This is your SolarWakeup for November 24th, 2020

What We Know. The GSA has authorized the funds for the Biden transition team to receive the funds and access to start the transition. It also appears that Trump authorized this move in the closest we’ve come to a conclusion to the election. States have begun certifying their elections including PA, MI and GA while California does so on the 11th of December, 3 days before the electoral college meets on the 14th. Remember, the Government runs out of money on the 11th of December unless Congress passes a budget or continuing resolution (CR) which would require Trump’s signature unless a veto override takes place.

Climate Change Is National Security. John Kerry is returning to the White House as special presidential envoy for climate. This is a new cabinet level role for the former Senator and Secretary of State and will sit as a full member of the national security council. Kerry capped his time at State with the Paris agreement and founded the global organization, world war zero. This elevates climate to a security role and opens the dialogue that foreign policy has to take the issue into account. Some are unhappy with the status quo message of Kerry taking the lead but you have to assume he hits the ground running with decades of relationships with foreign political and corporate leaders.

Look For A Domestic Equal. It is expected that another climate leader will be added to the White House to coordinate across the agencies on the domestic front. If you step back, you understand that ever cabinet secretary has a portfolio of policies that impact climate change and some coordination needs to take place. We still have no nomination for energy, transportation, interior or EPA. Expect that to give us more color going forward.

Subsidies? You’re Joking. It is laughable to say we are going to subsidize climate change away, at best we are going to let climate change solutions play on an equal playing field. Not even the subsidies that solar and wind get are on par with what oil and gas get and have been getting for decades, long after reaching maturity and never paying their share for the damage they’ve caused the planet. Utilities still receive guaranteed rate base for natural gas plants that are subsidized from the shale to the pipeline and the stack, leaving consumers and neighbors to pay for the damage. Renewables need no subsidies, as long as no other fuels and incumbents get them either and societal costs are factored in.

What Does GM Know? GM seems to think that Biden is thinking big about electric transportation, doing a big leap in acknowledging the future is all electric. In that press release, GM also dropped its support for Trumps fight against California and the state’s ability to regulate auto emissions separately. This could be as simple as shifting with the wind but could also mean that Biden is about to double down on California’s 2035 goal of no more internal combustion sales. The leader in California on the trend to electrify transportation both consumer, fleet and mass transit has been Mary Nichols, the chair of the California Air Resources Board. She was an assistant administrator at the EPA for President Clinton and would look great in the administrator’s office for President Biden. Maybe GM knows more than they let on?

Happy Thanksgiving! SolarWakeup is off for the rest of the week, returning on the 30th. You can stay in touch with us on LinkedIn or follow me on Twitter @yannbrandt. Of course, you can always hit reply to the morning email and let me know your thoughts. I’d be extra thankful if you forward this email and ask someone to subscribe to the newsletter.

When Will It Build? Here’s the question I have been pondering for a few weeks. If someone signs a contract to put solar on your house, when do you tell them it will be installed? How sure are you that enough product will be available when install time comes? We are entering the most complex 2 quarters residential solar has ever seen, backlogs are at an all-time high and supply chains are very tight. The Buyer’s Group is working through this and would love to talk with you about it. Reach out on the price discovery page. 

Opinion

Best, Yann