PA Environment Digest Blog: House Committee Meets Oct. 1 To Consider Bill To Diversify Energy Generation, Improve Grid Reliability, Lower Consumer Energy Costs

The House Environmental Resources and Energy Committee is scheduled to meet on October 1 to consider House Bill 2277 (Otten-D-Chester), the PA Reliable Energy Sustainability Standard (PRESS) is the Governor’s Energy Plan that would diversify energy generation, improve grid reliability, lower consumer costs by avoiding energy price spikes and create energy-related jobs.

The Committee held two hearings on this legislation on June 24 and on July 29.

Also on the Committee agenda are--

-- House Bill 2393 (Friel-D-Chester) setting standards for the storage or land application of food processing residual waste on farms. An amendment is expected.

-- House Bill 2594 (Friel-D-Chester) providing for the certification of food processing residual waste haulers and brokers.

-- Senate Bill 211 (Yaw-R-Lycoming) setting decommissioning requirements for solar energy facilities [Senate Fiscal Note & Summary].

The meeting will be held in Room 205 Ryan Building starting at 9:30 a.m. Click Here to watch online.

Rep. Greg Vitali (D-Delaware) serves as Majority Chair of the House Environmental Committee and can be contacted by calling 717-787-7647 or sending email to: gvitali@pahouse.net. Rep. Martin Causer (R-Cameron) serves as Minority Chair and can be contacted by calling 717-787-5075 or by sending email to: mcauser@pahousegop.com.

Summary Of House Bill 2277

PRESS continues all of the successful elements of the Alternative Energy Portfolio Standards (AEPS) while making it more inclusive—adding nuclear power, next generation technologies like fusion, and clean forms of natural gas for the first time.

This revitalized energy standard will deliver outsized economic value, improve the reliability of our electricity grid, and position Pennsylvania as a leader in the energy arena for the next twenty years.

PRESS raises the target for the cleanest and renewable energy projects in Tier I to 35% by 2035; it raises the target for Tier II to 10%; and it creates a new Tier III that includes important alternative sources or of power like co-blended or low emission natural gas and other step-stone resources with a 5% target by 2035.

In addition, PRESS ensures the continuity of our existing clean energy nuclear fleet by creating a mechanism for those facilities to receive support in the event they are threatened with closure.

The PA Reliable Energy Sustainability Standard (PRESS) introduced in House Bill 2277 (Otten-D-Chester) and Senate Bill 1190 (Santarsiero-D-Bucks) is one part of a two-part PA Energy/Climate Plan announced by Gov. Shapiro in March with labor, business and environmental groups. Read more here.

The second part-- the PA Climate Emission Reduction Program (PACER)-- was introduced in House Bill 2275 (Abney-D-Allegheny) and Senate Bill 1191 (Comitta-D-Chester)

House Bill 2275 was referred to the House Consumer Protection, Technology and Utilities Committee for consideration.

Under PACER, the Department of Environmental Protection will calculate a Pennsylvania-specific cap on carbon emissions and hold our own independent PACER credit auctions.

The proceeds will be invested as follows--

-- 70 percent returned directly to electricity consumers, including those in rural areas, as an across-the-board, on-bill rebate by the Public Utility Commission (PUC). This reflects the proceeds expected to come from Pennsylvania electricity customers.

-- 30 percent to support energy efficiency projects that reduce air pollution in Pennsylvania, invest in new job-creating clean energy projects, and support low-income energy consumers with their energy bills through a year-round LIHEAP program. Of that project funding, 40 percent will be dedicated to directly benefit Environmental Justice communities.

Click Here for a more detailed summary of the Governor’s Energy/Climate Plans.

(Photo: Pittsburgh-based EOS Energy storage systems.)

Are We Going To Have Enough Gas?

-- Utility Dive: North American Electric Reliability Corp Sounds Alarm Over Maintaining Sufficient Winter Natural Gas Supplies To Address Extreme Winter Conditions; PA Gas Producers Cutting Production, Pulling Drill Rigs [PaEN]

-- Marcellus Drilling News: EQT Gas Driller Says Natural Gas Price Spikes Coming Next Year Moving From $2 to $3 Range Up To As High As $9 [PDF of Article] [PA Is 59% Dependent On Gas To Generate Electricity]

-- Utility Dive: PJM Interconnection Market Design Flaws Added Nearly 50% To Latest Capacity Auction Electricity Costs: Market Monitor; PJM To Publish A Response

-- Utility Dive: PJM Is Blocking Battery Storage Interconnection Pathway That Could Unlock ‘Tens Of Thousands Of Megawatts’ Of Additional Capacity For The Grid

-- Baker Hughes: PA Natural Gas Drilling Rigs At 14, Same As Last Week - Down 33% Since Aug. 23 [Industry Efforts To Increase Natural Gas Prices Continue]

Resource Links - Electric Grid:

-- Pennsylvania’s Electric Grid Is Dependent On One Fuel To Generate 59% Of Our Electricity; Market Moving To Renewables + Storage [PaEN]

-- Guest Essay: Pennsylvania May Not Be Able To Keep All The Lights On In Four Years - By Terry Fitzpatrick, Energy [Utilities] Association of PA

-- PJM Makes Multiple Reliability-Focused Improvements To Prepare For Winter To Deal With 70% Natural Gas, Other Generator Nonperformance In 2022 [PaEN]