This Week in Climate & Clean Energy Wins: Week of 1/20:
See our state by state breakdown here.
The amount raised by venture capital and private equity funds in 2022 for solutions to combat the climate crisis.
The year of the Paris Climate Agreement. The International Energy Agency lauded the U.S.’ Inflation Reduction Act as the world’s most important climate action since.
The amount announced by the Biden Administration this week in grant funding and investments for new energy programs and clean manufacturing research and development.
The Inflation Reduction Act and the U.S. commitment to invest in a climate shift were widely applauded by world leaders this week at the World Economic Forum’s Annual Meeting in Davos, Switzerland. The International Energy Agency called it the most important climate agreement since the Paris Agreement, and European Commission leaders announced efforts to replicate its successes in clean technology and innovation. According to the latest Energy Information Administration Report, thanks to the Inflation Reduction Act, by 2024 renewable energy is expected to create over one fourth of the US’ electricity generation.
The Biden Administration continues to make headway on dedicated funding for new community-centered, clean energy programs, transition to clean energy programs, and public-private partnerships to advance fusion energy across the country. Combined with new investments in the future of clean manufacturing research and development – the Administration announced a stunning total of over $534 million this week to advance clean energy sources.
Additionally, a new report from the International Energy Agency forecasts “the global market for key mass-manufactured clean energy technologies”would be worth roughly $650 billion per year by 2030, and would generate nearly 14 million jobs in the same timeframe, more than double the 6 million jobs available today. The VC sector looking at climate solutions also saw an influx of capital, having raised $64 billion in the last fiscal year. Beyond investments, the Inflation Reduction Act is also bringing in massive revenue to the American economy: U.S. offshore wind sales brought in over $4 billion in federal revenue in 2022. Looking ahead, funding from the Inflation Reduction Act will jumpstart lithium production in the U.S., starting with projects in Nevada, North Carolina, and Tennessee, and clean energy providers project they can provide 24/7 clean energy in the Bay Area by 2025.
Companies and private entities are expanding on climate action in 2024, with jumpstarts to a U.S.-based lithium supply chain, 24/7 clean energy achievement, and massive money raises from venture capital and private equity funds searching for climate solutions:
- Funding from the Inflation Reduction Act will jumpstart a U.S.-based lithium supply chain. [Markets Insider, 1/17/2023]
- The DOE gave Australian lithium company Ioneer a loan of up to $700 million for their project in Nevada, which will produce enough lithium for 400,000 electric vehicles once fully operational. New projects have also been announced in North Carolina and Tennessee, and EV producers are already signing agreements with lithium plants to secure supplies.
- Clean energy provider Peninsula Clean Energy revealed research showing it can provide 24/7 clean energy to its Bay Area territory by 2025. [Canary Media, 1/18/2023]
- The model found that procuring around-the-clock clean energy would only cost 2% more than baseline procurement plans, which provide zero-carbon electricity for around 70% of the year.
- Venture capital and private equity funds searching for climate solutions raised $64 billion in the last fiscal year. [Insider, 1/15/2023]
- The Inflation Reduction Act is set to provide $370 billion in federal subsidies over a decade, available for startups aiming to solve the climate crisis.
In new reports, the International Energy Agency forecasts $650 billion in clean energy sector investments through 2030, a new study says 90% of Americans would save money and conserve energy by switching to EVs, and U.S. offshore wind sales had a strong 2022 as the market looks toward economic challenges ahead:
- A new report from the International Energy Agency forecasts $650 billion in clean energy sector investments through 2030. [CNBC, 1/12/2023]
- More than three times today’s spending, future investments are expected to generate up to 14 million jobs this decade.
- U.S. offshore wind sales brought in over $4 billion in federal revenue last year. [The Hill, 1/12/2023]
- The least three months of the year were particularly successful for the industry due to key port investments and the first-ever federal offshore wind auction on the West Coast, the Business Network for Offshore Wind found in its 2022 fourth quarter report.
- A new study says 90% of Americans would save by getting an electric vehicle. [University of Michigan, 1/11/2023 ]
- More than 90% of households that replace gas-powered vehicles with EVs would also reduce the amount of climate-warming greenhouse gas they generate.
- Thanks to $5 billion in grants from the bipartisan infrastructure law, thousands of cleaner, quieter electric school buses will roll out soon in school districts nationwide. [ABC News, 1/17/2023]
- The money will provide 2,571 zero- or low-emissions buses, with priority given to low-income, rural, and tribal communities.
- According to the latest EIA report, renewable energy is expected to create over one fourth of the US’ electricity by next year. [Inside Climate News, 1/19/2023]
- From 2023 to 2024, renewables share is rising from 24% to 26%, while coal and gas are projected to drop by 1% each in their share of electricity creation.
The Biden Administration this week announced over $534 million in funding for new community-centered, clean energy programs, transition to clean energy programs for communities across the country, funding for public-private partnerships to advance fusion energy, and new investments for clean manufacturing research and development. The Department of Energy also rolled out a series of tax credits and rebates for Americans switching to clean-energy lifestyles:
- The Biden Administration announced funding for community-centered, clean energy programs across the country. [Department of Energy Press Release, 1/18/2023]
- The Department of Energy opened applications for $430 million in grant funding to state, local, and Tribal governments for the Energy Efficiency and Conservation Block Grant Program.
- The U.S. Department of Energy launched a new $50 million program to help communities across the country transition to clean energy systems. [Energy.gov [1/18/2023]
- The Clean Energy to Communities program will connect local governments, electric utilities, community-based groups, and others with the innovative modeling and testing tools needed to meet their clean energy goals.
- The Department of Energy announced $2.3 Million for public-private partnerships to advance fusion energy. [Energy.gov 1/18/2023]
- The funding will go toward 10 projects to overcome challenges in fusion energy development.
- The Department of Energy is offering $52 million in funding for clean manufacturing research and development. [Utility Dive, 1/17/2023]
- The new funding will focus on next generation materials and manufacturing, sustainable materials, and energy technology manufacturing.
- A provision of the Inflation Reduction Act will allow Americans to claim tax credits for buying electric cars and provide $9 billion in rebates. [Yahoo FInance, 1/17/2023]
- Americans making less than $150,000 a year can claim a $7,500 tax credit for EVs and home rebates will fuel energy efficiency by providing tax credits for heat pump installations.
On the state level, a Houston-based energy company was selected for a federal program to develop new EV battery technology, and Iowa is opening a plant that will recycle wind turbine blades into reusable materials:
- Houston startup Zeta Energy is one of 12 teams selected nation-wide for a federal program to develop new battery technology for electric vehicles. [Houston Public Media, 1/13/2023]
- The U.S. Department of Energy gave out $42 million in funding through its EVs4All program, which aims to develop cheaper, more efficient batteries that can be produced domestically.
- Startup company Travero, an Alliant subsidiary, has plans to build a plant in Iowa that will convert used wind turbine blades into reusable materials. [Des Moines Register, 1/12/2023]
- With nearly 60% of Iowa’s energy in 2021 coming from wind energy, the plant will prevent the spent equipment from going into landfills in the state.