Decarbonize: The Clean Energy Podcast

2024 legislative session debrief with Fresh Energy

• Fresh Energy • Season 5 • Episode 3

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Let’s talk about what happened at the Minnesota Legislature! Join Fresh Energy policy experts for a webinar we recorded the day after the legislative session ended to learn what some key accomplishments were this session, what they mean for the work ahead, and more.

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Want to know more? Check out our blog post featuring some of our favorite provisions from this session!

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Jo Olson: [00:00:11] Hello and welcome to Decarbonize the Clean Energy Podcast from Fresh Energy. Fresh Energy is a Minnesota nonprofit working to speed our state's transition to a clean energy economy. My name is Jo Olsen. I'm the lead director of communications and engagement with Fresh Energy. And today, I'm here to share with you a recording of our recent Legislative Debrief webinar with my colleagues Justin Fay, Anna Johnson, Eric Fowler, and Laura Wagner, as well as Metric Giles, the Executive Director of Community Stabilization Project. Thank you to the band Palm Psalm for providing our theme song, DGAF, off of their album Otuhaka. Get the latest from the band at PalmPsalm.com. All right, let's jump in. All right. This is Fresh Energy's webinar digging into some of the exciting wins for clean energy climate that came out of the 2024 Minnesota legislative session that just wrapped up yesterday. My name is Jo Olson. My pronouns are she her, and I am the lead director of communications and engagement at Fresh Energy. Thank you so much for joining us. Um, so, like I said, we have that chat function turned on, so please use the chat box to tell us who you are, your pronouns, and where you're joining us from, and we will be taking questions at the end of the webinar as time allows. Um, we have a Q and A function turned on in zoom, so there's like a little Q&A box at the bottom of your screen.

 

Jo Olson: [00:01:42] Go ahead and click that, and you can type all of your questions in there that will ensure we see them during the Q&A portion today. Um, now I know some of you joining us might be new to Fresh Energy. So thank you for being with us. And I wanted to give you the quick scoop on who we are. Fresh Energy has been working on clean energy and climate policy issues here and in Minnesota and throughout the Midwest for more than 30 years. We are changing the world through bold policy solutions that move us to a just, carbon free future. And we're helping everyone who lives here and their dependence on fossil fuel electrify their lives and build a healthy, clean energy economy where all can thrive. And now let's meet a few of my colleagues. Um, I'm joined today by Justin Fay, senior lead of public affairs and advocacy, Eric Fowler, senior associate buildings and a Johnson senior manager, state and local affairs. And Laura Wagner, session associate. Welcome you guys. Oh, and a little later on, I think we're going to phone a friend and we're going to be joined by Metric Giles, executive director of Community Stabilization Project. So hi everyone. What an exciting conversation to be a part of.

 

Justin Fay: [00:03:01] Hey Jo.

 

[00:03:02] Hey. Hey, Jo.Good afternoon.

 

Laura Wagner: [00:03:03] Hello.

 

Eric Fowler: [00:03:04] Good. Oh, I almost said good morning. Thanks, Anna. Hello.

 

Jo Olson: [00:03:08] Good morning. Okay, well, I think if you guys are ready, I think we should dive in. Unless there's anything about the Timberwolves people want to interject here before we talk about session no. All right. Big sports fans here. Uh, in 2023, uh, Minnesota legislators delivered the most impactful climate session in state history. So that was flagship policy win of the 100% clean electricity standard, accompanied by a really broad suite of historic investments. And all of that work last year put Minnesota once again positioned as a leader in addressing climate change, uh, in the North. And by setting those goals. But setting those goals and achieving them are really two different things, which is why this year was so important. But before we talk about the wins for this year, Justin, why don't you kick things off by giving us the lay of the land? Can you do it in four minutes? That might be kind of tricky.

 

Justin Fay: [00:04:06] I absolutely can do it, Jo. In, um, three minutes and 50s. How about that? Um, well, as you, uh, as as Jo said, uh, you know, 2023 really was a historic session. Um, and I think the question of how to build on it is one that a lot of climate advocates, um, and, and, you know, stakeholders in the energy space, uh, have collectively been thinking really deeply about, um, uh, from the end of last session and in the run into the run up to the 2024 session, uh, at Fresh Energy, we really identified two kind of broad objectives that we thought were the most important things to achieve this year. Um, first, sticking the landing on our 2023 accomplishments and second, laying the groundwork for what's that like next tranche of big climate wins going to look like. What I mean when I say sticking the landing is exactly the point that Jo made in her her run up to this question that we passed a number of really big. Visionary in scope policy, uh, wins in 2023. And we funded some really cool things that and programs and, uh, even a new agency that are going to do some really cool work. But we have to make sure that we're really leaning in hard on what are the obstacles to actually standing those things up, to actually getting ground broken, to build projects, to actually getting money out the door to fund the things that it's intended to fund.

 

Justin Fay: [00:05:46] And what I mean by laying the groundwork is, you know, I think an under maybe an underappreciated or under commented on part of the big kind of breakthrough on climate and energy from 2023 is how many of those policy ideas and and funding initiatives. Weren't actually new. Um, we had a whole bunch of really good ideas that a community of folks, uh, climate advocates and clean energy businesses and legislators had had cultivated in some cases for years. Um, and in some cases through, you know, multiple floor debates in the Minnesota House. Um, that, that left, left us with a really sort of well vetted, um, set of policy initiatives to bring into the 2023 legislative session. The good news is, all of those things, not all, but most of those things passed. The bad news is most of those things pass. So we need new things now. And a challenge for 2024 is, while a lot of folks, I think certainly at Fresh Energy, we felt this way, felt urgency to build on the momentum. There is also a need to not lose sight of the really careful vetting, um, stakeholder engagement work that needs to happen when you stand up big ideas. And so that, um, those sort of two things, the like, how do we, how do we stick the landing and then how do we sort of strategically lay some groundwork, uh, either through, you know, careful introduction of new big ideas or smaller ideas that help to socialize concepts, content may come back to that topic.

 

Justin Fay: [00:07:30] Um, uh uh is really what we were hoping to see, uh, accomplished this year. And it informed a lot of how we approached our work. Um, you know, big picture. And Minnesota's kind of legislative leaders, uh, answered the call again. And, uh, it was a little bumpy in the last 4 to 8 hours, but, uh, the, you know, once again, the legislature did come through with a pretty broad package of thoughtful strategic policies and investments that are going to help position Minnesota to achieve our climate goals. And I'd be remiss if I didn't give another sort of shout out or acknowledgement to just the really incredibly robust community of advocates that we have working in Minnesota, many of whom I see your names popping up in the, uh, on the webinar today. Thank you for being here. Um, and thank you so much for for your work. Um, the, uh, the legislative session is a is a team sport. Um, it's everybody has a role to play. And the more folks we have, you know, rolling up their sleeves and digging in to better the outcomes we're able to achieve. And, um, I thought we in the very broadest sense of the word, did a, did a pretty good job this year. And the results, uh, speak for themselves.

 

Jo Olson: [00:08:52] Team sport, I like that. Um, and to be clear, there were just, like, a ton of things to keep track of. Um, you know, most of which, like, we didn't engage in, but we were keeping tabs on and keeping an eye on all of those things is really no easy feat. And fortunately for Fresh Energy, Laura Wagner joined us this year as session associate to help us keep an eye on all the moving parts. So, Laura, can you give folks joining like some quick insight into how you kept tabs on all the things for clean energy and climate, or even touching clean energy and climate? Um, that happened this year. And your role in in all of it.

 

Laura Wagner: [00:09:32] Yeah, absolutely. So my main role as session associate was to ensure our team stayed organised and on top of legislative activity. We were tracking several bills that we were either leaders on or in support of this session. And weekly and daily happenings at the legislature are very chaotic and unpredictable, so it was important for me to stay on top of everything and provide the best support to our team to make sure our advocacy was most effective. So a few ways that I kept tabs on everything are, first and foremost, obsessively checking the Minnesota Legislature's website. When I close my eyes, I can still see it. Um, so for I'm sure many of you are familiar, but if you're not, the website has up to date information on weekly schedules and changes. You can watch live streams of committee hearings and see updates on bill status and language, so it's a great resource overall to stay up to date on tracking all of the bills and schedules. And going off of that, I would always make sure to send weekly and daily schedules to our whole team so that everyone across Fresh Energy was aware of what was happening at the legislature each day and week, and letting people know about any updates to the schedule that might impact things like testimony. Um, and then another really big part of my role was monitoring committee meetings. So Fresh Energy provided written and verbal testimony for several bills as they moved through the House and Senate this session. So I worked with our public affairs team to prepare our testifiers and bill authors. And then Anna, Justin and I were at the Capitol many days per week, each week watching committee hearings. And this helped us stay up to date on the status of our own bills. And also just being in the room, we were able to stay up to date on noteworthy energy and environment related bills that we weren't leaders on as well. So that's kind of a peek behind the curtain.

 

Jo Olson: [00:11:16] Thank you so much, Laura. Uh, I bet you are going to be tracking imaginary hearings in your sleep for a while after this year. I feel like it was especially fast and furious. Um, so now let's dive into some of the key climate and energy wins. Uh, that first energy worked on and supported this year and is now celebrating. So let's start with modernizing clean energy permitting. So this one's a mouthful and it's a pretty complex topic. Um, Justin, why don't you kick us off on this one?

 

Justin Fay: [00:11:50] Sure. Um, well, this was a this was a big this was a big lift. Um, so Minnesota's, uh, landmark, uh, you know, flagship climate win from a year ago is the 100% by 2040 clean electricity law. Um, and that's both a really ambitious target as well as a very important building block to the future success we're going to have as a state in tackling the climate crisis in order to actually achieve that target. However, um, we really need to speed up the pace at which clean energy can be deployed or built. Um, you know, we often talk about our electricity sector as being kind of the positive standout on climate, and it is we've made a ton of progress. But in order to meet when you when you do the math in order to meet 100% by 2040, we actually need to increase still increase the rate at which projects are being built and deployed in, connected to the system. Uh, it's a and it's a really big challenge. Um, so in between the 23 and 24, uh, legislative sessions, the Minnesota Public Utilities Commission, uh, convened a stakeholder group to develop recommendations on legislation to modernize Minnesota's approach to permitting clean energy projects. Um, and when I say modernize, what I really mean is like.

 

Justin Fay: [00:13:17] In the, you know, the the framework that we have in law, you know, grew organically over many decades and wasn't really ever designed in a coherent, integrated way. And so taking a step back was an opportunity to think about what would you know if we were actually going to design a system, uh, more holistically? What would it look like? So that was the task of the stakeholder group. And that stakeholder group produced a report that became the basis for, uh, legislation that would implement a number of important improvements that, um, collectively, uh, would have the effect of, uh, fairly significantly reducing the amount of time required for both clean energy and transmission projects to be reviewed, approved, and and permitted. Um, as the legislation progressed this session, uh, you know, legislators had to work through a lot of different concerns and perspectives from a, uh, incredibly wide range of stakeholders and advocates. Um, the, uh, House and Senate had different versions of the bill. Um, so the stakeholder group had produced, uh, recommendations, but did not itself produce model legislation. And, uh, you know, that added some complexity to, uh, the legislative conversation. Um, and it was at times very difficult to, uh, reconcile the two versions, um, and uh, uh, it was it was a slog to work through, um, uh, this is a very, very technical, uh, content area.

 

Justin Fay: [00:14:57] And when we're talking about, you know, permitting and environmental review and, um, actually building projects, um, you know, there are a lot of issues at stake beyond simply the speed at which the projects get built. And so that draws appropriately a lot of public interest, a lot of stakeholder interest, and requires a really careful and thorough vetting. And so that's really what this session was about. Um, and the end result, um, uh, in I think, in Fresh Energy's judgment is a pretty solid piece of work. Um, that, uh, reflects in general the, uh, the product of the, uh, working group that the PUC, uh, had convened, but I think improved, um, through the legislative process with some important additional guardrails added. Um, and, uh, you know, I proud of the work that we, uh, again, uh, capital w collective, we, um, uh, we did this year, um, and, uh, the number of folks on the call that, uh, worked on it. And I hope, uh, folks are feeling proud of the outcome.

 

Jo Olson: [00:16:11] Thank you Justin. It was a really big and and meaty issue to deal with this year. And, um, you know, to keep on with the sports metaphors, maybe a bit of a slam dunk for clean energy and climate. Um, but now I'd like to transition to another issue we see as a big win. Um, this one is accelerated residential energy code. Eric, I'm going to call on you. This was your bill, and you were living and breathing it all session long. You set the strategy. You helped it make its way through hearing after hearing. In fact, I think I even lost count of how many times you testified on this bill. So can you tell us a little bit about the bill and what it does and why it's so important for climate and energy? And I know there's like a lot of history here too. So, Justin, feel free to jump in and talk a little bit about, um, the many year journey as well. But Eric, let's start with you.

 

Eric Fowler: [00:17:07] Yeah. Thanks, Jo. And maybe I'll start with a little bit of level setting on what codes are. Um, so this this is a really big deal because, um, what the, what the building code does. And in this case, we're talking specifically about the residential energy code. Um, and, and what that does is set the floor for the least efficient building, um, that you can build. Right. So this is different from when we think about, um, these sort of like, uh, uh, uh, stretch goal certifications. So I'm sure if you're on this webinar, you probably know what Leed is. You hopefully have heard of passive House. And one of the things that these types of programs have done a really good job at is demonstrating how much better we can do, but they don't impact any buildings besides the specific ones that people get certified as Leed or passive house. So codes are really important because that is a consumer protection for all of the new buildings that are built. And um, so, so what we passed this year is actually similar to something that passed last year. So a little bit of context. In 2023, Minnesota passed legislation requiring the commercial Energy Code. Um, so this is, uh, you know, we're thinking about larger buildings, um, stores, churches, things like that. Um, so the commercial energy code needs to achieve 80% or greater reduction in annual net energy consumption by 2036.

 

Eric Fowler: [00:18:59] This year we worked, uh, Fresh Energy, along with a number of other people and organizations, work to support a similar provision for the residential energy code. Um, that would get us to 70% reduction by 2038. And this is benchmarked to a 2006 standard. So 70% reduction by 2038. I describe this shorthand as accelerating the code. Um, the legislature doesn't write the code that's done by the experts at the Department of Labor and Industry who actually know more things about like window view factors and, uh, air leakage. Right? We don't need legislators writing those details, but the legislature does set the goal, and we now have a goal of essentially near zero new homes by 2038. That that is the the takeaway from the legislation that that passed this year. I, I also like to describe it as, you know, we want our homes to sip energy, not guzzle energy. Um, and this has other huge impacts. You know, you you make a one time investment of, um, you know, a little bit more work into your building envelope, uh, which is to say, what separates the indoors from the outdoors, um, in, in some of your equipment. And then what you have is a permanent reduction in energy use, uh, which also means a permanent reduction in the amount of fossil fuels that are being used to power that home and heat that home.

 

Eric Fowler: [00:20:47] Uh, um, you also see improvements to comfort, um, to air quality, um, and again, saving, saving on, on those utility bills. Um, I will also say while I have the floor, um, a big thank you to the partners. This was not a solo effort, uh, by any means. Um, thanks to RMI, who I see is here, uh, on, uh, in the, in the chat and on the webinar, um, thanks to AIA, thanks to Sam Friesen up in Grand Rapids, a builder here in Minnesota, um, just housing, uh, in Duluth, Michael Carlin. See, uh, the Moorhead family. Jamie Stoll posted, many, many people wrote in letters, uh, testified, um, to show support for, uh, bending the curve on a sector of the economy where emissions are actually still increasing. And so this is huge because, right, we need to get to peak emissions from residential and start to see them go down. Um, so we're really hopeful that this, uh, this can, can help, uh, change that direction. And then just in, uh, so I mentioned, like, the, you know, what happened with the commercial Code, um, and I. Wasn't here for all of the years that that went into that. I don't know if you want to share any context about sort of this codes action at the legislature.

 

Justin Fay: [00:22:19] Uh, yeah. Just really briefly, uh, you know, we we passed that commercial Code legislation last year. Um, last year was its fifth year that we ran that tried running that bill, and we had a pretty robust coalition the whole way through. Um, so to get get the residential piece done in one year is, uh, uh, kind of blows my mind, to be honest.

 

Jo Olson: [00:22:44] Thank you. Thank you both. And Eric, we're going to be circling back to you in a little bit. So you're not out of the hot seat just yet. Um, but I'm hoping now we can look to the electric transit bus planning bill. So transportation is the single largest emitting sector of the economy, both nationally and in Minnesota. And this is a big and growing problem. Anna, I turn to you for this one. Can you share a bit about, well, the electric transit bus planning bill that passed, what it covers and what it will do?

 

Anna Johnson: [00:23:17] Yeah. Thank you Jo. Um, the transportation bill includes several exciting provisions to reduce transportation based greenhouse gas emissions. Um, the bill we worked most closely on was related, as you said, to planning for a fully electric purchasing plan for the Metropolitan Council. So the Met Council's primary transit provider for the, um, you know, greater metro area, um, and planning for electrification of their bus fleets is something they've already started to do. But this bill codifies that plan and statute. So there's a new law that now requires the Met Council to create a plan to, uh, for the transition to a fully electric buses and update that plan every three years. Um, and it'll demonstrate how by 2035, 2035, every new bus acquired by the agency will not emit greenhouse gases. Um, and it also requires the Met Council to prioritize deployment of those not emitting buses in environmental justice areas. So we get the the highest, the most bang for the for the buck in terms of, um, reducing emissions and in the best value for public health by prioritizing the areas that are already most burdened by air pollution. So it's a big win.

 

Jo Olson: [00:24:36] And I believe and maybe, uh, Anna, you are just you can speak to this, but the coalition for Clean Transportation, CT was a really core group behind this. Do I do I have that right? Yeah.

 

Anna Johnson: [00:24:48] Yep. Ct coalition for Clean Transportation is was doing some awesome work. Um, we were meeting with chair fully the chair of the bonding committee, who has a real interest in environmental justice and electric buses and meeting with him weekly starting around mid session to to work on this bill and try and get it across the finish line. And CT was a huge part of that.

 

Jo Olson: [00:25:09] And those regular meetings, I just want to point out like the, uh, care and feeding that these, you know, bills need to kind of like get over the finish line and progress year over year over year in some cases, is just like such a massive undertaking. So, um, I think like recognizing that process is, is really important. Um, so if there's anything you want to do, you want to add or can we move on? Are we ready?

 

Anna Johnson: [00:25:34] Okay, let's keep rolling. Thanks, John. Okay.

 

Jo Olson: [00:25:36] Perfect. All right, Eric, you're back. We're we're gonna turn back to you, and then I'm going to give you a break until the Q&A after this. Um, so you worked on and passed another really important bill this year, um, that the whole Fresh Energy team thought was a really bright idea. Uh, sorry, I couldn't resist. Can you talk about the clean lighting bill for us, please, and explain why it was such a great idea?

 

Eric Fowler: [00:26:00] If I can. Um. Uh, yeah. So. Thanks, Jo. Um, so this was, uh. Yeah, this is the, um, uh, second year that we did, uh, some, some work on this policy. Uh, so we worked really closely, uh, with legislators and, uh, other stakeholders to pass a bill that phases out mercury containing light bulbs. Um, and, you know, which is to say, uh, fluorescent bulbs, by design, every single one of them contains toxic mercury vapor. Um, so this is, uh, you know, this is a a phase out of the sale of these fluorescent bulbs. Um, they are, uh, you know, no longer comparatively efficient to the modern options that we have. Um, they are toxic, particularly for pregnant people and children. Um, but also, like, no one should expose themselves to mercury vapor in any way. And also, if you have one and you break one, uh, make sure to look up how to dispose of it properly. Right. These are these are hazardous objects. Um, so we are going to be, uh, phasing them out. Uh, and, and, uh, you know, this will really support the transition that is already happening to LED alternatives. Um, and, uh, we had, you know, support from, uh, a broad coalition once again, uh, appliance standards awareness project, uh, partnership on waste and energy. We also have. Had Republic Services a waste hauler, right? Who doesn't want their workers exposed to unnecessary, outdated, toxic, uh, bulbs that are actually, you know, they they cost you more money in the long run to run anyway. So they're, they're essentially unnecessarily toxic and hazardous. Um, Minnesota environmental partnership, recycling electronics for climate action. Um, city of Minneapolis. We also were in close, uh, discussion with the Pollution Control agency to make sure that, um, you know, they, they could weigh in on how this would work best. Um, so, yeah, hopeful that this is another step towards, uh, more efficient lighting, um, you know, reduction in our electricity demand, um, and, uh, and a and a a step towards safer and healthier lighting for everyone in Minnesota.

 

Jo Olson: [00:28:42] Thank you. Eric. Uh, now I want to turn to the small Electric Outdoor Equipment grant program. Bill that Fresh Energy was really proud to work on with Metric Giles at Community Stabilization project. And in fact, this bill was all metrics idea. Um, and I think he is on the line. So we're going to phone a friend and I'm going to promote you metric to a panelist so you can say a few words. But while I do that, I wonder, Anna, could you give us a bit of background on the bill and then, uh, metric, maybe you can say a few words about it as well. So, Anna, kick us off and metric, I'm gonna promote you, so be ready.

 

Anna Johnson: [00:29:24] Thanks, Jo. Hey, magic. Um, yes. This bill, uh, we worked closely with Community Stabilization Project, um, on a bill to provide grants to electrify outdoor equipment. Think like snow blowers. Um. What else? Leaf blowers? Um, you know, lawn care and and snow management equipment. Um, these types of machines are just super inefficient. They rely on gas. And, um, there was a suite of, you know, rebates and support for electrification in other areas that was included last year. But this was something that was overlooked and tends to be a little bit more affordable than, say, an induction stove or an air source heat pump. Um, so there's just a really great opportunity to improve air quality and provide and a pathway and opportunity for electrification. Um, that doesn't require, for example, purchasing a new vehicle or, you know, redoing your whole HVAC system in your home. So I'll pass it over to metric to talk a little bit more about it.

 

Jo Olson: [00:30:28] Hey, Metric. It worked. Hi. Yeah.

 

Metric Giles: [00:30:31] Hello. Hello, everyone. So, one, I think I'm going to just start off by saying that some acknowledgments, you know, and one of the acknowledgments, I need to go back to Michael Noble, you know, as the leader and director where I ksb's first started this relationship that we have with, uh, Fresh Energy. And it's been a relationship that has been kind of like a value of transitioning into an equitable relationship of how we work together in a authentic way, you know, and, uh, and then that torch being passed on to Brenda and providing that leadership as well. And then, uh, I had to just give a totally acknowledgement, you know, not only to, uh, Angela and Anna and, you know, everyone else that really worked on this, but even, um, for us to get to this place, the the relationship starting with Ben, Pastor Mario, Dada and Adela. But but just how that's I think is key to where we are right now. Because without a Fresh Energy. This bill probably would not pass because we, the community, we are community experts about the issues that are impacting us. But to move them forward, we need institutions such as Fresh Energy who can open this up and invite us to the table in a very way that we can bring our values and that we work together collectively on this.

 

Metric Giles: [00:32:08] So I just need to start off with that acknowledgement. And then the other elected officials who really carry this forward, and the Toro and the American lung people and everybody else who probably contributed, I don't know. So a big thank you to that, you know, and, uh, not only for CSP, I think this is kind of like a historical documentation that it probably has happened before, but to acknowledge that this is what community organization, grassroots needs to have to continue this type of relationship with the other. Um. Uh, rights related issues of housing, energy and how do we do that intersectional and how we partner from the different roles that we have to make these things to make the changes and the impact that is needed. So somewhere along the way that needs to be documented, that this is the type of practices that we need, and even more so as we move into the relationship with the Minnesota Pollution Control Agency, who actually is, uh, where the funds are being allocated to that, their role as fiscal agents, that they're able to work with the community organizations, because a big part of the work that we're going to do is have a community design team that will also provide education. But so when we talk about 100%, we don't want to wait until 2040.

 

Metric Giles: [00:33:40] This is something that needs to start happening right now and say, how do we make sure that it's what I would call this bill is the no brainer, the Equity Clean Air Act for all Minnesota's and all environments? I think it's really that simple. It was really a no brainer that when anyone starts up their lawnmower, if it's in greater Minnesota, if it's in the urban or the suburban areas, when we have that great gathering get together. That way before 2040 that we will start making measurements of how many gas power generators are at the state fair compared to what we have now. And then by 2040, maybe we might have 100% no. Nine, no gas emission, uh, generators. Every time someone starts up a lawnmower, you know, it will impact, uh, in a healthy way. So, um, basically this was a no brainer, but it took a lot of work and again, a lot of appreciation for this. And I'm hoping hoping that as I'm saying this and I'm saying this is a no brainer, it's a no brainer. But it's a very big deal that we all need clean air wherever we are. And how do we start seeing that in an everyday application of clean air? And, um, so just thank you.

 

Jo Olson: [00:35:06] Thank you so much for joining us, metric. I know you've got a really, really busy day. So thank you for your time and and well, now. Oh, and I want to recognize Anjali Bains too. Yeah. Anjali and our team and metric just did so much to hustle this, this thing through. And there was just a lot of legwork here for this really innovative approach. Um, but now I want to talk about another bill. Um, that will open up some new clean heating options for the much loved Sabbatini Community Center in south Minneapolis. Uh, Anna, will you say a few things about this bill as well? You're on a roll, so keep it coming.

 

Anna Johnson: [00:35:42] Yeah, for sure I'd be. I love Sabbatini, so I'm always excited to talk about it. And I love this project. Um, so Sabbatini Community Center in South Minneapolis is a nonprofit, and it's a kind of a crucial community hub. It provides senior housing, food distribution, workforce development, youth programming, so many things. If you walk in there, there's at any given time of the day or night, there's like 5 or 6 things going on at a time. Um, and it serves more than 50,000 people annually. Um, so right now the building is heated by two outdated furnaces named. They're known as Thelma and Louise. They impose huge monthly costs to to heat the building and rely on fossil fuels. Um, there are already several years older than their expected lifespan, so the cost to run them is enormous. And then the cost to maintain them is huge, because they're old enough that the parts are expensive and difficult to find. Um, so they're they're ready to go. They're ready to go off the cliff. Um, and so Bethany has done a really concerted and community effort to replace them and figure out what the best system to replace them is, and they've decided on a geothermal system. So, uh, this session, the legislature appropriated $6 million to support the installation of a district energy geothermal heat pump system. So it's ultra efficient and will provide clean and affordable, super efficient energy to serve the community hub. Um, provide some resilience to this long standing nonprofit that that serves the community so well.

 

Jo Olson: [00:37:18] Thank you, Anna. And actually, that's not all for geothermal. It's a really big year for Geo. Um, so there were a few bills that were celebrating. And Justin, why don't you give us the scoop on the geothermal planning grants bill? And, uh, one quick reminder for people. I see questions appearing in the chat, which is okay, but if I, I really want to make sure they end up in the Q and A box, um, to make sure that we see them when it comes to the Q&A time at the end of the webinar. So, okay, Justin, geothermal planning grants bill, take it away.

 

Justin Fay: [00:37:50] Yeah. So, uh, geothermal planning grants is one of a number of wins this year, uh, for, uh, support the expansion of clean geothermal heating for buildings in Minnesota. Um, so the legislature established a new, uh, grant program and appropriated $1.2 million. Uh, and the grants will support, uh, local governments, uh, going through the pre-design phase for geothermal projects. So the kind of concept behind this was really born out of some work that, uh, Fresh Energy and others have been doing, uh, with, uh, some smaller communities outside of the metro area that, um, have been applying for and struggling a little bit to, uh, sort of fully, uh, uh, achieve, uh, their, uh, federal federal funds available federal funds for like, larger scale geothermal projects. So think like neighborhood scale projects. Um, uh, and an example, uh, is, uh, some, uh, work that's happening up in the city of Crookston, Minnesota, um, where the community there had, uh, some significant public works, uh, construction projects that were scheduled to be happening that were going to be involving involve digging up their streets and their downtown and in some adjacent neighborhoods. Great opportunity to, um, uh, lay some new pipes and, uh, uh, build a, you know, a pilot, some, um, larger than a single building scale, uh, geothermal projects. And they, they just didn't have the resources at the front end to be able to pull pull that vision together very quickly. They're still doing really cool stuff in Crookston. Um, but, uh, based on that, uh, experience, uh, uh, we worked with, uh, chair Patty Acomb in the Minnesota house, uh, to develop this concept for, uh, planning grants. Um, so that program, uh, past it was included in the final package. Um, and, uh, we're looking forward to seeing it hopefully be those resources be put to good use. Uh, hopefully very soon.

 

Jo Olson: [00:40:05] Thank you, Justin. And I know we're gosh, time is really flying by, but I want to do one more before we dive into Q&A and reflection. So, Anna, can you share with us a bit about the updates that were made to the Eco act? But actually you might need to like rewind and start out with what the Eco act is as a memory refresher for folks if you're up for it.

 

Anna Johnson: [00:40:28] Yeah. Thanks, Jo. Um, yeah. So the Eco act is Minnesota's bedrock energy efficiency policy. Minnesota's kind of been a leader in energy efficiency. Um, thanks in large part to this, um, this law that's been in place, I think, since the early 90s. Correct me if I'm wrong, uh, originally known as the Conservation Improvement Program, um, in 2021, it underwent some serious major updates that were supported by bipartisan coalition. Um, back when we had a split legislature, when Senate was, uh, headed up by Republicans, we had a Democratic governor and the House was Democrat. Um, so it has a legacy of broad coalition support and bipartisan support. Um, and we continued that this year. Um, so, yeah, rewinding a little bit. So Eco act requires energy utilities to achieve a certain amount of energy efficiency over a three year cycle. So it's either about 1.5% or 1% depending on the type of utility. Um, the policy has saved ratepayers across Minnesota a ton of money, not just by helping individual households and businesses reduce consumption consumption, but also by managing overall demand of the system and making sure we aren't overbuilding generation. So it's a really fantastic, uh, bedrock energy efficiency policy. Um, so this year there were updates to the 2021 bill. Um, in 2021, for the first time, uh, eco act allowed for the what's known as efficient fuel switching to count towards energy efficiency savings. So think electrification would count towards energy efficiency those. So this was a huge important change um, that we were very, very supportive of to help drive electrification. Um, and so the, the updates to the bill this year are largely technical but really, really important because they'll help streamline implementation of energy efficiency and electrification. And they also take into account the, you know, 2023 bills that were passed like 100% carbon free bill, um, as well as kind of align better with the federal, um, rebates and opportunities that are now available through the Inflation Reduction Act. So it's a pretty technical list of updates to the to the Eco act, but very important. And we'll have a really big impact on, uh, energy efficiency rollout throughout the state.

 

Jo Olson: [00:43:04] Thank you Anna, and thank you everyone for answering all of these questions. I always like to hold a little bit of space at the end here, um, for you all to mention things, uh, you forgot or wanted to make sure kind of get some some air time on the webinar, um, or just like, reflections on sessions. So, um, maybe we'll do a quick round robin of the Fresh Energy team share, like a one minute reflection about this year. Um, Anna, let's start with you. And then Eric and Laura and Justin and Metric. You are welcome to join as well. Uh, because you're still an official panelist.

 

Jo Olson: [00:43:42] All right.

 

Anna Johnson: [00:43:43] Yeah, I you know, something I kind of was reflecting on that dawned on me mid-session. It's more process oriented, but I think it's kind of worth pausing and and saying out loud is, you know, March 2020, obviously we fully moved into a remote session. Um, and we stayed mostly remote through the end of 2020 through 2021. You know, the Fresh Energy PR team was working very much remotely through 2022. I think I was at the Capitol in person, maybe five days total. Um, but starting last year was the first year that, um, we were kind of back to normal in person, 4 or 5 days a week. Um, and of course, sort of with the new accommodations and updates that the legislature made for, you know, better streaming of, of committee hearings allowing for, um, remote testifiers and such. But it kind of dawned on me mid, uh, session this year that this is the first consecutive session. Since, you know, 2019 that we're kind of back to normal. Um, and that really changes how we work. It changes how the legislature operates. Um, and I don't know, just kind of worth noting because the last. 4 or 5 years have been. We. So weird, so wild. Traumatizing, um, impacted everything that we do and and so much of how, um, we're kind of operating as a society. So it was just, uh, it was noteworthy to be like, okay, I think we're back to kind of regular, um, way of operating, for better or worse. I think there's benefits and drawbacks of of both. So expect that to kind of stay the same going forward. Pending. Who knows? I don't know, something could happen. I don't know I don't want to think about that. Thank you.

 

Jo Olson: [00:45:39] Anna. Uh, Eric.

 

Eric Fowler: [00:45:44] Yeah, I think, um.

 

Eric Fowler: [00:45:47] We're we. This is not to dismiss any of the progress that we have made, but I would say we are still getting started on buildings. Um, and I would point back to the same, you know, if you if you haven't looked at the Minnesota Pollution Control Agency, uh, climate emissions Dashboard, it's this Tableau Interactive graphic where you can look at, you know, every sector of the economy in Minnesota, where the emissions are coming from, how they have changed over time. And electricity generation is by far where we have made the most progress. Um, we we still have a lot of work to do on buildings. And, um, actually a couple questions, uh, that I saw in the chat here relate to some of the progress that remains. Um, somebody asked about, you know, does the code apply everywhere in Minnesota? And the answer to that is complicated. Technically, all Contracters in Minnesota are supposed to build to the code. Now, there is not actually enforcement of the code across the entire state. Um, and actually, the uh, Builders Association of Minnesota, uh, supported a bill this year, um, asking for regulation of themselves, asking that all local governments across the state, uh, enforce the code. Um, that didn't end up going through this year. Um, but that's, uh, you know, that that's another example of, of progress that we can make. Um, somebody else asked about existing buildings. Absolutely. The reason why we focus on new buildings is because the easiest, most cost effective time to build a building with a really tight envelope, which is to say, it's really well insulated and airtight, really efficient.

 

Eric Fowler: [00:47:43] The best time to do that is at first is when you're first building it. That said, most of the buildings are older, are existing buildings. Um, so we are going to be watching um, rebates to support work on that. We're going to continue to support, uh, you know, the, the Eco act and utility investments in efficient buildings. We're going to continue to monitor, um, the, uh, the a whole host of other policies that are, um, supporting existing buildings. Um, and then we're also thinking about I'll shout out some of the work of my colleagues on the buildings team. Caitlin Eichten and Kurt Norgaard are, uh, working on. And also our alum, Jo Damle, who I think is on here, um, have done a lot of work looking at the expansion of the gas system. You know, our natural gas system is still growing way out of pace with what we say our state climate goals are. It's a it's a fundamental mismatch. So we're thinking about things like that. How do we decarbonize um, the gas system and what it does. And then and this is not really in the spirit of a reflection, but I accidentally clicked answer live on a question in the Q&A instead of typing. So, uh, I will say yes. Uh, thanks. Rob. Does the residential code bill as is, uh, require code updates with every, um, ICC cycle? Yes. Uh, with each, uh, international energy conservation code, uh, Minnesota will be required to look at that and then update the uh, residential code, uh, with that cycle. So yeah, lots to do. We're just getting started.

 

Jo Olson: [00:49:30] So many codes. Questions. Thank you for answering them, Eric. And I think to you, and I've been talking about a webinar for this summer about codes. Um, so we'll make sure to promote that far and wide on the website once we get our act together and get it scheduled. Uh, Laura, any any reflections?

 

Laura Wagner: [00:49:47] Yeah.

 

Laura Wagner: [00:49:47] So I'm pretty new to the legislative space. Um, I interned for a different organization last year during the 2023 session, and that was my introduction. And so, um, it's just been really eye opening for me to see how a session can be so drastically different from the one the year before. Um, especially, you know, for example, this year there was a lot less funding for energy and environment projects, and so legislators had to be very picky about what they were going to commit to. Um, and luckily, I was on such a wonderful team with Fresh Energy where I got to see how policy experts and advocates, you know, strategize and figure out, you know, how we can push our policies forward. So it was just a great experience overall. So I just want to take this time to say thank you to my wonderful team.

 

Jo Olson: [00:50:33] Um. I think I speak for everyone when I say thank you. You've been an amazing member of the team. Um, and I, before turning it over to Justin, I think I'm going to see metric. Do you want to add? A brief reflection on session or do you have I know, like I said, you've got a lot of irons in the fire today.

 

Metric Giles: [00:50:50] Actually, I would and I will be brief. I heard you say brief. Uh, I'm at in Saint Louis at a midwest energy Efficiency for all gathering, and I'm thinking about Minnesota that next time we have the gathering next year, I would like to be able to say that Minnesota has put in a bill and was successful in saying energy is a human right for all that. We can no longer keep saying that it should be a human right, or that it is a human right, because it's not a human right for all. And we still live in a in a place where people have to qualify to be able to have equitable opportunities to energy efficiency. So I'm going to encourage concerned about the back. I'm going to encourage I'm going to really encourage that. We work on that to make, uh, energy a human right for all and in all reality that we just stop saying the words and that become part of a legislative campaign as well.

 

Jo Olson: [00:51:54] Thank you so much, metric. Uh, Justin, bring it home. And then I'm going to have a few quick notes for the good of the cause, and then we'll do Q&A. And actually, I think we're going to go five minutes long with Q&A, so, you know. Closing thoughts. Justin.

 

Justin Fay: [00:52:07] Great. Well, I, um, I agree with a lot of what everybody's been set. Uh, has said I will add a couple of things. Uh, one, you know, I, one of the things that I just was just sort of clear to me this year is the degree to which the easy stuff is already done, um, like we did it last year and the year before. And, like, now what we have to do is going to be a lot harder, um, especially as we, uh, like, dig in harder on, you know, you're cutting carbon and pollution outside of the power generation sector. I, I saw somewhere in the chat there was a question about existing buildings, and I just like, sort of started breaking out in hives because that just sounds so hard, but it's so, so important, uh, to do. And I think that's the next big challenge. Um, uh, I also guess I just am so, like, inspired by how many people we have doing this work in Minnesota, um, from so many different perspectives. And it was just so visible at the legislature this year. Um, it's visible in the chat on this, uh, on this webinar. Um, and so although I think the years to come are going to be really challenging for, um, this community of people, um, I do also think, uh, that we're, uh, we're up, up, up for it.

 

Jo Olson: [00:53:27] 100%.

 

Jo Olson: [00:53:29] All right I'm going to quick share my screen. I'm going to do some housekeeping just because. And then we're going to do Q&A and stay like five minutes long I think. Um, so first I want to remind everyone that you can support First Energy's work by making a donation today. The staff, time and resources that we dedicated to this legislative session wouldn't have been possible without the support of our donors. And next, we just announced our benefit breakfast speaker. Uh, her name is Doctor Ayana Elizabeth Johnson. She is extremely cool, not to mention brilliant. And she has a new book coming out right before the breakfast. And over the weekend, I saw that she did an interview with the New York Times for their podcast, The Interview. So, uh, you can sign up for our breakfast, which is in October, uh, now on our website. Second, we're hiring, uh, we're filling two roles currently. One is managing director of industry and the other is a managing director of buildings. Um, there's more about that on our website and extensive job postings, if you have any questions. And then finally, I have to promote this one. This is summer energy school. I'm in good company here on this webinar with a bunch of climate and energy nerds. So I wanted to make sure you knew that we're launching summer energy school. You heard me right. It's energy school. It's a text based program. Class is in session starting in June. Um, sign up to get two energy wonk topics texted to you each month, along with BuzzFeed style quizzes. After, um, you can enroll at Fresh Energy. Org slash enroll or via the QR code. Okay, and now I think I'm ready to dive into a Q amp a question. So let's start with, um, one about permitting. Uh, so, Justin, I think you're on the hook for this one. Um, Tess asks if what was done with the permitting reform legislation also results in loosening requirements and speeding up permitting for fossil fuel infrastructure. Does that defeat the purpose?

 

Justin Fay: [00:55:33] Uh, that's a really, really good question. Uh, and I'll preface this with, uh, just maybe, uh, there were multiple versions of the permitting bill this year. Um, and, uh, some, some of which were better than others, um, and some of which were pretty flawed, uh, in terms of how they were written and what the implications of the drafting would have been. Um, we're still reviewing the final package that passed. Um, so, you know, I would, I would I. There's a few areas in the bill where it is possible that, in theory, a fossil fuel project, say, for example, a site permit application, um, might have some minor benefits that would be similar to the benefits that are accrued by clean energy projects under the bill. Um, I would still answer the the question of like, is it worth it? With a pretty emphatic, uh, yeah, it is. Um, and the reason for that is that tools that, uh, exist for, um, blocking, stopping fossil fuel projects from actually getting built are extensive at this point and mostly don't revolve around permitting. That's just generally not the venue where, uh, actual green light decisions to build new fossil fuel infrastructure would be decided. Um, so we're working really hard and, uh, through resource planning and other tools, uh, that we have at our disposal to, uh, challenge new projects and, um, uh, feel pretty strongly that the, uh, permitting bill will, uh, be on a pretty unequivocally a net positive for, uh, clean energy and and for, uh, fossil fuel retirement.

 

Jo Olson: [00:57:30] Perfect. Thank you. Justin. Um, I want to turn now to the eco act. So Ella asks, um, do any changes to the Eco act affect municipally? You are municipally, is that right? Owned utilities. Municipality. Municipally owned utilities. You know what I mean?

 

Anna Johnson: [00:57:50] Yeah, that's a good question. Um, yeah, the answer is yes. The, um, I'm less in the weeds. I want to give a ton of credit to our partners over at Sea Center for Energy Environment that really spearheaded the work on eco and um, and facilitated the stakeholder working group to help come up with changes. But, um, there are several reporting requirements, especially related to efficient fuel switching that previously kind of required belt and suspenders, um, proving out of um, emissions reductions. That is a little more streamlined. And that applies to all utilities. So, um, some of the reporting requirements and other um, yeah, just technical fixes apply to, to all utilities and should make things a little bit simpler. Thank you.

 

Jo Olson: [00:58:41] Um, so I know we talked a little bit about geothermal and some of the exciting geothermal bills. Um, I've got some questions in the chat specifically about Geo, and I think I could kind of summarize them all by asking kind of a take from you all. Do you think the momentum on geothermal focused legislation will continue, or was this year an outlier? So Jason asks specifically, um, do we think there might ever be a future bill to fund geothermal heat pumps for all schools or things like that?

 

Jo Olson: [00:59:15] Who wants to take this one?

 

Anna Johnson: [00:59:17] Um, I can talk a little bit about this, I think. I mean, I think definitely, yes, geothermal is a fantastic, super efficient way to decarbonize our buildings. So I think there will be continued focus on geothermal energy in general. Um, Patty Acomb, the chair of the Energy Climate Committee in particular, you know, has a lot of enthusiasm for geothermal. Um, and yet we also worked on a bill, a couple bills this year related to electrifying schools. Um, it didn't make it over the finish line. It was sort of the first year, first round of vetting that idea. But, um, yeah. Stay tuned for potential work on, um, school electrification and investment in geothermal, uh, in those buildings in the future.

 

Jo Olson: [01:00:04] And, and Mark is asking for a little terminology clarification. So I should have been on top of this. So is geothermal the same as ground source heat pumps or is it something else entirely? Do you know?

 

Jo Olson: [01:00:16] Could. Could you fill us in on that?

 

Anna Johnson: [01:00:18] Yeah, yeah. And I'll, I'll look to Eric if I fumble, but. Yeah. Geothermal, um, ground source, heat pumps, thermal energy networks, district energy, thermal energy networks, all kind of refer to the same ground source based, electric powered, um, super efficient way to heat and cool buildings.

 

Jo Olson: [01:00:39] All right. Perfect.

 

Jo Olson: [01:00:40] We've gotten through a pretty good number of questions in the Q&A. Uh, I think we well, I know we are over time, so I think I'm going to bring this to a close. I will be sending out a post-webinar email with just like a ton of links. We've got a blog post about this. I've got the recording. I'll include the link to Summer Energy School, all that good stuff. So keep an eye on your inbox. I think probably today or maybe tomorrow morning. Depends on how, uh, how quickly YouTube uploads video. So with that, thank you everyone for joining us. Thank you. Metric, Laura, Anna, Eric and Justin. This was a fabulous webinar. I can't wait to do it again and have a great afternoon, everyone. Thank you so much.

 

Jo Olson: [01:01:23] Thank you for subscribing to our podcast and tuning in to the recording of our webinar. You can stay up to date with Fresh Energy's work at Fresh Energy. Org or follow us on social media. And remember, we've got a ton of things happening on the website right now, from Summer Energy School to our new benefit breakfast speaker announcement to job postings and beyond. Just go to Fresh Energy. Org and it's all there. You can even make a donation there by clicking the orange button in the upper right hand corner of your screen. And with that, now our closing theme music. Credit to Palm Psalm. Thank you for tuning in.