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JANUARY 18, 2023

 

Good morning, we have a Voices article on green labor, and Anca combines four charts to break down the climate tech gap facing us in our latest Data Dive.

 

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

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VOICES

Labor leads efforts to turn federal climate policy into good jobs

BY: MIKE FISHMAN

 

Fishman is the President and Executive Director of the Climate Jobs National Resource Center. Reach out by email (info@cjnrc.org).

 

Successful pro-climate and pro-worker ballot initiatives in the 2022 midterm elections indicated voters across the United States want elected officials to lead on climate action that creates good jobs.

 

To deliver on that mandate, cities and states need to make the most of the Inflation Reduction Act (IRA), the historic federal climate law passed last August.

 

IRA’s $369 billion investment in clean energy has the potential to slash harmful emissions and spur a massive expansion of renewable energy. Significantly, many of IRA’s tax incentives are directly tied to labor standards aimed at creating high-quality jobs in the clean energy sector.

 

Implementing the new law could create millions of union jobs, build the world’s leading clean energy economy, stave off climate breakdown and even begin to reverse racial and economic inequality.

 

Unions are essential to unlocking IRA’s potential to tackle both climate change and inequality. Over the past three decades, racial and economic inequality has been widening as union membership declined. These workers are getting hit first and worst by the climate crisis, facing harder conditions on the job and experiencing severe weather at home. 

 

In response to these converging crises, workers have started organizing through their unions over the last several years to build democratic, collective power to win climate solutions that cut carbon and create high-quality jobs in the renewable and clean energy sectors.

 

This labor-led “climate jobs” model started gaining momentum before IRA’s passage, laying a strong foundation for the next era of climate policy.

 

In 2021, Climate Jobs Illinois, a coalition of unions focused on a pro-worker climate agenda, helped win the country’s strongest pro-climate, pro-worker energy bill, the Climate and Equitable Jobs Act. The law commits the state to building a clean power sector by 2050 through union jobs, decarbonizing public schools and expanding pathways to union careers in under-resourced communities of color.

 

Similar climate jobs coalitions in New York, Rhode Island, Maine and Connecticut won policies in 2021 and early 2022 that create high-quality renewable energy jobs and protect workers, advancing a bold vision of a worker-centered clean energy economy.

 

Now, IRA’s labor standards will ensure jobs in the clean energy economy are family-sustaining union jobs, with high-quality training, strong worker protections and collective bargaining.

 

Specifically, to take advantage of many of the law’s tax credits, clean energy developers must pay workers prevailing wages and hire workers from registered apprenticeship programs.

 

Such a massive opportunity comes with major challenges. Federal agencies as well as state and local governments must wrestle with how to ensure working people actually see the benefits of IRA in their communities, how to expand access to high-quality union training programs for workers in under-resourced communities and how to develop a domestic, unionized supply chain for clean energy technology. 

 

To unlock the law’s full potential for workers and overcome these challenges, unions across the country are organizing to build awareness around federal climate jobs resources for their neighborhoods and develop new policy mechanisms.

 

In Illinois, the state’s Climate Jobs coalition has been developing union training programs for clean energy jobs. And Climate Jobs New York has been advancing pro-worker policies to expand domestic offshore wind manufacturing capacity that will grow the industry and revitalize communities.

 

Union-led campaigns for carbon-free and healthy schools across states like Rhode Island, Texas, New York, and Illinois are helping school districts and other public entities use IRA’s incentives to invest in rooftop solar and energy efficiency upgrades.

 

Unions are also organizing to implement IRA’s incentives for renewable energy hydrogen, long-duration storage and other emerging technologies. In many states, unions are partnering with state governments and industry to shape pro-worker proposals for the Energy Department’s hydrogen hub program.

 

With unions leading the way, IRA could spur a seismic shift in our economy that plays out in every community. We must approach the implementation of the law with the same urgency it took to pass it in the first place; otherwise we may miss our shot at simultaneously tackling the climate crisis and tipping the scales for working families.

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Lunchtime Reads and Hot Takes

Burning Man sues BLM over approval of geothermal exploration project in Gerlach — Reno Gazette Journal and The Washington Post

Amy’s take: If we fail to substantively slow climate change, future generations should look to this moment to summarize why: Humans would rather protect a hedonistic party that lasts eight days than a planet that should last forever.

 

Von der Leyen announces Net-Zero Industry Act to compete with US subsidy spree — POLITICO

Anca’s take: Europe’s months-long frustration about the impact the Inflation Reduction Act will have on its competitiveness are morphing into a “strike-back” attitude. The idea is on the table and the ball is in the court of national capitals now.

 

Why the World Is Protesting America’s Climate Plan — TIME

Amy’s take: Be careful what you wish for. Although the world has been calling on the U.S. to go big on climate, in this current political climate its actions were always going to be a bit protectionist.

 

Biggest US Grid Had 23% Power-Plant Failure in December Storm — Bloomberg

Amy’s take: “...plants unable to cope with the cold,” what does that mean? As the saying goes: “There is no such thing as bad weather, just bad clothes.” So, get warmer gear, power plants!

 

Sweden plans new law to enable nuclear plant construction — Financial Times (paywall)
Anca’s take: This line stands out, especially considering this week’s Data Dive: “Massive projects to make carbon-free steel, iron ore and batteries in northern Sweden mean that the wealthy Scandinavian country needs to increase its electricity production.”

 

Sweden discovers Europe's largest known rare earths deposit — Deutsche Welle

Anca’s take: Sticking with Sweden, this news is aligned with our Data Dive and Europe’s efforts to boost its industrial independence. The discovery “could raise hope of the EU reducing its dependency on China for elements that are crucial to an array of modern technologies.”

Climate Startup Removes Carbon From Open Air in Industry First — The Wall Street Journal

Amy’s take: An important moment. Also, let’s call all non-carbon removal credits “basic.”

 

The smelly, greasy truth about how sustainable aviation fuel is made — Canary Media

Amy’s take: I lost my appetite reading this story. But it’s a good read!


John Kerry backs UAE appointment of oil chief to oversee UN climate talks — The Guardian

Anca’s take: There’s a lot of pushback to the UAE’s choice for COP28 president (the article lays out who Sultan al-Jaber is). While Kerry’s diplomacy might have been strategic, it’s clear the next United Nations climate talks won’t be a walk in the park.

 

A startup says it’s begun releasing particles into the atmosphere, in an effort to tweak the climate — MIT Technology Review

Amy’s take: If this person is doing this to raise awareness about the urgency of climate change, trying to profit off it sure pokes holes in such an effort.

 

Biden’s climate agenda has a problem: Not enough workers — Reuters

Amy’s take: Wow, a cleantech company buying a roofing or electrician company just to find workers.

More of what we're reading:

  • Fed wants climate risk analysis from 6 largest U.S. banks by July 31 — Reuters

  • Germany built LNG terminals in months. Wind turbines still take years — The Washington Post
  • TotalEnergies to book $2.1 bln payout for UK, EU windfall taxes in Q4 — Reuters
  • US lawmakers in Davos tell Europeans: America’s not protectionist — POLITICO
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    DATA DIVE

    Massive cleantech deployment needed to reach net zero

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    Source: International Energy Agency, “Energy Technology Perspectives 2023” • Analysis based on IEA’s Net Zero Emissions Scenario.

    BY: ANCA GURZU

    Countries need to “dramatically” increase the scale and speed of clean energy technology deployment for a chance to reach net-zero emissions by mid-century, the International Energy Agency (IEA) found in a new report.

     

    Global production of electric vehicles needs to increase 15-fold by 2050, while the deployment of renewables needs to quadruple in that time.

     

    Low-emission synthetic hydrocarbon fuels, primarily jet kerosene, would need to grow from today’s minimal production to 2.4 billion liters in 2030 (more than the oil consumption of Japan’s domestic aviation industry in 2021), the report found.

     

    These fuels, a type of sustainable aviation fuel, are made from synthetic gas, a mixture of hydrogen obtained through electrolysis, carbon monoxide and CO2 collected from direct air capture or from burning biomass for energy.

     

    The industry would need to produce over 105 billion liters of low-emission synthetic hydrocarbon fuels by 2050, equal to the total oil consumption of domestic and international aviation in the United States and the European Union in 2021.

     

    Production of low-emission hydrogen through electrolysis or from natural gas with carbon capture and storage needs to jump from around 0.5 million tonnes (Mt) in 2021 to 450 Mt in 2050. In energy equivalent terms, this increase equals about half of the world’s energy consumption from all forms of transportation in 2021.

     

    The IEA’s Net Zero Emissions (NZE) scenario tracks a pathway for the global energy sector to achieve net-zero CO2 emissions by 2050.

     

    The decarbonization process envisioned in the NZE scenario rests on eight main pillars: behavioral change to reduce energy demand, energy efficiency, hydrogen, electrification of energy systems, bioenergy, wind and solar, carbon capture, utilization and storage and other shifts to cleaner fuels (from coal to natural gas, nuclear, hydropower, etc.)

     

    Behavioral changes and energy efficiency gains don’t require fundamental changes to existing energy systems. However, the other pillars, responsible for 70% of the cumulative emissions reductions by 2050, require massive deployment of new infrastructure, the report found.

     

    The global market for key mass-manufactured clean energy technologies will be worth around $650 billion a year by 2030—more than three times its value today—if countries fully implement their announced energy and climate pledges.

     

    Assuming no major regulatory delays, bringing cleantech manufacturing facilities online takes about one to three years.

     

    “Government policies and market developments can have a significant effect on where the rest of these projects end up,” the report states.

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    AND FINALLY...

    EVs on the Ganges

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    Cipher reader Ravi Manghani spotted this electric vehicle charging station on the banks of the Ganges River when visiting the holy city of Haridwar, India in December. While charging infrastructure has expanded in Delhi in recent years, the rest of the country has catching up to do, Manghani says.

     

    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.

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    Editor’s note: In addition to supporting Cipher, Breakthrough Energy also supports and partners with a range of entities working to tackle climate change, including nonprofits, corporations, startups and research firms. For more information on Cipher’s editorial policy, click here.

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