Sign In or Create an Account.

By continuing, you agree to the Terms of Service and acknowledge our Privacy Policy

Sparks

Biden: Look at These Pretty Wind Turbines (Also, We’re Expanding Oil Drilling)

No one is pleased.

•
President Biden.
Heatmap Illustration/Getty Images

An announcement Friday by the Biden administration to extend the nation’s offshore oil leasing program perfectly encapsulates the Catch-22 the president finds himself in over his climate goals. The press release brazenly advertises the drilling expansion plan as “Reflecting America’s Rapid and Accelerating Shift to Clean Energy,” all while reading like someone trying to convince you that they’ve got a gun to their head.

This plan was a long time coming. The Interior Department is responsible for establishing a five-year leasing schedule under the Outer Continental Shelf Lands Act that will “best” meet the United States' energy needs, and the previous plan is about to expire. Lease sale 261, which was supposed to be held on Wednesday but has been delayed until later this fall, is the last one on the agenda.

The agency could, in theory, issue a schedule with zero lease sales over the next five years. But due to provisions added into the Inflation Reduction Act by West Virginia Senator Joe Manchin, such inaction would prevent the government from being able to open up more of the nation’s coast to offshore wind development. Before the Interior Department can put up any offshore acreage for wind, it has to have put up at least 60 million acres for oil in the previous year, the law says.

So instead of calling it an offshore oil lease plan, the agency is describing it as an offshore wind-enablement plan. The IRA’s handcuffs were referenced roughly four times in the press release, including in the first sentence, which reads, “Consistent with the requirements of the Inflation Reduction Act …” The plan to hold three oil and gas sales in 2025, 2027, and 2029 is the “minimum number” the department could schedule in order to continue the expansion of offshore wind, it said, and “the fewest … in history.” The subheading of the page even calls it a plan that “phases down oil and gas leasing in the Gulf of Mexico,” and the image paired with the announcement on social media featured wind turbines.

There’s nothing factually wrong about any of this. The final plan calls for significantly fewer sales than the 47 initially proposed in 2018 by the Trump administration, and a marked reduction from the 11 proposed by Biden last summer. The plan also restricts drilling to areas in the Gulf of Mexico that are already under development, rather than opening up new areas in Alaska or the Atlantic, as Trump wanted to do. But it does put the U.S. on a path to increased oil production, and at least one analysis asserts that the administration doesn’t even need to hold any more wind lease sales to achieve Biden’s clean energy goals.

It’s unclear who the apologetic tone or desperate image of wind turbines was for. By all accounts, the announcement was a letdown to all sides.

You’re out of free articles.

Subscribe to access Heatmap's exclusive climate and energy polling, award-winning journalism, and subscriber-only events, now just $99 $79.20/year.
To continue reading
Create a free account or sign in to unlock more free articles.
or
Please enter an email address
By continuing, you agree to the Terms of Service and acknowledge our Privacy Policy
Climate Tech

Google Bets Big on Virtual Power Plants With 1 Gigawatt Voltus Deal

The additional clean capacity would represent nearly 3% of North America’s existing total.

•
Google's and Voltus' logos.
Heatmap Illustration/Getty Images

North America has about 37.5 gigawatts of total virtual power plant capacity, according to energy consultancy Wood Mackenzie’s latest estimate, published last year. That capacity is spread across roughly 2,000 VPPs, which aggregate distributed energy resources like batteries, smart thermostats, and heat pumps to cut, shift, or supply electricity when the grid is under strain — effectively turning them into a single, coordinated power plant.

On Thursday, Google and VPP operator Voltus announced plans to add another 1 gigawatt of clean capacity over the next three or four years — or nearly 3% of North America’s existing total. Under Voltus’ “bring your own capacity” model, Google will fund the VPP to help meet its booming data center power needs, while Voltus will enroll businesses and households across the PJM Interconnection, the notoriously overstrained grid region spanning parts of the Midwest and Mid-Atlantic, compensating them for their participation either directly or through electricity bill credits.

Keep reading...Show less
Green
Sparks

The Fed’s First Rate Hike Since 2023 Is a Problem for Renewables

And the news gets worse.

•
Kevin Warsh.
Heatmap Illustration/Getty Images

The Federal Reserve raised the federal funds rate by a quarter point, the central bank announced Wednesday afternoon, its first rate change since Chairman Kevin Warsh took his seat in May and its first rate hike in over three years.

The federal funds rate will now sit between 3.75% and 4%. According to projections by regional Federal Reserve presidents and members of the Board of Governors, the central bank expects to hike rates one more time this year.

Keep reading...Show less
Blue
Sparks

Why SoCal Electricity Customers Are Paying for Utility Reforms

The August Electricity Price Hub data is in.

•
The Hollywood sign and power lines.
Heatmap Illustration/Getty Images

It’s another hot and expensive summer.

Across the country, average household electricity bills are up 2.7% in the first eight months of the year, according to the latest update to Heatmap and MIT’s Electricity Price Hub, tacking on $4 per month to the typical bill. This level of rise is consistent with the pace set in 2024 and 2025, but faster than 2021 and 2023.

Keep reading...Show less
Blue