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Climate & Environment
25 August 2024

Minnesota's Clean Energy Reform Sets Stage For National Climate Policy

Gov. Tim Walz's new permitting laws could accelerate renewable energy projects and influence climate strategies if Harris wins

With the ambitious goal of achieving 100% renewable energy, Minnesota has been making headway under the leadership of Gov. Tim Walz. Not only does this initiative signal progress toward sustainability, but it also lays necessary groundwork for what could become significant climate policy changes at the national level, should Vice President Kamala Harris secure another term with Walz as her running mate.

For decades, Minnesota's clean energy projects were stifled by inefficiencies within its permitting processes. Developers could find themselves waiting over a year for the green light to begin work on renewable energy projects. This lengthy timeline creates significant hurdles to surpassing the 50% renewable energy threshold the state has enjoyed recently.

Walz, stating the outdated laws posed obstacles, noted, "We have processes too cumbersome, adding unnecessary costs and making it challenging to reach our goals." Addressing these barriers became his top priority, and this push received renewed attention when he was named as Kamala Harris's running mate for upcoming elections.

Earlier this year, Walz initiated and signed new legislation streamlining the regulatory processes for solar and wind energy projects. The new law permits developers to bypass proving their projects are indispensable to the energy matrix of Minnesota, as well as alleviating the obligation to explore alternative sites or routes for energy transmission. Essentially, this rewrite of existing laws is set to expedite clean energy projects significantly.

At the time of his announcement, Walz said, "If we take down these barriers, it creates more opportunities for clean energy transitions, which embodies the values of sustainability we need. We can and will do this." His sentiments echo throughout the renewable energy sector as utilities, labor groups, and environmental advocates have rallied behind the reforms.

This coordinated effort has proven fruitful. Majors such as Xcel Energy are anticipating months of saved time during the permitting phase for large electric facilities. "It's significant; we're talking about saving years on certain projects collectively. The impacts could ripple through the industry for decades to come," remarked Doug Loon, president of the Minnesota Chamber of Commerce.

Yet, the bill was not without its critics. Environmental advocates had expressed concerns, worried the rush to approval would undermine environmental integrity and assessments. Their commitment to transparency led to provisions ensuring public participation remained central to the permitting process, strictly limiting expedited reviews only to solar and wind projects.

House Majority Leader Jamie Long underscored the collaborative nature of this legal reform, saying, "It was all about getting everyone on board. Business sectors, labor unions, environmentalists—they provided recommendations. Their collective input made this adapted approach possible." Long previously collaborated with Walz on the law establishing the clean energy goal.

While Minnesota's reforms might inspire other regions, the pace at which they can be emulated at the federal level remains uncertain. Experts expressed caution—while private land projects may allow states to maneuver changes, much of the offshore wind initiatives are federally regulated, posing unique challenges for rapid development. This raises strategic questions about how states can influence broader energy strategies.

Aside from Minnesota, states like New York, California, and Illinois have initiated their permitting reforms but through varying approaches, showcasing the adaptability required to navigate their unique regulatory landscapes. Matthew Eisenson, senior fellow at the Sabin Center for Climate Change Law, cautioned, "The speed of the energy transition matters significantly. If delays occur, projects may not materialize as intended, with detrimental effect on achieving climate targets." His opinions reflect the urgency involved, emphasizing rapid deployment as key to efficient climate action.

Consider this: research from the Lawrence Berkeley National Laboratory suggests renewable projects often experience lengthy timelines, averaging four to six years from conception to execution, with permits accounting for two-thirds of this period. Notably, one-third of the recent wind and solar project applications were either shelved or mired by delays.

Robi Nilson, from the Berkeley Lab, highlighted the role local zoning laws and community opposition play, stating, "Community pushback can promote long-term delays and derail projects. Some of this stems from previous contentious development proposals." It indicates the balancing act advocates must engage with when pushing for streamlined processes against retaining necessary community engagement.

Previously, the Minnesota permitting process stretched 18 months for solar project approvals as of 2019, markedly longer than the ten-month average seen back in 2015, signaling stagnation as urgency for renewable project growth intensified.

Despite having the weight of the legislation behind him, Walz faces increased scrutiny around personal military decisions, with critics eagerly magnifying the situation. Each advancement he makes on climate policies must be viewed within this complex framework as upcoming elections loom.

With every stride forward, Walz's prominence may meld with national ambitions, shaping future climate initiatives and policies under Harris’s administration, should they achieve victory this November. Their collective ambition stands at the precipice of change, calling to each state to recognize the efficiency gained through legislative support aligned with environmental integrity.

The winds may finally be shifting for Minnesota's clean energy sector, yet as seen with other states, challenges remain. Walz’s push for reform stands as both a reflection of state determination and potential leadership on the national stage, inviting significant interest from multiple sectors with stakes riding on the promise of progress.

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