Permitting bill faces five obstacles in lame duck session

A bipartisan Senate plan to streamline permitting for energy projects faces five distinct risks that could derail passage during the current lame-duck session. The legislation aims to cut regulatory hurdles for both fossil fuel and renewable energy sectors, a priority for major business groups, but political and policy obstacles remain unresolved. President Donald Trump’s administration officially supports the bill, yet his unpredictable stance on energy policy introduces uncertainty. The White House has been restricting wind and solar projects, and its willingness to loosen those restrictions could sway Democratic support. Senator Sheldon Whitehouse (D-R.I.), a co-author of the bill, cited unresolved questions about whether Trump officials would return to regular order for renewables, while crediting their proposal as reasonable.

Democratic leverage in the House could shift if voters return a large number of Democrats to Congress in November. Representative Jared Huffman (D-Calif.) argues that Democrats will have more power next year, though few lawmakers currently support delaying the vote. The prospect of a better deal next year is limited because Democrats would not hold 60 Senate votes even if they gained the chamber, and President Trump would still need to sign any legislation. Environmental groups with close ties to Democrats, including the Natural Resources Defense Council, League of Conservation Voters, and Evergreen Action, are still deciding their positions. A coordinated opposition from these organizations could make it difficult for Democratic lawmakers to back the bill.

Regulated utilities face new competition in transmission development and increased oversight of their planning under the proposed law. While American Electric Power and Berkshire Hathaway Energy support the legislation, the Edison Electric Institute, the sector’s trade group, has not taken a position. Time is a critical factor, as a busy legislative calendar and uncertainty about lawmakers’ appetite for work after the election leave little room for delays. Brett Guthrie (R-Ky.), who chairs the House Energy and Commerce Committee, indicated to Punchbowl News that he intends to change the electricity sections of the bill. If Republicans lose their House majority, their willingness to push a major bipartisan deal may diminish.

Jeff Navin, a former Democratic Hill staffer and co-founder of clean tech lobbying firm Boundary Stone Partners, noted via email that it is difficult to convince people to stay and wait for legislation when they are being reminded that they lost. The combination of these factors creates a fragile environment for passing sweeping permitting reforms before Congress adjourns.