The latest fight over Puerto Rico's shattered grid

Presented by Chevron: Your guide to the political forces shaping the energy transformation

Jun 27, 2023 View in browser   By Arianna Skibell Presented by Chevron A utility pole with loose cables towers over a home in Loíza, Puerto Rico, on Sept. 15, 2022. | POLITICO illustration/Photo by AP Puerto Rico still hadn’t recovered from Hurricane Maria’s deadly 2017 rampage when Hurricane Fiona hit last year, unleashing significant flooding and widespread power outages. Now, a plan from the Army Corps of Engineers to spend up to $5 billion for repairs and upgrades to the territory’s troubled electric grid is sowing controversy, writes Miranda Willson. The agency plans to build temporary natural gas- and oil-fired power plants, and fix existing infrastructure like electric transformers and cables, according to a notice it issued last week. Environmental groups and other critics say that’s not in line with a 2019 Puerto Rican law calling for a transition to 100 percent carbon-free electricity by midcentury, hitting 40 percent by 2025. Only about 3 percent of the territory’s power comes from solar, wind and other renewable resources — far less than what experts say is feasible. The Army Corps’ announcement also appears to be at odds with the Biden administration’s efforts to boost Puerto Rico’s solar capacity. The Energy Department, for example, has received $1 billion from Congress that could help the island deploy more solar and battery storage projects to make the territory’s power system more resilient. It’s expected to announce its first awards in the fall. “This is a disconnect. You have DOE and six national labs saying, ‘Wow, Puerto Rico should really go quickly to distributed renewable energy, because it has all this solar potential,’” said Ruth Santiago, an environmental lawyer in Puerto Rico who also sits on the White House Environmental Justice Advisory Council. “There’s really no justification for this additional fossil fuel generation,” she told Miranda. White House spokesperson Abdullah Hasan referred questions to the Army Corps and the Federal Emergency Management Agency, whose representatives said the new investment is ideal for “emergency power generation.” The work, authorized by FEMA, will be funded by disaster relief money that the Biden administration approved after Fiona, agency spokesperson Dasha Castillo said. In April, environmental and community groups sued FEMA and the Department of Homeland Security for failing to “meaningfully consider” using renewable energy sources like rooftop solar in two grid projects on the island. Craig Fugate, who led FEMA under the Obama administration, said the corps may be focusing on the quick deployment of fossil fuel generation because it has worked in the past. “I think that argument [for fossil fuels] is getting harder and harder to defend because of the prevalence of renewables and battery systems, but in some cases, it may make sense,” he said.   It's Tuesday — thank you for tuning in to POLITICO's Power Switch. I'm your host, Arianna Skibell. Power Switch is brought to you by the journalists behind E&E News and POLITICO Energy. Send your tips, comments, questions to askibell@eenews.net.   A message from Chevron: At Chevron, we’re striving to lead the way in the energy transition. That means producing renewable fuels to make an impact today and working to develop other fuels for tomorrow – all while working to reduce our carbon intensity. That's energy In progress.   Listen to today’s POLITICO Energy podcast Today in POLITICO Energy’s podcast: Zack Colman breaks down how federal dependence on an outdated weather model presents multiple risks for state and local governments. electric future Former President Donald Trump speaks in Novi, Mich., on Sunday. | Al Goldis/AP Photo Former President Donald Trump is trying to tap into unionized autoworkers’ anxieties about the switch to electric vehicles, seeking a political vulnerability in one of the Biden administration’s signature economic policies, writes Scott Waldman. During a campaign event Sunday in Michigan, Trump delivered a scorching attack of President Joe Biden's climate goals, contending that electric car manufacturing will destroy jobs in the auto industry. “Biden is a catastrophe for Michigan, and his environmental extremism is heartless and disloyal and horrible for the American worker, and you’re starting to see it,” Trump said. Biden's team has promoted his energy policies as a bright spot for his presidency, pointing to the billions of dollars of investments they're bringing to red and blue states alike. But his focus on EVs has stirred unhappiness among allies such as the United Auto Workers — who, Scott notes, have so far declined to endorse Biden's reelection.   A message from Chevron:   Power Centers A paddleboarder glides along Lady Bird Lake during a heat wave in Austin, Texas, last week. | Eric Gay/AP Photo The Arctic is sizzling Texas The oppressive heat wave roasting Texas and Mexico is rekindling a scientific debate about the effects that Arctic climate change might have on weather patterns around the world, writes Chelsea Harvey. Many experts say that rapid warming in the Arctic — where temperatures are rising four times faster than the global average — may cause an increase in these kinds of long-lasting extreme weather events. Greens prevail in SCOTUS case The Supreme Court on Tuesday rejected a Republican argument that would have dramatically overhauled federal elections and made it harder for liberal, pro-environment candidates to land in office, writes Pamela King. In a 6-3 ruling led by Chief Justice John Roberts, the court tossed out a once-fringe argument by North Carolina GOP lawmakers to give state legislatures virtually unchecked power to set election rules and draw congressional maps. Canadian wildfire smoke spreads The smoke from Canada's devastating wildfires has reached Europe, sweeping across Portugal and Spain on Monday, writes Zia Weise. One difference from the United States: The smoke is not anticipated to turn the skies orange or significantly hamper air quality due to differences in altitude. In Other News That's ... new: Humans have used enough groundwater to shift Earth’s tilt. Russia's war: Mutiny in Russia is throwing new risks into an already volatile gas market.   LISTEN TO POLITICO'S ENERGY PODCAST: Check out our daily five-minute brief on the latest energy and environmental politics and policy news. Don't miss out on the must-know stories, candid insights, and analysis from POLITICO's energy team. Listen today.     Subscriber Zone A showcase of some of our best subscriber content. Destroyed homes are seen near Pine Island, Fla., after Hurricane Ian last year. | Gerald Herbert/AP Photo The Treasury Department is urging states to force insurance companies to better account for climate change and its financial risks as growing disaster damage is costing insurers billions of dollars. A budget deal between California Gov. Gavin Newsom and his fellow Democrats scraps his plan to ship water to Southern California but includes provisions he sought to speed up major infrastructure projects. Massachusetts has launched the largest single call for offshore wind projects in the nation. But the state's new attorney general isn’t so sure that's a good idea. That's it for today, folks! Thanks for reading.   STEP INSIDE THE WEST WING: What's really happening in West Wing offices? Find out who's up, who's down, and who really has the president’s ear in our West Wing Playbook newsletter, the insider's guide to the Biden White House and Cabinet. For buzzy nuggets and details that you won't find anywhere else, subscribe today.       A message from Chevron: To meet society’s energy demands, we’re scaling up our operations while scaling down our portfolio carbon intensity. We’re investing in the fuels of tomorrow, while also staying focused on developing lower carbon alternatives to meet the needs of today. That means producing things like renewable diesel and renewable natural gas to fuel existing engines and help reduce the lifecycle carbon intensity of the transportation industry. Meeting today’s energy needs, while forging new paths to the future - in ways that are affordable, reliable and ever cleaner. That’s energy In progress.     Follow us on Twitter Arianna Skibell @ariannaskibell   Follow us

To change your alert settings, please log in at https://www.politico.com/_login?base=https%3A%2F%2Fwww.politico.com/settings This email was sent to rouf@idiot.cloudns.cc by: POLITICO, LLC 1000 Wilson Blvd. Arlington, VA, 22209, USA Please click here and follow the steps to unsubscribe.