Onshoring the Electric Revolution: A Call to Action
At Heatmap’s recent event, “Onshoring the Electric Revolution,” attendees gathered in Washington, D.C., united by a common concern: the United States appears to be lagging in the global race to develop next-generation technologies. As countries around the world move swiftly to build their energy and technological infrastructures, many voices are now calling for immediate action to revitalize America’s industrial capabilities, particularly in critical minerals extraction.
The Legislative Landscape
A significant highlight of the event was Senator Catherine Cortez Masto of Nevada, who sits on the Senate’s Energy and Natural Resources Committee. She expressed frustration over the previous administration’s rollbacks of policies laid out in the Inflation Reduction Act and the Infrastructure Investment and Jobs Act. “If we want to lead in 21st century technology, why aren’t we starting with the extraction of the critical minerals that we need for that technology?” she posed to the audience, emphasizing the essential role of these materials in powering innovations.
Looking forward, Cortez Masto expressed optimism that the Senate would advance legislation focused on both permitting and critical minerals. She indicated that following the Thanksgiving holiday, multiple bills, including the SPEED Act, which received bipartisan support, will undergo scrutiny in the committee. This permitting legislation aims to streamline the approval process for energy and transmission projects, a critical step that many participants agreed is vital for the transition to clean energy.
Permitting Challenges
The issue of permitting has emerged as a primary obstacle in the transition to cleaner energy systems. The bottlenecks often caused by protracted approval processes have drawn attention from various stakeholders, including fossil fuel companies, which have vested interests in these procedures.
Thomas Hochman, director of infrastructure policy at the Foundation of American Innovation, pointed out that the current legislative focus is on protecting energy projects from possible executive branch interference. He noted that the oil and gas industry favors neutral language in legislation that ensures that their projects won’t be hampered by the same tools used to block renewable energy initiatives. This creates a complex landscape of interests that must be navigated carefully.
The Broader Discussion
While the topic of permitting held a central place in discussions, many panelists emphasized that just addressing this issue is not sufficient. Michael Tubman, senior director of federal affairs at Lucid Motors, highlighted the importance of securing funding for mining operations as a crucial element of the discussion. “It’s not just about permits,” he declared, noting the complexities surrounding financial investment in mining projects.
Concurrently, Michael Bruce, a partner at the venture capital firm Emerson Collective, brought attention to the necessity of bolstering domestic demand for critical minerals. “You need to have demand,” he stated succinctly, noting that without a market, businesses in this field struggle to survive. Bruce echoed Cortez Masto’s concerns, lamenting the decline of U.S. mining in light of growing competition from China, which has established dominance in global supply chains.
A Call for Action
The consensus among speakers and attendees was clear: the U.S. has the capability to lead in mining and mineral extraction but must take decisive action to enable this potential. Bruce remarked, “We do [mining] better than anyone else in the world. But we’ve got to give [mining companies] permission to return.” His comment underscores the importance of a supportive regulatory environment to facilitate mining projects, many of which have been mired in permitting processes for decades.
The conversations at Heatmap’s event around “Onshoring the Electric Revolution” are a stark reminder of the challenges and opportunities that lie ahead. As the country charts a path towards a more sustainable and technologically advanced future, the need for cohesive action in policy, funding, and industry collaboration has never been more pressing.