McConnell's real energy legacy: Conservative judges

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

Feb 29, 2024 View in browser   By Kelsey Brugger Presented by Chevron Senate Minority Leader Mitch McConnell (R-Ky.) walks to his office at the Capitol on Wednesday. | Francis Chung/POLITICO Mitch McConnell has transformed environmental law the same way he shook up abortion policy — by propelling the judiciary to the right. The Kentucky Republican — who announced Wednesday that he will not seek another term as the Senate GOP leader — helped former President Donald Trump get a supermajority at the Supreme Court. And that has had a huge impact on a host of environmental protections, as Emma Dumain and I wrote today. The high court’s six conservatives have trimmed back the Environmental Protection Agency’s ability to regulate power plants and water pollution. This term, it could go further and limit the Chevron doctrine, a 40-year-old legal precedent that tells courts to defer to federal agencies interpretation of ambiguous laws. That, in turn, could fuel legal challenges on the rules that underpin the Biden administration’s climate agenda. McConnell has also spent his 17 years as the GOP leader defending the coal industry, which is still a large part of Kentucky’s economy, by fighting regulations to limit power plant pollution and strengthen protections for waterways near coal mines. “He’s fought for decades to keep those industries alive,” said Neil Chatterjee, a former chair of the Federal Energy Regulatory Commission and an ex-McConnell aide. “If you look at the mix in the region, coal still plays a big role there. I think he’s been very effective.” The three likely contenders to succeed McConnell all have similar records on energy, and energy policy isn’t expected to change much. All also hail from major energy-producing states: Sens. John Thune (R-S.D.), the current minority whip; John Cornyn (R-Texas), the former minority whip; and John Barrasso (R-Wyo.), the chair of the Senate Republican Conference and ranking member of the Energy and Natural Resources Committee. Like McConnell, they are also fiercely protective of fossil fuel industries and quick to accuse Democrats of a “radical” environmental agenda. Greens don’t like any of them. Tiernan Sittenfeld of the League of Conservation Voters called the environmental voting records of all four lawmakers “appalling.” “There’s no material difference between any of them,” she said. McConnell, however, did distinguish himself from the three Johns — their nickname on Capitol Hill — by siding with Democrats on occasion. He was the only one of the group to vote for the 2021 bipartisan infrastructure. Along with Cornyn, McConnell also voted for the CHIPS and Science Act; Thune and Barrasso did not. “We’ve worked well on energy issues — you know, he’s from Kentucky, I’m West Virginia, so we’re neighbors,” said Sen. Joe Manchin (D-W.Va.), a fossil fuel ally who chairs the Senate Energy Committee. “We have the same concerns and everything, same values. … We’ve pretty much been lockstep on energy.” So far, Cornyn is the only one to say he’s running. Neither Barrasso nor Thune has ruled it out.   It's Thursday — thank you for tuning in to POLITICO's Power Switch. I'm your host, Kelsey Brugger. Power Switch is brought to you by the journalists behind E&E News and POLITICO Energy. Send your tips, comments, questions to kbrugger@eenews.net.   On the ground in Albany. Get critical policy news and analysis inside New York State. Track how power brokers are driving change across legislation and budget and impacting lobbying efforts. Learn more.     Listen to today’s POLITICO Energy podcast Today in POLITICO Energy’s podcast: Kelsey Tamborrino breaks down what's happening with the Biden administration's plans for hydrogen hubs.   A message from Chevron: Energy demand is projected to reach record highs and continue to rise in the future. Chevron is responding to that growing need while innovating to help do so responsibly. All to help us provide energy that’s affordable, reliable, and ever-cleaner.   Power Centers EPA Administrator Michael Regan speaks with the media in November. | Francis Chung/POLITICO EPA splits up rule on power plant pollution EPA has removed existing natural gas facilities from its forthcoming proposal to limit power plant pollution, reports Jean Chemnick — a move that means final action on a major piece of President Joe Biden's climate agenda is unlikely to come before the November election. The rule is still expected to be finished in April but will only cover pollution from existing coal plants and future gas plants. EPA plans to write a separate rule on existing gas plants, but that is unlikely to be finished in Biden’s first term. Administrator Michael Regan said in a statement that the result will be a "stronger, more durable approach" that will also address pollutants that harm communities near the plants. But five people briefed on the change said agency officials made the decision in response to concerns over the rule's impact on electricity reliability. Numerous utilities have argued that the rule could limit their ability to draw on “dispatchable” natural gas when renewable energy isn’t available. SEC climate disclosure The Securities and Exchange Commission plans to meet next Wednesday to consider a final rule that would compel public companies to disclose a wealth of climate-related information, Avery Ellfeldt writes. The rule has long been championed by investors, Democratic lawmakers and environmentalists. But Republicans and some business groups including the U.S. Chamber of Commerce have opposed the draft proposal, arguing the new requirements would prove too burdensome and costly. Hydrogen and its discontents The Treasury Department’s proposed tax rules for low-carbon hydrogen have sparked an internal dispute in the Biden administration. The Department of Energy is pushing Treasury to relax the rules to give the industry time to embark on a massive expansion, Christian Robles reports. The White House views hydrogen as a potentially transformative fuel source for steel plants and other polluting industries. But policymakers are at odds over how to balance the financial hurdles of a nascent hydrogen industry with a policy requirement that hydrogen is produced only through clean sources of energy. DOE officials are concerned that the tax guidance proposed in December will hamstring a $7 billion program to create regional hydrogen production hubs. 'One would be naïve' As the Supreme Court considers limiting agency powers, Trump-era Interior Secretary David Bernhardt has chimed in with a brief on an abortion case. In an amicus brief docketed Wednesday, Bernhardt told the conservative-leaning high court that Food and Drug Administration decisions to increase access to abortion pills illustrates a larger problem of courts deferring to federal agencies’ expertise. “One would be naïve not to understand how policy drives the ‘science’ at an agency,” attorneys for Bernhardt wrote. In a separate blockbuster case this term, the justices could overturn Chevron deference, a 40-year-old legal precedent that gives agencies such as EPA leeway to interpret unclear statutes. Environmental groups have lined up to defend Chevron, saying it's a way to ensure that expert agencies receive proper deference from judges who haven’t spent years studying the technical nuances of federal rules.   A message from Chevron:   In Other News Wetland worries: A multibillion-dollar water tunnel project in California meant to ease supply woes could imperil the Sacramento-San Joaquin River Delta. Frack it: Oil and gas companies are using hydraulic fracturing techniques to tap into geothermal energy.   A message from Chevron: Oil and gas are still an important part of the global energy system. To help responsibly address growing needs, Chevron is stepping up. Our Gulf of Mexico facilities are some of the world’s lowest carbon intensity operations, and our technological advances enable us to reach previously unviable oil and gas reserves there. In the Permian Basin, we’re harnessing new drilling and completion technologies to increase the amount of oil we recover. We expect to reach 1 million barrels of oil-equivalent there per day by 2025. Providing energy that’s affordable, reliable, and ever-cleaner. That’s energy in progress.   Subscriber Zone A showcase of some of our best subscriber content. The Senate on Thursday failed to override the president's veto of a Congressional Review Act resolution against an administration electric vehicle rule. | C-SPAN The Senate failed to override Biden's veto of a resolution that tried to upend the administration's ambitious electric vehicle charging plans. Oil and gas companies asked the Supreme Court to weigh in on whether cities, states and counties can sue them for climate liabilities. Legislation to boost next-generation nuclear reactors passed the House on Wednesday with bipartisan support. That's it for today, folks! Thanks for reading.   YOUR TICKET INSIDE THE GOLDEN STATE POLITICAL ARENA: California Playbook delivers the latest intel, buzzy scoops and exclusive coverage from Sacramento and Los Angeles to Silicon Valley and across the state. Don't miss out on the daily must-read for political aficionados and professionals with an outsized interest in California politics, policy and power. Subscribe today.       Follow us on Twitter Arianna Skibell @ariannaskibell   Follow us

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