COP29 Day Two: The US Continues to “Work Together With Global Partners To Be Successful in Outcomes That Keep 1.5 Alive”

Below we share key developments from day two:

• The message from US Climate Envoy John Podesta and the Biden administration’s Climate Adviser Ali Zaidi was clear: The US is “at COP29 to continue to work together with global partners to be successful in outcomes that keep 1.5 alive.”
• Both Podesta and Zaidi emphasized that withdrawal from the Paris Agreement would be a setback for the American people, but one that can be overcome in time.
• While policy may change, Zaidi pointed out that the United States already has infrastructure in the ground or under construction back home.
• According to Zaidi, it is improbable that the incoming Trump administration will uproot renewable energy plants and, importantly, battery factories that are located in many Republican-governed states under the Inflation Reduction Act of 2022 (IRA).
• Some of those governors have openly acknowledged the need to maintain demand for clean tech economies. This includes the domestic market and exports.
• Zaidi also pointed out that the IRA and subsequent related regulations received bipartisan support and as such, are unlikely to be repealed wholesale.
• In addition to renewable energy the US government will likely look to clean tech in traditional heavy and oil and gas industries. These include methane abatement measures; geothermal technology; and the greening of steel, aluminum, and asphalt plants (to name a few).
• The US, the People’s Republic of China, and Azerbaijan convened a summit to accelerate actions to cut methane and other non-CO2 greenhouse gases.
• The US Environmental Protection Agency announced a final rule to reduce methane emissions from the oil and gas sector. The rule facilitates the implementation of US Congress’ directive in the IRA to collect a Waste Emissions Charge to better ensure valuable natural gas reaches the market rather than polluting the air.
• The Waste Emissions Charge applies only to high-emitting oil and gas facilities that report emissions of more than 25,000 metric tons of carbon dioxide equivalent per year to the Greenhouse Gas Reporting Program, beginning with methane emissions reported in calendar year (CY) 2024.
• The Waste Emissions Charge starts at $900 per metric ton of wasteful emissions in CY 2024, increasing to $1,200 for CY 2025 and $1,500 for CY 2026 and beyond. It only applies to emissions that exceed statutorily-specified methane intensity levels.