U.S. Senator Daniel K. Akaka (D-Hawaii) hailed Senate passage of the Energy Policy Act of 2002, a comprehensive national energy bill that balances energy production and energy efficiency. After six weeks of debate, the Senate adopted the Energy Policy Act of 2002 by an 88-11 vote. The legislation was substituted for the text of H.R. 4, an omnibus energy reform measure past last year by the House of Representatives.
The Energy Policy Act of 2002 has three important objectives: 1) diversify fuels and technologies for adequate and affordable supplies of energy in the future, including renewables, natural gas, oil, coal, hydropower, and nuclear power; 2) improve the efficiency and productivity of energy transmission and use, including the efficiency of energy use in vehicles, industry, commercial equipment, appliances, and buildings; and 3) address other important policy goals, such as infrastructure security, protection of the environment, and global climate change.
"Our nation must rethink and revise our approach to energy policy across many sectors," Akaka said. "We need a comprehensive national energy policy that emphasizes conservation, and alternative and renewable energy, in addition to increasing domestic oil production. While it is far from perfect, the Energy Policy Act of 2002 includes important elements for a sound energy policy for our nation's future, balancing our needs for energy security with the pursuit of cleaner energy from alternative and renewable sources."
The Energy Policy Act of 2002 reauthorizes the Hydrogen Future Act. Reauthorization of the Act will continue research, development, and demonstrations of technologies to advance the use of hydrogen as an energy source. It authorizes $420 million over four years for this purpose. Senator Akaka is a champion of alternative energy sources, and has been the major force behind the two previous reauthorizations of the hydrogen bill. Along with Senator Tom Harkin (D-IA), he introduced the Hydrogen Future Act of 2001.
"Hydrogen is a zero-pollution, domestically produced fuel that can help us resolve our energy problems and dependence on foreign oil. I am convinced that sometime in the 21st century, hydrogen will join electricity as one of our Nation's primary energy carriers, and hydrogen will ultimately be produced from renewable sources," Akaka said.
"Concerns about global climate change and energy security will establish hydrogen in several markets. Improved fuel cell technology will allow the introduction of hydrogen in both the transportation and electricity sectors. Progress is being made and challenges and barriers are being surmounted at an accelerating pace on a global scale."
The comprehensive legislation also includes other provisions of particular significance to the State of Hawaii. The bill authorizes an assessment of the economic risk posed to Hawaii by our dependence on oil as the principal source of energy. It also calls for assessment of increasing the contribution of renewable sources to the overall energy requirements of Hawaii, and requires an evaluation of the feasibility of using liquid natural gas to supplement oil.
The Energy Policy Act includes provisions for integration of energy policy and climate change policy. Senator Akaka has long advocated for greater understanding and monitoring of global climate change because of its implications for Hawaii and the Pacific islands. It would establish the Office of National Climate Change Policy in the Executive Office of the President with responsibility to develop the United States climate change response strategy. It also establishes the Office of Climate Change Technology within the Department of Energy with primary responsibility for developing technologies critical to long-term stabilization of greenhouse gases in the atmosphere.
The bill amends the Global Change Research Act of 1990 and the National Climate Program Act to establish a national climate services and monitoring program for climate and atmospheric trends. The bill establishes an ocean and coastal observing system providing long-term, continuous and real-time observation of the oceans and coasts, and provides for the development of coastal adaptation plans with particular attention to areas of special needs such as the Arctic and island states such as Hawaii. The Secretary is required to undertake regional assessments on coastal vulnerability to the hazards associated with climate change, variability and sea level rise.
Prior to passage, the Senate adopted an amendment offered by Senator Richard Shelby (R-AL) and Senator Akaka to direct the Secretary of Energy to establish a program to provide guarantees of loans by private institutions for the construction of facilities for the processing and conversion of municipal solid waste (MSW) into fuel ethanol and other commercial byproducts. The new program created by the amendment would provide loan guarantees to businesses for the production of ethanol from municipal solid waste. The amendment is narrowly focused to help areas of the country that have limited capacity for expanding their landfills, such as Hawaii and urban areas such as New York City. There are stringent requirements for the companies to demonstrate their financial responsibility and technical viability of the projects.
The bill also includes provisions that would help companies such as H-POWER which produce electricity from municipal solid waste. Electricity produced by these plants can be counted toward the renewable portfolio standards. In addition, firms that generate electricity from municipal biosolids are eligible for production tax credits to expand capacity and meet the growing need for electricity.
