Would Reduce Greenhouse Gas Emissions by 80%, Cut Oil Imports By Two-Thirds, Increase Fuel Efficiency Standards To 55 MPG

 

Create Green Economy, at Least 5 Million Clean Energy Jobs 

 

Hillary Clinton announced a bold and comprehensive plan to address America's energy and environmental challenges in a speech in Cedar Rapids, Iowa today, vowing to establish a green, efficient economy and create as many as five million new jobs.

 

Centered on a cap and trade system for carbon emissions, stronger energy and auto efficiency standards and a significant increase in green research funding, Hillary's plan will reduce America's reliance on foreign oil and address the looming climate crisis.

 

"This is the biggest challenge we've faced in a generation, a challenge to our economy, our security, our health, and our planet. It's time for America to meet it," Clinton said.

 

"I believe America is ready to take action, ready to break the bonds of the old energy economy, and ready to prove that the climate crisis is also one of the greatest economic opportunities in the history of our country. Seizing it will unleash a wave of innovation, create millions of new jobs, enhance our security, and lead the world to a revolution in how we produce and use energy. It will be a new beginning for the 21 ^st century."

 

Setting ambitious targets, Hillary's plan would reduce greenhouse gas emissions by 80% from 1990 levels by 2050 to avoid the worst effects of global warming, and cut foreign oil imports by two-thirds from 2030 projected levels, more than 10 million barrels per day.

 

Hillary would transform our economy from carbon-based to clean and energy efficient, jumpstarting research and development through a $50 billion Strategic Energy Fund and doubling investment in basic energy research. She would also spur the green building industry by funding the retrofitting and modernization of 20 million low-income homes and take concrete steps to reduce electricity consumption, including enacting strict appliance efficiency standards and phasing out incandescent light bulbs.

 

Recognizing that transportation accounts for 70% of U.S. oil consumption, Hillary would increase fuel efficiency standards to 55 miles per gallon by 2030, but would help automakers retool their production facilities through $20 billion in "Green Vehicle Bonds."

 

To take the steps necessary to transition to a clean and renewable energy future, Hillary will urge all of the nation's stakeholders to contribute to the effort. Automakers will be asked to make more efficient vehicles; oil and energy companies to invest in cleaner, renewable technologies; utilities to ramp up use of renewables and modernize the grid; coal companies to implement clean coal technology; government to establish a cap and trade carbon emissions system and renew its leadership in energy efficient buildings and services; individuals to conserve energy and utilize efficient light bulbs and appliances in their homes; and industry to build energy efficient homes and buildings.

 

Hillary Clinton's plan to promote energy independence, address global warming, and transform our economy includes:

 

· A new cap-and-trade program that auctions 100% of permits alongside investments to move us on the path towards energy independence;

· An aggressive comprehensive energy efficiency agenda to reduce electricity consumption 20% from projected levels by 2020 by changing the way utilities do business, catalyzing a green building industry, enacting strict appliance efficiency standards, and phasing out incandescent light bulbs;

·A $50 billion Strategic Energy Fund, paid for in part by oil companies, to fund investments in alternative energy.  The SEF will finance one-third of the $150 billon ten-year   investment in a new energy future contained in this plan;

·  Doubling of federal investment in basic energy research, including funding for an ARPA-E, a new research agency modeled on the successful Defense Advanced Research Projects Agency

·Aggressive action to transition our economy toward renewable energy sources, with renewables generating 25% of electricity by 2030 and with 60 billion gallons of home-grown biofuels available for cars and trucks by 2030;

· 10 "Smart Grid City" partnerships to prove the advanced capabilities of smart grid and other advanced demand-reduction technologies, as well as new investment in plug-in hybrid vehicle technologies;

· An increase in fuel efficiency standards to 55 miles per gallon by 2030, and $20 billion of "Green Vehicle Bonds" to help U.S. automakers retool their plants to meet the standards;

·A plan to catalyze a thriving green building industry by investing in green collar jobs and helping to modernize and retrofit 20 million low-income homes to make them more energy efficient;

· A new "Connie Mae" program to make it easier for low and middle-income Americans to buy green homes and invest in green home improvements;

· A requirement that all publicly traded companies report financial risks due to climate change in annual reports filed with the Securities and Exchange Commission; and

·Creation of a "National Energy Council" within the White House to ensure implementation of the plan across the Executive Branch.

·A requirement that all federal buildings designed after January 20, 2009 will be zero emissions buildings.

 

Hillary's full plan can be viewed here , and is included below.

 

 

Powering America's Future:

Hillary Clinton's Plan to Address the Energy and Climate Crisis

 

Hillary understands that we face two immense energy and environmental challenges: a growing climate crisis, and an increasing reliance on foreign oil that is driving up energy costs for Americans.   She also knows that Americans have always demonstrated the will and the ingenuity to confront the problems of their times, from the New Deal, to the Cold War, to the Space Race.  Today, global warming and dependence on foreign oil are two of the biggest challenges of our time, and as President, Hillary will set three big goals to meet them:

 

Ø      Reduce greenhouse gas emissions 80% from 1990 levels by 2050 – the level necessary to avoid the worst impacts of global warming.

 

Ø      Cut foreign oil imports by two-thirds from projected levels by 2030.

 

Ø      Transform our carbon-based economy into an efficient green economy, creating at least 5 million jobs from clean energy over the next decade.

 

Hillary Clinton's plan to promote energy independence, address global warming, and transform our economy includes:

 

·A new cap-and-trade program that auctions 100% of permits alongside investments to move us on the path towards energy independence;

· An aggressive, comprehensive energy efficiency agenda to reduce electricity consumption 20% from projected levels by 2020 by changing the way utilities do business, catalyzing a green building industry, enacting strict appliance efficiency standards, and phasing out incandescent light bulbs;

·A $50 billion Strategic Energy Fund, paid for in part by oil companies, to fund investments in alternative energy.  The SEF will finance one-third of the $150 billon ten-year   investment in a new energy future contained in this plan;

·Doubling of federal investment in basic energy research, including funding for an ARPA-E, a new research agency modeled on the successful Defense Advanced Research Projects Agency

·Aggressive action to transition our economy toward renewable energy sources, with renewables generating 25% of electricity by 2030 and with 60 billion gallons of home-grown biofuels available for cars and trucks by 2030;

·10 "Smart Grid City" partnerships to prove the advanced capabilities of smart grid and other advanced demand-reduction technologies, as well as new investment in plug-in hybrid vehicle technologies;

· An increase in fuel efficiency standards to 55 miles per gallon by 2030, and $20 billion of "Green Vehicle Bonds" to help U.S. automakers retool their plants to meet the standards;

· A plan to catalyze a thriving green building industry by investing in green collar jobs and helping to modernize and retrofit 20 million low-income homes to make them more energy efficient;

· A new "Connie Mae" program to make it easier for low and middle-income Americans to buy green homes and invest in green home improvements;

·A requirement that all publicly traded companies report financial risks due to climate change in annual reports filed with the Securities and Exchange Commission; and

·Creation of a "National Energy Council" within the White House to ensure implementation of the plan across the Executive Branch.

 

The Challenge

Our reliance on foreign oil raises prices for families, contributes to the climate crisis, and leaves us more vulnerable to unstable regimes:

Since 2001, gasoline prices have increased 105%, and energy costs are now consuming nearly one-fifth of after-tax income for the majority of low and middle-income families—double the percentage of 10 years ago.   And today, with oil prices at all-time highs near $100 a barrel, foreign oil now accounts for 60% of the almost 21 million barrels of crude oil that we consume each day.  In order to meet this demand, we send $20 billion each year to the Middle East. Our investment has filled the coffers of corrupt regimes in developing countries, many of whom do not share our interests.   In the next twenty years, if American oil dependence continues to grow as rapidly as it has in recent years, we will send more than $5 trillion out of the United States economy. 

Our planet is warming, with potentially cataclysmic results: The scientific community has established beyond doubt that global warming is occurring; the 20th century's last two decades were the hottest in 400 years.   The IPCC has further predicted that the average temperature will rise by three to nine degrees by the end of the century, and as a result sea levels will rise between 7 and 23 inches, dramatically affecting the one hundred million people who live within 3 feet of the mean sea level.   Security experts believe that these impacts will pose a serious national security threat by increasing instability in some of the world's most volatile regions.

 

The Costs of Inaction are Rising: The failure to address the climate crisis will put the United States economy in jeopardy.  A recent University of Maryland study of the economic costs of continued climate change in the United States documented hundreds of billions of dollars of increased costs in all regions of the country due to the heightened risk of forest fires in the West and Northwest; increased frequency and severity of flooding and drought events in the Great Plains and Midwest; and more frequent and intense heat waves like the 1995 Chicago heat wave, which resulted in 600 deaths.   A recent U.N. report on the state of the global environment suggests that the costs of inaction in the face of climate change and other global environmental problems exceeds the cost of acting to reduce pollution.

 

Hillary Clinton's Plan: Turning the Challenges of Energy Dependence and Global Warming into an Economic Opportunity

 

Meeting the challenge of reducing our nation's energy dependence and staving off the threat of global climate change will require the leadership of the President and the cooperation of the private sector and all Americans:

 

· Our government has a responsibility to provide a framework, incentives and investments to move us on the path towards energy independence; lead again in the international arena; and reform its organizational structure to address this new energy challenge.

· Oil companies must help develop a thriving alternative energy industry in America by investing more in alternative energy or by funding such investments through a windfall profits fee.

· Utilities have a responsibility to fundamentally reshape how they do business; transitioning from outdated systems that reward excess energy production to market-based approaches that reward efficiency, distributed generation, and conservation.

· Auto companies need to improve fuel efficiency in their cars and trucks.

·Businesses large and small should strive to make their operations and products more energy efficient, which will help them save money and be more competitive.

·Individuals have a responsibility to lower their own energy consumption and hold their leaders accountable for reducing greenhouse gas emissions.

 

Government's Role:

Setting the Rules of the Road, And Leading the Way

 by Reforming Itself to Meet New Energy Challenges

 

Reducing Global Warming Pollution 80% by 2050, Protecting Consumers, and Supporting Clean Energy – A fundamental cornerstone of Hillary's plan is reducing greenhouse gas emissions to 1990 levels by 2020 and to 80% below 1990 levels by 2050—the level necessary to avoid the most dire consequences of global warming.   Hillary will achieve this aggressive reduction by maximizing our energy efficiency; creating market mechanisms to efficiently reduce greenhouse gas emissions; and promoting renewable, carbon-free energy sources.

 

Creating a Market-Based Cap and Trade Program, and Auctioning  100% of Greenhouse Gas Permits – Hillary will establish a market-based "cap and trade" system to provide an overall framework for reducing greenhouse gas emissions.  The system would auction 100% of allowances to ensure that utilities and other companies do not obtain a windfall. The system would also provide flexibility for companies to bank, borrow and trade allowances.  The proceeds from the sale of allowances would be used to provide tax benefits for working and middle-class families and energy intensive industries, as well as incentives for energy efficiency and renewable technologies. The cap and trade approach was used successfully to limit sulfur dioxide and reduce levels of acid rain in 1990s to reduce annual sulfur dioxide emissions by 7 million tons below 1980 levels. 

 

Restoring Federal Leadership In Energy Efficiency – The federal government is the country's largest energy consumer.  About half of the energy used by the federal government goes to heat, cool and power the more than 500,000 federal buildings around the country, costing taxpayers $5.6 billion per year. Hillary would restore federal energy leadership by:

· Making all new federal buildings designed after January 20, 2009 carbon neutral;  

· Requiring the Department of Housing and Urban Development and other agencies to bring energy efficiency standards for public housing up to date with leading private sector standards;  

· Strengthening national model building codes, while providing funding to help states and localities update their codes to meet the national standards;

·  Making energy efficiency a core mission of the General Services Administration, and directing GSA to lead a government-wide "energy audit" and install cost-effective retrofits in all federal buildings within 5 years;   directing GSA to work more closely with the Federal Energy Management Program (FEMP) within DOE to install cutting-edge energy efficiency technology from both the national labs and private companies in federal buildings; and  

·Requiring that all federally built housing in New Orleans and the Gulf Coast be built to tough energy efficiency standards. 

 

Adapting to Climate Change:  Hillary has an aggressive plan to address global warming, but she also recognizes that global warming is already occurring, and that we need to begin to prepare for global warming impacts that are on the horizon.  She would direct federal agencies to work with state and local governments to begin planning and preparing for impacts on coastal areas from more intense storms and changes in sea level; for impacts on water supply from increased droughts and reduced snowpack; and for impacts on wildlife and other natural resources from climate-induced changes.

 

Utilities' Role

Maximizing Efficiency, Ramping Up Use of Renewables,

 and Modernizing the Grid

 

Utilities have a key role to play in helping to bring about a clean energy future.  Hillary would set tough goals and provide utilities with the tools they need to meet them.

 

Reducing Electricity Demand 20% From Projected Levels by 2020: Since 1970, energy efficiency has met three-fourths of all new demand for energy services. California has pursued efficiency as an energy resource for decades, with the result that energy use per capita or per unit of economic output is about 30% lower in California than in the nation as a whole. Yet enormous energy efficiency potential remains. A 2000 Department of Energy report found that energy-efficiency policies and programs could cost-effectively reduce U.S. energy use in residential buildings by 20% by 2020.  To spur greater investment in efficiency, Hillary would put policies in place to reduce electricity demand 20 percent from projected levels by 2020, and to flatten demand for natural gas. Achieving these efficiency goals would save consumers a total of more than $272 billion dollars, reduce carbon dioxide emissions by more than 7.5 billion tons through 2030, and create millions of jobs.

 

Changing the Way Utilities Do Business:  The current model for electric and natural gas utilities puts customers and utilities at odds on efficiency investments.   Consumers benefit by spending less on electricity, while utilities actually lose money from every electron or cubic foot of gas saved through energy efficiency. As a result, utilities lack incentives to implement programs that would reduce demand, even if those efficiency programs are more cost-effective than building new power plants.   Breaking this model would enable consumers and utilities to share in the benefits of efficiency, and when combined with a requirement that utilities take steps to reduce demand, would unleash tens of billions of dollars of investments in energy efficiency technology.   To put this process in motion, Hillary would set binding energy efficiency targets for utilities at the national level.  She would then encourage states to establish rate rules for utilities that both decouple electricity sales from utility profits and enable utilities to profit from investments in energy efficiency.  

 

Modernizing the Grid for the 21^st Century Using "Smart Grid" Technology: Our electricity grid is antiquated, resulting in costly blackouts, the overbuilding of generation capacity, and large losses in energy during transmission.  We need to move aggressively toward a smart grid -- a web-enabled, digitally controlled, intelligent power delivery system that efficiently distributes electricity and protects against blackouts, brown-outs and excess energy use. With smarter two-way communications, utilities and consumers can get more control over consumption and save money.  A recent study found that using demand reduction programs, which would be greatly facilitated by an interactive smart grid, can reduce "peak demand" by 5 percent and save $35 billion in energy costs over a 10-year period.   Other potential "smart grid" benefits include: more efficient power plants; smaller transmission infrastructure needs; more control and better incentives for consumers to save energy; net metering for solar and other distributed renewables; and the ability for consumers to sell power back into the grid. Hillary would realize the potential of the smart grid by:

 

·Funding 10 "Smart Grid Cities." These public-private partnerships between states, cities, utilities, automakers and battery makers will deploy smart grid technology and plug-in hybrid vehicles on a large scale, as well as encourage other technological options to discourage consumption during peak cost periods like time of use meters and pricing, real time demand response, visual price meters, and "prepaid" service models.   The projects will enable testing and refinement of advanced capabilities, such as the ability of plug-in hybrid vehicles to communicate with the smart grid to sell power back to utilities when utilities most need the power.   Some experts believe that providing such "vehicle to grid" power at times when the utilities need it most could be worth $2,000-4,000 dollars per vehicle per year, slashing the cost of owning a plug-in hybrid;

·  Establishing interoperability standards to enable smart grid systems to be integrated seamlessly;

·Requiring state utility commissions to consider incentives to deploy smart grid technology;

· Providing tax incentives, such as accelerated depreciation, to utilities that install smart grid technology; and

·Directing the Federal Energy Regulatory Commission to identify areas where transmission investments are most needed in order to meet a goal of 25% renewable electricity by 2025.  

 

Producing 25 Percent of Electricity from Wind, Solar, Biomass, Geothermal and Other Renewable Sources by 2025:  Wind, solar and other non-hydro renewables accounted for only 2.3 percent of electricity generation in 2005. Hydropower added another 6.6 percent. However, a recent study using Department of Energy models found that getting to 20% renewable electricity by 2020 would save consumers $10.5 billion, reduce carbon dioxide emissions by 223 million metric tons per year, spur $66.7 billion in new capital investment and increase income to farmers, ranchers and rural landowners by $25.6 billion. Hillary would establish a national target of producing 25% of our electricity from renewable sources by 2025.  In addition to setting this target, Hillary would:

· Encourage investment in wind, solar and other renewable energy production by making permanent the 1.9 cent per kilowatt-hour tax credit for producing electricity from renewable sources;

·Provide tax incentives for families and businesses to install small-scale renewable energy such as rooftop solar panels; and

·Establish national "net metering" standards to ensure that families and businesses who install solar panels or other renewable energy resources can sell power back to the grid on fair terms.

 

Addressing Nuclear Power: Hillary believes that energy efficiency and renewables are better options for addressing  global warming and meeting our future power needs, because of significant unresolved concerns about the cost of producing nuclear power, the safety of operating plants, waste disposal, and nuclear proliferation. Hillary opposes new subsidies for nuclear power, but believes that we need to take additional steps to deal with the problems facing nuclear power. She would strengthen the Nuclear Regulatory Commission and direct it to improve safety and security at nuclear power plants; terminate work at the flawed Yucca Mountain site and convene a panel of scientific experts to explore alternatives for disposing of nuclear waste; and continue research, with a focus on lower costs and improving safety. 

 

Phasing Out Incandescent Bulbs: Compact fluorescent light bulbs use 75% less energy than traditional light bulbs and can last as much as 10 times longer.   Hillary will phase out traditional light bulbs, beginning with 40-watt bulbs in 2012.  By 2020, all light bulbs would be 300% more efficient, cutting the national electric bill by more than $10 billion.   Hillary will also help to jumpstart the market for advanced "LED" lighting technology by requiring that it be used in federal parking lots. 

 

 

Oil And Energy Industry's Role

Investing in Alternative Energy and Supporting Biofuels

 

Creating a $50 Billion Strategic Energy Fund and Demand that Oil Companies Invest in Clean Energy –  In 2005, Exxon Mobil's CEO told Congress that his company's investment in alternative energy technologies over the prior decade was "negligible."  Hillary believes it is time for oil companies to do their share in funding clean energy technologies.  She would give oil companies a choice: invest more in renewable energy technology or pay into a Strategic Energy Fund.  The Strategic Energy Fund would also eliminate oil company tax breaks and make sure that oil companies pay their fair share in royalties when drilling on public lands.  This fund would jumpstart a clean energy future by injecting $50 billion over ten years into research, development and deployment of renewable energy, energy efficiency, clean coal technology, ethanol and other homegrown biofuels.

 

Increasing production of biofuels to 60 billion gallons by 2030:  Home-grown biofuels can reduce our dependence on foreign oil and cut greenhouse gas emissions.  Rapid growth of corn ethanol production capacity in recent years and emerging technology that will enable production of ethanol and other biofuels from a range of biomass sources indicate the potential of biofuels to displace a significant amount of gasoline.  To spur increased production of ethanol and other renewable fuels, Hillary would raise the national renewable fuels goal from the current level of 7.5 billion gallons by 2012 to 36 billion gallons per year by 2022 and to 60 billion gallons by 2030.  "Advanced biofuels," such as cellulosic ethanol, would comprise an increasing share of that target over time. Hillary will set a greenhouse gas emissions target for cellulosic and other advanced biofuels to ensure that they move over time towards a standard of emitting at least 80% less greenhouse gas as compared to gasoline. In addition, she would provide loan guarantees to spur the first two billion gallons of cellulosic ethanol capacity.  

 

Auto Industry's Role

New Technologies to Help Cut Oil Imports 66% by 2030

 

Transportation accounts for nearly 70% of U.S. oil consumption.  Hillary's plan to cut oil imports by two-thirds—or more than 10 million barrels per day—by 2030 centers on setting tough new fuel efficiency standards for cars and trucks and providing retooling assistance to the automakers to help them meet these standards.  Her plan also reduces oil demand by increasing biofuels production and improving the efficiency of industrial oil use.

 

Increasing Vehicle Fuel Economy Standards to 55 Miles Per Gallon: Hillary would raise fleet-wide fuel economy standards from the current level of 25 miles per gallon (mpg) to 40 mpg in 2020 and 55 mpg   in 2030.  By 2030, these tough CAFE standards will save consumers more than $180 billion per year and reduce carbon dioxide emissions by more than 730 million metric tons.  In addition, Hillary would reform the fuel economy system while ensuring that it encourages the continued production of small cars here in the United States. Cars and light trucks account for about 40 percent of the 21 million barrels of oil consumed every day in the United States. Yet the average fuel economy of American cars has stagnated for the last 15 years.  And as our country and economy have grown, flat fuel economy has meant increasing dependence on foreign oil, and an untenable foreign trade situation in which the United States transfers funds that are borrowed from China to Saudi Arabia.

 

Helping Automakers Meet the Energy Challenge: Domestic automakers face serious competitive challenges due to higher labor costs, older equipment, and higher health care costs than their competition.   But they are demonstrating the vision to meet our future energy needs by proposing to build plug-in hybrid vehicles that can run on electricity and flex-fuel vehicles that can run on ethanol.  Hillary would authorize $20 billion in low-interest "Green Vehicle Bonds" in order to provide immediate help to retool the oldest auto plants to meet her strong efficiency standards. She will address retiree health legacy costs by providing a tax credit for qualifying private and public retiree health plans to offset a significant portion of catastrophic expenditures that exceed a certain threshold.  

 

Accelerating the Production of "Plug-In" Hybrid Electric Vehicles: - A Plug-In Hybrid Electric Vehicle (PHEV) is a hybrid gas-electric vehicle with a more powerful battery that can be plugged into any regular outlet. It can be filled up at the gas station, and it can be "filled up" at home by plugging it into a standard outlet.   Half the cars on America's roads are driven 25 miles a day or less, so a plug-in with a 25-mile range battery could eliminate gasoline use in the daily commute of tens of millions of Americans. A recent study showed that a vehicle powered by electricity releases one-third less global warming pollution into the environment than a gasoline-powered vehicle, even if the electricity comes mostly from coal-fired power plants.   PHEVs offer the promise of achieving more than 100 miles per gallon of gasoline consumed; and a flex-fuel PHEV running on E85 can potentially get 500 miles per gallon of gasoline.  Hillary would invest in research and stimulate demand for the first commercial PHEVs by:

· Investing $2 billion in research and development to reduce the cost and increase the longevity and durability of batteries;

·Offering consumers tax credits of up to $10,000 for purchasing a plug-in hybrid; and

·Adding 100,000 PHEVs to the federal fleet by 2015.

 

 

Industry's Role

Dramatically Increasing Efficiency

 

Making Appliances More Energy Efficient:  Energy efficiency standards for appliances have been very effective. Today's refrigerator uses about a third of the energy that a refrigerator did in the 1970s.   Yet there are more than 15 appliance types with significant energy savings opportunities that have no federal efficiency standards.  Adopting efficiency standards for these 15 products alone could save consumers $54 billion in energy costs between now and 2030.  Hillary would direct the Department of Energy to update existing standards and set tough new standards for appliances that do not have them today.

 

Establishing a "Connie Mae" to Help Homeowners Improve the Energy Efficiency of Their Houses:  Builders often neglect to make energy efficient investments because they add to the purchase price, even though they save money down the road.   As President, Hillary will establish a "Carbon Reduction Mortgage Association," or "Connie Mae," by directing Fannie Mae and Freddie Mac to facilitate the origination of energy efficiency improvement loans in order to subsidize the additional costs of investing in energy efficiency from the outset. Fannie and Freddie could guarantee some loans, securitize others, or hold loans in their own portfolios. Individual loans will be capped at the greater of 5% of the property's value (up to $10,000) or $5,000, and tough efficiency standards would apply. An energy audit of the home will determine the size of the improvement loan needed, and the energy bill savings that will result.   Borrowers will not be required to make down payments on the loans.  And the energy bill savings will ultimately offset the cost of the loan.  Hillary would commit up to $1 billion per year to the program, assisting upwards of 100,000 homeowners annually.  The program will target lower- and middle-income homebuyers.

 

Requiring Corporate Disclosure of Financial Risks Posed by Global Warming: Global warming presents both risks and opportunities for companies.   Investors need and deserve information about the risks that companies face due to global warming, and what their plans are to address them.   Companies are required to disclose to shareholders major threats they are facing in other areas.   Yet, the potential costs of global warming are not incorporated into most firms' financial projections.  Some companies have stepped forward, forming a voluntary "Carbon Disclosure Project," a voluntary program that works with shareholders and corporations to disclose the greenhouse gas emissions of many major corporations.   Hillary would build on this work by requiring the Securities and Exchange Commission to adopt disclosure obligations for all companies that are potentially impacted by climate change-related risks. 

 

Local Communities' Role

Helping Develop New Jobs of the Future by Pushing Efficiency

 

Green Cities, Green Buildings, Green Homes – Buildings account for 40 percent of U.S. greenhouse gas emissions nationwide and as much as 80% in densely populated urban areas like New York City. Indeed, cities cover just 2 percent of the planet's land but are responsible for three-quarters of its greenhouse gas emissions — and therefore present the greatest opportunity for reducing those emissions. There are many ways to save energy and save money by reducing energy use in buildings, particularly in these urban areas: 

 

Modernizing 20 Million Low-Income Homes to Improve Energy Efficiency. On average, energy bills account for about 14% of a low-income family's gross income, and for many they account for 20% or more. Economists estimate that more than 80% of energy expenses leave low-income communities, and thus do not generate additional economic activity inside those communities. By weatherizing homes, we can reduce heating bills by 31% and overall energy bills by $358 per year, savings that are significant for many low-income families. Hillary will weatherize 20 million low-income homes over 8 years, creating good jobs that cannot be outsourced.   

 

Creating a Green Building Fund. Through the fund, the federal government would allocate $1 billion annually to states to make grants or low-interest loans to improve energy efficiency in public buildings, such as schools, police stations, firehouses and offices. The GBF will create more than 100,000 new "green collar" jobs. To be eligible for funding, projects would need to meet tough energy efficiency standards, such as the EPA Energy Star standard for buildings.   The cost of this program would be split between the federal government and states and localities. 

 

Training "Green Collar" Workers:  Hillary would create a "Green Collar" jobs training program to provide the people who most need work with the skills to do the energy work that most needs doing.   The program would target at-risk youth, veterans, displaced workers, and would teach them skills to install and maintain energy efficiency and renewable energy technology.  When combined with Hillary's major investments in energy efficiency retrofits and renewable energy technologies, this training program would create a pathway out of poverty for many Americans.  

 

Improving Public Transportation -- Increased public transit usage is one of the best strategies for addressing the energy and environmental costs of transportation. For every passenger mile traveled, public transportation produces only a fraction of the harmful pollution of private vehicles: only 5 percent as much carbon monoxide, less than 8 percent as many volatile organic compounds, and nearly half as much carbon dioxide and nitrogen oxides. As President, Hillary will increase federal funding for public transit, including buses, light rail and subways, by $1.5 billion per year.   She will also link federal public transit funds to local land use policies that encourage residential developments that maximize public transit usage and discourage sprawl. She will also invest an additional $1 billion in intercity passenger rail systems.   Intercity passenger rail is an environmentally efficient alternative to highway driving and short flights; it relieves congestion on roads and airports; reduces the emission of automotive pollutants; and it stimulates economic growth by linking metropolitan areas.

 

Getting More Farmers, Ranchers and Foresters into the Fight Against Global Warming .  Farmers, ranchers and foresters can play an important role in confronting the challenge of climate change.  Farm practices can help sequester carbon in the soil, offsetting emissions from other sources.  And advances in energy efficiency can reduce the carbon footprint of working farms, contributing to an overall reduction in greenhouse gas emissions.  Ranchers and foresters can make similar contributions.   To encourage these activities, Hillary would provide incentives for carbon sequestration and improved energy efficiency on America's farms and ranches and in its forests.

 

Coal Industry's Role

New Technology to Fight Greenhouse Gas Emissions

 

Efficiency First--Maximize Energy Efficiency to Address Coal Demand:   A 2006 McKinsey Global Insight study of global energy efficiency potential found that all future energy service demand growth in North America can be met through cost-effective energy efficiency investments, such as greener building technologies and more efficient vehicles.   Recent examples prove that efficiency can dramatically reduce the need to build new power plants.  Earlier this year, investors acquired TXU and scrapped plans to build 8 of 11 planned coal-fired power plants in Texas.   Part of the plan to replace the 8 planned power plants was a $400 million increase in expenditures on customer efficiency.

 

More on this subject:

 

Clinton Calls on Americans to take action to Solve Climate and

Energy Crisis, Provides Tools to Help Them "Go Green"

 

Home Improvement Expert Bob Vila Joins Hillary in NH to

Discuss Ways Consumers Can Green Homes

 

Hillary Clinton will call on Americans to take action to stop global warming and outline steps they can take to move the U.S. toward energy independence today, at a New Hampshire discussion with home improvement expert Bob Vila.

 

At the core of Hillary’s comprehensive energy plan is the principle of shared responsibility. That’s why today she’s launching a citizen pledge on her web site, www.hillaryclinton.com, to ask Americans to take concrete steps to help meet the twin challenges of global warming and dependence on foreign oil.

 

“My plan to meet these challenges is based on the old fashioned idea of shared responsibility. It will take leadership – but also citizenship. It will take a movement for change from the ground up,” Clinton said.

 

 

“We can empower individuals with new tools and technology to lead the green revolution one home, one car and one business at a time. These choices determine the energy we use, the carbon we emit, and the world we leave for our children. I believe, when called upon, Americans will choose a clean energy future. This generation can become the Greenest Generation. We only need to light a spark – and that’s what I’ll do as president.”

 

Clinton and Vila will discuss ways to make America’s homes more energy efficient by taking simple steps such as using compact fluorescent light bulbs and wrapping water heaters in a blanket to dramatically reduce energy usage across the country.

 

Hillary will also outline her plans to issue Energy Independence Bonds—like U.S. Savings Bonds—to fund clean and renewable energy projects, and to modernize the nation’s electricity grid so that unused power can be resold by consumers who conserve energy.

 

Hillary’s plan to empower Americans with tools to address global warming and move us toward energy independence, includes:

 

Asking Every American to Take a Pledge to Reduce Global Warming and Decrease our Dependence on Foreign Oil

Issuing new “Energy Independence Bonds”

Giving Individuals New Tools to Assess their Communities Fight Against Global Warming

Helping Homeowners Improve the Energy Efficiency of Their Houses

Calling on Colleges and K-12 Schools to Reduce Emissions on Campus and in Their Communities

Supporting Healthy, High Performance Schools

Create a “Climate Star” Program and National Clearinghouse to Help Consumers Evaluate the Global Warming Impacts of Products They Buy

Using 21st Century “Smart Grid” Technology to Empower Consumers to Become More Energy Efficient

Setting “Net Metering” Standards and Provide Tax Incentives to Helping Families and Small Business Generate Their Own Renewable Power

 

 

Powering our Future: Hillary Clinton’s Plan to Provide Individuals and Communities with Tools to Address Global Warming and Energy Independence

 

On Monday, Hillary outlined her comprehensive agenda to address global warming and move us toward energy independence.  At the core of Hillary’s plan is the principle of shared responsibility.  Her energy agenda spells out the roles of the federal government, state and local governments, utilities, oil companies, and businesses.  Hillary understands that addressing the profound challenges of global warming and dependence on foreign oil is not just going to take a President and a set of policies, but action from all Americans. 

 

Throughout our history, America has always risen to meet big challenges, thanks in large measure to the commitment of its citizens.  In that spirit, Hillary is issuing a call to action to all Americans to take concrete steps to help meet the twin challenges of global warming and dependence on foreign oil, and she is offering specific policies to empower individuals to do their part. 

 

Hillary’s Plan to Catalyze Individual and Community Action

 

Hillary has a specific plan to encourage individuals, families, and communities to reduce their demand for energy and to promote a culture of accountability for confronting these pressing challenges. As President, Hillary will:

 

Ask Every American to Take a Pledge to Reduce Global Warming and Decrease our Dependence on Foreign Oil: If every American replaced one traditional light bulb with a compact fluorescent light bulb, we would save enough energy to light three millions homes for a year.  A home energy audit can help families reduce their global warming pollution by 1,000 pounds.  A simple task like wrapping a water heater in a blanket can also reduce carbon dioxide emissions by 1,000 pounds.  Planting one tree would absorb one million pounds of carbon dioxide over the course of the tree’s lifetime.  Hillary has proposed on her website a list of 10 action items to help people determine the easy but important steps they can take to reduce their carbon emissions.  She is asking people to go to: http://www.hillaryclinton.com/feature/poweringamericasfuture/ to take the pledge and learn how they can do their part for America’s future.  Hillary will also invest in tools to help individuals measure their greenhouse gas emissions, so they can track their progress in reducing their emissions.  And Hillary believes that individuals should hold their local leaders accountable to reduce greenhouse gas emissions at the community, state, and federal level, and challenges all Americans to do so.

 

Issue new “Energy Independence Bonds:”   After 9/11, President Bush asked everyone to go shopping.  Hillary wants to harness Americans’ patriotic impulses in a movement for energy independence.  In order to encourage broad citizen participation in the effort to move toward energy independence, Hillary will direct the U.S. Treasury to issue new “Energy Independence Bonds,” a limited series of U.S. Savings Bonds.  She will ask Americans to invest the money saved from reducing their energy use in these Bonds.  A large-scale, sustained advertising campaign will promote the Bonds, similar to the way war bonds were promoted during World War II.  She will enlist community teams of volunteers to encourage people to reduce their carbon footprint and spend energy savings on the Bonds.  Hillary will set a goal of selling 50 million bonds over 10 years and will invest the proceeds in energy efficiency and renewable energy projects in communities across America through the Strategic Energy Fund.

 

Empowering Individuals with New Tools to Assess their Communities’ Fight Against Global Warming: As President, Hillary will invest in new technology that will allow local communities to measure their progress in lowering green house gas emissions.  For example, researchers have now created instruments that are placed on existing towers to track greenhouse gas emissions at the local and regional level.  California has trail-blazed in this area by creating a pilot project called CALGEM: the California Greenhouse Gas Emissions Project.  Hillary will invest in new and upgraded measurements of greenhouse gas emissions at the community level, so that individuals can hold their community leaders – and themselves – accountable for lowering emissions annually.   

 

Helping Homeowners Improve the Energy Efficiency of Their Houses: Hillary is proposing a new “Carbon Reduction Mortgage Association,” or “Connie Mae,” pioneered by Vice President Gore, which would directly assist homeowners in making their homes more energy efficient. This program would direct Fannie Mae and Freddie Mac to facilitate the origination of energy efficiency improvement loans in order to help homeowners with the additional costs of investing in energy efficiency. Individual loans will be capped at the greater of 5% of the property’s value (up to $10,000) or $5,000, and tough efficiency standards will apply. An energy audit of the home will determine the size of the improvement loan needed, and the energy bill savings that will result.  Borrowers will not be required to make down payments on the loans.  And the energy bill savings will ultimately offset the cost of the loan.  Hillary will commit up to $1 billion per year to the program, assisting upwards of 100,000 homeowners.  The program will target lower- and middle-income homebuyers. 

 

Calling on Colleges and K-12 Schools to Reduce Emissions on Campus and in Their Communities.  Student activists have sounded the alarm bell about global warming and campuses across the country are leading the way by investing in energy efficiency, renewable energy, habitat restoration and awareness projects.  In 2006, the College of the Atlantic in Maine became the first to vow to become a zero-emissions school.  Since then 270 more have taken the same pledge.  Hillary wants to harness the excitement, energy, and activism of young people by calling on them to lead the way for our larger communities.  As President, she will establish a set of awards through the Department of Energy to recognize the most outstanding climate achievers among K-12 schools, colleges, and communities large and small.  These national awards will be competitive and prestigious and will help inspire more institutions, towns, and cities to act.  

 

Supporting Healthy, High Performance Schools: Our nation’s schools spent over $8 billion on energy costs last school year, an increase of $2 billion in just four years. These skyrocketing energy prices are forcing officials to make very difficult decisions, such as cutting back on academic programs in order to keep the heat and lights on in schools.  In 2001, Hillary created a federal program called Healthy, High Performance Schools (HHPS) to provide information and technical assistance to school districts to help them implement plans reduce energy use in schools by 30 percent and to meet federal and state health codes. The Healthy, High Performance School program will allow many schools to achieve energy-efficiency, potentially saving over $1.5 billion for schools nationwide.  Healthy, High Performance Schools will also improve children's health.  President Bush has failed to provide funding for this important program.  As President, Hillary will fully fund Healthy, High Performance Schools.

 

Create a “Climate Star” Program and National Clearinghouse to Help Consumers Evaluate the Global Warming Impacts of Products They Buy: The highly successful “Energy Star” program provides valuable information to consumers about the energy performance of appliances, home electronics, office equipment, and buildings.  The “Energy Star” label tells a shopper that a product is a superior performer in terms of energy efficiency.  Hillary would expand this program to include both new products and new information about how a product stacks up in terms of greenhouse gas emissions.  Hillary will also expand on EPA’s existing web-based tool that enables people to calculate their household’s emissions.  And she’ll create an easy-to-use, national clearinghouse containing local information and resources for making homes more energy efficient.

 

Use 21st Century “Smart Grid” Technology to Empower Consumers to Become More Energy Efficient: Our electricity grid is antiquated, resulting in costly blackouts, the overbuilding of generation capacity, and large losses in energy during transmission.  Consumers face unnecessary obstacles to reducing their energy use.  We need to move aggressively toward a smart grid -- a web-enabled, digitally controlled, intelligent power delivery system that efficiently distributes electricity and protects against blackouts, brown-outs and excess energy use. With smarter two-way communications, consumers will get more control over consumption, improve energy efficiency, and save money.  For example, a smart grid could enable consumers to get better rates in the summertime by allowing utilities to cycle their air conditioner off while they are at work during the day, when electricity demand is highest.  It would enable people to set dishwashers to turn on when demand for power is less and the cost lower. Smart grid technology would also help with “net metering” of renewable power produced by rooftop solar.  And when “plug-in” hybrids electric vehicles become available, smart grids will enable people to charge their cars in their garages at night, and then sell power back to the utility when their car is parked at work during the hours of peak energy demand.  To accelerate the deployment of smart grid technology, Hillary will fund 10 “Smart Grid Cities.” These public-private partnerships between states, cities, utilities, automakers and battery makers will deploy smart grid technology and plug-in hybrid vehicles on a large scale.  These projects will provide a market for cutting-edge smart grid technology and would demonstrate and prove the benefits.  Hillary will also require state utility commissions to consider incentives for utilities to deploy smart grid technology in order to promote its broad adoption.

 

Set “Net Metering” Standards and Provide Tax Incentives to Helping Families and Small Business Generate Their Own Renewable Power: Hillary will establish national “net metering” standards to make it easier and more economical for families and businesses to generate their own renewable power and sell it back to their utilities.  Net metering simply means that those who produce more electricity than they take from the grid, get credits to offset electricity they use at other times.  For example, if a household’s solar panels generates 800 kilowatt-hours (kWh) of electricity in August, but the family uses only 500 kWh of electricity, they would get a 300 kWh credit on their bill to count against future electricity use.  Many states have some kind of net metering rule, but they vary widely. Hillary will set national standards to ensure that families and businesses everywhere can sell power to the grid on fair terms. Hillary will also provide tax incentives for families and businesses to install small-scale renewable energy such as rooftop solar panels.  Getting more small scale solar and other renewable energy in place will reduce pollution and reduce the need to build new power plants. 

 

Statement of Hillary Clinton on High Gas Prices

 

Hillary Clinton made the following comments on the price of oil nearing $100 a barrel.

 

“With oil nearing $100 a barrel and gas prices over $3 per gallon, Americans are feeling the pain of seven years of a failed Bush-Cheney energy policy. 

 

Earlier this week, I outlined a comprehensive energy plan that would set a new course for America by reducing our dependence on foreign oil by two thirds.  Part of my plan is to eliminate tax breaks for oil companies to create a $50 billion Strategic Energy Fund that would speed the development of clean, domestic energy sources, making Americans less vulnerable to the whims of the world's oil suppliers.  But we also need to take immediate steps to address this problem.

 

I urge the President to release oil from the Strategic Petroleum Reserve and the Northeast Heating Oil Reserve to send a signal to the market and ease concerns about low crude oil stocks that are driving prices higher. I also urge the President to support legislation passed by the Senate this year that would protect consumers by making gasoline markets more transparent and making gas price gouging a federal crime.”

 

Hillary Clinton’s plan to promote energy independence, address global warming, and transform our economy includes:

 

·  A new cap-and-trade program that auctions 100% of permits alongside investments to move us on the path towards energy independence;
·  An aggressive comprehensive energy efficiency agenda to reduce electricity consumption 20% from projected levels by 2020 by changing the way utilities do business, catalyzing a green building industry, enacting strict appliance efficiency standards, and phasing out incandescent light bulbs;
·  A $50 billion Strategic Energy Fund, paid for in part by oil companies, to fund investments in alternative energy.  The SEF will finance one-third of the $150 billon ten-year  investment in a new energy future contained in this plan;
·  Doubling of federal investment in basic energy research, including funding for an ARPA-E, a new research agency modeled on the successful Defense Advanced Research Projects Agency
·  Aggressive action to transition our economy toward renewable energy sources, with renewables generating 25% of electricity by 2030 and with 60 billion gallons of home-grown biofuels available for cars and trucks by 2030;
·  10 “Smart Grid City” partnerships to prove the advanced capabilities of smart grid and other advanced demand-reduction technologies, as well as new investment in plug-in hybrid vehicle technologies;
·  An increase in fuel efficiency standards to 55 miles per gallon by 2030, and $20 billion of “Green Vehicle Bonds” to help U.S. automakers retool their plants to meet the standards;
·  A plan to catalyze a thriving green building industry by investing in green collar jobs and helping to modernize and retrofit 20 million low-income homes to make them more energy efficient;
·  A new “Connie Mae” program to make it easier for low and middle-income Americans to buy green homes and invest in green home improvements;
·  A requirement that all publicly traded companies report financial risks due to climate change in annual reports filed with the Securities and Exchange Commission; and
· Creation of a “National Energy Council” within the White House to ensure implementation of the plan across the Executive Branch.
·  A requirement that all federal buildings designed after January 20, 2009 will be zero emissions buildings.
Read the full plan here.