empowering young people and communities of color with the information they need to utilize the many climate benefits of the Inflation Reduction Act.
The new digital spots, “Opportunity Starts Now,” “Our Chance,” and “Seen,” will continue to be aired on streaming platforms and Black and Latino digital platforms in AZ, GA, MI, NV, PA, WI, NM, NH, and the Los Angeles DMA. The ads describe how the Inflation Reduction Act helps lower energy costs by over $1,000 for working families, creates millions of good-paying jobs, stable jobs in communities, helps cut toxic carbon pollution by half, and makes corporations pay their fair share.
Since September, the coalition of democracy and climate organizations have run a months-long effort to inform communities of color and young people on the benefits of climate, educating nearly five million Americans. Recent studies show that while the law is overwhelmingly popular, very few people are aware of the specific benefits the climate law will bring to their communities.
In addition to the digital ad spots, Climate Power is expanding to radio and streaming audio, uniquely targeting Black audiences, with their first radio spot titled “It Matters.” The ad will air in Augusta, Atlanta, Detroit, Flint, Macon, Milwaukee, and Philadelphia through February.
“While the Inflation Reduction Act is the most significant investment in climate, communities across the country still don’t know how this legislation positively impacts their lives,” said Lori Lodes, Climate Power Executive Director. “Communities of color are disproportionately impacted by the climate crisis. Extending the length of our campaign, and deepening our engagement with Black audiences through radio and streaming audio content, allows us to reach even more communities to bridge this information gap.”
“As the Biden Administration’s baseline investment in climate worthy energy projects begin to surface in states, municipalities and local governments, now is the time to redouble outreach efforts to communities that have been excluded from every kind of resource,” said Tamara Toles O’Laughlin, President of Environmental Grantmakers Association and Founder of Climate Critical Earth. “Black, Indigenous and all people of color are ready for long overdue development, training, and working capital for experiments to multiply human potential to change our climate story. The first of these investments must be in existing entities, outlets and organizations where communities already meet up. This campaign’s investment in BIPOC media is the first of many necessary waves of outreach that can turn the possible into reality for a humane and habitable planet.”
Scripts of the spots are below.
You hear its power.
And you feel its energy.
But what about its opportunity?
President Biden’s historic climate bill is building America’s clean energy future.
It creates millions of jobs.
Good-paying, union jobs.
It will help save families more than $1,000 per year on energy costs.
Putting more money in your wallet and more opportunity in our communities.
President Biden’s plan is about people.
And it starts now.
President Biden just made history, signing a landmark climate change law that creates 1.5 million good-paying, clean energy jobs.
(Jobs we can be excited about).
For construction workers.
Jobs that can’t be outsourced…
And mostly don’t require a 4-year degree.
In small towns, big cities, and everywhere in between…
These aren’t just jobs—they’re careers,
And a chance to be a part of something big.
For our communities.
And for our future.
We feel the hidden impacts of climate change…
The effects that land harder in black, brown and native communities.
Not many people talk about it, cause they clearly don’t know our lives.
But with President Biden’s landmark infrastructure and climate plans, our issues are finally seen.
Removing lead pipes means we know our water is safe.
A 40% cut in carbon pollution helps all our kids to breathe easier.
And 1.5 million new jobs means stable work in communities across the country.
The impact we need…
“Ok… I get that President Biden did something big on infrastructure and climate change…
And I get that people think it was amazing…
But could someone please tell me what that actually means for me?
And please… keep it simple!
What does historic infrastructure and climate action mean for us?
Oh, I got this one…
How about 1.5 million new jobs, that means more stable work right here in our neighborhood.
Umm… There’s cutting toxic carbon pollution by almost half, so my little brother can finally go outside and breathe easy.
And $15 billion dollars to rip out and replace lead pipes so we know our water is safe…
Dang… ok, ok, I get it… It matters, my bad.
Learn more about why the new laws matters for you at climatelawfacts.org
Oh, I’m not done…. Did I mention energy savings for families… and corporations paying their fair share of taxes…
Climate Power’s Executive Director Responds to Nancy Pelosi Announcing Her Retirement From House Leadership
WASHINGTON, DC — In response to Speaker Nancy Pelosi announcing her decision to step down from House Democratic leadership, Lori Lodes, Executive Director of Climate Power, released the following statement:
“No one compares to Speaker Nancy Pelosi. From climate change to health care, Speaker Pelosi’s legacy is a testament to never giving up in the fight to better the lives of working families. It is because of her steadfast leadership, Democratic Members of Congress passed the landmark Inflation Reduction Act, the most meaningful, and largest US investment in climate ever.
“From protecting our air, land and water, to creating the House Select Committee on the Climate Crisis and playing a pivotal role both domestically and on the global stage in the fight to stop climate change, she’s continuously led America a just, clean energy future we all deserve. Speaker Nancy Pelosi’s legacy is one of championing the health and well-being of communities over fossil fuel corporations, justice over corruption, and progress over regression. We will forever be in debt to Speaker Pelosi for her unrelenting advocacy for American families, and don’t doubt that she’ll continue to lead in the fight to stop climate change.”