Manchin/Barrasso energy bill tries to square the circle of permitting reform

Aiming to make permitting reform an indelible part of his legacy, Senator Joe Manchin (I-W.VA) has moved his latest bill, the Energy Permitting Reform Act (EPRA), through the Senate Energy and Natural Resources Committee. Co-sponsored with Senator John Barrasso (R.-Wyo.), EPRA aims to fortify electric grids and streamline the application process for energy permits.

One key provision of the bill is a mandate that FERC establish a rule on interregional transmission planning within 180 days after the passage of the bill. The rule would:

• Standardize inputs for project selection 
• Prioritize advanced technologies while maximizing capabilities of existing infrastructure
• Establish a standard definition of “transmission benefits” so that costs can be allocated consistently and fairly across customers
• Ensure that projects deliver reliability and consumer benefits 

An additional benefit of this rule, said Lori Bird, director of WRI’s US energy program, in a statement, is its position to “mitigat[e] potential challenges from the recent weakening of the Chevron deference.”

Permitting delays for energy projects are a major problem for the clean energy transition. The Bipartisan Infrastructure Law and Inflation Reduction Act introduced tax credits and grants that have successfully increased the number of renewable energy projects across the country. But an overwhelmed and outdated permitting structure delays these projects from moving forward.

The American Clean Power Association reported that permitting delays pose a risk to 100 GW of clean energy projects, leading to a loss of $100 billion in investments and adding 550 million metric tons of additional emissions into the air.

But ERPA doesn’t only target renewable energy infrastructure. Manchin and Barrasso represent the two most coal-dependent states, and their bill attempts to not only accelerate renewables, but also support future fossil fuel projects.

“[EPRA] is a compromise that includes provisions that will benefit both fossil fuel and clean energy projects,” said Quill Robinson, senior program manager and associate fellow of energy security and climate change at the Center for Strategic and International Studies, in a response to the bill.

EPRA is unlikely to reach a vote before the full Senate before the fall election. “Hopefully we’ll have it done before the end of the year,” Manchin told reporters.