Only the good die young: A mid-way review of Virginia climate and energy bills

Photo credit: Corrina Beall

Photo credit: Corrina Beall

Virginia’s 2016 legislative session is only half over, but it’s already clear that the General Assembly is no more capable of dealing with climate change and a rapidly-evolving energy sector than it ever was. Republicans are stuck in denial, Democrats are divided between those who get it and those who don’t, and for most legislators in both parties, the default vote is whatever Dominion Power wants.

Republican attacks on EPA climate regulations sail through both houses, while popular RGGI legislation dies in committee.

Practically the first bills filed this session call for Virginia’s Department of Environmental Quality to submit for legislative approval any plan to comply with the EPA’s Clean Power Plan. Anxious to safeguard Virginia’s heritage of carbon pollution against the twin threats of clean energy and a more stable climate, the Republican leadership rammed through HB 2 and SB 21 on party-line votes. Governor McAuliffe has promised vetoes.

Eager as it was to defeat Obama’s approach to climate disruption, the Party of No supported no solutions of its own, even when proposed by one of its own. Virginia Beach Republican Ron Villanueva couldn’t even get a vote in subcommittee for his Virginia Alternative Energy and Coastal Protection Act, which would have had Virginia join the Regional Greenhouse Gas Initiative (RGGI). It was the only legislation introduced this year that would have lowered greenhouse gas emissions and raised money to deal with climate change. The Democratic-led Senate version also failed to move out of committee, on a party-line vote.

Republicans scoff at climate change, but they are beginning to worry about its effects. Bills have moved forward to work on coastal “resiliency” efforts and to continue studying sea level rise (referred to as “recurrent flooding,” as though it were a phenomenon unto itself and suggesting no particular reason it might get worse). The Senate passed SB 282, creating the Virginia Shoreline Resiliency Fund, and SJ 58, extending the work of the Joint Subcommittee to study recurrent flooding. The House passed HJ 84, a companion to SJ 58, and HB 903, establishing a Commonwealth Center for Recurrent Flooding Resiliency.

Bold energy efficiency measures die. Not-so-bold measures don’t do well either.

Virginia appears set to continue its woeful record on energy efficiency. Between the opposition of electric utilities and their regulators at the State Corporation Commission, bills that would have set the stage for cost-effective reductions in energy use got killed off early or watered down to nothing.

Among the latter were the fairly modest bills pushed by the Governor. They passed only when reduced to a provision for the SCC to evaluate how to measure the subject. Weirdly, even that found opposition from conservative members of the Senate and House.

The only bill to move forward more or less intact was Delegate Sullivan’s HB 1174, which requires state agencies to report on how badly the state is doing in meeting its efficiency goal. So we may not make progress, but at least we’ll have to acknowledge our failures. (Roughly the same group of conservatives didn’t think we should even go that far.)

Renewable energy bills won’t move forward this year, except the one Dominion wants.

As previously reported, the Republican chairmen of the House and Senate Commerce and Labor committees decided not to decide when it came to much-needed renewable energy reforms. Every bill to create new market opportunities for wind and solar was “carried over to 2017,” i.e., referred to a not-yet-existent subcommittee composed of unnamed people tasked with meeting at a not-yet-scheduled time, in order to do “something.”

“We do need to get moving on these solar bills faster than we have been going,” said House C&L Chairman Terry Kilgore, in explaining why his committee was not getting moving on any solar bills.

On the other hand, over in House Finance, Dominion Virginia Power’s bill to lower the taxes it pays for renewable energy property fared better. In exchange for an 80% tax exclusion for its own utility projects, Dominion offered up reductions in the tax savings currently afforded to the smaller projects being developed by independent solar companies. In an amusing sideshow, Republican leaders tried to use their support for this legislation to strong-arm liberal Democrats into supporting a bill extending coal subsidies, on the theory that passing one bill that benefits Dominion warrants passing another bill that benefits Dominion.

Given the lack of progress in opening the wind and solar markets, there is more than a little irony in the fact that legislation moved forward in both the House and Senate requiring utilities to direct customers to an SCC website with information about options for purchasing renewable energy. (Which leads to the question: if visitors to such a site encounter an error message, is it still an error?)

Coal subsidies remain everyone’s favorite waste of money.

Once again, the House and Senate passed bills extending corporate welfare for companies whose business model involves blowing up mountains and poisoning streams. Over the years legislators have spent more than half a billion dollars of taxpayer money on these giveaways, knowing full well it was money down a rat-hole. Community activists have pleaded with lawmakers to put the cash towards diversifying the coalfields economy instead, but there has never been a serious effort to redirect the subsidies to help mine workers instead of corporate executives and the utilities that buy coal.

This year the corporate handout went forward in the face of reports that one of the biggest recipients plans to pay multi-million-dollar bonuses to its executives while laying off miners and looking for ways to dodge its obligations to workers. Add to this the news that the same company owes two coalfields counties $2.4 million in unpaid taxes for last year, and you have to wonder what fairy tales legislators are hearing from lobbyists that makes them put aside common sense.

It’s not just Republicans who voted for these subsidies (though there is no excuse for them, either). Some Democrats did so, too. Governor McAuliffe has said he would veto these bills, which means senators like David Marsden, Jennifer Wexton, John Edwards and Chap Petersen will have a chance to redeem themselves by voting against an override.

Many thanks to Senators Howell, Ebbin, Favola, Locke, McEachin, McPike and Surovell for seeing through the propaganda of the coal lobby and voting no.

Dominion defeats legislation protecting the public from coal ash contamination

Senator Scott Surovell’s SB 537 would have required toxic coal ash to be disposed of in lined landfills rather than left in leaking, unlined pits and simply covered over. The bill failed in committee in spite of support from one Republican (Stanley), after Democratic Senator Roslyn Dance caved to pressure from Dominion and abstained. One might have expected more backbone from a legislator with coal ash contamination in her own district. (Nothing excuses the Republicans who voted against the public health on this, either. Last I heard, Republican babies are as vulnerable to water pollution as Democratic babies.)

 

Pass the Coastal Protection Act to cut carbon, raise millions

With today’s start of the Virginia legislative session, a lot of energy and climate bills are pouring in–some good, some not so good, some downright terrible. I’ll have an overview of them coming soon, but meanwhile guest blogger Dawone Robinson gives us a look at one of the best of the bills, the Coastal Protection Act, HB 2205 (Villanueva). A shorter version of his post appeared as an oped in the January 12 edition of the Richmond Times-Dispatch. Many thanks to Dawone for letting me run this. 

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A house in the process of being elevated, a very expensive solution to the problem of recurrent flooding due to sea level rise in Virginia. Photo credit: CCAN

A house in the process of being elevated, a very expensive solution to the problem of recurrent flooding due to sea level rise in Virginia. Photo credit: CCAN

Have you ever put together a list of items you would purchase if you won the lottery—before you remembered that you haven’t even purchased a ticket? Upon reflection, how premature was that list you so perfectly pieced together?

In Virginia, we face a similar dilemma when it comes to addressing the mounting crisis of flooding along our coast.

We’ve got plenty of laudable lists in the works. Last year, Virginia lawmakers unanimously passed a resolution establishing a joint subcommittee to study recurrent flooding issues and adopt recommendations. Legislators from both parties sent a unified message: flooding is a problem in Hampton Roads and we need to do something about it.

In 2008, former Governor Tim Kaine’s Climate Change Commission laid out more than 100 recommendations to mitigate and adapt to climate change and sea level rise. So far the state has failed to adopt a plan to execute them. To his credit, Governor Terry McAuliffe recently launched a similar commission. This panel, the state’s Secure Commonwealth Panel, and the General Assembly’s aforementioned recurrent flooding subcommittee all have the same mandate: convene, discuss, deliberate, and draft a set of recommendations.

So what’s the catch? While what needs to be done is relatively easy to identify, the cost is significant—if not staggering. Virginia needs to win the equivalent of a multi-hundred-million-dollar lottery every year to fund the adaptation measures required to protect coastal residents and infrastructure.

Hampton Roads is home to the world’s largest naval base, more than $80 billion in economic activity, and 1.7 million residents who routinely feel the effects of sea level rise. Streets need to be raised, levees need to be built, and homes and businesses need to be protected. The U.S. branch of the Dutch engineering firm Fugro estimated that it would cost the city of Norfolk at least $1 billion to fully adapt to rising seas and frequent flooding—which equals Norfolk’s entire annual government operating budget.

The non-profit group Wetlands Watch reports that the cost to either elevate or purchase the homes of residents in just five Hampton Roads localities that have sustained multiple flood losses of $1,000 or more in the last ten years would exceed $430 million. Relying on federal assistance alone, it could take up to 244 years to assist all homeowners seeking help in these five localities.

Meanwhile, the Virginia Institute of Marine Science warns that sea levels could rise by as much as seven feet along Virginia’s coast within this century. We can’t afford to keep creating unfunded wish lists, and we can’t wish the problems away.

Virginia needs a dedicated stream of state funding to help coastal families and localities fight climate change. Obviously, there’s no lottery for this. But thankfully there is a common-sense legislative approach being introduced in the Virginia General Assembly by Republican Virginia Beach Delegate Ron Villanueva. His bill, called the Virginia Coastal Protection Act, would help solve our massive coastal flooding problem with a first-ever state funding mechanism that is good for the economy and good for our communities.

By joining the state into the highly successful and fully established Regional Greenhouse Gas Initiative, or RGGI, the bill would generate more than $200 million per year in new state funds to invest in coastal adaptation and other climate change solutions. This relief could come when localities in Hampton Roads need it most. It would come without adding any new demands to the state’s tight budget. It would also come through a system proven to rein in energy costs while reducing emissions and raising revenue.

RGGI is a cooperative effort of nine East Coast states that caps and reduces greenhouse gas pollution. Since the program’s inception in 2008, RGGI states have reduced their carbon footprint 2.7 times faster than non-RGGI states. In the same time period, electricity prices have dropped by 8 percent in participating states, compared to a 6 percent rise throughout the rest of the nation.

Under RGGI, power plants purchase allowances for every ton of carbon they emit. The sale of carbon allowances gets reinvested back to the states. Under Del. Villanueva’s bill, half of Virginia’s projected $200 million in annual auction revenues would fund coastal adaptation efforts, 35 percent would fund energy efficiency and renewable energy projects, and 10 percent would fund workforce development, education, and economic assistance in Southwest Virginia.

The Virginia Coastal Protection Act is a win-win-win solution. We can establish a consistent and significant source of revenue to tackle flooding in Hampton Roads and generate funds to invest in other statewide priorities, while putting policies in place to help Virginia meet carbon reduction goals in an efficient and practical manner.

Virginia’s lawmakers are on the record in their overwhelming bipartisan support for finding solutions to the state’s growing flooding woes. Delegate Villanueva has put forward the best plan to take us beyond wish lists, and to start funding urgently needed solutions.

Dawone Robinson is Virginia Policy Director with the Chesapeake Climate Action Network, a regional climate-change policy and advocacy organization with more than 30,000 supporters in Virginia. You can reach him at dawone@chesapeakeclimate.org

UPDATE: State Senator Don McEachin (D-Richmond) has agreed to introduce the Coastal Protection Act into the Senate as a companion bill to Delegate Villanueva’s (SB 1428), making this now a bipartisan effort.

Tiny Virginia subcommittee tasked with deciding future of bills related to EPA’s Clean Power Plan; meeting set for December 17

Photo credit: Sierra Club

Photo credit: Sierra Club

The EPA’s proposed Clean Power Plan could reshape Virginia’s energy future for the next fifteen years, and possibly permanently. If the state takes advantage of this opportunity, it will reduce carbon pollution, improve human health, save money for consumers, drive job creation in the fast-growing technology sector, and make our grid stronger and more secure.

If the state doesn’t act, EPA will design its own plan for Virginia, ensuring reduced carbon emissions but without the flexibility the state would have by doing it for itself.

This presents a conundrum for Virginia’s General Assembly, which is not known for embracing federal environmental regulations. The usual skepticism was on display on November 19, when the Senate and House Commerce and Labor Committees met in a joint session to take up the Clean Power Plan—or more precisely, to give utilities and the State Corporation Commission staff the chance to attack it.

At the conclusion of that meeting, the two Republican committee chairs, Senator John Watkins and Delegate Terry Kilgore, named three members of each committee—two Republicans and one Democrat from each chamber—to a special subcommittee tasked with deciding what kind of legislative action the General Assembly should take in response to the Clean Power Plan. Kilgore also put himself on the subcommittee, which will now take up any bills that Virginia legislators introduce related to the Plan.

This subcommittee has scheduled its first meeting for December 17 at 1:00 p.m. in Senate Room A of the General Assembly building in Richmond. By law, all committee meetings are open to the public.

According to General Assembly procedure, before anyone else in the entire legislature can consider a bill, it will have to pass muster with these seven men. So who are these hugely important people, and what is the likelihood that they will seize this historic opportunity to make Virginia a leader in clean energy?

The Senate members consist of Republicans Frank Wagner and Benton Chafin and Democrat Dick Saslaw. Wagner and Saslaw were obvious choices given their seniority on the committee and active role on energy issues. Chafin—well, we’ll get to him in a moment.

Frank Wagner is from Virginia Beach and is known for his interest in energy generally, and especially in promoting new projects. He sponsored the legislation that led to the Virginia Energy Plan in 2006 and has been an important supporter of offshore wind development, perhaps reflecting his undergraduate degree in Ocean Engineering and his Tidewater residence.

The General Assembly website says Wagner is the president of Davis Boatworks, a vessel repair facility whose principal customer is the Defense Department. Living in the Hampton Roads area, Wagner is aware of how real sea level rise is; presumably he understands the connection to climate change.

In spite of his interest in offshore wind, coal rules when it comes to funding Wagner’s political campaigns. The Virginia Public Access Project shows coal giant Alpha Natural Resources was Wagner’s second-best donor over the years, with a total of $43,643 in campaign money since 2003, ahead of Dominion Power’s $37,350. Energy and mining interests combined gave gifts totaling $188,152. Of this, $350 came from Highland New Wind Development LLC back in 2008 and $250 came from the offshore wind company Seawind in 2010.

Of course, who gives money to an elected official does not necessarily dictate how that official votes. But it probably should be mentioned that for the 2014 session, Wagner earned an F on the Sierra Club’s Climate and Energy Scorecard, disappointing clean energy advocates who have sometimes had reason to see him as an ally.

Also a low performer on the energy scorecard is Dick Saslaw, scraping by with a D. Saslaw is a career politician who was first elected to the GA in 1976, when he was 36. (He is now 74.) His biography lists his background as an owner and operator of gas stations.

Saslaw is the Senate Democratic Leader and used to be Chair of the Senate Commerce and Labor Committee, until his party lost the Senate. In theory, his leadership position in the Democratic Party should make him a defender of President Obama’s climate initiative. In practice, not so much.

Although he is a Fairfax County Democrat, Saslaw does not share his constituents’ enthusiasm for wind and solar, nor in general, their concern for the environment. Somebody once told him that renewable energy costs a lot; that’s been his story ever since, and he’s sticking with it, facts be damned.

Saslaw is proud of his close ties to Dominion Virginia Power, whose interests reliably predict his votes on any given bill. The Virginia Public Access Project reports that Dominion has given more money to Saslaw than to any other legislator. In 2014 alone, Dominion gave Saslaw $25,000. Over the years, Dominion’s contributions to Saslaw have totaled $240,508, making the utility Saslaw’s top donor.

Saslaw has also received more money from Appalachian Power than any other Democrat–$44,000–even though that utility does not provide service anywhere in his district. In addition, coal interests gave him $90,250, natural gas companies ponied up $50,250, and the nuclear industry chipped in $28,000.

A single contribution of $250 makes up the only entry under “alternative energy.”

This brings us to new Senator Ben Chafin, the Republican delegate from Southwest Virginia who replaced Democratic Senator Phil Puckett (he of the Tobacco Commission scandal). Chafin is a lawyer and farmer, and as his website informs us, “Ben Chafin has a proven record fighting for the coal industry. Ben sponsored successful legislation (House Bill 1261) to fight against Obama EPA’s effort to kill the industry through over-regulation. Ben will continue to work in Richmond to protect coal and grow other Southwest industries like natural gas.”

Not surprisingly, coal interests led all other industry donors to Chafin’s 2013 campaign for Delegate and his 2014 campaign for Senate ($59,000 altogether), though he did pretty well by natural gas, too ($14,150). As a delegate, Chafin earned a gentleman’s C on the Sierra Club scorecard, but it would probably be a mistake to pin our hopes on his becoming a clean energy champion. His role on the subcommittee is surely to give Coal a voice.

On the other hand, Chafin must recognize that the economics of fracked gas and ever-more competitive wind and solar means Virginia coal has no chance of ever regaining its former glory. Southwest Virginia now needs to craft a strategic retreat from mining and work on economic diversification. That’s not inconsistent with the Clean Power Plan.

On the House side—but here I have to digress for a moment to comment on the seemingly random composition of the House Commerce and Labor Committee. The Senate side is bad enough; any Democrat who has evinced environmental sympathies over the years has been dumped from the Senate Commerce and Labor, and when he was in power, Saslaw did a lot of the dumping.

But it’s worse over at the House. The leadership keeps reshuffling its energy committee, as if in a frantic effort to make sure nobody learns anything, while the delegates who actually came to the job with an interest and knowledge of energy never seem to get a turn. Energy law is a hard area to learn. It’s complicated, and if you don’t have time to master it, you are even more likely to accept guidance from either the party leader who tells you how he wants you to vote, or the glib industry lobbyists who assure you they have the public’s welfare at heart just as much as you do. (Plus they give you money!)

So Chairman Terry Kilgore had little enough to work with on his committee. The three delegates he named to this incredibly important subcommittee, though they are undoubtedly smart and hardworking people, bring no discernable expertise on either climate or energy to the General Assembly’s review of the Clean Power Plan.

Well, digression over.

Terry Kilgore himself is a lawyer and a 20-year member of the House from the coalfields region of southwest Virginia. Dominion is his top individual donor, at $122,000, but coal interests together make up the single biggest category of givers to his campaigns, at $243,188, with electric utilities at $218,680, natural gas at $97,830, the oil industry at $16,400, and nuclear energy at $8,500. Just since 2013, he’s taken in over $136,000 from energy and mining interests.

That’s awfully good money for a safe seat, and his votes have reflected it. His energy votes earned him a D on the Sierra Club scorecard. It’s unlikely that he will abandon his coal friends, but like Senator Chafin, he will serve his constituents best if he works to attract new business to his struggling region. Home weatherization and energy efficiency programs would be popular there, and solar energy is one of the fastest-growing industries in America.

The other House subcommittee members Kilgore appointed are Republicans Jackson Miller and Ron Villanueva and Democrat Mathew James. Jackson Miller is a Manassas Realtor and former police officer who has been in the House since 2006. The bills he has introduced primarily reflect his interests in real estate and criminal law, although he also introduced legislation supporting uranium mining. He has received a total of $79,252 from energy and mining companies since 2010, primarily electric utilities, natural gas, coal, nuclear, and uranium. He earned a D on the Climate and Energy Scorecard. Why he is on this subcommittee is anyone’s guess, but certainly Northern Virginia stands to gain a lot of technology jobs if the state develops its clean energy industries as it should.

Virginia Beach Republican Ron Villanueva has not been as popular with the energy and mining companies, whose donations to his campaigns have totaled $20,550. Villanueva’s website says he was the first Filipino-American elected to state office in Virginia when he became a delegate in 2009. Villanueva has been friendly to the solar industry, and while he received a D on the scorecard, he also received an award from the Sierra Club for his work on a bill to provide a tax credit for renewable energy projects. (The bill was converted to a grant in the Senate but not funded.)

Like Delegate James and Senator Wagner, Villanueva lives in an area that is feeling the effects of climate change sooner than any other part of Virginia, so his constituents know how much the Clean Power Plan matters. For that matter, his day job as a partner with SEK Solutions, a military contractor, should mean he’s aware of the Pentagon’s focus on climate change as a national security issue, as well as a threat to its coastal assets.

Portsmouth Democrat Matthew James also hasn’t been especially popular in the energy industry. Since 2009, when he first ran for delegate, he has accepted a mere $5,000 from Dominion, $3,500 from coal interests, and $3,350 from the natural gas companies—token amounts by Virginia standards, but they may be due for a sudden increase.

James does not seem to have introduced any energy-related bills. However, his votes earned him an A on the Sierra Club scorecard. James is listed as the President and CEO of the Peninsula Council for Workforce Development. Maybe he will see an opportunity in the Clean Power Plan to develop jobs in the solar, wind, and energy efficiency industries, which have outperformed the economy generally.

So there you have the five Republicans and two Democrats who get first crack at any bill either facilitating Virginia’s compliance with the Clean Power Plan, or hostile to it. If they like a bill, it moves to the full Commerce and Labor committees. If they scuttle a bill, no one else in the entire legislature will get to vote on it.

That’s how it works, or doesn’t, in the Old Dominion.