Does Purple + Green = Blue?

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Good morning and happy Friday,

DOE, Treasury and the IRS jointly unveiled $4 billion in clean energy manufacturing tax credits directed to more than 100 projects across 35 states, while the DOE announced plans to invest $22 million to improve the planning and permitting of renewable energy and storage projects.

And, the DOI approved the nation’s eighth offshore wind farm – Avangrid’s New England Wind 1 and New England 2 projects off the coast of Massachusetts are expected to total 1.9 GW, and provide more power than the state’s former coal-fired generating station.

ACP released its 2023 US Wind Energy Monitor report, noting that “a 130% surge in turbine orders suggests an industry rebound in 2025 and beyond, with an additional 68 GW of onshore and offshore wind capacity expected by 2028.”

Meanwhile, some conservatives in the energy industry are “jockeying for jobs” in a potential Trump administration, E&ENews reports.

Read on for more.

Does Purple + Green = Blue?

A recent report from E2 analyzes the economic impact of nine clean energy projects announced in North Carolina in the twelve months following the passage of the IRA. The findings are impressive, and beg the question: will they help turn this purple state blue in November? Here are some key deets:

The nine projects represent $10.1 billion in economic investment and will deliver another $1 billion in annual investments over their lifetimes – adding $10.2 billion to the state’s gross state product during construction and $593.5 million to the GSP annually during operations.
The projects will support 24,600 construction jobs and generate $7.6 billion in labor income during construction, as well as at least 5,400 more jobs and $380.4 million in labor income annually once operational.

Since this study was completed, at least nine more large-scale clean energy and clean vehicle projects have been announced, totaling more than $19 billion in private-sector investments and making North Carolina the No. 1 state for total investments announced for major clean energy projects since the IRA.

⚡️ The Takeaway

A bevy of benefits. Admittedly, the bulk of this action is related to EVs, but some of it pertains to battery storage and the electrical grid. Importantly, however, all of it pertains to the economy, which is the top issue for 36% of voters in the Tar Heel State. Will this bevy of economic benefits register and resonate enough to tip this swing state? We only have to wait seven months to find out.

From Cars to Carbon Reduction

If you haven’t had a chance to crack open the Spring edition of Governing magazine, fear not: we’ve got your back. An article titled The Manufacturing Boom Set Off By Clean Energy Tax Credits details how several states, including Michigan, are reorienting their economies and reaping the benefits of the IRA. Here are some fun facts:

An overarching theme is that while many view the IRA as a climate bill, “the most revolutionary thing about it may be its power to promote growth.” None other than the CEO of U.S. Steel, David Burritt, said “This is the most amazing thing we’ve seen in the United States for a very long time.”
Michigan’s Governor Gretchen Whitmer ran on fixing infrastructure and has set her state up for success by passing the Clean Energy Future legislative package as well as creating an infrastructure office that helps state agencies coordinate their efforts in pursuit of federal grants.
While some aspects of the law may be “anathema” to Republicans, the massive investments already underway show that “clean energy is now living up to its long-hyped potential to create jobs. Globally, more people already work in clean energy than in fossil fuels.”

⚡️ The Takeaway

Hands off my IRA. Members of Congress who want to repeal portions of the law are unlikely to get traction, because “the fact that it focuses on incentives, rather than regulation or enforcement, shifts the battleground out of politics and into the realm of business.” Companies making long-term investments “will push back hard if there are any serious changes to the terms of the deal.”

Red Tape Talk:Why Biden's climate law needs a permitting boost
April Showers, Clean Energy Powers: US experienced staggering growth in solar and wind power over the last decade
Mo’ Energy, Mo’ Problems: As green manufacturing grows, America will need to re-engineer its power grid to run on renewable energy
Rays of Power: Missouri solar power grew significantly last year, but Illinois produces much more
Farming for the Future: Kansas farmer brings renewable energy future to Concordia
OpEd: Clean, affordable energy is a priority of MD Public Service Commission

Hail Yes

Last week we included a link to a story about a March hailstorm that devastated the Fighting Jays Solar project in Texas (an event that inspired a bit of an anti-solar frenzy). Well, a team of solar developers in Wyoming say “Cowboy up!” to that: they’re planning a hail-resistant, 163 MW solar project for the state’s “hail alley.”

While some might wonder if such an undertaking suggests the pair have taken a few baseball-sized hailstones to the head – and indeed, the mayor of nearby Yoder has called the effort “useless” – they are confident their provisions will fend off major damage.

The panels themselves will have extra-sturdy construction with “ceramic super coatings.” Perhaps more importantly, they’ll be on racking that can rotate them out of harm’s way when needed.

The $155 million Goshen Solar project is also noteworthy because it will be one of the largest agrivoltaics sites in the state, where the concept of grazing sheep amongst panels is catching on. It will bring tens of millions of dollars in economic benefits to Goshen County, which is home to between 12,000-13,000 people. Sounds wild and wooly to us!