HOW NEW ENERGY TAKES POLITICAL ACTION – AND WHY

In politics, leaders concerned with the public’s interest can exert their influence on private enterprise by enacting public policy.

Presently, public opinion polls repeatedly show the public wants and needs New Energy. Old Energy subsidies, established by past public policies, leave little in state and federal budgets to incentivize New Energy and, at the same time, sustain Old Energy’s political influence.

In an ideal democracy of ideal citizens with ideal amounts of information, an ideal public would take action. In this democracy, Old Energy has the money to get enough politicians elected to sustain its subsidies, sustain its influence and suppress New Energy.

That was the status quo through the 1980s and 1990s when New Energy was everywhere available but unable to get a foothold in the political arena. Skyrocketing worldwide energy demand has today driven the cost of energy to unprecedented levels and global climate change has heightened the public's awareness both of the harm Old Energy does and the good New Energy can do.

New Energy is rapidly proving itself in a newly favorable free marketplace. The most motivated segment of the public has found and is rewarding New Energy providers. The suddenly financially empowered providers are now coming back to the political arena, organizing and exerting their influence to unseat Old Energy.

New Energy PACs have targeted powerful friends like Speaker of the House Nancy Pelosi (D-Ca), Senate Energy Subcommittee Chairman Byron Dorgan (D-ND) and Senate Energy and Natural Resources Committee member Gordon Smith (R-Ore) for support. The New Energy PACs are also aiming to make reelection difficult for recalcitrants like Senator John Sununu (R-NH).

Rhone Resch, President, SEIA: “Fundraising for pro-solar candidates has become the new business imperative for solar industry executives…We’re all getting into political fundraising, and we’re all getting to know candidates.”

Aside from the jump in soft donations during the contentious 2000 elections, New Energy donations have steadily increased. Expect another big jump this year. (Graph from opensecrets.org/Center for Responsive Politics - click to enlarge)

Old Energy, especially the oil and gas industry and the nuclear industry, are upping their donations and increasing their own fund raising efforts. That is a sign of New Energy’s growing power but also a sign that the deep pockets of Old Energy will continue to resist any political efforts to respond to the public’s want and need for New Energy.

Cathy Duvall, Political Director, Sierra Club: “The popularity of renewable energy is very appealing to the American public…I also think people are very skeptical of current energy special interests.”

In a year of absolutely compelling and endlessly fascinating politics, New Energy may turn out to have a pivotal role. Daniel Kammen, energy researcher/policy expert, University of California, Berkeley: “I certainly think renewable energy will have a huge impact…“[PACs] like these will continue to make energy and environment a lead issue into November.”

Clean energy PACs growing in stature
Erika Lovley, March 17, 2008 (Politico)

WHO
New Energy Political Action Committees (PACs): Solar Energy Industries Association (SEIA) PAC; American Wind Energy Association (AWEA) WindPAC; PPM Energy PAC; Renewable Energy for America (REA) RenewPAC; the Sierra Club

New Energy has supported and will support candidates from either side who support New Energy. (Graph from opensecrets.org/Center for Responsive Politics - click to enlarge)

WHAT
New Energy industry associations and New Energy companies have begun forming PACs, holding fund raising events and exerting their influence by taking focused political action like donating to the political campaigns of elected officials who support New Energy and leading regional campaigns to unseat those who do not.

WHEN
- The number of New Energy PACs has doubled since 2004.
- New Energy PACs have contributed $300,000 to 2008 political campaigns.
- Oil and gas industry PACs have contributed $10+ million to 2008 political campaigns.
- RenewPAC will launch later in 2008.

No surprise: The money in politics gets bigger every year. (click to enlarge)

WHERE
The SEIA PAC raised $21,000 at one cocktail event this year.

WHY
- The SEIA PAC, led by solar energy industry powers SunPower Corp. and SunEdison, has raised $50,000 this early in the 2008 election cycle, 3 times what it raised in the entire 2006 election cycle. Its goal is $100,000.
- AWEA’s WindPAC, one of New Energy’s oldest, has brought in $77,000 this cycle and has kept a high visibility on Capitol Hill. WindPAC has partnered with PPM Energy’s PAC to raise another $20,000.
- RenewPAC will be led by New Energy venture capitalists and is expected to be well-funded and exert significant leverage.
- The Sierra Club expects to raise $1.5 million to $2 million for candidates and to exert its influence on behalf ofNew Energy.

With more donations, New Energy advocates may develop more sophisticated lobbying techniques someday. So GIVE! (click to enlarge)

QUOTES
- Rhone Resch, President, SEIA: “Quite simply, 2008 is critical for the growth of SEIA PAC…At fundraisers and receptions, solar should be ubiquitous and on the minds of key lawmakers.”
- Gregory Wetstone, senior director of legislative affairs, AWEA: “I think it will be a record-breaking year for us, but almost every year is…We’re growing dramatically. Wind power capacity has increased dramatically and we see our political activity accelerating.”
- Richard Glick, Treasurer, PPM Energy: “Two years ago, [the amount PPM raised] was zero…It is very exciting, but frustrating at times because we are so small. I think eventually we will be a much bigger industry participant and be much bigger players in the political process.”