Quarterly Highlights: July - December 2021

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Q UA R T E RS 3 A N D 4 H I G H L I G H T S: J U LY - D E C E M B E R 2021 We use color-coded tags on individual highlights to help you find the news important to you. The tags in this edition include:

Energy Efficiency Policy State and Local Updates Alabama Renewable Energy Generation: On July 16, Alabama Power Company filed a request to modify its certificate of convenience and necessity to pursue up to 500 MW of renewable energy and environmentally specialized generating resources through 2027, an additional six years. Alabama Public Service Commission approved the request on August 11. Docket No. 32382 Arkansas SWEPCO Rate Case: The Southwestern Electric Power Company (SWEPCO) is seeking a rate increase. The typical residential customer will see an increase of $11 a month. The proposed revenue will be invested in more clean energy projects and grid reliability.

Rural Clean Energy: United States Department of Agriculture will grant $40,000 to Arkansasbased companies as part of the Rural Energy for America Program (REAP) and its Electrical Loan Program. Singleton Farms Partnership, Arsoft LLC, and Jessland Plantation will all receive funding for clean power investments. Energy Efficiency Savings Update: Citing effects of the COVID-19 pandemic, Parties Working Collaboratively (PWC), a stakeholder group that addresses the state’s regulated utilities energy efficiency programs, requested a “bridge year” to establish new savings targets for the next program cycle. The Arkansas Public Commission granted the request in October 2021. Under its energy efficiency resource standard rules, Arkansas electric and gas utilities must achieve savings targets set every three years. In addition to granting the “bridge year” the commission

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order allowed for program budget flexibility and authorized the PWC to develop a Request for Proposals for a second energy efficiency potential study. Florida Low-Income Program: Duke Energy Florida filed a proposal with the Florida Public Service Commission to assist low-income customers and those impacted by COVID-19 through expanded program reach, customer incentives, and energy efficiency savings kits. Clean Energy Financing: Former St. Lucie County Commissioner and current executive director of the Solar and Energy Loan Fund (SELF), Doug Coward spoke to The Sun Sentinel about financing solar installations and improving energy efficiency among Florida’s low- and moderateincome home and building owners. Rate Cases: •

Florida Power and Light (FPL) - Beginning June 21, the Florida Public Service Commission held public hearings on a rate increase for FPL customers. The utility is asking for a $2 billion increase to support clean energy infrastructure and grid resiliency and would increase rates 18.2% by 2025. Some advocates support the rate increase while others reached a settlement on August 10 that would “strengthen protections for customer disconnections and increase utility investment in community resilience.” Docket No. 20210015

Duke Energy Florida - On July 1, Duke Energy Florida filed changes to its Demand-Side Management Program Plan which proposes measures to decrease the impact of new 2022 rates by one third. Docket No. 20210121

Tampa Electric Company - On August 6, Tampa Electric Company filed a motion to approve its petition for a rate increase. The

settlement will reduce its return on equity by 9.95% and there are other accounting changes that should significantly lower the bill impact in the near term. Docket No. 20210034-EI Storm Recovery Costs: A new law approved by the Florida Public Service Commission establishes a separate cost recovery mechanism for utility storm protection activities. Storm hardening costs were originally financed through base rates. Renewable Energy Pledge: Tampa Bay’s city council voted in August to transition the city to 100% clean, renewable energy by 2035. The mayor’s office released Resilient Tampa, a clean energy roadmap in May. Tampa joins 11 other cities in Florida in commiting to clean energy. Public Service Commission: On September 8, Governor Ron DeSantis reappointed two Florida Public Service Commissioners. Arthur Graham was previously appointed to the commission by several governors. Andrew Fay has served as a commissioner since 2018 and previously served as a deputy to former Attorney General Pam Bondi. Sustainable Financing Framework: In November, Duke Energy launched the Sustainable Financing Framework. The new framework seeks to attract investments in eligible green and social projects that support the utility’s clean energy transition. Appointments: Governor Ron DeSantis appointed Dr. Wesley Brooks to serve as Florida’s Chief Resiliency Officer. The position was first created in 2019 and has recently been filled by the Secretary of the Department of Environmental Protection. Brooks will serve as a liaison between the state and local levels to champion initiatives that increase Florida’s resilience to climate change and extreme weather. Duke Expands Energy Efficiency Programs: As a result of a July 2021 settlement, the Florida Public Service Commission approved an expansion of Duke Energy Florida’s energy efficiency programs.

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The utility will distribute 20,000 energy assistance kits as well as increase customer outreach for a low-income whole-home energy efficiency program. The utility has also pledged to help lower-income customers avoid disconnection. Georgia Microgrid Installation: In partnership with Georgia Power, Georgia Tech opened a 1.4 megawatt microgrid. The Microgrid in Tech Square, which opened on June 16 includes fuel cells, battery storage, diesel generators, a natural gas generator, and “is adaptive to new and additional distributed energy resources.” It will serve as a living laboratory to observe how microgrids integrate into and operate as a part of a larger electrical grid. Plant Vogtle: In July, Georgia Power announced additional delays of three and four months for Plant Vogtle’s two new units. Unit 3 will start service in the second quarter of 2022, and Unit 4 is expected to become operational in the first quarter of 2023. Nuclear power generation could help Southern Company transition away from fossil fuels. Public Service Commission: Governor Brian Kemp appointed the Chair of the Public Service Commission, Chuck Eaton to a judgeship, leaving a vacancy on the five-member body. Governor Kemp filled the vacancy with businessperson Fitz Johnson. Commissioner Tricia Pridemore was elected as Chair of the Public Service Commission. Voting Rights Lawsuit: Five Black voters in Fulton County filed a lawsuit claiming that the Georgia Public Service Commission at-large districts “dilute(s) the voting strength of the state’s Black residents.” Current voting laws allow any Georgia resident, not just the region they represent, to vote for any commissioner. The U.S. Department of Justice intervened on behalf of the plaintiffs after Georgia Attorney General Chris Carr filed a motion to rule in favor of the secretary of state.

Kentucky Kentucky Utilities Co Rate Case: On June 30 the Kentucky Public Service Commission approved rate increases for Kentucky Utilities Co. (KU) of 6.58 percent or $7.92 per month for a typical residential customer. The approved rates are lower than KU requested and lower than a previous settlement agreement KU and sister company Louisville Gas & Electric Co. reached with intervenors. The commission approved the deployment of advanced metering infrastructure and delay a portion of the rate increase by one year for KU customers. Docket No. 2020-00349 Louisiana Climate Initiatives Task Force: On July 29, the Louisiana Climate Initiatives Task Force adopted seven strategies aimed at achieving the state’s 2050 net-zero carbon emissions goal. The top carbon emitter in Louisiana is industry and will be one of the seven targeted initiatives in the plan to be developed. A drafted plan will be presented for public comment in February 2022. Quick Start Program Update: In December, the Louisiana Public Service Commission approved a Quick Start Phase II for Louisiana utilities. Quick Start Phase I began in 2013 and has been renewed on an annual basis. Quick Start programs are designed to help utilities achieve short term energy savings and improve energy efficiency over time. Phase I ends December 31, 2022, and the commission will transition to Phase II beginning January 1, 2023. Docket No. R-31106 Mississippi Rate Cases •

CenterPoint Energy: On October 14, the Mississippi Public Service Commission approved CenterPoint Energy Resources Corporation’s 2021 Energy Efficiency Cost Rate. The rate adjustment will result in a reduction of $0.05 for the average residential customer. Docket No. 2014-UA-007

Entergy Mississippi: On November 5, Entergy Mississippi, LLC filed to recover costs associated with demand side management,

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including energy efficiency. After receiving approval from the commission, a typical residential customer using 1,000 kWh per month will see a bill increase of $7.65. The rate change takes effect in February 2022. Docket No. 2009-UN-64 Energy Delivery Plans •

Entergy Mississippi: On November 1, Entergy Mississippi filed its 2021 Energy Delivery Plan with the Mississippi Public Service Commission. Docket No. 2019-UA-232

Mississippi Power: On November 15, Mississippi Power filed its 2021 Energy Delivery Plan with the Mississippi Public Service Commission. Docket No. 2019-UA-231

Integrated Resource Plans (IRPs) •

Mississippi Power: On September 9, the Mississippi Public Service Commission (PSC) approved Mississippi Power’s IRP. The plan includes the retirement of five generating units, including Plant Daniel (set to be decommissioned in 2027), Energy Efficiency/Demand-Side Management (EE/ DSM) programs that have expanded from Energy Efficiency Quick Start programs, and a projection of very little load growth over the next 10 years. EE/DSM program filings can be found in Mississippi Power’s annual Energy Delivery Plan. This is the first IRP filing in Mississippi and since it is in its infancy, the PSC felt additional requirements are needed for future filings. Docket No. 2019-UA-231 Entergy Mississippi: On November 2, the PSC approved Entergy Mississippi’s IRP. The result of its modeling of long-term resource needs and forecasts predicts very little load growth over the next 10 years. Entergy proposed the addition of two new demandside management programs and continuing to grow its energy efficiency portfolio of which filings can be found in Entergy Mississippi’s annual Energy Delivery Plan. This is the first IRP filing in Mississippi and since it is in its infancy, the PSC felt additional requirements are needed for future filings. Docket No. 2019-UA-232

North Carolina IRP Filing: On June 29, the North Carolina Utilities Commission paused the 2021 Duke Energy Carolinas (DEC) and Duke Energy Progress (DEP) IRP filing to focus on the 2020 IRP filing. A technical conference was held September 30-October 1 and addressed three topics: methodology for evaluating economic retirement of coal-fired generating units, potential use of “allsource” procurement processes, and grid impact on different resource portfolios. Docket E-100 Sub 165 Flat-rate Pricing: Duke Energy has partnered with Uplight to launch a pilot program for a product called Plus which offers customers a flat rate for electricity combined with energy efficiency programs, advanced technology, efficiency upgrades, and other features. The product is designed to enable utilities to manage customers’ energy use, which can reduce the need for relying on expensive peak power and help the grid to accommodate a growing percentage of renewable energy. Clean Energy Legislation: On October 13, Governor Roy Cooper signed House Bill 951 (HB951) into law. The bill mandates the retirement of most coal-fired plants by 2030. The North Carolina Utilities Commission (NCUC), Duke Energy Carolinas (DEC), and Duke Energy Progress (DEP) are tasked with cutting carbon emissions through coal retirements, performance-based regulation and establishment of a carbon plan. On October 14, NCUC requested comments on the proposed Performance-Based Regulation (PBR). The newly passed HB951 requires NCUC to adopt rules on the implementation of PBR no later than February 10, 2022. DEC, DEP, and Dominion Energy North Carolina (Dominion) also received approval to file comments. On November 19, NCUC ordered the filing of a carbon plan that also must establish procedural deadlines. NCUC approved delay of DEC’s and DEP’s IRPs to September 2023 and the carbon plan will be used for the 2022 IRP proceedings. The plan is mandated to be developed by December 31, 2022. Docket No. E-100, Sub 178, Docket No.

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E-100, Sub 179 Weatherization Appropriations: Hundreds of millions of dollars promised by North Carolina politicians to help low-income customers failed to materialize in the state budget. Both chambers and Governor Cooper included additional funding for low-income weatherization. However, the final budget, Senate Bill 105, passed on November 18 did not include any weatherization appropriations. It did include traditional low-income energy assistance grants to help pay energy bills for citizens over 60 and people living with a disability. Preemption Bill Vetoed: On December 9, Governor Cooper vetoed House Bill 220 to prohibit local governments from barring energy service based on its fuel type. Introduced earlier this year in March, the bill was written to restrict cities and counties from prohibiting the connection of an energy service based on energy source. South Carolina Dominion Energy Rate Case: On July 2, Dominion Energy South Carolina reached a settlement for a rate increase. The settlement includes $15 million in funds allotted to “energy efficiency upgrades and critical health and safety repairs to customer homes.” Docket No. 2020-125-E Duke IRP: On June 17, the PSC rejected IRPs from Duke Energy Progress (DEP) and Duke Energy Carolinas (DEC). At the business meeting, commissioners leveraged the Energy Freedom Act to ask Duke to revise the plan. At the business meeting commissioners leveraged the Energy Freedom Act to ask Duke to revise the plan. On August 27 DEP Docket No. 2019-225-E and DEC Docket No. 2019-224-E resubmitted a revised plan and the period to submit comments closed at the end of September. Santee Cooper Leadership: Santee Cooper has selected a new Chief Executive Officer. Following the failed effort to complete the VC Summer nuclear plant, the state-owned utility has been

under temporary leadership while the search for a permanent executive was conducted. Jimmy Staton, who will start on March 1, is stepping down from the top role at Southern Star, a natural gas utility based in Kentucky and operating in several states in the Midwest. Tennessee Green Financing: In September, the Tennessee Valley Authority issued $500 million in green bonds to support its environmental social and governance (ESG) priorities. The revenue generated by the sale will be used to support capital investments in renewable energy and storage, among other investments designed to help it achieve its net-zero carbon goals. Local Leadership: Nashville Mayor John Cooper named new chief sustainability and resource officer, Kendra Abkowitz. Her sustainability resume includes experience at Vanderbilt University’s Sustainability and Environmental Management Office and the Tennessee Department of Environmental Conservation. Among a variety of responsibilities, she will help the city achieve its goal of sourcing 35% of its energy from renewables by 2025. Virginia RGGI Supports Energy Efficiency Programs: Virginia’s participation in the Regional Greenhouse Gas Initiative (RGGI) enabled the commonwealth to generate $100 million in revenue. Approximately half of those proceeds are being directed to energy efficiency programs for low-income households like the redevelopment of a public housing complex in Charlottesville. The Virginia Department of Housing and Community Development will continue to oversee a program that disburses the funds annually. Dominion Clean Energy Filing: In August, Dominion filed its “largest clean energy submission to date” with regulators. Totaling $26 billion over five years, the utility proposes

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spending much of the investment on zero-carbon generation and storage. The utility attributes its decision to its need to comply with the terms of the Virginia Clean Economy Act which was passed by the General Assembly in 2020. Dominion Rate Case: On October 25, State Corporation Commission (SCC) held a hearing to review Dominion’s triennial rate case. SCC reviews Dominion’s reported earnings against its rate of return on common equity. Docket No. PUR-202100058 RGGI Revenue: Virginia, the only Southeast state to participate in RGGI, received $228 million for energy efficiency and resilience programs in its first year participating in the program. Utilities in the state emitting more than allowed amounts of carbon must purchase allowances to offset their emissions. The proceeds of these transactions are allocated towards investments in low-income energy efficiency and flood preparedness. Governor Glenn Youngkin proposed withdrawing from RGGI, something he would not be able to achieve with executive action alone, according to an opinion by the Attorney General.

Energy Efficiency Policy: Regional, National, and Federal Updates Regional Energy Market: The Southeast Energy Exchange Market (SEEM) proposed by a coalition of Southeast utilities, is moving forward after the Federal Energy Regulatory Commission (FERC) was unable to resolve differences of opinion about its legality. With only four sitting commissioners, the commission remains in a 2-2 split over the proposed market, which according to FERC rules, enables the proposal to proceed. Santee Cooper, the South Carolina state-owned utility became the latest utility to join the market which is intended to achieve cost savings by enabling utilities to more efficient trade energy had they were previously able to do. Clean Energy Jobs: The U.S Department of

Energy (DOE) released its annual U.S. Energy and Employment Jobs Report in July. While previously fast-growing, the industry ended 2020 having lost 10%, or 840,000 jobs due to the COVID-19 pandemic. Among the major sector analyzed by the report, energy efficiency was the hardest hit losing more than 11% of previously held jobs, while the electric vehicle sector added 8% more jobs throughout last year. Prior to the pandemic, jobs in the energy sector were growing twice as fast as jobs in the overall economy. Industrial Efficiency: In August, DOE announced $60 million in awards in awards to 32 universities in 28 states, creating the largest ever cohort of Industrial Assessment Centers. The centers provide no- and low-cost energy assessments to small and medium industrial facilities while training students in energy efficient practices and technologies. Ten of these centers are placed at schools in the Southeast. American Jobs Plan Impact: A report by the Center for Energy and Sustainable Development at West Virginia University estimates that President Biden’s American Jobs Plan could help the state add over 3,500 jobs by 2040 and achieve 79% emission-free by 2030. The report projects that solar, wind and storage would dramatically grow as sources of carbon-free electricity and that coal communities would receive investment to retrain for clean energy jobs. Tesla Files to Sell Electricity: In August, Tesla Energy Ventures, a subsidiary of the electric vehicle manufacturer, filed to become a retail electricity provider in Texas, seeking the ability to sell electricity directly to customers. The company is building a 100 MW battery storage facility that it hopes to connect to the Texas electricity grid, which is largely isolated from the rest of the country. Energy Use Trends: According to analysis conducted by the U.S. Energy Information Administration, per capita residential energy use grew little in 2020 on average, despite people

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spending more time at home due to the COVID-19 pandemic. Warmer weather, particular in the winter, appeared to offset increased consumption from spending more time at home. The analysis also found that most of the states with the highest per capita electricity use were located in the South. Infrastructure Investment and Jobs Act: In late summer/early fall Congress passed the Infrastructure Investment and Jobs Act (IIJA). The Alliance to Save Energy detailed relevant and significant energy efficiency provisions ranging from increased funding for the Weatherization Assistance Program to workforce development to industrial energy efficiency. On November 15, President Biden signed the IIJA into law. Appliance Standards: In August, DOE proposed to undo a rule issued by the Trump administration that would have limited the department’s ability to set efficiency standards for natural gaspowered furnaces and boilers. The department will finalize this decision and then determine whether efficiency standards for these products should be updated. Standards for furnaces have not been updated since 1987 and gas hot water heaters since 2010, making them some of the more significant greenhouse gas reduction strategies DOE can employ via its standard setting authority. Earlier in the year, DOE indicated it was revisiting other changes to the standards setting process made by the previous administration, including showerheads, dishwashers, and lightbulbs. Call for a National Clean Energy Standard: In September, mayors from 24 Southeast cities called on Congress to adopt national clean energy standards. The Southern Alliance for Clean Energy coordinated the letter, which include signatories from North Carolina, South Carolina, Tennessee, Georgia, and Florida. Equitable Clean Energy Future: In October, Edison Electric Institute’s magazine, Electric Perspectives, published Diversity, Equity, & Inclusion: Key to Our Clean Energy Future, outlining the

importance of and pathways towards a more equitable clean energy future. Rural Energy Transition: A coalition comprised of the Rural Power Coalition, electric co-op members, climate justice organizers, and Shareable are asking Congress to support rural energy transition by authorizing $100 billion in appropriations for federally insured Hardship Loans from the Rural Utilities Service. This could help with retirement of all coal plants and all outstanding electric co-op debt. Additionally, this authorization could lead to new investments into clean energy, distributed energy resources, energy efficiency, high-speed broadband, storage, and electric transportation. Gas Appliance Ratings: ENERGY STAR’s “Most Efficient” Rating will no longer include gaspowered appliances, such as water heaters and clothes dryers. In 2011, the U.S. Environmental Protection Agency added a “Most Efficient” category to the now 30-year-old program to enable consumers to identify the highest performing models in a variety of product categories. For some product categories, gas appliances rarely qualified for the “Most Efficient” moniker, in others it did prompt removal of gaspowered products. Regional Leadership: U.S. EPA Administrator Michael Regan named Georgia resident Daniel Blackman to serve as EPA Region 4 Administrator. Prior to being named to the position Blackman ran for the Georgia Public Service Commission twice, the second time losing in a run-off to long-time commissioner Lauren “Bubba” MacDonald. EPA Region 4 includes Alabama, Florida, Georgia, Kentucky, Mississippi, North Carolina, South Carolina, Tennessee and six Tribes. Federal Rules on Cost Recovery: In December, FERC started an inquiry into rule changes that would prohibit utilities from charging ratepayers for politically related activities, such as lobbying. The proposed changes would further clarify

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whether spending on association dues includes funds that are used for lobbying or other activities that utilities are prevented from recovering from ratepayers. The agency issued a Notice of Inquiry and has invited comments with a first deadline in February 2022. Coal-Powered Plant Retirement: Southern Company announced plans to retire more than 20,000 MW of coal-fired capacity by 2028 across its operating companies in Georgia and Alabama. The retirements were prompted by a change in EPA wastewater guidelines, and the utility expect that some of the units will be repowered with natural gas. The closures reduce the utility’s coalfired capacity by 80% from a 2007 baseline as it strives towards a net-zero carbon future by 2050. Reducing Carbon Pollution: A study from North Carolina State University finds that utility pledges to reduce greenhouse gas emissions could reduce overall carbon pollution by one-third from the power sector when compared with 2018 levels. The study reviewed 36 utilities operating in 43 states. Notably Duke Energy and Southern Company accounted for about 30% of the pledged emissions reductions.

Energy Efficient Transportation State, Local, and Utility Policy Updates Alabama Electric Vehicle Innovation, Workforce Development Investment: Governor Kay Ivey awarded $16.5 million to a partnership between the University of Alabama, Alabama Power, and Mercedes Benz U.S. International to build a new facility at the University of Alabama to house the Alabama Mobility and Power Initiative and support the growing electric vehicle market. Electric Vehicle Manufacturing: Li-Cycle Holdings Corporation is building a new lithium-ion battery recycling facility in Tuscaloosa near MercedesBenz U.S. International. According to Li-Cycle, the Southeast is becoming critical to the lithium-ion battery supply chain by closing the recycling gap

and supporting the operational investments made by battery manufacturers and Original Equipment Manufacturers in the region. Drive Electric Alabama Launch: On November 29, the State of Alabama launched Drive Electric Alabama, an electric vehicle education and marketing initiative, through the Alabama Department of Economic and Community Affairs (ADECA). The program will raise awareness and advocate for electric vehicle adoption in Alabama. Arkansas Solar & EV Partnership: Envirotech Vehicles and Shine Solar, are partnering through an agreement under which Shine Solar will promote and sell products from Envirotech as well as purchase at least one van and one Class 4 or 5 truck for demonstrations. Envirotech provides zero-emission electric vehicles for commercial fleets, school districts, last-mile applications, colleges and universities, and public and private transportation operations. Shine Solar customers will be able to purchase zero-emission vehicle options through this agreement. Electric Transit Bus Grant: Rock Region Metro, the transit authority servicing Pulaski County, was awarded $4.9 million from the Federal Transit Administration’s (FTA) Low- or No-Emission Grant Program to purchase up to five battery electric buses and charging infrastructure. Proterra, a zero-emission bus manufacturer with a facility in Greenville, SC, will be providing the buses with a range of 345 miles. This project, an aspect of “Shock the Rock” supports the Metroplan’s larger long-range metropolitan transportation plan goals. Electric Vehicle Manufacturing: Canoo, an electric vehicle manufacturer, is building its headquarters and a low production facility for small package delivery vans in Bentonville, Arkansas and a research and development center in Fayetteville, Arkansas which will bring 545 jobs to Benton and Washington counties. This investment is part of a larger transformation of U.S. Route 412 between Arkansas and Oklahoma into an electric vehicle manufacturing and research hub. In June 2021,

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Canoo built its first electric vehicle manufacturing facility in Oklahoma. Florida First Electric Transit Buses in South Florida: Broward County Transit, based in Fort Lauderdale, Florida ordered twelve battery-electric transit buses, the first in South Florida. The buses are the first in Broward County Transit’s goals of electrifying 100% of its fleet by 2035. The buses have a range of over 300 miles. Interstate Charging Infrastructure: The Florida Department of Environmental Protection (DEP) awarded a $12.5 million grant to Blink Charging Company to deploy 52 DC fast chargers at 25 sites along interstates, 95, 75, 10, and 4 in Florida. The charging sites will be along the state’s evacuation routes supporting the state’s resilience efforts. Each site will have two 175 kW DC fast chargers with deployment beginning in the fall of 2021. Leading EV Charging Infrastructure: Miami is leading the nation in installing electric vehicle infrastructure, alongside New York and Los Angeles. According to the U.S. Department of Energy (DOE), 40% of the state’s EVs are registered in the city of Miami. They have the third highest number of charging infrastructure in the U.S. Florida Power and Light is focused on placing charging stations along roads beyond the urban center in efforts to provide accessibility and encourage the growing use of EV. Municipal Fleet Conversion: The city of Clearwater adopted a green fleet policy to convert 100% of municipal, light-duty vehicles to alternative fuel vehicles by 2040. Transportation accounts for 38% of city-wide emissions and transitioning the light-duty fleet will support the city’s sustainability goals. EV Manufacturing: Cenntro Automotive is building a new 100,000 square foot manufacturing facility that will support the company’s electric vehicle production in Jacksonville, FL. The facility will create 34 jobs and support production of over 50,000 vehicles annually within four years. Cenntro is expected to

invest $25 million and begin production in Q1 of 2022. Jacksonville’s Port Authority will be critical to importing materials and exporting finished products. Cenntro’s products include Class 1-4 vehicles and off-road vehicles with customers in over thirty countries. Georgia Clean Energy Jobs: SK Innovation, a South Korean battery manufacturer, is planning to hire more than six thousand workers by 2025 for their new battery manufacturing plant in Jackson County, Georgia. The manufacturing plant will build batteries for 330,000 electric vehicles, including the electric Ford F-150, annually by 2025. Electric Mobility and Innovation Alliance: Governor Brian Kemp formed the Electric Mobility and Innovation Alliance (EMIA) hosted by the Georgia Department of Economic Development and supported by the University of Georgia to identify Georgia’s role in developing the electric mobility industry. The EMIA includes multiple stakeholders from the private and public sectors focused on capitalizing on the electric mobility investments in Georgia and recommend policy initiatives to further support electric mobility efforts. Expanding EV infrastructure: To support the growing number of electric vehicles in the state, Georgia Power will build out their EV infrastructure. Georgia Power wants to work with customers, businesses, and government entities as they expect more than 116 million electric vehicles on the road by 2030. EV Manufacturing: Rivian Automotive, an electric vehicle manufacturer, is building a $5 billion battery and vehicle assembly plant in Morgan and Walton counties, east of Atlanta. The facility is expected to employ over 7,500 workers and will be able to produce up to 400,000 vehicles each year. Construction is expected to begin summer 2022 and production will start in 2024. Kentucky EV Industry Growth: Investment and demand from electric vehicle manufacturing in the U.S.

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has spurred expansion from electric vehicle component manufacturers in Kentucky. Trace Die Cast, an EV component manufacturer in Bowling Green, is collaborating with EV producers Ford Motor Company and Rivian. Arkema, based in Calvert City, who produces the polymer that binds components of the batteries, expanded production by 20% in 2018. Hitachi launched new operations in Berea, where they will manufacture motors for electric vehicles. Firestone is investing $51 million, that will create 250 jobs in Whitley County, and will increase production for air suspension components. Fuel Cell Modules Production: Beginning in 2023, Toyota will be building integrated dual fuel cell modules at the Toyota Motor Manufacturing Kentucky facility in Georgetown. The modules will be used in hydrogen-powered Class 8 heavyduty trucks. The fuel cell modules will deliver 160 kW of power and be a piece of Toyota’s integrated powertrain offering. Heavy-duty truck manufacturers will be able to buy a fuel-cell electric drive system that can deliver over 300 miles of range at load weight of 80,000 pounds. Mississippi EV Charging Pilot Program: On September 17, Entergy Mississippi (EML) filed a notice of intent with the Mississippi Public Service Commission to change rates and start an EV fast charging pilot program. EML proposes to construct, own, and operate seven direct current fast charging stations for EVs along interstate highway corridors in western Mississippi. Each station will consist of at least two chargers. North Carolina Battery Manufacturing Plant: Toyota will build a $1.29 billion battery manufacturing facility in Liberty, North Carolina, to produce hybrid and electric vehicle batteries with state and local incentives totaling $438.7 million. Production at the facility will begin in 2025 with expansion in 2031. Toyota is looking to produce 1.2 million battery packs each year at the site. The investment will create 1,750 jobs with an average minimum salary of $62,000. Toyota announced plans to make 70% of its vehicle sales electric

by the end of the decade. The battery plant is expected to serve vehicle production facilities in Alabama, Indiana, Kentucky, Missouri, and Texas. Arrival Facilities Expansion: Arrival is investing $11.5 million to build its third facility in the Charlotte area, a battery module assembly plant, creating 150 jobs. The battery modules will be used in Arrival’s bus and van vehicle being built in its plants in Charlotte and Rock Hill, S.C. This announcement is part of Arrival’s commitment of vertical integration and building a domestic supply chain with its partnership with Li-Cycle, who recycles batteries in North America. South Carolina EV Charging Station Code Amendment: In May, the state legislature unanimously approved Senate Bill 304, which amended current code to exempt a person or corporation that resells electricity at an electric vehicle charging station and purchased electricity from an electric utility in the state from being considered an electric utility themselves. It has been signed into law by Governor Henry McMaster. Port Electrification: Through the U.S. EPA’s Diesel Emissions Reduction Act (DERA) grant program, the South Carolina Ports will facilitate a $1.3 million grant to A&R Logistics and Benore Logistic Systems, Inc. The grant will replace eight diesel freight haulers with Peterbilt zero-emission, battery-electric tractor trucks. The trucks will be deployed for operations in the Port of Charleston, the Savannah area, and between BMW’s manufacturing plant and the Inland Port at Greer. Surrounding communities will see health benefits from the reduction of air emissions. East Coast Proterra Battery Plant: Proterra is building its first battery factory on the east coast of the United States in Greer, SC in response to an increased demand in commercial electric vehicles such as delivery trucks, work trucks, industrial equipment, and buses. Proterra is investing $76 million that would create at least 200 jobs. Production is expected to begin in Q3 or Q4 of 2022 with expanded production capacity in 2025.

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The facility will be close to Proterra’s existing bus manufacturing plant. Tennessee EV Charging Stations to be Installed at State Parks: Electric vehicle manufacturer, Rivian Automotive, and the Tennessee Department of Environment and Conservation are partnering to deploy Rivian’s Waypoint electric vehicle charging stations at the state’s 56 state parks. The Level 2 chargers will be designed and installed by Rivian and will be able to provide up to 11.5 kW of power to all electric vehicle models. The charging will be initially free and can be monitored through Rivian’s mobile app. Installation is expected to begin in fall 2021 and extend into spring 2022. EV Battery Materials Manufacturing: The country’s first manufacturer of materials for lithium-ion batteries used in electric vehicles and power grid storage is building a facility in Chattanooga, TN. NOVONIX is investing $160 million into an existing plant, creating 300 jobs. The announcement was attended by DOE Secretary Jennifer Granholm, emphasizing the Biden administration’s prioritization of building a domestic supply chain for electric vehicles. Production is expected to begin in early 2022 with the ability to produce 10,000 tons of material annually. EV Workforce Development: Ford’s $5.6 billion investment into west Tennessee includes developing a curriculum customized for K-12 and technical college students teaching skills critical to producing electric trucks and batteries. Ford is working with the Tennessee Departments of Education and Labor and Workforce Development to design courses and potentially install equipment used in a Ford factory. Ford wants to begin training either in 2022 or early 2023. Additionally, Ford’s philanthropic arm, Ford Fund, could include plans to diversify the workforce by serving underserved communities in the future. Virginia Cleaner School Buses: There are multiple

initiatives advancing electric school buses in Virginia. The Virginia Department of Environmental Quality (DEQ) awarded $10.5 million in the first round of Volkswagen settlement funding to replace 83 diesel school buses with 44 propane and 39 battery-electric school buses. School districts with older buses and that enroll large numbers of students with free and reduced-meal programs will be given preference for the new buses. Some advocates are pushing the state to transition the 17,000 diesel school buses in Virginia to electric vehicles over the next ten years. Current legislation, HB 2118, would establish a grant fund in the DEQ to cover the costs of electric school buses and charging infrastructure. Additionally, Dominion Energy is conducting a fifty-bus pilot program for school districts in its service area. Fifteen localities are included in the pilot. School districts are asked to cover the cost of a diesel bus, $109,000, while Dominion Energy will cover the incremental costs and own the batteries and propulsion systems. Thomas Built Buses will be supplying the electric school buses. Clean Car Emissions Regulations: The Virginia State Air Pollution Control Board approved regulations to reduce greenhouse gas emissions from vehicles after the state legislature approved the adoption of California’s vehicle emission standards in February 2021. The standards require more stringent tailpipe emissions for light-duty and medium-duty vehicles and sets targets for electric vehicle sales. Virginia is the 15th state to adopt California’s standards instead of the federal standards allowed by the Clean Air Act. The regulations will require new vehicles meet limits for nitrogen oxide, carbon monoxide, particulate matter, and greenhouse gas emissions. Dealers in Virginia will have to sell Californiacertified vehicles beginning with model year 2025. Additionally, the regulations will require manufacturers to sell a certain portion of electric, fuel cell, or plug-in hybrid vehicles. Regulations will go into effect early 2024. Electrifying Trucks and Buses: In early December, Governor Northam signed the Multi-State

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Medium- and Heavy-Duty Zero Emission Vehicle Memorandum of Understanding (MD/HD MOU). The MD/HD MOU is a voluntary agreement in which signatories aim to electrify all new large trucks and buses within their states by 2050. Additionally, it has a goal for signatories to electrify government fleets. Fifteen other states have signed the MD/HD MOU including North Carolina.

Energy Efficient Transportation Regional, National, and Federal Policy Updates Second Life for EV Batteries: Through a Memorandum of Understanding (MOU), UL and Hyundai Motor Company will collaborate on the safe deployment and use of second life battery energy storage systems (SLBESS). Second life applications for batteries include grid-connected energy storage after use in vehicles. This can boost grid reliability and integrate renewable energy sources. Electrifying the Federal Fleet: Through an executive order in January 2021, President Biden ordered federal agencies to procure clean zeroemission vehicles. A report from Atlas Public Policy and the Electrification Coalition says the federal government could save more than $1 billion by replacing 97% of the light-duty and buses with electric vehicles by 2030. The U.S. Postal Service (categorized as a separate fleet in the report) would see $2.9 billion in savings by electrifying more than 99% of its fleet by 2025. EV Promotional Series: The Tennessee Valley Authority (TVA) launched a web-series that promotes electric vehicles. The series consists of five episodes which answers questions about the benefits of electric vehicles and corrects misinformation. Utility Fleet Transition: By 2030, TVA plans to convert all their passenger cars and at least half of the pickup and light cargo trucks in its fleet to electric vehicles, almost 1,200 vehicles. Gas-powered vehicles will be replaced towards the end of their life cycle and medium- and heavy-

duty trucks will be replaced with electric vehicles as technology and economies of scale improve. New U.S. EV Sales Goal: In August, President Biden signed an executive order targeting 50% of all new passenger vehicles sales in the U.S. to be electric by 2030. Experts say that developing supply chains for raw materials and increasing investment in charging infrastructure is needed to achieve this goal. Automotive manufacturers, General Motors Co., Ford Motor Co., and Stellantis N.V., through a joint statement announced their “aspirations” to meet President Biden’s goal. COVID-19 has significantly affected global supply chains, but rising electric vehicle demand and environmental, social, and corporate governance will be components in the development of new and existing supply chains. Utilities will play a key role in the Biden administration’s 50% goal as new electric vehicles will increase demand on the electric grid. The Edison Electric Institute, which represents investor-owned utilities, is already investing $3 billion in customer programs for charging infrastructure. EV Charging Software: Southern Company, the second largest utility in the U.S. serving over 4.3 million customers, and Volta Charging, an electric vehicle charging network provider, signed a multi-year agreement to use Volta Charging’s new product, PredictEV. PredictEV, uses analytics and advanced AI to predict local mobility, demographic, corporate, and site-specific data to identify charging station sites, the right mix of Level 2 and DC fast chargers, and anticipated EV adoption for a specific area. This announcement builds off an existing partnership between Volta Charging and Alabama Power, one of the electric subsidiaries of Southern Company along with Georgia Power, Mississippi Power, and Gulf Power. Southeast EV Manufacturing: Ford Motor Company announced plans to invest $11 billion to build multiple plants in Tennessee and Kentucky that would manufacture parts for electric vehicles. This investment, which includes battery recycling, is critical to reducing the chances of global supply disruptions like battery and semiconductor chip shortages happening globally.

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Ford’s goal of 140 Gigawatts of battery capacity will be met with this investment as well as the SK Innovation investment in Georgia. Two battery plants will be built in Glendale, Kentucky creating 5,000 jobs. Production for the battery plants will begin in 2025 and 2026. Federal Greenhouse Gas Emissions: The U.S. Environmental Protection Agency (EPA) finalized federal greenhouse gas emissions standards for light-duty passenger cars and trucks on December 20. The standards apply to model years (MY) 2023 through 2026. The standards are expected to bring $190 billion in net benefits for Americans by reducing climate pollution, improving public health, and saving money at the pump. The U.S. EPA projects that by MY 2026 standards can be met with sales of about 17% electric vehicles and adoption of more advanced technologies. The rule will accelerate the rate of stringency increases as follows: +10% from MY 2022-2023, +5% from MY 2023-2024, +6.6% from MY 2024-2025, and +10% from MY 2025-2026. A separate rulemaking to establish multi-pollutant emissions for MY 2027 and later will be initiated.

storage in west Atlanta. In Atlanta, low-income, Black, and Hispanic households face higher energy burdens, and energy equity is a focus of the initiative to distribute fair energy benefits to all communities within the city. Florida EV Ready Construction: The Orlando City Council passed an ordinance that requires charging station infrastructure and stations installed in new construction in city limits. Amending the city’s land development code, the ordinance requires commercial and industrial developments have 10% of parking spaces be EV capable and 2% of parking spaces need to be EVSE (Electric Vehicle Supply Equipment) installed. Multi-family housing, hotels, and parking structures must have 20% of parking spaces EV capable and 2% of parking spaces be EVSE installed. EV capable means installing the necessary infrastructure to support charging stations, but not the physical station. EVSE installed means the physical charging stations are installed and reserved for electric vehicles. South Carolina

Built Environment State, Local, and Utility Policy Updates Georgia Study Reveals Unequal Urban Heat Burdens: A collaborative study including academic, municipal, and community-based partners is examining how historically racist infrastructure and extreme heat are disproportionately affecting BIPOC communities and low-income communities in urban areas. In August, SEEA staff volunteered with the project to capture urban center temperatures for the study. Energy Justice: Local nonprofits and historically Black colleges and universities (HBCUs) work together on building community resilience centers powered by solar generation and battery

Energy Efficiency for Small Businesses: Dominion Energy has expanded its Small Business Energy Solutions Program, which supports energy efficiency upgrades to small business and nonprofit customers. The new benefits now include advanced heating and cooling system tune-ups, smart thermostats, duct sealing and HVAC controls. The program covers 90% or up to $6,000 of the cost of improvements. Tennessee HBCU Energy Savings: Lane College, a liberal arts institution and HBCU in Jackson partnered with Entegrity, an energy services company to save the college $11 million in energy costs including an LED lighting retrofit, water conservation measures, and HVAC upgrades to maximize energy savings. Entegrity will also install new aluminum windows that will improve envelope efficiency and update the aesthetics of the

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campus’s buildings without compromising their historical appeal.

the highest risk at 32% located in natural disaster areas.

Virginia

New Energy Efficiency Standards for Manufactured Homes: The U.S. Department of Energy (DOE) is considering new energy efficiency standards for manufactured housing and has released a supplemental notice of proposed rulemaking (SNOPR). The proposed standards are based on 2021 version of International Energy Conservation Code (IECC). The new standards will impact the building thermal envelope; air sealing; installation of insulation; duct sealing; heating, ventilation and air conditioning; service hot water systems; mechanical ventilation fan efficacy; and heating and cooling equipment sizing.

Small-scale Fuel Transition: Two nonprofits in Charlottesville partnered to help eight lowincome homeowners in Virginia switch to all electric appliances in an effort to reduce greenhouse gas emissions and their household energy costs. The project reported a 39% reduction in household emissions, while monthly utility bills did not universally drop, occupants did report increased comfort. Municipal Gas Ban: In September, the Richmond City Council passed a climate resolution that included a commitment to work “with the city’s administration on an equitable plan to phase out reliance on gas and shift to accelerated investment in city-owned renewable energy and hereby recognizes that the continued operation of the city’s gas utility is an obstacle to the city’s goal of net-zero emissions.”

Built Environment Regional, National, and Federal Policy Updates EV Charging Building Codes: The Alliance for Automotive Innovation (Auto Innovators) has pledged to promote buildings codes requiring Level 2 chargers in 100% of new residential parking spaces at multi-unit dwellings and singlefamily homes, while increasing new workplace and public chargers. This is one of six guiding principles the Auto Innovators adopted with the goal of advancing electric vehicle adoption. The Auto Innovators will be “engaging stakeholders and policymakers at all levels” ranging from local jurisdictions to the International Code Council. Climate poverty: A new study finds that public housing is at higher risk to natural disasters, exacerbating environmental inequality. The housing coalition report states that disaster damage is linked to compounded issues of poverty, high population rate, and inadequate infrastructure. Subsidized housing, supported by rent vouchers, tax credits, and subsidies, see

New Innovations to Improve Building Retrofitting: In August, the DOE announced 10 winners of the American-Made E-ROBOT prize which fast-tracks robotic solutions that can help improve building efficiency through “faster, safer, and more accessible building-envelope” retrofitting. Improving the accessibility will complement current building practices and create more opportunities in both the workforce and for addressing building CO2 emissions, which account for 35% of total emissions in the U.S. Student Competition in Building Technology: JUMP into STEM, a DOE program that promotes undergraduate and graduate student innovation at U.S. colleges and universities, opened team submissions in August. Challenges for 20212022 program include “Equal Access to Healthy Indoor Air,” “Resilience for All in the Wake of Disaster,” and “Solving Market Adoption for Emerging Efficiency Technologies.” National, State, and Local Code Analysis: Pacific Northwest National Laboratory released updated state, national, and local energy code opportunity impact factsheets , highlighting the cost-effectiveness of updated model codes across the United States. The study quantifies the cost savings according to associated energy and takes into consideration utility rates, climate conditions,

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regional construction, and incremental costs. Tennessee Valley States Rank Low in Residential Energy Efficiency: Alabama, Tennessee and Georgia are among the five worst states in the country for residential energy efficiency according to a new study. All seven states in the Tennessee Valley rank among the bottom third of U.S. states in the efficiency of residents’ homes, despite the lower electricity rates.

Our annual conference, now called the Southeast Energy Summit, is coming back! Save the date for October 3 – 5, 2022 for three days to reconnect, explore ideas together, and plan for a brighter, more energy-efficient Southeast. Stay updated with the latest news!

50 Hurt Plaza, Suite 1250 Atlanta, GA 30303 404-856-0723 info@seealliance.org seealliance.org


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