1. NEW WHITE HOUSE ANNOUNCEMENT TARGETS INDUSTRIAL EMISSIONS

On Tuesday, the Biden-Harris Administration announced a slate of new executive actions that will cut industrial emissions, expand clean manufacturing in the US, strengthen domestic supply chains, and secure our competitiveness in emerging clean industries. The announcements reflect a long-term investment in American economic competitiveness and security, as well as a commitment to build out new industries in the US that will provide jobs and economic benefits to workers, families, and communities for decades to come.

Among other provisions, the announcement includes:

• The creation of a first-ever Buy Clean Task Force to guide clean procurement efforts across federal agencies that will source low- and zero-carbon materials for construction purposes
• Requests for Information (RFIs) soliciting stakeholder expertise for the implementation of funding for clean hydrogen research, development, and deployment
• New guidance to responsibly deploy carbon capture, utilization, and storage technologies

Read our full statement here.

2. IMPROVING TRANSIT PART 3: CASE STUDIES

Last week, Third Way released the third blog post of a series with Transportation for America that explores how we can improve public transit as a way to reduce carbon pollution. The first two blog posts discussed how proper funding for transit operations and expanding access to public transit will take more cars off the road, reduce emissions, and connect more people with the places they need to go. 

In the third blog post, we looked at specific case studies in cities around the US where local transit agencies used data to understand the service needs of residents and rethink route structures to provide better access.

• Columbus and Houston redesigned their bus routes to focus on giving as many people as possible access to frequent, high-quality transit, which led to an increase in ridership in both cities even as the nationwide ridership rates decreased.
• Austin successfully launched and grew a rapid bus network after failing to grow its ridership on a 32-mile commuter rail line that misses much of the city’s density.
• In Minneapolis and St. Paul, the local transit agency began upgrading some of its busiest bus lines and integrating local buses into larger regional networks. When COVID hit, they also responded accordingly by meeting transit needs and providing better access.

These studies show us how transit agencies can effectively develop transit systems that provide better access for people most reliant on transit and keep up with changing development patterns.

3.  NUCLEAR EXPANSION IN EUROPE CONTINUES

Earlier this week, Poland announced a new agreement with US-based NuScale to construct a small modular reactor that will support Poland’s copper and silver production. 

The agreement is just one in a long string of announcements from European countries looking to reduce their carbon emissions, diversify their energy mix, and strengthen their energy independence. Between the UK, France, the Netherlands, Czech Republic, Romania, and more, the market for advanced nuclear energy is rapidly heating up in Europe. 

As Josh Freed told Sonal Patel this week in Power Magazine this week:

“Countries need to decarbonize and they need to do it with firm and clean power, especially in the heavily industrialized parts of Eastern Europe that want to replace their coal fleets, want to maintain manufacturing, and become leaders in innovation and clean energy.”
 

Similarly, these countries are looking to make themselves less vulnerable to global oil and gas price shocks and reduce their reliance on Russian natural gas: 

“Even before the most recent crisis that we’re living through now with Ukraine, we heard and saw from a number of countries in Eastern Europe that we engage with a recognition that reliance on Russian natural gas, on Russia nuclear for firm power, was not safe. And they were looking for opportunities to ensure their own energy autonomy, and to strengthen ties with countries that would enable them to maintain their autonomy, and so they look to the U.S. amongst others for that.”
 

The US has a unique opportunity to capitalize on this growing demand for nuclear energy by rapidly moving to demonstrate and deploy the advanced reactor technologies that are under development in the US. With the right policy investments and regulatory reforms, we can act quickly to fill the need for advanced nuclear energy and export this valuable technology around the world.

 4. LOOKING AHEAD: SURGING OIL PRICES AND INFLATION

On February 3, oil prices hit a 7½ year high amid concerns of Russian military action against Ukraine, reaching over $90 per barrel. High energy prices have already put a tremendous strain on US households and prices are continuing to skyrocket after experiencing a significant slump at the onset of COVID-19. 

With Russia’s next steps still uncertain, oil prices could stay high for a while. There is no question that the prospect of a Ukrainian invasion is influencing the price of oil and natural gas. Moreover, as global energy demand recovers from its pandemic slump, supply remains short as oil-producing countries struggle to meet their output targets.

What can the United States do? Releasing more oil from the strategic petroleum reserve, like we did last fall, in conjunction with our European allies, could help alleviate the pressure. Temporary cuts in gas taxes could also provide some brief relief, but run the risk of spurring higher demand that will drive prices back (and pollution) up.

The pace of global economic recovery is still uncertain, and geopolitical pressures will continue to unfold as long as Russia threatens to invade Ukraine. We’re still waiting to see where oil markets will go next.