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The following story is the third in a series produced in collaboration with KAXE/KBXE, an independent, nonprofit community radio station that tells the stories of northern Minnesota.
A Minnesota taconite mining company and its electric utility are seeking federal funding for a demonstration project aimed at slashing diesel fuel use and greenhouse gas emissions.
After an unsuccessful attempt to secure money this spring from the state Legislature, U.S. Steel and Minnesota Power have applied for a U.S. Department of Energy grant in hopes of kickstarting the project, which seeks to test a system to partially power mining trucks with electricity.
Once loaded, the enormous vehicles would connect to overhead power lines for the steepest part of their climb from the open pit mine. Running on electricity for that portion could reduce diesel fuel use by 70% per trip, according to the companies’ presentation to legislators earlier this year.
That also means a dramatic reduction in greenhouse gas emissions. A new Minnesota law requires power companies to only sell clean electricity by 2040, a target that Minnesota Power is making progress toward. If powered by carbon-free electricity, one mine trolley in the U.S. Steel demonstration project would equate to replacing 520 gas-powered vehicles with electric on Minnesota’s roads, each year.
David Chura, manager of emerging initiatives for Minnesota Power’s parent company ALLETE, said the pilot project would provide insight into whether trolley systems could be scaled across the industry. The steel industry is seeing growing pressure from government, investors, and customers to lower its climate impact. U.S. Steel has committed to achieving net-zero carbon emissions by 2050.
With the corporate green energy goals of Minnesota Power and U.S. Steel in mind, Chura said exploring applications of electrification in industrial settings was a natural step.
“We developed some model mines based on characteristics of actual mines here on the on the Iron Range,” Chura said. “That really helped inform our understanding of mine truck electrification and the opportunities here.”
Chura said energy savings are site-specific, meaning it depends on the steepness of the grade, the length of the haul and other factors. But this project’s anticipated fuel savings are 1.4 million gallons of diesel each year, amounting to 14,000 metric tons of carbon emissions. With those figures, mine trolleys could be a key approach to climate-friendly practices.
“That’s a very significant reduction of emissions as well as criteria pollutants in a key area of the state,” Chura said, noting the area’s proximity to the Boundary Waters, Voyageurs National Park, and state-designated environmental justice communities.
The idea of electric-powered mining trucks isn’t new. The 1970s oil crisis prompted numerous studies exploring benefits, according to mining electrification and automation company ABB. Despite this history, adoption has been slow. But ABB, which produces mine trolley systems, said recent projects demonstrating positive impacts show demand is on the rise. This includes in an open pit copper mine in Sweden operated by mining company Boliden.
Battery-powered electric mining trucks — which wouldn’t require hitching to a trolley line for hauling — are also moving closer to viability. In 2022, Caterpillar announced it successfully demonstrated a prototype of its first battery-powered truck at the company’s Tuscon, Arizona, proving grounds. The facility is set up to test sustainable solutions mining companies can use in their operations, offering firsthand experience with what it takes to run an electrified mining site.
Other types of clean fuel options are emerging, too. According to Caterpillar, green hydrogen production, fuel cell power generation and energy storage systems are all part of the equation.
“The site will also leverage a variety of renewable power sources, including wind, solar and hydrogen, capable of powering the facility and its products as they become electrified,” a news release stated. “The transformation of the facility will also serve as a learning platform for optimizing charging and energy management integration.”
The project in Minnesota would focus on converting existing trucks that operate on a diesel-electric hybrid system, similar to rail locomotives. Chura says some of these trucks, which have electric motors on each wheel, are already in use on the Iron Range.
Converting a truck to utilize overhead power lines to run the motors costs about $1.1 million, according to a presentation prepared for the Minnesota Legislature. The infrastructure costs would run $5 million-$8 million per mile, according to Chura. But the lines would be installed on the steepest parts of the trucks’ route, where the diesel engine works the hardest, resulting in substantial fuel savings.
“Just as the state has helped incentivize residential and commercial electric vehicle service, funding from either the state or the feds would help achieve those same benefits, but yet, at an industrial scale,” Chura said. “And those benefits really benefit all taxpayers.”
Bills were introduced in the state House and Senate this year to provide a $10 million grant, but they didn’t make it out of committee.
John Arbogast, District 11 staff representative for the United Steelworkers, testified in committee on behalf of the bill.
“Even some of the people that you thought might have been opposed to it were like, ‘Holy cow, is this interesting,’” Arbogast said.
Arbogast spent 26 years working at U.S. Steel’s MinnTac mine in Mountain Iron and is now the co-chair of the Iron Ore Alliance, a partnership between U.S. Steel and the United Steelworkers. He said environmental policy issues are one subject on which the union and the company often find agreement.
The trolley system would also increase the speed of the trucks as they travel up the incline, an aspect Arbogast said he thinks will appeal to the mining truck drivers.
“I think our members, the men and women who drive the trucks, will really like that,” he said. “Because they’re really good at what they do, and they have a lot of pride in hauling the ore to the crusher and getting as many loads as they can in their 12-hour shifts.”
Chura noted that the faster speeds mean a site could potentially get by with fewer trucks, which can cost millions of dollars each.
State Sen. Grant Hauschild, DFL-Hermantown, was chief author of the bill. He said he’s committed to fighting for the project into the future as part of an overall approach to a cleaner energy economy.
“Our mines are a critical part of that effort, and so why don’t we look for opportunities to move towards a cleaner industry, while also providing the very minerals and resources that we need in order to transition?” Hauschild said. “I think it’s a really a perfect putting-together of the puzzle pieces that make our region so strong and vital.”
The project partners turned their sights toward the federal government, applying for funds through the Department of Energy’s Office of Clean Energy Demonstrations. About $6 billion will fund projects aimed at reducing emissions in industrial subsectors, with award announcements expected early next year.
The following story is the second in a series produced in collaboration with KAXE/KBXE, an independent, nonprofit community radio station that tells the stories of northern Minnesota.
Minnesota taconite mine operator Cleveland-Cliffs is testing a new method for treating industrial wastewater in hopes of decreasing water, chemical and energy use — as well as costs.
The project is among several efforts by the company to lower its energy use as steelmakers face growing pressure from governments, investors, and customers to reduce the climate impact of their operations.
Energy efficiency is often the quickest and most cost-effective way for companies to cut their carbon footprint. When it comes to mining, the opportunity is as large as the massive trucks and other heavy-duty equipment used to haul and process taconite.
Cleveland-Cliffs was recently recognized by the U.S. Department of Energy for cutting companywide energy use by nearly one-third since 2017. The federal agency’s office of industrial efficiency and decarbonization is monitoring the water treatment project, as well.
“Bringing these emerging technologies out of the laboratory and onto the factory floor is a critical part of reaching our industrial decarbonization goals,” said Avi Schultz, director of the Industrial Efficiency and Decarbonization Office.
Decarbonization refers to the process of lowering or eliminating emissions of carbon dioxide, the heat-trapping greenhouse gas that causes climate change. The steel industry is among the three biggest sources of carbon emissions on the planet, accounting for around 8% of all global carbon emissions. Most steelmakers, including those that own and operate the Iron Range’s taconite mines, have adopted internal goals for reducing emissions.
“One of the most important issues impacting our industry, our stakeholders and our planet is climate change,” Cleveland-Cliffs told its investors this year. “We plan to achieve our GHG emissions reduction goal by focusing on actionable, commercially viable technologies and solutions while supporting research for breakthrough technologies for the primary iron and steel sector.”
It cited its partnership with the U.S. Department of Energy to implement and test energy-saving technology as a key piece of its climate strategy.
Cleveland-Cliffs operates Hibbing Taconite, United Taconite, Northshore Mining and the Minorca Mine on Minnesota’s Iron Range. The company is working with Arizona-based Dynamic Water Technologies on two pilot projects to reduce lost water and energy waste from treating wastewater.
The technologies are first being tested in a Cleveland, Ohio, plant.
Michael Boyko is the co-founder and director of business development for Dynamic Water Technologies. He said the equipment being studied is fundamentally better at what it does.
“These technologies are justified because they do it better, faster, and more cost effectively,” Boyko said. “If they were just an environmental benefit with no water, sewer, or chemical savings, it would be a harder sell to industrial clients.”
The project is piloting two different technologies for oil and hydrocarbon removal. One is called electrocoagulation, and the other is electrochemical water treatment.
Electrocoagulation is done by applying direct-current electricity to iron plates, which creates a coagulant that bonds with contaminants in the water and makes them much larger. These enlarged particles then either float to the top or sink to the bottom, making them easier to remove.
Boyko said this process eliminates the need for several chemical processes and various agitators, mixers and pumps along the way, making it more cost-effective and faster.
“There’s definitely a lot of energy savings, because we’re doing in one process what seven different chemical water treatment systems basically were doing,” he said.
Electrochemical water treatment, meanwhile, replaces chemical treatment of processed water within cooling towers using dynamic scale reactor technology. This technology quickens the natural process of scale buildup from minerals within reactor chambers, sequestering it for later removal. The process allows the same water to cycle through the system eight or more times, instead of as few as three.
Cleveland-Cliffs did not respond to interview requests, but the company touted the technology’s environmental benefits in its most recent sustainability report.
“The alternative technology yielded significant reduction in solid waste from process water, and preliminary data shows it could also increase process water reuse,” the report said.
This technology is already in use at Los Angeles City Hall and the Juliette Gordon Low Federal Building in Savannah, Georgia, with federal government testing validating the positive effects.
Cleveland-Cliffs also participates in the Department of Energy’s Better Buildings program. The voluntary program encourages improved energy performance across industrial operations, which account for more than one-third of total U.S. end-use energy consumption.
“This is essential for the industrial sector, as inattention to greenhouse gas emissions, inefficient energy and water use, and excessive waste production can hurt domestic competitiveness in a global marketplace,” the department says.
A detailed report of the Cleveland-Cliffs project is expected to be issued by the end of the year.
With the federal government preparing to pour money into new regional production hubs and other incentives, the hydrogen industry is positioning itself for takeoff.
But hydrogen technology still hasn’t proven itself to be financially viable, or necessarily all that clean. Hydrogen doesn’t produce greenhouse gas emissions when burned, but making the fuel requires lots of — potentially dirty — energy. Most of it today is made with natural gas. A clean alternative involves a process using water and renewable electricity, but some want to keep using natural gas but with carbon capture — another technology still unproven on a larger scale.
Climate advocates want to keep hydrogen made with fossil fuels from being lumped in with cleaner sources, and say it shouldn’t qualify for forthcoming federal subsidies. Meanwhile, fossil fuel companies and other blue hydrogen backers have launched a federal lobbying blitz in hopes of getting on the Biden administration’s good side, the Energy News Network’s collaboration with OpenSecrets reveals.
Just a few dozen companies and organizations were lobbying the federal government regarding hydrogen when President Biden was elected in late 2020, Jimmy Cloutier of OpenSecrets reports. Now, that number is more than 200, including at least 32 oil and gas producers.
That influence could all have an impact on forthcoming rules governing where federal hydrogen incentives will go, which are expected before the year ends.
Read more from the Energy News Network and OpenSecrets here.
🇺🇲 IRA’s foreign influence: While the Inflation Reduction Act continues to rankle Republican lawmakers, foreign leaders say its “green patriotism” and incentives for domestic clean energy manufacturing provide a blueprint for climate plans they can sell across the political spectrum. (New York Times, Politico)
🔌 EV chargers’ reliability problem: Today’s electric vehicle charging stations largely fall below reliability standards the federal government is requiring they meet before they can access $5 billion in new funding. (Canary Media)
🔋 What’s next for batteries: As more renewables are added to the power grid, researchers are exploring new battery technologies with longer storage durations and more widely available materials than lithium-ion batteries. (Utility Dive)
⚡ Electrification diet: A planning process known as “watt dieting” could enable many homeowners to switch to fully electric appliances without a costly panel upgrade. (Canary Media)
📰 Fake news, fossil fuel edition: At least seven major news outlets create and publish misleading advertisements for fossil fuel companies intended to look like credible editorial content, an analysis finds. (Intercept)
🏭 Stopping smog: A new federal air pollution rule cut smog-forming emissions 18% in 10 states this past summer, and would’ve had a bigger impact if legal challenges hadn’t stopped its implementation in 12 other states. (Grist)
The COP28 climate summit ended yesterday, after disagreements sent negotiations into overtime. Here’s how the U.S. got involved in the last week.
This story was produced in partnership with OpenSecrets, a nonpartisan, nonprofit organization that tracks money in politics. Jimmy Cloutier is the political reporter at opensecrets.org. He can be reached at jcloutier@opensecrets.org.
The number of companies and organizations lobbying the federal government on issues related to hydrogen increased nearly tenfold since President Joe Biden took office — from about two dozen at the end of 2020 to more than 200 this year, according to an OpenSecrets analysis of lobbying disclosures.
Fossil fuel companies, which have promoted hydrogen as a catch-all solution to climate change, rank among the top spenders and outnumber clients from every industry, including the renewable energy sector, the analysis shows.
Thirty-two oil and gas producers reported lobbying on hydrogen, among other issues, and spent a combined $41.3 million on federal lobbying efforts this year, as of Sept. 30.
The lobbying blitz comes as the Biden administration prepares to direct billions of dollars in federal subsidies to scale up hydrogen production to decarbonize the U.S. economy. Unlike coal, oil and gas, hydrogen does not release planet-warming greenhouse gases when burned.
The number of companies and organizations that reported lobbying on issues related to hydrogen has increased tenfold since President Joe Biden, who promised aggressive action on the climate crisis, entered office, according to federal lobbying disclosures.
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Many climate advocates support this move but warn against incentivizing hydrogen projects that could prolong the use of fossil fuels.
It is possible to produce so-called “green hydrogen” using water and renewable energy, but about 95% of hydrogen is currently derived from natural gas, which generates large amounts of climate pollution.
The fossil fuel industry has aggressively lobbied the White House, Congress, and Energy and Treasury departments to ensure gas-based hydrogen qualifies for federal subsidies. The industry claims it can produce climate-friendly “blue hydrogen” from natural gas using carbon capture, a nascent technology still in early development.
In 2022, the American Petroleum Institute, which represents nearly 600 oil and gas companies, submitted comments on the Energy Department’s draft National Clean Hydrogen Strategy and Roadmap emphasizing the near-term cost advantages of blue hydrogen. The industry group’s climate action framework, published the previous year, also called for “full government funding” of low-carbon research and development programs and urged policy-makers to adopt a “technology-neutral” approach to the energy transition.
Julie McNamara, the deputy policy director for climate and energy at the Union of Concerned Scientists, a think tank, told OpenSecrets that the government risks “aiding and abetting fossil fuel” interests.
“There are so many ways that hydrogen can go that it just perpetuates the status quo,” she explained.
“That is an extremely lucrative place for the fossil fuel industry to be,” she said. “If we have weak standards, it can mean more use of natural gas for longer with more profit along the way.”
Climate advocates have urged the Biden administration to enact strict guardrails to ensure hydrogen projects deliver on their climate promises. They want the federal government to prioritize the development of green hydrogen and limit its use to heavy industries that cannot be electrified, like aviation and steel. They also emphasize the need to accelerate the buildout of renewable energy infrastructure to meet the demands of green hydrogen production, which requires a significant amount of electricity.
Getting hydrogen wrong, McNamara added, would be a “catastrophic waste of time.”
Thirty-two oil and gas companies reported lobbying on hydrogen, spending a combined $41.3 million on federal lobby efforts in the first nine months of 2023. Top spenders include several fossil fuel producers that stand to receive billions in federal funding to develop regional clean hydrogen hubs.
In response to interview requests from OpenSecrets, the American Petroleum Institute shared a study it commissioned “on the benefits of low-carbon hydrogen.” The study concluded that “uniform incentives” for blue and green hydrogen would lead to the fastest buildout of hydrogen infrastructure.
The American Petroleum Institute spent nearly $4.5 million lobbying the federal government in the first nine months of 2023.
Companies and industry groups report lobbying on dozens of issues, making it difficult to tell from disclosures how big a priority hydrogen was for oil and gas companies. But several leading fossil fuel producers — such as BP, Chevron and Exxon Mobil — have invested in hydrogen initiatives and made the alternative fuel source a key component of their low-carbon solutions programs.
The companies, which all reported lobbying on hydrogen, also stand to benefit from generous government grants and tax credits intended to phase out fossil fuels.
In October, the Energy Department announced plans to award $7 billion to seven proposed regional hydrogen hubs, including $1.2 billion to a Texas project that counts fossil fuel giants Chevron, Exxon Mobil, Phillips 66 and Shell as partners. BP and Exxon Mobil are also involved in developing a Midwest hub that will receive $1 billion through the same government program.
Three of the hubs awarded federal funding are expected to produce hydrogen from natural gas, according to press releases and publicly available information. The Texas hub will produce hydrogen from natural gas and a renewables-powered electrolyzer, while the Midwest hub will rely on a mix of natural gas, renewable energy and nuclear energy.
A third hub in Appalachia — spanning West Virginia, Ohio and Pennsylvania — will produce hydrogen entirely from natural gas. Project developers include Marathon Petroleum.
In response to requests for comment, a Chevron spokesperson told OpenSecrets that the company is “committed to working with policymakers to help inform well-designed energy policy that effectively reduces greenhouse gas emissions.”
A Marathon spokesperson said the company is seeking “clarity on upcoming regulations.” Other companies named in this article did not respond to requests for comment.
The reaction from climate advocates to the hub announcement was mixed.
“We expected there to be a little more green hydrogen,” said Erik Kamrath, hydrogen policy advocate at the Natural Resources Defense Council. He noted that the Bipartisan Infrastructure and Jobs Act of 2021, which authorized the awards, required only one project producing hydrogen from fossil fuels to be selected.
The awards are still subject to negotiations and environmental reviews, but McNamara said the Energy Department left the door open to “unproductive at best, actively harmful at worst” production methods that rely on natural gas and carbon capture.
“Hydrogen can drive up pollution from fossil-fuel-based uses, and worse, perpetuate ongoing use of fossil fuels,” McNamara said. “That’s not the path we need to be on.”
In an email to OpenSecrets, an Energy Department spokesperson said, “DOE’s Regional Clean Hydrogen Hubs program is essential to achieving the President’s vision of a strong clean hydrogen economy that creates healthier communities, strengthens energy security, and delivers new economic opportunities across the nation.”
The department, which environmental groups have criticized for its lack of transparency, did not answer emailed questions about the hydrogen hubs and instead directed OpenSecrets to online pages containing high-level overview of the agency’s hydrogen hub program and awards negotiation process.
Climate advocates and the fossil fuel industry are also squabbling over additional clean hydrogen tax credits authorized through Biden’s signature climate spending package, the Inflation Reduction Act, passed last year. The tax credit is worth up to $3 per kilogram for hydrogen produced using low-emissions processes.
Green hydrogen produced without fossil fuels is energy-intensive, and climate advocates want to limit the incentive to hydrogen produced using new, rather than existing, clean energy sources.
“We are in a renewables constrained environment,” said McNamara, explaining that if hydrogen production scales up too quickly and relies on existing renewable infrastructure then electricity providers may have to turn to fossil fuels to keep up with energy demands.
Some hydrogen producers and fossil fuel companies who support looser regulations argue that stringent requirements will slow development and delay the U.S. transition to clean energy.
Last week, Bloomberg and Politico reported that leaked draft rules on the tax credits indicated the Biden administration would require producers to rely on newly built renewable energy.
The Treasury Department is expected to formally issue a rule by the end of the year.
The following story is the first in a series produced in collaboration with KAXE/KBXE, an independent, nonprofit community radio station that tells the stories of northern Minnesota.
World leaders in Dubai this week are concluding the latest United Nations conference on climate change, where experts and advocates repeated urgent pleas for governments to phase out fossil fuels and transition to clean energy.
In Minnesota, that change is underway. A new state law requires power companies to only sell clean electricity by 2040. Electric vehicle sales are growing, and energy efficient heat pumps are starting to replace gas furnaces — even in northern Minnesota.
But one of the biggest challenges for eliminating greenhouse gas emissions in Minnesota will be finding clean energy solutions for one of the state’s biggest industries: taconite mining. The state’s Iron Range supplies three-quarters of the raw material used to make domestic steel. Getting it out of the ground requires massive, diesel-powered trucks and other heavy-duty equipment for which less-polluting options aren’t yet widely available.
The steelmaking industry is facing pressure from customers and governments to reduce its climate impact, and Minnesota mine operators Cleveland-Cliffs and U.S. Steel are both exploring new fuels and technologies to help them meet sustainability goals.
According to the companies’ public statements to shareholders, the path forward is likely to include investments in new, more efficient vehicles and equipment, along with a switch to powering them with renewable electricity, biogas, or hydrogen instead of coal or gas.
U.S. Steel announced in April 2021 a goal to achieve net-zero carbon emissions by 2050. Cleveland-Cliffs says it’s already exceeded its goal of reducing greenhouse gas emissions 25% by 2030.
The transition to clean energy could create new economic opportunities for the Iron Range, experts say, including the possibility to process iron ore on-site into a cleaner, premium product.
A recent event hosted by the city of Duluth and the National Renewable Energy Lab called industrial decarbonization the “billion-dollar question for the Northland.” Rolf Weberg, leader of the University of Minnesota-Duluth’s Natural Resources Research Institute, says industrial operations have a real interest in reducing their carbon footprints.
“When you look globally between steel and concrete, that accounts for between 16-18% of carbon dioxide emissions globally,” Weberg explained. “Countries and industries are really trying to reduce their carbon footprint because we’re not meeting carbon goals across the globe.”
Weberg said NREL is interested in Minnesota because of its resources. Hydrogen, for example, is a clean-burning fuel that can be produced with no emissions using water and renewable energy – both relatively plentiful in Minnesota.
“(This includes) infrastructure for future energy, access to water — all of the things you need to have a hydrogen-based approach to preparing green iron and steel,” he said.
Aaron Brown, a Hibbing native and columnist who has written extensively about the region’s culture and economy, says the Iron Range is in a unique position to capitalize on new technologies and production methods designed to eliminate climate emissions. For example, one strategy steelmakers are exploring involves processing higher-grade iron pellets in electric arc furnaces, which is less geographically constrained by access to coal.
“What the new technology might do is create opportunities for entrepreneurs, and existing companies like Cleveland-Cliffs or U.S. Steel, to produce (steel) in Minnesota,” Brown said in a phone interview. “Now, whether that will happen or not, of course, is subject to speculation, but it is an opportunity to open up modern industry near the mouth of iron mines. And that should be very interesting to people in northern Minnesota.”
Minnesota’s Iron Range has experienced monumental shifts since settlers found iron-rich deposits there in the late 19th century. The giants of American industry — James J. Hill, Andrew Carnegie and John D. Rockefeller — collectively created U.S. Steel, the world’s first billion-dollar company, with iron ore largely mined from the Iron Range.
Taconite is a hard, dense rock containing a mixture of silicates and magnetite. After it’s mined in vast open pits, it is crushed into a fine powder, with the magnetite extracted to eventually create marble-sized pellets that contain over 65% iron.
Mining efforts in the Mesabi Iron Range have focused on taconite ore, a lower-grade iron ore processed from vast pits, since the 1950s. Taconite mining transformed the region after underground mining depleted the high-grade hematite deposits. Forty million tons of iron ore are mined there each year.
That ore from Minnesota is shipped across the Great Lakes to plants from Chicago to Pittsburgh, where it is combined with coke, a product derived from coal that is shipped by rail from Appalachia to make steel.
But what if coal were taken out of this equation? New shifts in technology are moving toward using specially formulated iron briquettes in electric arc furnaces instead of lower-grade iron materials in coal-powered blast furnaces. And Iron Range taconite plant owners Cleveland-Cliffs and U.S. Steel are both increasing production of a new type of iron pellet that does not require coal-powered blast furnaces to process into steel. Electricity can be used instead, meaning a rail connection to coal mines may no longer be necessary for processing the raw material into steel.
These direct reduced-grade pellets are a metallic iron product instead of an iron oxide product like taconite. And they require less energy to process. The company did not respond to interview requests, but its website lists the environmental benefits of these pellets.
“If we converted United Taconite’s full standard pellet production … net greenhouse gas emissions would decrease by approximately 370,000 tons per year,” Cleveland-Cliffs states.
U.S. Steel announced in 2022 plans to break ground on a new $150 million direct reduced iron production facility near Keewatin on the Range. In November 2022, the company announced Keetac was the selected site for the expanded operation. Keetac currently employs about 400 people.
“Keetac’s high quality ore body and long mine life makes it the best choice for DR-grade pellet capabilities. We will have the ability to produce both blast furnace and DR-grade pellets at Keetac in the future. These actions will allow us to become increasingly self-sufficient to feed our mini mills segment with key metallics.”
Weberg defines “green” iron and steel as having no fossil fuels involved at any point in its production.
“Our iron industry in Minnesota has been working toward this for some time,” Weberg said. “Our colleagues at Cleveland-Cliffs and at U.S. Steel have been making significant progress with direct reduced grade pellets.”
Brown speculated about a possible future with steel created using hydrogen power and what that could mean for the Iron Range.
“What hydrogen steel might do for Minnesota is create the opportunity … for efficient and profitable steel production near where the mining occurs — an opportunity that doesn’t exist now because the cost of getting the coke and coal … to Minnesota is prohibitive,” Brown said.
As in decades before, the ebbs and flows of the global steel market will continue to impact the Iron Range. As policymakers and manufacturers look toward a sustainable future, the Iron Range may be well poised to prosper in a new, green economy built on the industrious foundation of its core: mining.
COAL: Appalachian Power considers what to do with the site of a Virginia coal-fired power plant that was shuttered in 2014, and whether it can transport accumulated coal ash there to a West Virginia landfill. (WVTF)
ALSO: Georgia Power presses to keep two coal-fired power plants open a decade longer than planned, despite one’s ranking in a recent study as the second most deadly polluter among U.S. coal plants. (Georgia Public Broadcasting)
STORAGE: Duke Energy disconnects large, Chinese-made batteries at a Marine Corps base in North Carolina after officials express security concerns about the manufacturer’s ties to China’s Communist Party. (Reuters)
SOLAR:
EFFICIENCY: Louisiana regulators prepare to vote on long-awaited energy efficiency rules to require utilities to implement various power-saving measures and technologies. (Louisiana Illuminator)
ELECTRIC VEHICLES:
OIL & GAS:
NUCLEAR:
GRID: A Democrat and a Republican newly elected to the Virginia legislature join a coalition to announce a new state advocacy group that will push for stronger oversight of the state’s booming data center industry. (Richmond Times-Dispatch)
CLIMATE: Florida struggles to deal with dramatically varying amounts of rainfall, from record deluges on its southeast coast to a drought along the Gulf Coast. (Associated Press)
UTILITIES: A columnist explains the confusing methodology behind how utilities pay North Carolina property taxes. (Asheville Watchdog)
COMMENTARY:
ELECTRIFICATION: A new Massachusetts policy aims to push the state away from natural gas heating, and at least 11 other states — including four in the Northeast — could take similar action. (Inside Climate News)
OIL & GAS: Exxon settles a 2016 lawsuit over the climate preparedness of a Boston-area petroleum storage terminal, agreeing to confidential terms that intervening environmentalists say protect the community. (E&E News)
GRID:
OFFSHORE WIND:
TRANSPORTATION: New York City’s council passes a new measure to accelerate protected bike lane development by changing the public comment process required. (Brooklyn Daily Eagle)
AFFORDABILITY: A Connecticut nonprofit’s new report shows the state’s energy affordability gap has grown 37% since last year, finding almost 250,000 households paid more than 6% of their income on energy bills. (CT Examiner)
CLIMATE:
BUILDINGS: The developers of a community of solar-powered homes in Ellicott City, Maryland, say the new houses will be certified by the U.S. Department of Energy to be up to 50% more energy efficient than a typical new home. (Washington Post)
SOLAR: After over a decade of discussion, a Pennsylvania farming family finally adds a solar roof to one of their barns with the help of a roughly $229,000 federal rural energy grant. (Lancaster Farming)
SOLAR: Minnesota solar advocates say a recent change in how Xcel Energy manages its substations is unnecessarily limiting solar development. (Energy News Network)
ALSO:
LINE 5:
CO2 PIPELINES:
UTILITIES: Minnesota regulators approve interim electric and gas rate increases for infrastructure and clean energy investments from Xcel Energy and Minnesota Power. (Star Tribune)
GRID: Cuyahoga County in northern Ohio is set to launch what officials say is the first electric microgrid utility in the United States that will build three projects near Cleveland. (Morning Journal)
BIOENERGY:
CLEAN ENERGY: Missouri officials are preparing to distribute millions of dollars in federal funding for grid infrastructure investments, electrification and clean energy work training. (St. Louis Post-Dispatch)
COAL: University of North Dakota researchers say they have found a feasible and economic way to extract critical metals from lignite coal. (MPR)
SOLAR: New U.S. solar installations are expected to reach a record 33 GW by the end of this year, but growth is expected to slow in 2024, according to a new industry report. (Reuters)
ALSO: Minnesota solar advocates say a recent change in how Xcel Energy manages its substations is unnecessarily limiting solar development. (Energy News Network)
CLEAN ENERGY:
CLIMATE:
CARBON CAPTURE: Environmental groups raise concerns about a proposal to store captured carbon dioxide beneath U.S. Forest Service lands. (Floodlight)
OIL & GAS: A new report finds “excess profits” in the oil industry and other sectors exacerbated inflation in 2022. (CNBC)
ELECTRIC VEHICLES:
MATERIALS:
ELECTRIFICATION:
COAL: Georgia Power presses to keep two coal-fired power plants open a decade longer than planned, despite one’s ranking in a recent study as the second most deadly polluter among U.S. coal plants. (Georgia Public Broadcasting)
This article originally appeared on Planet Detroit.
Advocates across Michigan celebrated last week as Gov. Gretchen Whitmer signed into law a package of energy bills targeting 100% clean power by 2040, positioning Michigan as a national climate leader.
But environmental justice advocates say the legislation, dubbed the “Clean Energy Future” package by supporters, had a major omission by making no provision for community solar, which allows residents to subscribe to third-party-owned solar arrays in exchange for energy bill credits.
The Michigan Environmental Justice Coalition (MEJC) is pushing for the passage of Senate Bills 152 and 153 and House Bills 4464 and 4465, introduced in the spring, which would enable community solar in Michigan.
But so far, none of the bills have come up for a vote, although the House Committee on Energy, Communications and Technology heard testimony on the House bills in November.
“It’s no secret that we are not very happy with the Clean Energy Future package,” Roshan Krishnan, policy associate at MEJC, told Planet Detroit. Krishnan said enabling community solar would accelerate solar buildout in the state and reduce demand for carbon capture and biofuels — polluting technologies included in the bill package — which MEJC opposes.
Backers say community solar, more accessible to lower-income customers and those living in multifamily housing, is crucial to building equity into the energy transition. They tout other benefits like improved energy reliability and lower bills for renters and others who can’t install rooftop solar.
But they say Michigan utilities are wielding their influence and political spending in Lansing to block legislation enabling community solar owned by third parties, even though the concept enjoys bipartisan support.
Michigan’s two largest investor-owned utilities, DTE Energy and Consumers Energy, have long fought laws enabling community solar. They argue such laws are unnecessary and would add costs for other customers. And they’ve spent millions in the last two years to influence lawmakers as such laws were being considered.
According to the U.S. Department of Energy, 22 states and the District of Columbia have policies in place that enable community solar. Most projects are concentrated in four states: Minnesota, New York, Massachusetts and Florida.
Ed Rivet, executive director of the nonprofit Michigan Conservative Energy Forum, told Planet Detroit he believes the public’s increasing embrace of renewable energy could give groups like his leverage to pressure lawmakers to bring community solar to Michigan.
“Part of our work … is to say to legislators, ‘Look, people want to do this in your district. Republicans and Democrats alike want to do this. Go ahead and ask folks in your district and see what you find’,” Rivet said.
Rivet said utilities’ influence in Lansing is the major hurdle to passing community solar legislation.
“If there’s resistance to the legislation being adopted, it’s coming from a singular vantage point, that being the utilities,” he said.
DTE and Consumers are unequivocal in their opposition to community solar. DTE spokesperson Peter Ternes told Planet Detroit the proposed community solar legislation is “unnecessary” and would “allow developers to cherry-pick customers and force the utility’s remaining customers to subsidize the program – challenging affordability for our customers.”
Consumers spokesperson Brian Wheeler also called the legislation “unnecessary,” warning that it would allow “unregulated, out-of-state solar developers” to have “unfiltered access to the grid while pushing for a premium price for their own solar projects at the expense of low-income customers.”
Ternes and Wheeler each endorsed their respective companies’ utility-owned programs, DTE’s MIGreenPower and Consumers’ Solar Gardens, where residents voluntarily charge extra bills to support utility-owned solar developments.
Rivet criticized these programs, noting they are designed so customers pay more for clean energy without receiving a financial benefit for investing in a power source that is cleaner and often cheaper than others.
There’s little doubt utilities are spending resources to influence legislators. Utility watchdog group Energy and Policy Institute revealed that political action committees (PACs) tied to DTE and Consumers gave nearly $500,000 to campaign accounts for Whitmer, state legislators and state party funds in 2023 while renewable energy legislation was being considered, with 80% of legislators taking money from these PACs.
The analysis showed that key Democratic lawmakers received far more than other party members this year. For example, House Speaker Joe Tate (D-Detroit) took $30,000 from utilities, and Senate Majority Leader Winnie Brinks (D-Grand Rapids) received $15,500.
In 2022, DTE-affiliated dark money groups gave $2 million to Democratic groups.
A 2021 study from Michigan State University found that enabling community solar would create thousands of jobs over the next 25 years and bring $1.5 billion in economic benefits.
And advocates say it would better position the state to compete for grants through the $7 billion federal Greenhouse Gas Reduction Fund for projects that reduce or avoid planet-warming emissions, emphasizing low-income and disadvantaged communities.
But they say the greatest potential benefits lie in creating opportunities for low-income residents to lower their energy bills and access more reliable power. Residential customers in Michigan pay the highest rates in the Midwest, and DTE and Consumers are some of the worst utilities in the nation for the duration of blackouts. On Dec. 1, the Michigan Public Service Commission approved a $368 million rate increase for DTE that would add $6.51 to the average customer’s monthly bill.
HB 4464 would require 30% of each community solar project to go to low-income households or service organizations.
In comments to the Michigan House Energy, Communications, and Technology Committee in November, Dr. Elizabeth Del Buono, president of Michigan Clinicians for Climate Action, said community solar would also be a win for public health.
Del Buono said community solar will make the grid more reliable during power outages when paired with battery storage, “thereby protecting the health of vulnerable patients dependent on electricity to breathe and be mobile.”
According to John Richter, senior policy analyst at the nonprofit Great Lakes Renewable Energy Association, additional legislation would be in order if community solar did pass.
That would include raising the state’s “solar cap,” which sets the percentage of peak yearly load that a utility must buy from distributed energy producers.
The Clean Energy Future package raised this number from 1% to 10%, but State Sen. Jeff Irwin (D-Ann Arbor) introduced Senate Bill 362 this year to remove the cap. Irwin’s bill would also restore “net metering,” where rooftop solar customers are credited for energy put back on the grid at the same retail rate they pay for electricity.
Following intense utility lobbying, net metering was replaced by an “inflow-outflow” tariff in 2018, which deducts transmission costs from credits. That change increased the time to recoup up-front costs for the average rooftop solar producer from roughly nine years to 13 years.
Richter said that if these credits aren’t increased, “it would basically be pointless” to try to make community solar projects work economically for residents and developers.
But with Democrats losing their majority in the Michigan House in 2024, community solar may be one of the few energy priorities that could move forward, according to Rivet.
“Because it does have bipartisan support, it at least has a chance of being the next round of dialogue on energy policy,” he said.
Krishnan is less optimistic.
“Nothing is going to move unless the leadership actually steps up to the plate and does it,” he said. “And they’ve shown absolutely no inclination that they are willing to do so, which I think is frankly reflective of their extreme lack of commitment to environmental justice.”
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