As recently reported on energybiz.com, the GOP’s energy plan may be coming into focus as it relates to renewables. Rep. David Nunes (R-CA) has proposed new legislation called The Roadmap for America’s Energy Future. As it relates to renewable energy, Rep. Nunes states that this bill would generate billions of dollars of new lease and royalty proceeds from increased near-term development of domestic fossil fuel resources, and place them in a trust fund that “will be used to secure the long-term energy needs of our country through the deployment of affordable renewable and alternative energy options” and will result in “unprecedented investments in new forms of energy – the largest investment in renewable energy in world history”. The near-term increase in domestic fossil fuel production would “bridge” America’s energy supply needs until new, cost competitive alternative sources are available on an economy-wide basis.
Interestingly, the bill proposes using a blind “reverse auction” to select renewable technologies and projects for federal support. To receive funding from the trust fund, energy producers would bid the minimum amount of federal assistance needed to create one megawatt of renewable electricity, with the low cost bidders receiving federal support.
It will be interesting to see what public and political support develops for the Energy Roadmap, and whether Sen. Nunes’ approach for federal support of alternative and renewable energy will gain traction.