Power sector has high funding hopes
WASHINGTON — President Donald Trump’s infrastructure proposal has renewed hope within the power sector that there might be some federal funding for it after all.
This week the White House released a 55-page infrastructure plan, which along with the expected mentions of roads and airports also identified power projects as eligible for $50 billion in federal infrastructure spending in rural areas.
“We see significant promise in President Trump’s plan,” said Amy Farrell, a senior vice president at the American Wind Energy Association. “With 99 percent of American wind farms built in rural areas, an investment in transmission infrastructure boosts rural economies while improving resilience and reliability.”
Trump is looking for at least $1 trillion in infrastructure spending, but is only proposing
setting aside $200 billion in federal funding with hopes of leveraging the rest from state and local governments along with the private sector.
The White House said the power projects that would be considered for funding include transmission and distribution projects, as well as government-owned generation.
But whether the president will get his infrastructure legislation remains to be seen, as some Republicans are balking at the prospect of increasing government spending at a time the federal debt is growing. On Monday, Trump also released a proposal for the 2019 federal budget that would increase the annual deficit by 48 percent over 2017.
“Under this request the nation will accumulate more American debt — an additional $2 trillion in the first two years alone, and more than $7 trillion over 10 years,” said Ryan Alexander, president of the activist group Taxpayers for Common Sense.
Beyond federal dollars, lobbyists for the energy sector have focused on speeding up the federal permitting process, in hopes of decreasing the years-long wait times for pipelines and longdistance transmission lines.
That has drawn opposition from environmentalists, who argue the nation’s woodlands, waterways and wildlife will be damaged for the sake of corporate profits.
In his infrastructure plan, Trump proposed limiting federal environmental reviews to 21 months, while delegating more authority to the states, in the interests of “delivering projects in a less costly and more time-effective manner.”