Hi John,

In Washington, much of the US government is paralyzed because the Republican caucus is so fractured it cannot elect a Speaker to get the House of Representatives organized and running again. This petty, internecine battle is completely detached from the reality most Americans face and the global crises the United States must manage. We’re going to stick to energy issues in On the Grid, but recommend you read Jonathan Martin’s latest Politico article to get the why behind this ongoing saga.

By most standards, the US economy is doing exceptionally well, with low unemployment rates, near-record job creation numbers, and healthy consumer spending. Yet, with three-quarters of Americans perceiving the economy negatively, it's clear that these metrics aren’t telling the economic story most Americans are living.

Many working families measure the health of the economy at the gas pump and on their utility bills. As long as costs stay high, and personal budgets are squeezed, families will feel like the economy is in bad shape. They’re right to be concerned about paying the bills, and policymakers should speak to that concern. That's why Third Way has recommendations and talking points to help Democrats set the record straight. Here are three toplines:

1. Highlight policies that will cut costs quickly, like producing more domestic oil and tapping into oil reserves to bring prices down.
2. Emphasize the importance of stability and energy independence by stressing long-term policies that will help build a reliable, secure, and independent energy sector and hold bad-faith actors accountable.
3. Consistently and clearly communicate the accomplishments and continued commitment to lower costs for American families today and in the future.

Over the past year, what began as a minor talking point on Fox News has snowballed into a wider, more alarming misconception–increasingly, the Biden Administration's clean energy agenda is being described by skeptical centrists and right-wing politicians as a radical leftist agenda. This couldn’t be further from the truth. In reality, the Administration is embracing a pragmatic, market-based approach that makes all clean energy technologies more affordable, reliable, and secure. It’s disconcerting to see this get muddled, but it’s especially troubling when centrists further this confusion.

We believe it’s essential to address these misconceptions head-on. You can read our full response here, but here are a few highlights that challenge the outlandish claim that the Administration is pushing a radical agenda:

1. Instead of excluding technologies and following a renewables-only agenda, the Biden Administration has provided half a trillion to develop and deploy a broad range of clean energy technologies–including carbon capture and nuclear energy.
2. The Administration has put the US economy at the heart of climate and energy efforts, notably in the auto industry, where the Biden administration has made key investments to ensure that the next generation of vehicles are Made in America and prevent China from dictating the terms of the global market.
3. Contrary to the left's call to ban fossil fuels, President Biden boosted US oil and gas production, helping reach record levels of production and shielding Americans from global price shocks.

1. The transition to EV manufacturing will grow American jobs, both in existing union-led fields like auto manufacturing and in new industries, like battery manufacturing.
2. Federal investments–tax credits and domestic content rules–are building a strong domestic EV supply chain that will cut our reliance on countries like Russia and China for critical materials.
3. The US has a proven track record of building cars that Americans love, and as we shift to EVs, we will uphold that legacy, all while effectively challenging China’s market presence and putting American automakers in the lead.

• David Leonhardt, in The New York Times, dives into the importance of federal investment for the American economy, national security, and leadership, looking at historical precedents to make the case for continued investment in our infrastructure and technology industries.
• Jeva Lange in Heatmap fact-checks myths about electrified transportation.  
• Jason Bordoff, on the Columbia Energy Exchange podcast series, sits down with Dr. Daniel Yergin to discuss the unfolding violence in the Middle East and the outlook it could have for energy markets.