What's So Green About the Stimulus?

It's been quite the week. Last Tuesday President-elect Barack Obama came to the Hill to be sworn in, and yesterday President Obama returned to meet with lawmakers about the much anticipated economic recovery package.

NRDC's experts have been weighing in on opportunities to make the stimulus as strong and green as possible. Set for a vote in the House later today and next week in the Senate, the stimulus package contains vital provisions to make America's homes and buildings more energy efficient. There are also weatherization programs for low-income families, investments in water and transportation infrastructure, and funding for renewable energy.

The bill is still being shaped. In fact, House members tried to offer 206 amendments to it! Because things are changing so quickly, I want to provide a brief sketch of where NRDC stands on some vital provisions.

Public Transit and Transportation Infrastructure
In his recent Huffington Post blog, Deron Lovaas, NRDC's Federal Transportation Policy Director, made a case for how best to spend our transportation dollars. Currently, the stimulus provides $30 billion for highways, $9 billion for transit, and $1 billion for rail. But to maximize job growth and cut down on global warming pollution, we need to increase transit funding and make sure that highway investment is explicitly targeted to repair and maintenance of crumbling roads and bridges. 

This is why Deron is working with other groups and members of Congress to support an amendment that would increase funding for transit and rail to $12 billion. The amendment will be voted on later today...

Energy Efficiency & Renewable Energy
Efficiency is the fastest, cleanest, and cheapest energy resource we have.  Renewable energy resources such as the sun and wind are plentiful and technologies are just beginning to tap their potential.  

The House economic recovery bill contains a number of excellent clean energy provisions, including $3.4 billion for states for clean energy projects. 

The bill also includes an urgently needed grants program for renewable energy technologies covered by the renewable energy tax incentives.  The value of these tax incentives has been seriously undermined by the economic downturn because business losses are soaking up most of the tax liability, and thus there is far less need for the renewable energy tax incentives. 

A good solution to this problem is the renewable energy grants program in the House bill.  The program would provide grants to renewable energy technologies in lieu of tax incentives.  This funding is essential to keep the renewable industry growing and is estimated to cost very little to the taxpayer. 

Other key clean energy provisions in the House bill are $6.2 for weatherization of low income homes, $3.5 billion for the Energy Efficiency and Conservation Block Grant Program (supports clean energy projects primarily at the city and county levels), $2 billion for clean energy research & development, and $6 billion for increasing energy efficiency in federal buildings.

Jim Presswood, NRDC's Federal Energy Policy Director, told me that "the House bill's clean energy investments are a bold step towards jump-starting America's clean energy economy."

Water
The stimulus package contains funding to improve our nation's drinking and waste water systems and contains billions for ready-to-go water infrastructure projects, although the House and Senate have yet to agree on how much to spend.

Nancy Stoner, Co-Director of NRDC's Water Program, is following these provisions and writes about the value of investing in our water infrastructure on her blog. Stoner told me that "she is excited to see funding for these vital projects, which will have long-term effects on the quality and safety of our nation's water."

While the stimulus doesn't have everything NRDC would like to see in it, it certainly is a refreshing shift away from policies of the previous administratio. As the bill moves through the House and to the Senate, I'll provide updates on any changes to these important provisions.