Details of the Clean Energy Incentive Program
Under its final Clean Power Plan (CPP), the U.S. Environmental Protection Agency (EPA) established the Clean Energy Incentive Program (CEIP) to encourage early action in meeting CPP objectives. The CEIP is a voluntary program for states to incentivize renewable and energy efficiency projects by giving them assets that will be tradable in Clean Power Plan markets. On June 16, 2016, EPA proposed design details for the CEIP.
This fact sheet has been developed by C2ES in support of the Alliance for a Sustainable Future, in partnership with The United States Conference of Mayors. For more information about the Alliance, see: http://www.allianceforasustainablefuture.com
Over the past few weeks, college students have been shedding light on the future of solar energy on the National Mall in Washington, D.C. Out of 19 teams from around the globe and 10 energy performance and livability contests, one overall winner emerged at the recently held U.S. Department of Energy 2011 Solar Decathlon. The winning WaterShed home design, built by students from the University of Maryland, was inspired by the Chesapeake Bay ecosystem. The house included a 9.2 kilowatt rooftop solar array and prominently featured storm water management and recycling components, such as a butterfly roof and pollution filtration.
From commercial airplanes from Virgin Atlantic to a U.S. Navy fighter jet, powering airplanes with biofuels has been long been a goal of the airline industry. Following test flights by a number of airlines and the U.S. Department of Defense, Lufthansa will be the first to offer a biofuel-powered commercial flight in April of 2011. Though a 50-50 mix of biofuels and jet fuel (traditional kerosene) will power only one of the aircraft’s engines, the German airline is achieving a considerable milestone. The program is a 6-month trial using the Hamburg-Frankfurt route to evaluate the wear and tear of biofuels on an aircraft engine. The program should reduce the airline’s carbon footprint by about 1,500 metric tons of CO2 in total (the annual emissions of about 300 cars) and cost about 6.6 million euros. The plane is no slouch either – an Airbus A321 has a seating capacity of 220 and a range of 3,000 miles.
COPENHAGEN - Governor Chris Gregoire made a presentation about the successes of Washington state in building a clean energy economy at an official COP 15 side event hosted by us and the World Business Council on Sustainable Development. A packed room listened to how the experience of the Washington out West should provide insight for national policymakers of the Washington in the East.
She detailed how, given an appropriate state policy framework, the private sector has made significant innovations in technology, making Washington a national leader in solar manufacturing and the state with the 5th most wind energy production. All of this development occurred despite the fact that the state does not have large wind or solar energy resources. The lesson here is that the innovativeness and drive of American business should never be underestimated, and there is nationwide potential for growth in a clean energy technology. New and existing American companies will find ways to flourish given the right incentives.
The Governor also spoke about states leading the way in implementing cap-and-trade programs to reduce greenhouse gas emissions. She pointed out that a multistate and multi-Canadian province effort, the Western Climate Initiative, is underway to enact a cap-and-trade program covering 20% of the US economy - despite the delays in development of a national program. The WCI is the not the only state-level effort underway, with the Midwestern Greenhouse Reduction Accord signed in 2007. Both of these efforts follow on the heels of an ongoing cap-and-trade program in the Northeast, which, as Gregoire pointed out, has proven that cap-and-trade programs can tackle greenhouse gas emissions without damaging the American economy – an important piece of empirical evidence as the nation and the world look towards developing emissions-reduction policy.
Of course, the government cannot do it alone. The people in Washington state have a commitment to technology, whether it’s aerospace, software, clean energy, or coffee. Now its time for legislators in Washington, DC to show the same commitment to technology promotion and emission reduction.
Michael Tubman is the Congressional Affairs Fellow