May 2023 Energy Newsletter: Real vs. False Solutions
In this issue of FCAC’s Energy Update Newsletter, we’ll be talking about real solutions vs. false solutions. We use the term “false solutions” to encompass anything that is put forward as a solution to the climate crisis, that is, for one reason or another, not actually a solution to the climate crisis.
This might be because it’s based on a risky or untested technology (like with carbon capture and storage or other forms of geoengineering), it doesn’t take into account accompanying impacts to the health and well-being of affected people or land (like with nuclear), it doesn’t actually reduce fossil fuel extraction or use (like with carbon pricing), or it is in fact, a fossil fuel that has been greenwashed by fossil fuel companies with words like “natural” or “green” (like with so-called Liquified “Natural” Gas).
In reality, we already have enough real solutions to solve the climate crisis, and they are increasingly cheaper than fossil fuels. Fossil fuel executives and the politicians in their pockets would have us believe that the aforementioned false solutions are necessary for a transition to renewable energy. They do this because it allows them to keep profiting off the environment for longer. False solutions are red herrings meant to remove our focus from the real culprits behind the climate crisis: fossil fuel executives and the politicians who profit from them.
False solutions take away precious time, energy, and money from the real solutions that we know will work, because they already are working in many parts of the country and the world. In this issue, we’ll look at current happenings in the realm of real vs. false solutions in Alaska, from the Governor’s “false solutions conference” to the various real and false solutions bills in the Alaska State Legislature.
The “Alaska Sustainable Energy Conference” aka the Governor’s False Solutions Conference
For the 2nd consecutive year, the Governor is hosting a “Sustainable Energy Conference,” happening May 23-25th in Anchorage. This space is touted to promote Alaska as a “global leader in all forms of energy” and states that “hearing from different perspectives are key to achieving this goal.”
This conference advertising could not be more misleading and untrue to the reality of what is taking place. The truth is that this conference is an inaccessible space where fossil fuel corporations come together to try to green-wash their extractive industries to appeal to some aspect of a sustainable future. In fact, the majority of the conference sponsors are familiar climate chaos financiers, like Goldman Sachs and Wells Fargo, and extractive industry corporations such as AIDEA, Hillcorp, AGDC, and the Usibelli Coal Mine.
There are so many frustrating aspects about the “Sustainable Energy Conference” that many Alaskans have dubbed it the “False Solutions Conference.” The voices being highlighted as conference speakers are not at all a diverse representation of local Alaskan communities. The conference registration is ridiculously expensive ($475 general admission), automatically excluding everyday Alaskans from being able to afford a ticket to get inside. The content of the conference focuses on an “all of the above” strategy and features false solutions such as micronuclear and LNG as necessary steps in our energy transition, which we know to be untrue. There’s little space to discuss real solutions such as solar and wind, and even less space to bring community perspectives and concerns into these conversations.
To push back on this false narrative, FCAC has been collaborating with our partners through the Alaska Climate Alliance (ACA) to create a handout of real solutions versus false solutions. A handful of organizational staff will be attending the conference to share this perspective by asking tough questions and uplifting real solutions.
We’re also collaborating to host a direct action outside of the conference space. For those in Anchorage, join us on Tuesday May 23rd from 4:30-6:30pm for a Alaskans for Real Solutions Party outside of the Dena’ina Center to use sidewalk chalk to create art and share messages of real solutions for our energy future!
False Solutions in the Alaska State Legislature
With budget fights unsurprisingly and narrowly focused again on the PFD this year, the 2023 legislative session concluded last Thursday evening after a one-day special session. Legislators exceeded the regular 121-day session limit briefly, but only after the Senate maneuvered passage of their take-or-leave spending plan in the final hours before the session limit and the House voted in favor of the Senate's plan following special session additions of $34 million in local capital projects.
Dunleavy, who is on a charity bear hunting trip before the False Solutions Conference, is the next stop in order to avoid shutdown ahead of July 1st budget year. Beyond division over the size of the PFD, this legislative session also passed Dunleavy’s carbon offset scam Senate Bill 48 in hopes of a new revenue source beyond oil. However, Dunleavy’s carbon credits are not a climate solution, because they will simply allow emissions to continue or worsen, basically giving polluters free passes. Despite the hype, Dunleavy’s are land management and (low) revenue bills that have nothing to do with addressing the root causes of climate change.
Real Solutions in the Alaska State Legislature
This legislative session saw many policies introduced that, if passed next session, would be positive steps forward in our transition to equitable and renewable energy.
*Note - SB=Senate Bill and HB=House Bill
SB 114 confronts three existing deficiencies with Alaska’s oil tax laws through three significant reforms–coming close to our KING! Petition and potentially generating over $1.3billion in increased revenue for the state in 2024 alone, then ranging from $866 million to $579 million annually through 2033. It would do this by closing the S-Corp tax loophole to tax all oil and gas entities in the state whether they are private or public, by reducing the sliding-scale per barrel handout while tying this subsidy to investments, and imposing “ringfencing” so that tax deductions that can greatly offset producers’ tax bills can only be taken for the field in which the expenses were directly made and applied when that field goes into production.
SB 101 and HB 121 would establish a Renewable Portfolio Standard (RPS) for our railbelt electric utility cooperatives to meet goals of renewable energy generation. These goals would start with 25% renewable energy by 2027 and ramp up to 80% renewable energy by 2040. An RPS would provide a much-needed framework and accountability mechanism for Golden Valley Electric Association (GVEA), Matanuska Electric Association (MEA), Chugach Electric Association (CEA), and Homer Electric Association (HEA) to do their part in transition to renewables. A 2022 NREL study proved the RPS goals are not only attainable, but would save our utilities, and therefore members who pay electric bills, millions of dollars in fuel costs.
SB 152 would create community energy facilities such as community solar. Community solar is a model of solar energy production where a large solar farm is built and operated by a utility or 3rd party investor. Community members can buy subscriptions of solar without needing the upfront capital or space to install an entire solar PV array of their own. Community owned solar projects are an important step not only for clean energy generation, but for the equity and access to renewable energy for people and groups who don’t currently have a way to engage such as renters. Legislation is important to ensure community solar projects can be implemented not only by utility companies and cooperatives.
SB 125 and HB 154 would create a Green Bank for the state of Alaska. Green Banks help provide funding for individuals and businesses to move forward on renewable energy and energy efficiency projects. This legislation would create an “Alaska Energy Independence Fund” housed within the Alaska Housing Finance Corporation (AHFC) to administer funds for projects such as renewable generation, energy storage, and clean transportation.
Each of these bills will roll over into next year’s session when we’ll all have another chance to call our elected Senate and House reps to show support for passing the bills!
You can stay up to date on statewide policy efforts for renewable energy legislation by connecting with the Alaska Climate Alliance. You can get involved in stopping handouts to fossil fuel billionaires by connecting with our Keep It iN the Ground (KING!) Working Group.
Action Reminder
On June 28th, final oral arguments will be heard in the Alaska Supreme Court for the case against Hilcorp’s buy-up of BP’s Alaskan assets and the secrecy surrounding that deal. We intend to show up and demonstrate the public interest to the court.
We’re currently fundraising Alaska Airlines miles in order to send people to Anchorage for this event. It’s easy to donate miles, and it’s a great way to support this work. If you want to donate, click here. If you’re interested in going to Anchorage to make your voice heard around this court case and you’d like travel support, click here. For more information, you can check out FCAC and AKPIRG's recorded info session here.
