Showing posts with label renewable energy. Show all posts
Showing posts with label renewable energy. Show all posts

Monday, August 3, 2015

Obama's Climate Plan

The Obama Administration released an ambitious, forward looking climate plan today. This is a big deal: the Administration's Clean Power Plan seeks to "reduce carbon dioxide emissions by 32 percent from 2005 levels by 2030."

Several have characterized the Plan as "the strongest action ever on climate change by a US president." We agree and note that "hundreds of businesses including eBay, Nestle and General Mills have issued their support for..(the) plan.."

The picture above shows Environmental Protection Agency (EPA) Administrator Gina McCarthy speaking in early July at Georgetown University in Washington, DC with a Community Environmental Activist. (The Administration is reaching out...broadly.)

According to the White House, the Plan will:
  • "..reduce premature deaths from power plant emissions by nearly 90 percent in 2030 compared to 2005 and decrease the pollutants that contribute to the soot and smog and can lead to more asthma attacks in kids by more than 70 percent. The Clean Power Plan will also avoid up to 3,600 premature deaths, lead to 90,000 fewer asthma attacks in children, and prevent 300,000 missed work and school days.
  • Create tens of thousands of jobs while ensuring (Electric energy) grid reliability;
  • Drive more aggressive investment in clean energy technologies than the proposed rule, resulting in 30 percent more renewable energy generation in 2030 and continuing to lower the costs of renewable energy.
  • Save the average American family nearly $85 on their annual energy bill in 2030, reducing enough energy to power 30 million homes, and save consumers a total of $155 billion from 2020-2030;
  • Give a head start to wind and solar deployment and prioritize the deployment of energy efficiency improvements in low-income communities that need it most early in the program through a Clean Energy Incentive Program; and
  • Continue American leadership on climate change by keeping us on track to meet the economy-wide emissions targets we have set, including the goal of reducing emissions to 17 percent below 2005 levels by 2020 and to 26-28 percent below 2005 levels by 2025."
Coming on the heels of the Pope's well researched and tightly reasoned statement, Obama's climate initiative suggests the Administration agrees that climate change is a moral (and, as a result, a political) issue.

The Plan should give a boost to renewable energy entrepreneurs and supports global efforts to divest from coal. (See our statements to the governments of Hong Kong and Norway.) The investment implications are clear: institutional and retail investors should increase their investments in renewable energy (solar, wind, biomass, etc.) and decrease their exposure to coal.

Perhaps most importantly, this action suggests it is no longer rational to question what so many have stated.. that  “Climate change poses risks to people and ecosystems by exacerbating existing economic, environmental, geopolitical, health and societal threats, and generating new ones. These risks increase disproportionately as the temperature increases.”

The Administration is taking strong, forward looking action. Well done.