Proposed Bills on: Buildings

S. 1059:   Zero-Emissions Building Act of 2007. The Act amends the Energy Conservation and Production Act by inserting language that requires and specifies reductions in GHG emissions in Federal buildings. Sponsor: Sen. Hillary Rodham Clinton (D-NY) (1 Cosponsors)

 

S. 3036:  

The Lieberman-Warner Climate Security Act of 2008
 

NOTE:  For a full range of Pew Center resources for this bill, including in depth analysis, a longer summary,  a complete timeline, and links to relevant external documents and media, please click here


·         The Act, if enacted into law, would establish a market-based cap-and-trade program for greenhouse gas (GHG) emissions in the United States, and establish other measures to reduce GHG emissions.

·         This is the first cap-and-trade legislation to proceed to the Senate floor through regular order—that is, through the committee process. A previous version of this bill, then titled S.2191, was passed 11-8 by the Senate Environment and Public Works (EPW) Committee in December 2007. The version that will debated on the Senate floor has been extensively revised from the version passed by the EPW committee.

·         An estimated 87% of U.S. GHG emissions would be subject to the bill’s cap-and-trade program. Those required to submit emissions allowances under the program include: coal-fired power plants and other entities that use more than 5,000 metric tons of coal, natural gas processors and importers, petroleum processors and refiners, manufacturers and importers of more than 10,000 metric tons of GHGs (as measured in CO2 equivalents), and any entity that emits more than 10,000 metric tons (CO2e) of HFCs as a byproduct of the manufacture of hydrochlorofluorocarbons (HCFCs).  The bill establishes a separate cap-and-trade system for HFCs produced or imported (including those in products and equipment).

·         The cap-and-trade program would reduce GHG emissions from covered sectors by 4% below 2005 levels by 2012; 19% below 2005 levels by 2020; and 71% below 2005 levels by 2050.

·         The bill would allocate 75.5% of all allowances for free in 2012— including 18% to power plants, 11% to manufacturers, 2% to petroleum refiners, and 0.75% to natural gas processors (transitioning to zero in 2031); 12.75% to electricity and natural gas local distribution companies for the benefit of energy consumers, and 15% to states, etc. The proportion of allowances auctioned would increase from 24.5% in 2012 to 58.75% by 2032.

·         The bill would establish numerous measures to contain the cost of the cap-and-trade program, including allowing the use of domestic and international offsets, and the banking and borrowing of allowances; establishing a Carbon Market Efficiency Board empowered with certain cost-relief powers; and establishing a “cost-containment auction” of a fixed quantity of allowances each year that will initially be offered only to those with compliance obligations and within a certain price range. The bill also establishes a working group that will create regulations designed to protect the market from fraud and manipulation.

·         The bill would provide funds to compensate low-income energy consumers and assist in worker transition.

·         The bill would provide funding and incentives for development and deployment of geological carbon capture and sequestration (CCS) technology, with a goal of constructing 5-10 commercial coal-burning electricity facilities using CCS.

·         The bill would also provide funds for:  renewable energy; increasing the energy efficiency of buildings, appliances, manufacturing; research into low-carbon electricity generation and advanced energy projects; increasing the use and manufacture of hybrid and advanced vehicles; and increasing the production of cellulosic biofuels. It also includes a low-carbon fuel standard.

·         The bill would provide funds for the states for mass transit projects, and wildlife conservation and adaptation projects, among others.

·         The bill has a number of international provisions, including a measure that would require importers of certain commodities from countries that do not have GHG control programs to submit special allowances, as well as funds for assisting vulnerable communities abroad, promoting international technology development, and conserving forests and wildlife in other countries.

 

Sponsor: Sen. Barbara Boxer (D-CA) ( Cosponsors) 6/2/08: Cloture on the motion to proceed to the bill invoked by the Senate by 74-14; 6/6/08: the Senate failed to invoke cloture to close debate on the bill by 48-36.

 

H.R. 2483:   Energy for America Act. Among various provisions intended to promote energy efficiency, alternative energy, and green enrgy technology, this bill directs the Secretary of Energy to establish a grant competitive pilot demonstration program to be awarded annually for plug-in hybrid electric vehicles. As part of the criteria, applicants are required to record greenhouse gas (GHG) emissions. In addition, the bill requires the Secretary of Energy to, not later than 2 years after enactment, submit to Congress a study on biological sequestration on carbon dioxide for coal power systems. (7 Cosponsors)

 

H.R. 2809:   New Apollo Energy Act of 2007. This bill contains many provisions intended to promote new energy technologies, and includes a variety of measures intended to reduce American greenhouse gas (GHG) emissions. Among other provisions, it instructs the National Institute of Building Sciences to establish standards for the construction of new commercial and residential buildings that will reduce CO₂ emissions, compared to emissions from similar buildings in 2003, by 40% by 2010 and by 70% by 2020. The bill also directs the Administrator of the EPA to promulgate low carbon fuel performance standards for fuels and aircraft, similar to those proposed by Rep. Inslee in H.R. 2215. In addition, the bill authorizes the Secretary of Energy to make loan guarantees for commercial demonstration projects of low carbon renewable fuels. The bill also amends the Clean Air Act to instruct the Administrator of the EPA to promulgate regulations to require each manufacturer of automobiles for sale in the United States to reduce the average GHG emissions per vehicle mile. It also directs the Secretary of Commerce to work through NOAA to carry out a program of scientific research on abrupt climate change. Sponsor: Rep. Jay Inslee (D-WA) (23 Cosponsors)

 

H.R. 3031:   Advanced Design in Energy for Living Efficiently Act of 2007. Among other provisions intended to promote the construction of green buildings in the United States, this bill requires the National Institute of Building Sciences to establish standards for the construction of new commercial and residential buildings that will reduce CO₂ emissions, compared to emissions from similar buildings in 2003, by 40% by 2010 and by 70% by 2020. Provisions in this bill are included in H.R. 2809, also sponsored by Rep. Inslee. Sponsor: Rep. Jay Inslee (D-WA) (4 Cosponsors)

 

H.R. 3221:   New Direction for Energy Independence, National Security, and Consumer Protection Act. This is the House of Representatives’ energy bill for 2007. The following summary includes only the provisions most pertinent to climate change.

· Among other provisions, the bill makes a Congressional declaration that it shall be United States policy to engage in international climate negotiations with the objective of creating a new instrument that will come into force by the time that the first commitment period under the Kyoto Protocol ends in 2012. Such an instrument will, at a minimum, require binding mitigation commitments from all major emitting countries. The title also mandates the creation of an Office on Global Climate Change within the State Department.

· The bill also authorizes funds to promote research in solar energy, biofuels, marine renewable energy, and geothermal energy, and authorizes funds for carbon capture and storage research, development, and demonstration.

· In addition, it directs the President to “establish an interagency committee to ensure cooperation and coordination of all Federal research activities” pertaining to human-induced or natural changes in the global environment, including global climate change.

· The bill contains provisions which direct each federal agency to annually inventory and report its GHG emissions, and requires the EPA to promulgate annual greenhouse gas (GHG) reduction targets for the total emissions of all agencies taken as a whole, for each fiscal year from 2010 through 2050.

· The bill also sets GHG emissions standards for federal vehicle fleets, based on the California Code of Regulations, and requires the Secretary of Energy to establish new efficiency standards for federal buildings.

· The bill requires the Secretary of the Interior to develop a methodology for assessing the nation’s capacity to store carbon dioxide in geologic formations. It also requires the Secretary to conduct an assessment of the amount of carbon stored in terrestrial, aquatic, and coastal ecosystems, including estuaries; and to determine the potential for increasing carbon storage in natural ecosystems.

· It also requires the Secretary of the Interior to create the National Resources Management Council on Climate Change to address the impacts of climate change on Federal lands, the ocean environment, and the Federal water infrastructure. It requires the Secretary to promulgate a national strategy for assisting wildlife populations and their habitats in adapting to the impacts of global warming. The title also directs the Secretary of Commerce to develop and implement a national strategy to predict, plan for, and mitigate the impacts on ocean and coastal ecosystems from global warming, relative sea level rise and ocean acidification; and ensure the recovery, resilience, and health of ocean and coastal ecosystems.

· The title also authorizes $250 million to establish a National Integrated Coastal and Ocean Observation System to improve the nation’s ability to measure, track, explain, and predict events related directly and indirectly and indirectly to weather and climate change.

· The Transportation and Infrastructure section of this bill, among other provisions, mandates the establishment of a Center for Climate Change and Environment within the Department of Transportation, which would plan, coordinate, and implement department-wide initiatives and research to reduce transportation-related energy use, mitigate the effects of climate change, and address the impacts of climate change on transportation and infrastructure. The title also directs Secretary of Transportation and the Administrator of the EPA to report to Congress on low-cost solutions to reducing congestion and transportation-related energy use and mitigating the effects of climate change.

· The Energy and Commerce section of this bill contains a number of energy efficiency provisions, among them: improving the schedule for consensus standards, updating appliance test procedures, new efficiency standards for lighting, residential boilers, industrial motors, washing machines, and dishwashers. The title also establishes new efficiency standards for power supplies and transformers for consumer electronic equipment.

· In addition, the bill mandates the creation of an Office of High-Performance Green Buildings, and sets out increased efficiency standards for federal buildings, as well as increased efficiency standards for state residential and commercial building codes. It also authorizes grants to support state implementation of green building codes.

· The title also provides technical assistance and a revolving fund for implementing combined heat and power (CHP) systems and sustainable energy infrastructure. Finally, the title contains a number of provisions promoting creation of a Smart Grid, and mandates the promulgation of a National Action Plan for Demand Response.

· The tax provisions of this bill expand and extend tax credits and deductions for renewable energy, energy efficient appliance credit for a variety of appliances produced after 2007, energy-efficient commercial buildings deduction for five years (through December 31, 2013), and allows electric utilities to depreciate smart electric meters over a five year period. In addition, the bill orders the Secretary of the Treasury and the National Academy of Sciences to review the Internal Revenue Code of 1986 to identify the types of and specific tax provisions that have the largest effects on carbon and other greenhouse gas emissions and to estimate the magnitude of those effects.

Sponsor: Rep. Nancy Pelosi (D-CA) (18 Cosponsors)

 

H.R. 4137:  

College Opportunity and Affordability Act of 2008. This act would amend the Higher Education Act of 1965 for a variety of purposes. Among other provisions, it would direct the Secretary of Education, in consultation with the EPA Administrator, to make grants to universities and partnerships involving universities to establish sustainability programs to achieve a variety of goals in campus operations, including the reduction of greenhouse gas emissions. Approved programs would be applicable to the private and government sectors.

Sponsor: Rep. George Miller (D-CA) (29 Cosponsors)

11/15/07: Reported by the House Committee on Education and Labor by 45-0;  2/7/08: Passed the House 354-58; 7/29/08: passed the Senate with an amendment by unanimous consent; 7/30/08: conference report filed; 7/31/08: conference report passed the House by 380-49; 7/31/08: passed the Senate by 83-8; 8/6/08: presented to the President.   

 

H.R. 5401:   Grants for Renewable and Energy Efficiency Needs (GREEN) School Improvement Act. This bill would authorize the Secretary of Education to make grants for energy efficiency improvements and renewable public school facilities. In its findings section, the bill cites a report which states that “green” schools use on average one-third less energy than conventional schools and could lead to large greenhouse gas emissions reductions overall. Sponsor: Rep. David Loebsack (D-IA) (10 Cosponsors)

 

H.R. 6186:  

Investing in Climate Action and Protection (iCAP) Act. This bill would amend the Clean Air Act to establish a cap-and-trade system for greenhouse gas (GHG) emissions, and for other purposes.

 The bill would regulate carbon dioxide (CO₂), methane (CH₄), nitrous oxide (N₂O), sulfur hexaflouride (SF₆), hydrofluorocarbons (HFCs), and perfluorocarbons (PFCs). The bill would also regulate nitrogen trifluoride (NF₃), which is a GHG not covered by the Kyoto Protocol, and, in addition, would regulate any other anthropogenic gas the Administrator of the EPA determines to have a global warming potential equal to or greater than carbon dioxide. According to the bill’s authors, the legislation would cover 94% of U.S. GHG emissions—87% through cap-and-trade.

 The cap-and-trade program would reduce covered emissions to 2005 levels by 2012, to 20% below 2005 levels by 2020, and to 85% below 2005 levels by 2050.The cap-and-trade program would cover emissions from: fossil fuel-fired power plants that emit more than 10,000 carbon dioxide equivalents (CO₂e) a year; industrial facilities that emit more than 10,000 CO₂e a year; producers or importers of petroleum or coal-based fuels, the combustion of which will produce more than 10,000 CO₂e a year; natural gas local distribution companies (LDCs) who deliver natural gas that will produce more than 10,000 CO₂e  a year when combusted; producers or importers of more than 10,000 CO₂e a year of HFCs, PFCs, SF₆, or NF₃, or any other fluorinated gas that is designated by the Administrator as a GHG; and “commercial-scale” geological carbon sequestration sites to cover any leakage.

In addition to the cap-and-trade program, the act will cover an additional 7% of U.S. GHG emissions through financial incentives to farmers and forest managers to reduce GHG emissions and increase storage as well as performance standards for coal mines, landfills, wastewater treatment operations, and large animal feeding operations that emit more than 10,000 CO₂e a year. The bill would direct the Administrator to publish and subject to regular review a list of such sources not later than 90 days after enactment, and establish the relevant performance standards not later than 2 years after that.

The bill would also set mandatory performance standards for coal-fired power plants with a generating capacity of 25 megawatts or more, and which derive more than 50% of annual fuel input from coal or petroleum coke. Plants which commence construction on or after January 1, 2009, would be required to capture and sequester 85% of their CO2 emissions. Plants which commence operation before January 1, 2020, would have to be in compliance with the performance standard by either January 1, 2016, or four years after they commence operation, whichever is later.  

The bill would auction 94% of all allowances in 2012, transitioning to a 100% auction in 2020.

Allowance auctions would begin in 2010. The bill would establish a number of funds in the U.S. Treasury, and deposit in them the following percentages of revenues from allowance auctions from 2010-2019. Dollar amounts listed in the following table are the bill’s author’s estimates. 

 

Fund	2010-2019		2020-2050		2012-2050
	% of allowance value	Est. annual funding ($ billions)	% of allowance value	Est. annual funding ($ billions)	Est. cumulative funding ($ billions)
General Fund of the Treasury	51	110	48	110	4,290
Climate Trust Rebate Fund	7.5		7
Low-Carbon Technology Fund	12.5	24	12.5	25	963
National Energy Efficiency Fund	12.5	24	12.5	25	963
Agriculture and Forestry Carbon Fund	4.5	8	5	10	378
Climate Change Worker Transition Fund	1.5	3	2	4	147
National Climate Change Adaptation Fund	2	7	2.5	9	332
Natural Resource Conservation Fund	1.5		2
International Forest Protection Fund	1.5	3	2	4	147
International Clean Technology Fund	3.5	7	4	8	301
International Climate Change Adaptation Fund	2	4	2.5	5	185

 

 

Funds from the General Fund of the Treasury and the Climate Trust Rebate Fund would be used for refundable tax credits and rebates to compensate consumers for higher energy prices resulting from the bill. Cash rebates would be directed at low-income households and will be distributed through the Electronic Benefits Transfer system used for food stamps. All households earning under $110,000 would be eligible for some benefit, with benefit levels phasing out gradually for households earning $70,000 to $110,000.

In addition to auctions, 6% of allowances would be allocated to energy-intensive, trade-exposed industries each year from 2012-2019.

Entities would be able to fully bank allowances. Entities would also be able to borrow allowances from future years, and would be required to pay back borrowed allowances within 5 years, at an interest rate of 10% per year.

Entities would be able to meet up to 15% of their compliance obligation with EPA-approved domestic offsets, and an additional 15% of their compliance obligation with EPA-approved international emission allowances or offsets. Eligible domestic offset projects would be limited to: agricultural projects that reduce GHGs resulting from enteric fermentation or manure management in soils, or that increase biological sequestration of carbon through afforestation or reforestation; projects which reduce fugitive GHGs from petroleum and natural gas systems in the US; and projects that reduce GHG emissions from coal mines (agricultural and coal mine projects are only eligible if they are not subject to the performance standards discussed above). The bill would direct the Administrator to promulgate regulations for eligible international offset projects; forestry or land use projects, and projects involving the destruction of HFCs, would not be eligible.

The bill would establish an Office of Carbon Market Oversight (OCMO) within the Federal Energy Regulatory Commission. The OCMO would have the authority to oversee the carbon market to prevent fraud and market manipulation. 

The bill would establish a system of international reserve allowances to begin in 2020. If the President determines that a given country has not taken “comparable” action to reduce its GHG emissions, the President would be authorized to require importers of energy-intensive, trade-exposed primary goods from those countries to purchase and submit special international reserve allowances. These allowances would not be able to be used for compliance in the regular cap-and-trade system, and proceeds from the sale of these allowances would be used to supplement the International Clean Technology Fund established by the bill.

The bill contains a provision that would permit California to regulate GHG emissions from the tailpipes of automobiles, as well as other states which have adopted the same standards.

The bill would also amend the Clean Air Act to establish a low-carbon fuel standard. The Administrator would be directed to no later than 2010, establish a methodology for determining the lifecycle GHG emissions per unit energy of all transportation fuels for which such a determination does not already exist. The EPA would establish a fuel emission baseline, and would require transportation fuel providers to reduce, on an annual average basis, the average lifecycle GHG emissions of those fuels, resulting in a reduction of at least 10% from the baseline by 2028.  The performance standard used to determine the baseline would be revised in 2033 and every 5 years thereafter. The EPA would set up a market for credits, through which producers who achieve greater lifecycle emission reductions than the baseline would be able to earn credits to trade or sell to other producers, or bank for future use.

In addition, the bill would require the EPA to develop comprehensive regulatory standards for the underground injection of CO₂, and would requires the DOE to develop model building efficiency codes that states would be required to adopt and enforce in order to become eligible for funding from the National Energy Efficiency Fund that would be established by the bill.  

Sponsor: Rep. Edward J. Markey (D-MA) ( Cosponsors)