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Infrastructure Bill Moves to Senate Floor, Impact for Energy Services

The long-awaited text of Infrastructure Investment and Jobs Act (H.R. 3684), otherwise known as the “bipartisan infrastructure deal” was released over the weekend – a total of 2,702 pages. The protracted negotiations, which the Council’s Tim Tarpley, SVP Government Affairs previously analyzed, have ended and Senate Majority Leader Chuck Schumer (D-NY) is moving the bill to the floor for consideration and a vote.

In all, the proposed bill would inject $550 billion over five years in the United States’ roads, bridges, broadband and power grid as part of a framework developed by a bipartisan group of senators and the White House.

The 10 senators are: Bill Cassidy, R-LA, Susan Collins, R-ME, Joe Manchin, D-WV, Lisa Murkowski, R-AK, Rob Portman, R-OH, Mitt Romney, R-UT, Jeanne Shaheen, D-NH, Kyrsten Sinema, D-AZ, Jon Tester, D-MT, and Mark Warner, D-VA.

The next step for the bill is a lengthy debate on proposed amendments, allowing other senators who did not participate in the negotiations to add to the final text. Democrats are concerned that Senate Republicans will attempt to fundamentally overhaul the legislation, but it is unlikely given the support it currently has.

Within the potential deal are several provisions important to Council members, which Tarpley reviewed early in the negotiation process. The final text includes:

  • $4.7 billion to plug and clean up orphaned oil wells
  • $12.5 billion for carbon capture, utilization and storage commercialization projects
  • $3.5 billion for four direct air carbon capture hubs
  • $2.1 billion for eligible CO2 transportation via pipelines
  • $8 billion for four regional hydrogen fuel commercialization zones; two of which will be in areas currently producing natural gas
  • A directive requiring the Department of Interior to take applications for regional direct air carbon capture demonstration projects

The bill also includes language that:

  • Requires the government to conduct a study estimating the direct or indirect job losses from the cancellation of the Keystone XL pipeline
  • Orders a study on the forced labor in China and its effect on the electric vehicle supply chain
  • Mandates feasibility studies on solar panels, use of nuclear power and energy storage systems, including a six-month study on how hydrogen could be manufactured via any fuel type

The package will be reviewed by senators in the days ahead and if passed, would move to the House where progressive members are not pleased with the bill’s narrow scope.

The Council’s Government Affairs team will continue to monitor the progress of the bill and update Members. If you wish to get involved with the Government Affairs Committee, please contact SVP Government Affairs Tim Tarpley.

Maria Suarez, Director Government Affairs, writes about industry-specific policies for the Energy Workforce & Technology Council. Click here to subscribe to the Council’s newsletter, which highlights sector-specific issues, best practices, Council activities and more.


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