WHAT’S HAPPENING TODAY: Good afternoon and Happy Friday readers! While we have made it to the end of the week, Congress is not out of the woods just yet as we await the news on whether the government will shut down later tonight. With Christmas, Hanukkah, and Kwanzaa and New Years falling in the middle of the next two weeks, Daily on Energy will be suspended until Jan 6. We hope you take this holiday season to unplug and spend time with your loved ones – try not to miss our ramblings too much!
In the meantime, today’s edition of Daily on Energy Callie and Maydeen take a look at all things DOE, as the Department of Energy rolled out several funding announcements to support the grid, permitting, and efforts to reduce emissions. The department also unveiled a new study detailing how much energy data centers are expected to consume in just four years – unsurprisingly, it’s a lot. And for our last quote of the week of 2024, we highlight the incoming president’s most recent tariff promise made on social media.
Until January, we wish you a very Happy Holidays and New Year!
Welcome to Daily on Energy, written by Washington Examiner energy and environment writers Callie Patteson (@CalliePatteson) and Maydeen Merino (@MaydeenMerino). Email cpatteson@washingtonexaminer dot com or mmerino@washingtonexaminer dot com for tips, suggestions, calendar items, and anything else. If a friend sent this to you and you’d like to sign up, click here. If signing up doesn’t work, shoot us an email, and we’ll add you to our list.
QUOTE OF THE WEEK: In true Trumpian fashion, President-elect Donald Trump took to social media to threaten increased tariffs on the European Union if the bloc fails to scale up its imports of U.S. energy during his next administration.
“I told the European Union that they must make up their tremendous deficit with the United States by the large scale purchase of our oil and gas,” Trump wrote in a post to Truth Social. “Otherwise, it is TARIFFS all the way!!!
PAVING THE WAY FOR TRUMP’S EPA: Environmental Protection Agency administrator Michael Regan has announced his plans to step down from his seat by the end of the year, paving the way for the Trump administration to begin its transition in leading the agency.
The details: In a Friday email sent to EPA staff obtained by E&E News, Regan revealed his last day as EPA administrator would be Dec. 31. Jane Nishida is poised to step in as acting administrator for the final weeks of the Biden administration’s term and Dan Utech will serve as acting deputy administrator.
“Together, we confronted climate change with the urgency science demands,” Regan wrote. “We set the strongest standards in history and put billions of dollars to work to spur clean energy development, create good-paying American jobs and lower costs for families.”
Trump’s pick: In early November, Trump selected former Congressman Lee Zeldin from New York to head up the agency. At the time, the president-elect indicated his pick for EPA leadership would prioritize rolling back EPA rules issued during the Biden administration, such as emissions standards.
Zeldin previously represented the first Congressional District of New York from 2015 to 2023. His time in Congress ended when he ran an unsuccessful campaign for governor in 2022, having been beaten by Democrat Kathy Hochul.
The Republican still needs to be confirmed by the Senate before he can lead the EPA. Though with a Republican trifecta in place, Zeldin will likely face few hurdles.
DATA CENTER LOAD GROWTH MAY TRIPLE IN LESS THAN FIVE YEARS: The Department of Energy is now warning that data centers could see their load growth triple as soon as 2028, further adding strain on the national grid.
The details: The DOE today announced the publication of the 2024 Report on U.S. Data Center Energy Use, a study produced by the Lawrence Berkeley National Laboratory. It outlines how much energy data centers have used going back as far as 2014 and projecting until 2028.
The research found that in the last decade, electricity demand from data centers has tripled primarily due to technological advancements in artificial intelligence. By 2023, data centers were responsible for roughly 4.4% of U.S. electricity consumption. This demand is only expected to increase, with the study projecting data center load growth to double or triple by 2028. This could result in data centers consuming as much as 12% of electricity generated in the country.
“The United States has seen an incredible investment in artificial intelligence and other breakthrough technologies over the last decade and a half, and this industrial renaissance has created greater demand on our domestic energy supply,” energy secretary Jennifer Granholm said in a statement, insisting demand can be met with increased deployment of clean energy.
Why this matters: For months, industry experts and former regulators have warned that the grid in its current state cannot support energy demand growth at this rate. If more energy is not pumped into the grid, certain regions could be at risk of temporary blackouts or brownouts. The Trump administration has made it clear a key goal of their energy agenda will be shoring up as much power as possible to ensure energy security and independence from other nations. While many Republicans have advocated for an “all of the above” strategy including renewable alternatives, the incoming administration is expected to primarily focus on oil and natural gas.
MORE NEWS FROM DOE – THE AGENCY ISSUES FUNDING FOR GRID PROTECTION AND METHANE REDUCTION: The Department of Energy announced $28.7 million to ensure the electric grid in Florida can withstand extreme weather conditions.
The investment will go to Tallahassee Electric & Gas Utility’s project to deploy a utility-scale battery energy storage system (BESS) to provide backup power to nursing homes and community centers. It is being funded through a grant program part of the Bipartisan Infrastructure Law.
“The residents of Florida repeatedly bear the impacts of extreme weather change, and the Biden-Harris Administration continues to work hard to ensure that all of the nation’s grid is hardened in the face of intensified effects of climate change,” said Energy Secretary Granholm.
Methane reduction investment: The DOE along with the Environmental Protection Agency announced an investment of $850 million for 43 oil and gas operator projects aimed at reducing methane emissions.
“Today, we’re building on strong standards and historic progress to cut methane pollution and protect communities across the country,” said EPA Regan.
“These investments in the American oil and gas industry will support small businesses and drive the deployment of available and advanced technologies to reduce harmful pollution and tackle the climate crisis, while also helping to position the United States as the most efficient producer of oil and natural gas in the world and ensure that the industry remains globally competitive,” he added.
Most projects will focus on accelerating technology solutions to reduce methane emissions from new and existing equipment. Three projects will use available technologies to reduce emissions from low-producing oil and natural gas operations.
Meanwhile, four projects will examine improving public access to emissions data and monitoring. The other projects will work on enhancing detection and measurement of methane emissions at a regional scale.
TRUMP’S ENERGY AGENDA WILL DELAY GLOBAL GREEN TRANSITION: Executives with the global mining giant BHP are now warning that Trump’s U.S.-focused energy agenda will threaten the global transition towards cleaner and greener energy alternatives.
The details: CEO Mike Henry made the warning in a recent interview with the Financial Times, pointing to certain policies floated by the incoming president such as tariffs on various imports and a prioritization of U.S. mined minerals.
Henry described this as a “key challenge for the energy transition.” He claimed this immediate focus on energy independence in the U.S. would result in fewer investments in global supply chains, slowing the ability to supply critical metals and minerals needed for clean energy projects.
“It’s essential for the world that the supply of metals and minerals needed to support not just the energy transition but population growth, urbanization [and] rising living standards is met in as timely a fashion as possible and at lowest possible cost,” Henry told the outlet.
He went on to say the policies expected to be enforced by Trump, including sweeping tariffs on goods from China, would be bad for the global economy. However, he noted that BHP — based in Australia — would be able withstand any negative outcomes.
UK WIND GENERATION EXPECTED TO REACH NEW RECORD: Due to high winds this weekend, the United Kingdom is forecast to generate record breaking wind power, Bloomberg reports.
According to a forecast compiled by Bloomberg, “Output from the nation’s wind farms is set to reach 22.6 gigawatts at 9 a.m. on Saturday and will be even higher on Sunday … The day-ahead power price plunged 61% to its lowest level since August.”
The UK’s national weather and climate service said gusts could reach 70 miles per hour in some regions, disrupting holiday travel. Bloomberg’s forecast said wind power levels on Sunday could generate up to 23.5 gigawatts.
ICYMI: SENATE SENDS OUTDOOR RECREATION PACKAGE TO PRESIDENT’S DESK: On Thursday, the Senate unanimously passed an extensive outdoors recreation package with the goal expanding access to public lands across the country.
The details: H.R. 6492, also known as the Expanding Public Lands Outdoor Recreation Experiences (EXPLORE) Act, was first introduced by Republican Rep. Bruce Westerman of Arkansas and Democratic Rep. Raul Grijalava of Arizona. It is a combined package of a number of bills supported by a variety of outdoor-oriented groups including those supporting increased fishing, hunting, boating, campaign, rock climbing, and more.
Some of the goals of the package include expanding public land access, increasing broadband connectivity on public lands, streamlining permitting, creating new biking trails, resorting campgrounds, improving accessibility, and protecting rock climbing.
Independent Sen. Joe Manchin of West Virginia, Chairman of the Senate Committee on Energy and Natural Resources, celebrated the passage of the legislation saying he was proud the committee had “made a focus of supporting our public lands and the outdoor recreation economy” while he served as chair.
“This historic bipartisan legislation will greatly expand access to our scenic public lands and waters in West Virginia and around the country while strengthening the communities that surround these natural treasures,” Manchin said.
What’s next: Having passed in the Senate, the bill now goes to President Joe Biden’s desk as it previously passed in the House earlier this year. The president is expected to sign the bill into law.
RUNDOWN
The New York Times More People Are Now Dying From the Cold
Inside Climate News Agricultural Poisons Tell a Tale of Two Californias
Associated Press In Florida, the Miccosukee fight to protect the Everglades in the face of climate change