On Thursday, February 2nd, the Senate Energy and Natural Resources Committee held its first hearing of the 118th Congress, focusing on the Department of Energy’s implementation of the Infrastructure, Investment, and Jobs Act (IIJA, P.L. 117-58). Deputy Energy Secretary David M. Turk was the hearing’s only witness.
According to Chairman Joe Manchin (D-WV), the IIJA appropriated approximately $1.2 trillion, which went towards programs under the purview of the Energy and Natural Resources Committee, according to Chairman Joe Manchin (D-WV). The IIJA appropriated more than $62 billion for the Department of Energy (DOE), $37 billion of which has already been made available, according to Secretary Turk. The bill funded 72 new and existing programs within DOE, including hydrogen hubs, electric grid modernization, battery manufacturing, and carbon capture and storage, among other project areas.
In his opening statement, Chairman Manchin (D-WV) clarified that he intends to ensure that Congress provides meaningful oversight and that taxpayer dollars are used as intended.
Secretary Turk also began his testimony by highlighting the Biden Administration’s commitment to efficiency, impact, and transparency.
Areas of discussion throughout the hearing included efforts to work with local communities to implement best practices, energy storage and distribution, and nuclear waste disposal.
The IIJA’s massive investment in carbon capture utilization and storage (CCUS) was also raised several times during the hearing. Secretary Turk’s oral testimony highlighted recent CCUS funding announcements – including $1.2 billion for regional direct air capture hubs, $2.25 billion carbon for storage validation and testing, and $2 billion for carbon dioxide transportation – for programs created or expanded in the IIJA.
The IIJA also established a $6 billion Civil Nuclear Credit (CNC) program for existing nuclear facilities at risk of shutting down. Ranking Member John Barrasso (R-WY) pointed out that the same reactors that qualify for CNC money would also qualify for the 45U nuclear production tax credit created by the Inflation Reduction Act (IRA, P.L. 117-169), making the CNC program a duplicative subsidy. Sen. Barrasso asked if DOE would support redirecting a portion of the funding to nuclear fuel availability, failing to acknowledge that the IRA also appropriated $700 million for high-assay low-enriched uranium availability.
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