View in browser
cipher-logo
JULY 20, 2022

Good morning, I hope our readers in Europe and all other places experiencing extreme heat are doing OK!

Today, we have a Voices article on how to build political alliances and a Data Dive that offers a cautionary tale for cleantech tax credits.

Was this email forwarded to you? Sign up here.

Send your energy photos, story tips and more to news@ciphernews.com or reach us directly at amy@ciphernews.com and anca@ciphernews.com.

33ce7241-6160-4d4b-b4b3-6312c5b126b0
VOICES

Alliances and portfolios are key to fighting climate change

 
BY: KEN CALDEIRA

Caldeira is a senior scientist at the Carnegie Institute for Science and Breakthrough Energy. You can reach him at ken@breakthroughenergy.org.

Many people appreciate the value of a portfolio approach to researching and developing clean energy technologies: We need different tech for different purposes.

Less well recognized is the value of a portfolio approach to political strategies aimed at developing a global energy system that does not use the sky as a dump for our CO2 pollution.

Embedded in this approach is the concept that similar-minded people can—and should—pursue different strategies.

You and I probably share the common goal of a world with energy and industrial systems that meet human needs while protecting our climate and the environment.

Beyond that, though, differences will inevitably arise.

I might like technology X and you might like technology Y; I might like political strategy A and you might like political strategy B.

If we both argue positively for the merits of our own favored technologies and political approaches, and we both refrain from doing anything that might undermine each other’s efforts, we can wish each other the best of luck and work together as allies to advance our shared goals.

But if I publicly criticize technology Y or political strategy B, I have converted you from a potential ally to a potential enemy. I have converted you from someone who will work with me to help achieve shared goals into someone who may act to undermine my efforts.

I’m not saying we shouldn’t argue with people who share our goals but differ on matters of fact, but it is less helpful to criticize them as people or argue with them in public about irresolvable differences in values or opinions.

Statements can be respectfully questioned without making ad hominem remarks about people. We should be able to assume that we all want to be factually accurate and can help each other by respectfully illuminating the relevant facts.

It is important that we try to argue positively for what we think are the right things to do and avoid undermining efforts by others who share similar goals but who choose to advocate for different technologies or political strategies.

In speaking positively about what we think is right, we garner allies. In speaking negatively about others who share similar goals, we convert potential allies into potential enemies.

As a scientist for more than three decades, I’ve learned about the importance of needing a portfolio of political strategies and allying with people to get new laws passed to build things in the real world.

I’ve worked in both spheres at different times in my career, and it’s become clear to me that we need both.

Earlier in my career, it was my job to help shift the Overton Window—a metaphor for the range of policy options worthy of serious debate.

In 2005, I told members of Congress our goal with reducing greenhouse gas emissions should be zero because that’s what the science demanded.

People laughed at the prospect then, but nearly two decades later, it’s central to global climate policy. Most governments and companies are committing to reducing their emissions to zero in the coming decades.

The Overton Window shifted.

Today, I am part of a team at Breakthrough Energy helping to facilitate technological transformations in energy and industrial systems and helping to get these breakthroughs deployed at scale in the real world.

Creating a global energy and industrial system that is climate friendly will require a lot of allies. For example, legislation will need to be passed by the United States Senate, which in today’s environment will require a substantial number of votes from senators from both parties.

In 2005, my role was to say what I thought should be done, regardless of how practical that was from a political perspective. In advocating for what was considered a radical position in 2005, I helped that become a more centrist position in 2022.

Having some people taking more radical positions can be helpful to those trying to take concrete actions because it helps a broader range of people see those concrete actions as reasonable and appropriate.

Nobody can do this alone or all in the exact same way. It is going to require the work of many thousands of scientists, engineers, businesspeople, activists, policymakers and politicians.

All these people will inevitably take different approaches to tackling the same problem. And that’s OK, because we’re going to need as many allies as we can get.

Editor’s note: Breakthrough Energy supports Cipher.
image (88)

Lunchtime Reads and Hot Takes

In a Twist, Old Coal Plants Help Deliver Renewable Power. Here’s How. — The New York Times
Amy’ take: This is such an important story. I would have suggested framing the story broadly around how fossil-fuel infrastructure of all kinds can be repurposed into cleantech of all kinds then zero in on renewable energy, which is a big (but not the only) game in town when it comes to this trend—as the story finally indicates at the very end.

Midwest wind energy transmission line gets supersized — E&E News (paywall)
Amy’s take: Some important productive news!

This Gates-backed startup is building net-zero housing in factories — Fast Company
Amy’s take: The implications for this in the affordable housing challenges could also be massive.

NYC's Biggest Gas-Fired Power Plant to Close and Reopen as Clean Energy Hub — Bloomberg (paywall)
Amy’s take: Wow, offshore wind for the win over natural gas here.

'Cow power' goes dark as manure-to-electricity fizzles — E&E News (paywall)
Amy’s take: Documenting the failures of a sector is as important as noting its successes.

Advanced E.V. Batteries Move From Labs to Mass Production — The New York Times
Amy’s take: An EV battery that’s able to charge in less than 10 minutes would be a consumer game-changer, and this quote from one of the EV battery executives is a keeper: "When the market is bad, only the good ones will survive."

How an Old Golf Course Can Fight Climate Change — Bloomberg (paywall)
Amy’s take: I love the naturally imperfect beauty nature offers, particularly contrasted with the overly contrived perfection of golf courses (to say nothing of their thirst for water in the drought-stricken parts of our world).

Yes, We Need to Talk About Cutting Energy Demand — Foreign Policy
Amy’s take: I agree with the premise here, but geez, it’s hard to get the masses to collectively do something for the greater good (see: COVID pandemic and masks). I find myself vacillating between thinking we’ll need to figure out a way to do this, and another path that avoids the need for individual responses.

More of what we’re reading:

  • EU asks countries to cut gas demand by 15% until spring — Reuters
  • Europe Fears Widespread Economic Fallout if Russian Gas Outage Drags On — Wall Street Journal
  • Biden eyes climate emergency declaration as Democrats demand swift action — Washington Post
  • Steelmakers explore hydrogen to power energy-hungry processes — Financial Times
  • We visited the world’s biggest carbon capture plant, which just signed a 10-year deal with Microsoft — GeekWire
  • Western solar boom threatens wildlife's home on the range — E&E News (paywall)
DATA DIVE

Rocky path to wind growth offers cautionary tale for cleantech tax credits

811643f3-0513-4ea9-8636-2a4a4bef8acc
Source: The World Resources Institute • Congress first authorized the production tax credit in 1992. Lawmakers have extended and allowed the tax credit to expire for varying lengths of time.

BY: AMY HARDER

The U.S. Congress’ on-again-off-again relationship with wind energy tax credits portends choppy roads ahead for all types of cleantech.

Such a rocky road is now more likely for future and existing clean energy tax credits.

Congress is unlikely to pass any time soon more comprehensive legislation that would include up to $300 billion in clean energy tax credits since Sen. Joe Manchin (D-W.Va.), a key vote in the evenly divided Senate, indicated his lack of support for such a package earlier this month.

That likely leaves a piecemeal effort on subsidies that Congress often engages in at year’s end to extend a suite of tax credits, known on Capitol Hill as "tax extenders."

The wind industry’s production tax credit has expired and then was extended (or renewed), numerous times since Congress first created it in 1992 as the colorful chart above shows—many of those times being during the "tax extenders" season.

"The repeated expiration and short-term renewal of the PTC was particularly harmful for wind turbine manufacturing as it was working to gain a foothold in the United States," states a June 2021 report by the World Resources Institute.

"Tax credits should, therefore, be in place for a reasonable period of time, assuring market players that it is worth making the investment," the report states.

In other words, the above chart should be displaying a lot fewer colors, reflecting more consistency.

Other temporary clean energy subsidies that require regular congressional approval, including an investment tax credit for solar, contrast sharply with subsidies for fossil-fuel production, which are mostly permanent because they’re imbedded in the tax code as deductions.

Editor’s note: The WRI report was supported by Breakthrough Energy, which supports Cipher. 

AND FINALLY...

Texas transitions

93d74c30-6c6d-42a2-865e-1e943cb75a64

Cipher reader James Coleman, an energy professor at Southern Methodist University’s law school in Dallas, Texas, shared this photo he took in December of a high voltage transmission line on the Katy Trail, a popular walking path that used to be a railroad route. The power line used to move coal power from a now-shuttered coal plant at the center of Dallas. Today, the electricity likely reflects North Texas’ mix of natural gas and wind, Coleman emails.

Each week, we feature a photo that is somehow related to energy, the thing we all need but don’t notice until it’s expensive or gone. Email your ideas and photos to news@ciphernews.com.

cipher-logo-footer

You received this email because you signed-up for newsletters from Cipher.
Change your preferences or Unsubscribe here.

Was this email forwarded to you? Sign up now to get Cipher in your inbox.

 

Cipher by Breakthrough Energy
PO Box 563 
Kirkland, WA  98033
United States

 

FOLLOW US:

twitter-icon
linkedIn-icon