Congress made historic progress in last year’s energy bill by improving gas mileage standards for the first time in more than 30 years. As the House and Senate reconvene later this month, lawmakers’ New Year’s resolutions should be to complete unfinished business in building the new energy economy.
It’s worth reflecting on last year’s victory. Auto manufacturers, labor unions, and environmentalists came behind a proposal to raise standards to 35 miles per gallon. This step is the best way we can reduce our dependence on oil from unstable countries and provide relief from ever-increasing gas prices. By 2020, this step will save over 1.1 million barrels of oil each day and $22 billion at the pump each year.
This is also a victory for the environment. Global warming threatens our water supplies, wildlife habitat, and our $10 billion outdoor recreation industry, whether it’s skiers hitting the slopes in the winter or families hiking the mountains during summer.
By increasing fuel efficiency standards, Congress will cut global warming pollution by more than 420 million tons. That’s the same as if we took 77 million cars off the road.
Unfortunately, Congress left some very important unfinished business. Partisan politics and the threat of a presidential veto forced the Senate to drop a 15 percent national renewable electricity standard requiring utilities to get their power from wind, solar, biomass, and energy efficiency. Also dropped were critical renewable energy investment and production tax credits.
What’s it mean for Colorado?
So, what does all the Washington political brouhaha mean for Colorado? Plenty.
A national renewable electricity standard is the cornerstone for cutting global warming pollution and transitioning away from dirty coal plants and to a new energy future. So far, it is states like Colorado that bear the burden of this fight. Last spring, we doubled our goal of clean, homegrown energy to 20 percent by 2020. We need Washington to live up to its responsibilities, too.
Moreover, Congress’ failure to pass clean-energy tax credits will have an impact on local businesses. Experts have mapped out the boom-and-bust development of the wind industry based on year-to-year commitments of renewable tax incentives.
Also, solar businesses from Pueblo to Boulder have talked about why tax credits are the key to growing and maintaining a robust solar industry in our sun-blessed state. The solar industry estimates that the tax credit would have created 55,000 new jobs and more than $45 billion in economic investment nationwide.
How can we expect renewables to compete when we’re still giving handouts to coal and nuclear power by the billions while letting federal investments in renewables expire?
U.S. Reps. Diana DeGette and Mark Udall were key in passing the renewable electricity standard through the House. Sen. Ken Salazar passed a renewable energy standard through the Senate last spring and continues to fight for this important policy.
Unfortunately, Sen. Wayne Allard, founder of the Senate Renewable Energy and Energy Efficiency Caucus, chose to help block the renewable electricity standard despite support of everyone from labor to agriculture to Xcel Energy to Gov. Bill Ritter.
Overall, the final energy bill was good for Colorado. We broke through 30 years of inaction on fuel economy and energy independence.
Now, we need Congress to commit to a New Year’s resolution to pass a national renewable electricity standard and the renewables tax credit package. It’s high time for Washington to show the same vision that Colorado leaders have put forth for a new energy economy.
Matthew Garrington (email@example.com) is field director for Environment Colorado.