Energy Capital The Magazine-February 2023-Edition 18

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World's power grid: the urge of its modernization

RS TECHNOLOGIES: ENERGY SECURITY IN THE POWER GRID

• Tellurian Inc., leader in the production of LNG

• How to Build Powerful Mission Statements: A Core Tool for Success

United States and Japan: Working on Global Energy Security

FEBRUARY 2023, ISSUE 18
FOR INFRASTRUCTURE DEVELOPERS, INVESTORS AND INDUSTRIAL USERS

The new era of clean-energy technology manufacturing

The topic itself is not new. However, it is noteworthy that by 2030, the manufacture of equipment and technology for clean energy production will be worth close to $650 billion dollars a year worldwide.

This will create new and larger markets, as well as millions of jobs. As in any development, specialists point out risks; for example, those countries that do not have a forward-looking strategy will be left out of these opportunities. Mexico, of course, must pay attention to this issue as part of its business development policy. The benefits of what is done today will be seen in 2030, and although it may seem a long way off, there is very little time left.

The size of the market will be three times larger by the end of this decade. It will involve the manufacture of solar panels, wind turbines, batteries and

electrolyzers. But to fulfill the promise, all countries of the world need to fully implement their commitments.

If so, according to the International Energy Agency's Energy Technology Perspectives report, by 2030 there would be an increase from 6 million to 14 million jobs in this area.

At the same time, the agency points out that in order to guarantee energy security and the production of the necessary technology, supply chains present great opportunities. It specifies the importance of modifying them to avoid affecting resilience and sustainability, due to the current geographic concentration of mining, processing and manufacturing.

IN 2030, THE NUMBER OF JOBS IN THE MANUFACTURE OF EQUIPMENT FOR THE PRODUCTION OF CLEAN ENERGY WOULD INCREASE FROM 6 MILLION TO 14 MILLION.

2023 will reach the highest level of oil production in history

Expectations of oil consumption growth forecast that the world annual average could reach 101.7 million barrels per day. This figure implies a daily increase of 1.9 million. However, there is uncertainty regarding the way and speed in which China will continue to react to Covid-19.

Opinion

This level of production would be the highest in history. The balance will be between the impact of Western sanctions on Russia and how China will continue reacting to its own sanitary restrictions. The slowdown in Russian production will be the main factor leading to a reduction of OPEC+ by 870,000 barrels per day.

And while OPEC+ member countries will see a decrease in production, those outside the oil cartel will be the ones contributing the increase. It is estimated that growth will be led by the United States, by far, and followed by Canada, Brazil and

IN 2023, THE GLOBAL ANNUAL AVERAGE COULD REACH 101.7 MILLION BARRELS PER DAY, THE HIGHEST LEVEL IN HISTORY.

Guyana. All of them have registered record production for the last two years in a row.

As for refining, in December 2022 it kept stable. While in the United States there was a reduction of 910 thousand barrels per day, due to weather-related cuts, Europe and Asia compensated for this drop. Last year, this segment presented an average growth of 2.1 million barrels per day (mb/d) compared to 2021. For this 2023, average daily growth is estimated at 1.5 mb/d.

How to Build Powerful Mission Statements: A Core Tool for Success

In times of rapid change, companies find themselves needing to evolve quickly in order to take advantage of new opportunities. Now more than ever, companies must be agile and nimble in their strategic decisions and directions.

Opinion

What is often left behind as companies focus on deals, directions, and personnel changes, is the fact that without a clear mission statement that has sufficient flexibility to keep focus, the organization may run the risk of unravelling. In this case, it is important to take a step back and to revisit the company’s reason for existence. Does the company’s reason for existence still make sense? In times of rapid change, particularly of technology, business environment, political and economic structural change, the original reason for the company’s existence might change. That change needs to be reflected in the mission statement.

The Purpose and Overall Intention of the Organization

First and foremost, in an organization’s strategic planning and execution is the mission statement. However, the mission statement is often overlooked and its power unappreciated.

A well-crafted mission statement can help all stakeholders continue to communicate clearly with each other, and to look at all the changes in business conditions as an opportunity to maintain a coherent set of behaviors. Without an effective and mutually understood mission statement, the

organization runs the risk of fragmenting into small, mutually incompatible parts.

Attributes of an Effective Mission Statement

Organizations can take months developing their mission statement. While the process can become onerous and the wordsmithing taken to extremes, it is important to recognize that the mission statement the “go-to” location for all the organization’s stakeholders’ sense of purpose, direction, and meaning. Above all, the mission statement has to be clear and actionable, so that later, in developing a strategic plan, targets can be created with measurable outcomes.

Brief: The mission statement needs to be clear, succinct, and easily understood by all constituencies.

Memorable: The purpose of the company should be expressed in a way that is memorable so that whenever there is a question about a direction or the need to weigh various options, the mission statement comes to mind in a clear, easy-to-remember way.

Action-focused: Mission statements are about action and they clearly guide what the members of the organization do.

Positive: The focus is positive, with a sense that the reason for the organization’s existence is reasonable and success is achievable.

Targeted to a specific audience: The audience for the mission statement consists of stakeholders within and outside the organization.

Tie to an envisioned future: The mission statement should have a clear connection to the organization’s vision statement, which should be aspirational and inspiring.

Purpose of the Mission Statement

In addition to encapsulating what the purpose of the company is, the mission statement unifies

team members. The mission statement enables goal-oriented, measurable action.

The mission is not just about actions that are expressed in facts, figures, numbers, and projections. A good mission statement should inspire and engage emotions so that people in the team feel a positive, optimistic sense of unity and flow. A good mission statement should unite actions and also a sense of identity.

A good mission statement establishes a collective identity that makes people want to come together and work toward a common cause. For that reason, the mission statement should reflect a philosophy of inclusion and mutual respect. The mission should inspire individuals in the organization to care about each other as they work together to make the aspirational vision a reality.

So, there are tie-ins to both the corporate vision and values. The organization’s vision statement is a description of what the company will look like in the future. The values statements are articulations of beliefs and guiding principles.

Importance of a Good Mission Statement

Developing a mission statement is not easy, and the committee charged with developing the mission statement may start to either become too general, or can become too specific. There are a few things to keep in mind when looking at the various drafts and iterations of a mission statement:

Clarity: The mission statement needs to be written in a way that is understood in the same way by all the stakeholders.

Effective Delegation of Action: The mission statement should not lend itself to top-down centralization, but should encourage voices from across the organization to suggest better ways to get to the ultimate goals. The mission statement encapsulates effective leadership and meaningful delegation of work, responsibility, and seeking growth opportunities.

Coordination and Teamwork: A mission statement should encourage members of the organization to communicate clearly, to coordinate their efforts, and to think about working together in teams.

Mission Statement in Action

As articulations of the organizational reason for existence and core purpose, they directly connect to decisions and strategic behaviors. Here are a few of the major ways it does so:

Unifying tool: The core function of the mission statement is to communicate well; the mission statement itself constitutes a unifying tool that threads all the parts together and in proper sequence.

Opinion

Integration: The mission statement is a nexus. It allows connections and integration between it, as an action-oriented statement, and the organization’s vision, goals, and values.

Strategy: The mission statement launches the strategic process, and forms the linchpin of all subsequent activities. All team activity and dedication of resources should pass the test of whether it aligns with the mission.

Identity: The organization’s core identity forms around the mission statement. The mission statement must be broad enough to allow the organizational sense of self and beingness to adapt with changing times and circumstances.

Ethical Standards: The mission statement should possess an innate integrity that relates to core values of high ethical standards, transparency, and respect for people, nature, and the legal framework.

Team: The mission statement facilitates the formation of effective teams that communicate with each other effectively in order to achieve well-understood goals.

Examples of Newly-Honed Mission Statements

In recent years, many companies, particularly those in transportation, infrastructure, and energy, have recrafted their mission statements to reflect new conditions. Here are a few examples, all of which reflect many of the principles of mission statement development reflected above. Please note that the emphasis in the paragraphs is what the companies themselves have presented in bold-face in their websites.

Total Energies: To become the responsible energy company means providing better energy that is more affordable, cleaner, more reliable and accessible to as many people as possible. Our ambition: to be a world-class player in the energy transition.

ExxonMobil: Exxon Mobil Corporation is committed to being the world's premier petroleum and chemical manufacturing company. To that end, we must continuously achieve superior financial and operating results while adhering to high ethical standards.

Kinder Morgan: Provides Energy Transportation and Storage Services in a Safe, Efficient and Environmentally Responsible Manner for the Benefit of People, Communities and Businesses.

Siemens: Siemens' mission is to create outstanding and high-performing technology and products that will revolutionize the world and change the perceptions of its users and customers.

Equinor: Equinor is an international energy company committed to long-term value creation in a low-carbon future. Our purpose is to turn natural resources into energy for people and progress for society.

A Guiding Conclusion

After reflecting on the importance of a clear mission statement that serves unifying, facilitating, and empowering functions, it is clear that some of the most successful companies in the world take their mission statements very seriously. In addition to making sure that the mission statements reflect the core reason for existence, they also possess a powerful public relations function, communicating a positive message to individuals, communities, companies, and governments.

THE MISSION STATEMENT ENCAPSULATES EFFECTIVE LEADERSHIP AND MEANINGFUL DELEGATION OF WORK, RESPONSIBILITY, AND SEEKING GROWTH OPPORTUNITIES.
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Tellurian Inc., leaders in the production of LNG

THE IMPORTANCE OF ENERGY SECURITY WORLDWIDE IS TAKING DIFFERENT PATHS OF FOCUS; ONE OF THEM IS THE USE OF LIQUEFIED NATURAL GAS.

The energy transition towards more sustainable energy sources is achieving a change and commitment in society, but mainly in companies dedicated to the energy sector. These companies have begun to use the ESG methodology to achieve commitments to communities, workers, and the environment.

Tellurian Inc. is a company engaged in producing and marketing liquefied natural gas (LNG). It also develops natural gas infrastructure efficiently and responsibly. During the NAPE Summit, Rubi Alvarado, Managing Director of Energy Capital,

interviewed Ami Arief, SVP of Tellurian Production. Ami commented: "Tellurian is a global LNG company striving to supply clean natural gas to the world."

ITS INFRASTRUCTURE DELIVERS ENERGY MORE RELIABLY AND CLEANER AND ALLOWS FOR ADVANCES IN RENEWABLE ENERGY ALTERNATIVES.

Reducing the environmental crisis is a significant focus within the company's objectives. Tellurian is committed to supplying energy to the world market by prioritizing the reduction of urban pollution, lowering carbon emissions, and slowing the pace of climate change. Its infrastructure delivers energy more reliably and cleaner and allows for advances in renewable energy alternatives.

Environmental and social priority

The NAPE Summit provided numerous opportunities to do business in the oil, gas, and renewable energy sectors. In addition, they presented sector, renewable energy, and bitcoin projects. Tellurian Inc. spoke about their latest project, the Driftwood LNG plant. This plant is under construction, and during the summit, the organization sought gas TFC to achieve better efficiency in the new plant. Amir Arief explained: "Our current asset is in Hainesville. We have a couple of rigs operating on 27,000 acres and producing 250 million daily. We aim to find at least 15 TCF for our Driftwood LNG plant."

Energy

As such, and with ever-present environmental goals, Tellurian seeks to be the least disruptive to the environment and the communities where they work. On occasion, the sites where they work encounter animal dwellings which help them move to a safer location. This year, during the construction of the Driftwood LNG plant, they found a honeycomb of bees that they carefully removed to continue construction without harming the environment or the animals.

Because bees had a hand in the work done at the plant, the firm's team of geologists created a poem of the situation: "As work proceeds at Driftwood LNG, Tellurian needed to re-house a hive of bees, successfully done it's growing like a dream, it's just like the assets of the Tellurian team."

Finally, female participation in the company's work is crucial. Finding gender equity and equality is another of the company's ESG criteria. "I think diversity, equality, and inclusion are significant in everything we do at work, to bring that diversity of thought and have that inclusion and equality in our job performance," she concluded.

TELLURIAN IS A GLOBAL LNG COMPANY STRIVING TO SUPPLY CLEAN NATURAL GAS TO THE WORLD"
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AMI ARIEF, SVP OF TELLURIAN PRODUCTION.

Sustainability, reliability and durability

RS Technologies: Energy security in the power grid

Energy

Climate change around the world is the focus of all governments and businesses internationally. Increasing crises caused by increasingly severe weather events are affecting power grids and driving the need to find new ways to stay connected to the grid, the Internet, and each other.

RS Technologies is a leader in building composite structures for utilities. The organization provides safer, more secure, and resilient systems and services to 450 customers across 28 countries, enabling communities to have reliable, sustainable,

In a world where the energy transition to more sustainable methods is taking a significant share, it is essential to look for innovations that contribute to this change.
David Takash, CCO of RS Technologies,
ENERGY DEMAND MUST BE MANAGED FROM THE VIEW OF SUSTAINABILITY, RELIABILITY, AND DURABILITY OF ALL FINAL SOLUTIONS.

valuable grids. David Takash, CCO of RS Technologies, explained, "We are targeting areas where we can add the capability to support customer needs. And we continue to work in all kinds of jurisdictions around the world to find places that might be right for us to expand and bring change."

ESG criteria create a new way of doing business and building companies that care about the environment, communities, and employees. Encouraging all these people is a central axis of what the company is. RS Technologies is proud to support its employees to grow professionally, providing skills training so that, at some point, employees can pass on this learning and achieve growth in the areas within the firm.

Ecological disasters such as heavy rains, thunderstorms, snowfalls, or hurricanes are the leading causes of power outages in the electrical network. The effects of these outages are often catastrophic because the affected areas are left without power, and there is no way to support the victims. Therefore, RS Technologies is working hard with utilities to mitigate the damage and respond to those affected more quickly.

Modernizing the U.S. power grid must be a priority for U.S. businesses and the U.S. government. The electric grid infrastructure is aging and needs to keep up with the needs of the population to mitigate disasters caused by climate change. After the Covid-19 pandemic and the evolution of technology, the power supply increased considerably, which led to the need to change and renew the entire infrastructure. Takash commented, "Our frameworks help

Energy
THEY WANT TO BOOST THE DECARBONIZATION OF THE ENTIRE ECONOMY AND THE COMPETITIVENESS OF U.S. MANUFACTURERS.

utilities ensure that they are maintaining their reliability during the modernization of their networks to meet the new challenges with the different types of customer demand."

RS Technologies offers a wide range of solutions to all its customers worldwide. The firm's composite and cross-arm poles ensure that the power grid stands up and delivers the power it needs. They also have a single outstanding pole to meet the demand for supply in the distribution sector. This type of pole does not require any assembly

and allows customers to obtain durable and reliable resources to have the energy security they are looking for.

Finally, planning and coordinating energy transition and infrastructure innovation across all suppliers and end users is essential. Energy demand must be managed from the view of sustainability, reliability, and durability of all end solutions. "As we think about the future, I believe we have the opportunity to achieve great things in delivering energy to the people who demand it every day," he concluded.

Grid Resilience Formula Grants program: supporting the resilience of Indian tribal power grids

The Bipartisan Infrastructure Act's Grid Resilience Formula Grants Program will have the Department of Energy award grants to states, including U.S. territories, and Indian tribes to improve the resilience of their electric grids.

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The Grid Resilience Formula Grants program is administered by the Building a Better Grid Initiative. The project is designed to strengthen and modernize the U.S. electric grid to mitigate the risks of wildfires, extreme weather, and other natural disasters exacerbated by the climate crisis.

Tribes can use grant funds to implement various resiliency measures, including equipment hardening or undergrounding, vegetation management, fire prevention systems, and advanced modeling technologies.

In its section 40101(d), the grant program allows states and Indian tribes to allocate funds to "eligible entities." In addition to providing the unique opportunity to enhance the capabilities of states, tribes, and their communities to address current and future

THE PROJECT IS DESIGNED TO STRENGTHEN AND MODERNIZE THE U.S. ELECTRIC GRID TO MITIGATE THE RISKS CAUSED BY THE CLIMATE CRISIS.

resiliency needs. Also within this section is the provision for DOE to allocate funds annually through a formula that includes parameters such as population, land area, and historical precedent of having experienced disasters.

The program will distribute up to $2.3 billion over five years. Priority will be given to projects that generate the most outstanding community benefit by providing clean, affordable, and reliable energy to everyone, anywhere, anytime.

Applications for the program are due March 31, 2023, and may be submitted at any time, and depending on application submissions, grants may be awarded before the deadline.

Because the program is new, DOE provided a question and answer session intending to provide all the information to

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applicants so that they can benefit from the clarifications made and complete their applications.

On February 9, DOE's Office of Grid Deployment hosted a webinar tailored for tribal entities to learn about the Grid Resilience Formula Grant program.

During the webinar, applicants learned topics essential to understanding the program and each aspect of formulating their applications without any informational loops. Some of the issues were as follows:

- How much grant funding is available to Tribes over five years?

- How to apply for the grant funds allocated to your Tribe.

- Types of eligible investments.

- Grant requirements and cost matching.

This non-competitive grant program awarded approximately $95 million to Tribal entities in 2022, and $86 million is expected to be awarded to Tribes and States this year.

86 MILLION WILL BE AWARDED IN GRANTS IN 2023.
Power

21st-century technology solutions to combat 21stcentury threats

The San Pasqual Preserve features arid valleys and a mountainous landscape about 50 miles from the Pacific coast in northern San Diego County. The area enjoys abundant sunshine throughout the year.

Energy Independence

Thanks to the area's varied natural resources, the San Pasqual Band of Mission Indians tribe adopted an environmentally friendly approach, working the land and harnessing the climate to support the community's energy sovereignty and security. "As a tribe, we want to be energy independent. That means harnessing our natural resources, not oil or coal, but sunlight," explained John Flores, San Pasqual's Environmental Director and Water Steward.

The tribe undertook a hybrid microgrid of solar, storage, and liquid propane to increase the reservation's energy reliability and resiliency. The microgrid will maintain critical building operations during emergencies and maintain uninterrupted power supply to five essential tribal government facilities. These buildings include the administration, housing, security facilities, fire department, education, preschool buildings, and wastewater treatment plant.

Weather threats have created emergencies that threaten the communities' overall grid, so securing a reliable power source is essential. The aftermath of the climate crisis exposed the increased risk and vulnerability of the local energy system. "Because we are in a rural area of San Diego County, resilience is key. Everyone has heard about the terrible California wildfires. Our area is no exception," explained Flores.

The Paradise/Cedar fire in 2003 severely affected the San Pasqual area. More than 90% of the reserve was burned to the ground, homes and buildings were destroyed, and electricity and essential community services were significantly lost.

The area faces a series of changing situations aggravated by the risk of

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WEATHER THREATS HAVE CREATED EMERGENCIES THAT THREATEN THE COMMUNITIES' OVERALL GRID, SO SECURING A RELIABLE POWER SOURCE IS ESSENTIAL.

forest fires, such as rising temperatures and worsening drought in the local vegetation, all deteriorating due to climate change.

Likewise, the reserve faces other natural threats, such as extreme heat, strong winds, earthquakes, and public safety power outages by the local power company.

The microgrid became the watershed because it offers an economically and logistically viable option for energy resilience.

San Pasqual undertook a series of strategic energy planning steps starting in 2015. The measures include establishing a Tribal

Energy and Resiliency Plan that will support the commitment to meeting the tribe's energy and resiliency goals.

This microgrid is envisioned as a modern solution to today's energy problems. It also overrides standard backup power options, such as a diesel generator. "We have 21st-century problems like forest fires and climate change. Why would we use 20th century technology to solve 21st-century problems?" asked Flores.

In addition to substantially reducing long-term disruptions to essential tribal services due to grid outages, the microgrid is expected to provide numerous benefits to the tribe, such as producing approximately 6.5 gigawatt-hours of renewable electricity and reducing energy costs by roughly $1.13 million over the life of the system.

The U.S. Department of Energy co-funded the microgrid project. This program was one of three San Pasqual designs competitively selected for DOE Office of Indian Energy grants. They include a community-scale solar photovoltaic project and the installation of 40 grid-connected solar electric systems for low-income families.

The environmental director explained that the Bureau of Indian Energy has been instrumental in advancing the tribe's energy resiliency goals. The microgrid design will also serve as a replicable model to address the energy challenges faced by many tribes as climate change creates more significant threats to the security and reliability of the electricity supply.

"If we all put our little pieces of the puzzle in, we can solve this problem together. No one person will have all the answers to complete the puzzle alone. It's something we all have to do together. Don't lose sight of the prize, which is maintaining the power supply," Flores concluded.

Impact of clean energies

Nuclear energy, new contribution stories

NUCLEAR ENERGY HAS THE ADVANTAGE OF PRODUCING A LOW ENVIRONMENTAL IMPACT, WHICH MAKES IT A SUSTAINABLE SOURCE THAT SUPPORTS THE U.S. GOVERNMENT'S ECOLOGICAL COMMITMENT.

The Biden administration's Bipartisan Infrastructure and Inflation Reduction Act is boosting every sector in the country. In particular, the nuclear power sector made great strides in 20and that momentum is expected to continue this year.

There is an estimate made by the U.S. Department of Energy (DOE) that carbon emissions are assessed to be reduced by one million metric tons in 2030 due to these laws. Also, there is a more significant push for clean energy technologies such as nuclear power by supporting the current and future fleet of reactors.

The momentum brought to nuclear is creating change and new stories within the segment. Here is some critical nuclear power news to watch out for in 2023.

After 20 years, a new commercial reactor will be connected to the power grid in the country. The first is the grid connection of unit #3 of the Vogtle power plant. The Vogtle power

plant in Waynesboro, Georgia, expects to start unit three in the first quarter of the year while continuing work on the fourth reactor.

The two new units will be the first U.S. reactors to use the AP1000 technology developed by Westinghouse. In addition, both have passive solid safety features, which can be shut down without operator action or an external power source. This will allow them to provide more than 1000 MWe of clean electricity generation at the facility. When the two units begin generating clean energy, the Vogtle plant will be the largest generator in the country.

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$500 MILLION TO HELP JUMP-START THE ACQUISITION PROGRAM TO HAVE SUFFICIENT QUANTITIES OF HALEU TO SUPPORT REACTOR DEVELOPMENT, DEMONSTRATION, AND DEPLOYMENT.

The establishment of domestic low-enriched uranium (HALEU) production is the second piece of news to watch. DOE plans to support several advanced reactor demonstration projects through its HALEU Availability Program. The Biden administration's Reduction Act will provide $500 million to help jump-start the acquisition program to have sufficient quantities of HALEU to support reactor development, demonstration, and deployment.

The HALEU will qualify new fuel types, test new reactor designs and help fuel the initial cores of the two demonstration reactors funded through the Bipartisan Infrastructure Act and supported by DOE's Advanced Reactor Demonstration Program.

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The third story is about New York's Nine Mile Point nuclear power plant will demonstrate its first production of clean hydrogen by low-temperature electrolysis. The plant will use the hydrogen it produces to cool the facility. That plant is one of four nuclear-fueled hydrogen demonstration projects supported by DOE.

In addition, TerraPower and X-energy are making significant progress on their construction permit applications and plan to submit them to the Nuclear Regulatory Commission (NRC) in the coming months. Achieving these milestones will be a

crucial step in moving forward the country's two major advanced reactor demonstration projects supported through the Bipartisan Infrastructure Act and DOE's ARDP.

The NRC is also expected to release the final safety assessment report and environmental impact statement for Hermes, a low-power reactor developed by Kairos Power that will serve as the basis for designing the company's high-temperature fluoride saltcooled reactor.

And finally, DOE plans to support extended operations of nuclear power plants at risk of closure due to economic factors. The Civil Nuclear Appropriations Program is funded through the Bipartisan Infrastructure Act. The first to get appropriations went to Diablo Canyon, which managed to keep operating for five more years and retain many jobs in California.

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THE MOMENTUM BROUGHT TO NUCLEAR IS CREATING CHANGE AND NEW STORIES WITHIN THE SEGMENT.

Seeking a healthier world and better prepared communities

ESG criteria are social, environmental, and governance committees that companies are making to demonstrate their pursuit of a positive impact on communities and the environment.

The importance of environmental stewardship is creating various ways in the United States to help communities address ecological and social problems. One such grant is the Environmental Justice Cooperative Problem-Solving Partnership Program (EJCPS).

The program provides financial assistance to eligible organizations working to address local environmental or public health problems in their communities. EJCPS assists grantees in building collaborative partnerships with other stakeholders, such as businesses, local industries, local governments, healthcare

ESG
Environmental Justice
THE IMPORTANCE OF ENVIRONMENTAL STEWARDSHIP IS CREATING VARIOUS WAYS IN THE UNITED STATES TO HELP COMMUNITIES ADDRESS ECOLOGICAL AND SOCIAL PROBLEMS.

providers, academic institutions, and others.

EPA's Collaborative Problem Solving Model for Environmental Justice is a requirement of the EJCPS Program for selected applicants or grantees. The case studies in the resources section highlight some of the successful strategies from previous projects.

Eligible entities to be part of the program are community-based nonprofit organizations; or partnerships of community-based nonprofit organizations.

EPA requires applications for projects supporting community-based nonprofit organizations in collaborating with other stakeholders to develop solutions that significantly address environmental or public health problems in communities disproportionately affected by environmental harm.

Two Executive Orders, EO 14008 and EO 13985, issued by the Joe Biden Administration,

seek to fulfill its goals and commitments. One of the main goals of the EPA and the Biden Administration is to achieve environmental justice and integrate it into the Agency's programs.

In 2022 the Inflation Reduction Act created the Environmental and Climate Justice Block Grant program in section 138 of the Clean Air Act (CAA). It endowed EPA with $2.8 billion in program grants for projects benefiting environmental justice communities.

This grant provides $30,000,000 in funding under the CAA through 83 cooperative agreements organized into two funding streams. The first is $25,000,000 to fund communitybased organizations proposing projects of up to $500,000 each. Approximately 50 grants of up to $500,000 each are anticipated. And the second seeks to provide $5,000,000 for small organizations with five or fewer full-time employees proposing projects of up to $150,000

ESG

$30,000,000 IN FUNDING UNDER THE CAA THROUGH 83 COOPERATIVE AGREEMENTS ORGANIZED INTO TWO FUNDING STREAMS. ANT TO BOOST THE DECARBONIZATION OF THE ENTIRE ECONOMY AND THE COMPETITIVENESS OF U.S. MANUFACTURERS.

each. Approximately 33 grants of up to $150,000 each are anticipated. Any of the projects will be funded for a three-year implementation period.

All applications must address at least one of the following five broad categories:

-community-led air and other pollution monitoring, prevention and remediation, and investments in resilient, low- and zero-emission technologies and related infrastructure and workforce development that help reduce emissions of greenhouse gases and other air pollutants;

· mitigation of climate and health risks from urban heat islands, extreme heat, emissions from wood heaters, and wildfires;

· climate resilience and adaptation;

· reducing toxins and indoor air pollution; or

· facilitating the participation of marginalized communities in local, state, and federal public processes, such as advisory groups, workshops, and rulemaking.

Leaders of decarbonization

Decarbonizing the industrial sector

The energy transition to renewable energies aims to achieve a low-emission global economy to reduce the climate crisis.

The decarbonization sought by all countries worldwide is creating the need for all governments to support advancing new technologies to transform the industrial sector. The U.S. Department of Energy, through the Clean Energy Demonstrations Office, released a Notice of Intent to provide $6.3 billion. It seeks to give the country a competitive advantage in the global race to lead in low-carbon and net zero-emissions manufacturing.

The project will be funded by President Biden's Bipartisan Infrastructure and Inflation Reduction Act. The anticipated funding announcement will include up to $5.8 billion from the Inflation Reduction Act and $500 million from the Bipartisan Infrastructure Act.

The Industrial Demonstrations Program aims to fund projects focused on the industries with the highest emissions and where decarbonization technologies could have the most significant impact: which are iron and steel, cement and concrete, chemicals and refining, food and beverage, paper and forest products, aluminum, other energy-intensive manufacturing industries, and cross-cutting technologies.

The Joe Biden administration seeks to rebuild U.S. leadership in the manufacturing sector through widespread demonstration and deployment of all of these projects within industries. This comes as countries, businesses, and consumers worldwide shift to low-carbon feedstocks to meet decarbonization commitments.

David Crane, director of the Clean Energy Demonstrations Office, stated, "Domestic manufacturing is the backbone of the U.S. economy. Accelerating the inevitable decarbonization of the nation's manufacturing sector will give a 'first-mover' advantage to American industry, thereby strengthening the technological and economic competitiveness of American industry, spurring innovation and economic growth, creating good-paying jobs

ESG
50% OF THE COST OF EACH CATALYST PROJECT WILL BE CONTRIBUTED BY OCED.

THE DECARBONIZATION SOUGHT BY ALL COUNTRIES

WORLDWIDE IS CREATING THE NEED FOR ALL GOVERNMENTS TO SUPPORT ADVANCING NEW TECHNOLOGIES TO TRANSFORM THE INDUSTRIAL SECTOR

for American workers, and enabling a clean and more equitable future for all Americans."

The industrial sector is considered one of the most difficult to decarbonize due to the different energy inputs, processes, and operations. Currently, industrial emissions account for one-third of the nation's carbon footprint. Moreover, these emissions come from heating fuel and electricity and carbon-intensive raw materials and processes.

50% of the cost of each project to catalyze impactful, scalable, and replicable demonstrations that will maximize emissions reductions, prioritize energy and environmental justice, and create goodpaying jobs will be provided by OCED. The Office of Energy Supply Chains and Manufacturing and OCED have worked together on this funding opportunity.

Just as decarbonization is essential, communities are vitally important. That's why the funding announcement will require each applicant to submit a community benefits plan to ensure that these projects benefit host communities and neighbors. The plan must consider community and workforce engagement; investment in the U.S. workforce; promotion of diversity, equity, inclusion, and accessibility; and implementation of the Justice40 Initiative.

ESG
DOMESTIC MANUFACTURING IS THE BACKBONE OF THE U.S. ECONOMY. ACCELERATING THE INEVITABLE DECARBONIZATION OF THE NATION'S MANUFACTURING SECTOR WILL GIVE A 'FIRSTMOVER' ADVANTAGE TO AMERICAN INDUSTRY
DAVID CRANE, DIRECTOR OF THE CLEAN ENERGY DEMONSTRATIONS OFFICE.

Innovation technologies to reach a net-zero carbon economy

The U.S. environmental commitment to a net-zero carbon economy has prompted several efforts by the Department of Energy.

ESG
Labor and environmental commitment

The U.S. Department of Energy, through the Office of Energy Efficiency and Renewable Energy, announced a $52 million funding opportunity (FOA) to accelerate domestic manufacturing research, development, and demonstration (RD&D). It also seeks to strengthen U.S. economic competitiveness and move toward a net zero carbon economy by 2050.

The Office of Advanced Materials and Technologies, led by the Office of Energy Efficiency and Renewable Energy, oversees the FOA. The funding seeks to spur innovation to develop next-generation materials and manufacturing technologies. In sum, the FOA will help fulfill the commitment to address the climate crisis, secure domestic supply chains, and position the country as a global clean energy economy leader.

In addition to having a green commitment, the U.S. government has a social responsibility. Manufacturing is the backbone of the U.S. economy. It provides millions of high-paying jobs for workers across the country.

Likewise, the manufacturing segment is the key to America's clean energy future. But meeting climate goals will require significant investments in R&D and innovation in nextgeneration manufacturing technologies. This will be necessary to build competitive, sustainable, resilient manufacturing systems and domestic supply chains.

The industry, construction, transportation, energy, and agriculture sectors will count on carbon footprint reduction. All this through technologies that will be supported by funding to advance the decarbonization of the entire economy.

The FOA includes the following thematic areas: Next Generation Materials and Manufacturing: This thematic area also has support from part of the Office of Electricity. The topic will focus on cost-effective manufacturing processes and developing new materials with improved properties, such as high strength, conductivity, or high performance under extreme conditions.

Specific subtopics include metallic material systems with enhanced conductivity, materials for harsh environments, and AI/auto-learning for aerostructures.

Safe and Sustainable Materials: Focuses on materials R&D to support establishing a circular economy, emphasizing materials and product design, development of recycling technologies, and reverse supply chain logistics. A specific area of focus is pilot-scale regional demonstrations of circular supply chains that include technological advances such as innovative materials recovery, end-of-life processing, and recycling.

Energy Technology Manufacturing: This is a thematic area co-funded by the Building Technologies Office. It focuses on innovation and manufacturing clean energy technologies to improve performance and address technical barriers. Specific sub-themes are the scale-up

IN ADDITION TO HAVING A GREEN COMMITMENT, THE U.S. GOVERNMENT HAS A SOCIAL RESPONSIBILITY.
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of building dehumidification and the development, scale-up, and demonstration of processing technologies to manufacture next-generation cathode active materials (CAMs) to manufacture domestic electric vehicle batteries.

Finally, the awards will be cooperative agreements with two to three years of implementation. The deadline for submission of concept papers is February 3, 2023, at 5 p.m. ET.

AMMTO has a fundamental social-ecological commitment to advancing energy-related materials and manufacturing technologies to increase national competitiveness and build a clean, decarbonized economy.

$52 MILLION FUNDING OPPORTUNITY TO ACCELERATE DOMESTIC MANUFACTURING RESEARCH, DEVELOPMENT, AND DEMONSTRATION TO MOVE TOWARD A NET ZERO CARBON ECONOMY BY 2050.

Mobility transformation

First plan to decarbonize the U.S. transportation sector

Promoting sustainable mobility and the ecological transition in all areas will lead to the decarbonization of industries, thereby helping to tackle the climate crisis afflicting the planet.

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TThe National Transportation Decarbonization Plan was developed by the Departments of Energy, Transportation, Housing and Urban Development, and the Environmental Protection Agency. This plan is a landmark strategy of the Biden-Harris Administration to reduce all greenhouse emissions from the transportation sector by 2050.

Addressing the climate crisis is essential to President Biden's commitment to ensure a 100% clean electric grid by 2035 and achieve zero net carbon emissions by 2050. The Bipartisan Infrastructure Act and the Inflation Reduction Act represent historic investments in the future of transforming mobility and housing while building a safer and more sustainable transportation system.

The MOU was signed by U.S. Secretary of Energy Jennifer M. Granholm, U.S. Secretary of Transportation Pete Buttigieg, U.S. Secretary of Housing and Urban Development Marcia Fudge, and Environmental Protection Agency Administrator Michael S. Regan. The plan will follow various more detailed decarbonization action plans, which will be developed and implemented by these agencies in cooperation with governments at the state, local or tribal level, philanthropic organizations, the private sector, and global partners.

Jennifer M. Granholm, U.S. Secretary of Energy, stated, "The domestic transportation sector presents an enormous opportunity to dramatically reduce emissions that accelerate climate change and reduce harmful pollution. DOE stands ready to implement

this plan with our partners in the Biden-Harris Administration to ensure that all Americans feel the benefits of the transition to clean transportation: good-paying manufacturing jobs, improved air quality, and lower transportation costs."

Pete Buttigieg, U.S. Secretary of Transportation, commented, "Transportation policy is inseparable from housing and energy policies, and transportation accounts for a significant share of U.S. greenhouse gas emissions, so we must work together in an integrated way to address the climate crisis. Every transportation decision

CREATE A COMPREHENSIVE SET OF STRATEGIES FOR AN IMPROVED AND SUSTAINABLE TRANSPORTATION FUTURE.

is also an opportunity to build a cleaner, healthier, and more prosperous future. When our air is cleaner; when more people can get good-paying jobs; when everyone stays connected to the resources they need and the people they love, we're all better off."

"At EPA, our priority is to protect public health, especially in overburdened communities, while advancing the President's ambitious climate agenda. This plan is a step forward in meeting

DOE STANDS READY TO IMPLEMENT THIS PLAN WITH OUR PARTNERS IN THE BIDEN-HARRIS ADMINISTRATION TO ENSURE THAT ALL AMERICANS FEEL THE BENEFITS OF THE TRANSITION TO CLEAN TRANSPORTATION: GOOD-PAYING MANUFACTURING JOBS, IMPROVED AIR QUALITY, AND LOWER TRANSPORTATION COSTS

JENNIFER

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those goals and accelerating the transition to a clean transportation future," stated Michael

The transportation sector, including all modes of travel, is responsible for one-third of all greenhouse gas emissions in the country. These gases negatively affect the health and well-being of millions of Americans, particularly those living in disadvantaged communities.

In addition, transportation costs are the second most considerable annual household expense in the United States. For the poorest residents, the financial burden of transportation is disproportionately high and unsustainable.

All of this is to say that a well-planned transition

to a decarbonized transportation system can provide equitable, affordable, and accessible options for transporting people and goods. Creating good-paying jobs and strengthening America's energy independence will come with developing and deploying clean energy technologies, such as electric vehicles, hydrogen, and sustainable fuels, and supporting infrastructure for clean transportation.

The plan is critical in the ongoing collaboration among DOE, DOT, EPA, HUD, and stakeholders. It will be followed by more detailed sector action plans to create a comprehensive set of strategies for an improved and sustainable transportation future.

United States and Japan: Working on Global Energy Security

Idaho National Laboratory developed a device to test experiments with advanced reactor fuels at its Transient Reactor Test Facility (TREAT).

The project to build the new experimental device is a joint venture between the United States and Japan. This facility will conduct the world's first transient test of fast reactor fuels in over two decades.

The specialized device houses fuel experiments at TREAT, simulating fast reactor conditions during postulated accident conditions. It also contains the state-of-the-art instrumentation necessary to monitor the real-time fuel response to these conditions. In addition, the laboratory recently completed initial testing of the newly developed capsule.

TREAT is one of the few reactors designed to cause nuclear fuels to fail in a controlled environment. The test reactor produces sudden bursts of energy, known as transients, five times more powerful than a commercial power plant to allow scientists to examine fuel performance.

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THE ENERGY SECURITY SOUGHT BY EVERY COUNTRY CREATES NEW METHODS AND RESEARCH.

Photo: inl.gov

Scientists focus on transient experiments with high burnup materials archived from historical EBR-II irradiation tests. These tests include the mixed oxide fuel used by Japanese and French fast reactor designs and the metal alloy fuel preferred by the United States. The lab has reused fuel pins inherited from its old EBR-II reactor to achieve the experimental commissioning tests.

The energy security sought by every country creates new methods and research. That's why the

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THE EXECUTION OF THESE UNIQUE EXPERIMENTS IS AN IMPORTANT STEP TOWARD DEVELOPING WORLDWIDE CONFIDENCE IN THE IMPROVED PERFORMANCE AND SAFETY OF ADVANCED NUCLEAR REACTOR TECHNOLOGIES
DR. DANIEL WACHS, NATIONAL TECHNICAL DIRECTOR OF THE U.S. ADVANCED FUELS CAMPAIGN.
Photo: inl.gov

experiments help global research on fast reactor fuel safety and are part of a four-year cost-sharing initiative for the facilities conducted by the U.S. Department of Energy and the Japan Atomic Energy Agency. It will all be done within the Civil Nuclear Energy Research and Development Working Group framework.

In more than 20 years worldwide, no such irradiated transient experiments of this kind have been seen. Hence the importance of the INL capsule, which also brings new testing capabilities to TREAT that will help advance fuel performance research for sodium-cooled fast reactors.

"The execution of these unique experiments is an important step toward developing worldwide confidence in the improved performance and safety of advanced nuclear reactor technologies. It is also a remarkable example of how critical international collaborations will enable the next generation of energy technology development," said Dr. Daniel Wachs, national technical director of the U.S. Advanced Fuels Campaign.

The collaboration between DOE and JAEA has been going well for decades. The two countries had already conducted such tests with high burnup reactor fuels in the late 1980s. Now, the international team is conducting tests to complete the development of advanced technologies first envisioned more than 30 years ago. Their work will enable deployment and provide a launching point for further collaborations with emerging reactor developers.

INL expects the first transient test to begin in February, and they are currently working on loading the first of four irradiated fuel experiments at TREAT.

Goodbye PET, hello ecological transition

Scientists at the National Renewable Energy Laboratory (NREL) discovered enzymes that could make it cheaper to recycle textile waste and polyester bottles instead of making them from petroleum.

One of the main contributors to climate change is plastic waste, which chokes our waterways, pollutes our oceans, kills wildlife, and infiltrates our food chain. This climate crisis has prompted countries worldwide to look for ways to combat the pollution produced over the years.

A team of scientists at NREL discovered variants of "plastic-eating" enzymes adapted to destroy all varieties of PET, even the crystalline and durable ones. Gregg Beckham, the principal investigator at the National Renewable Energy Laboratory, commented, "The research community is developing promising alternatives, including enzymes designed to depolymerize PET."

Using advanced machine learning and synthetic biology methods, this group of scientists were able to discover new enzyme variants that can deconstruct all PET, even the most rigid PET, without the need to go through any further processing. In addition to the environmental contribution, a change would be seen economically because, thanks to this discovery, it could be cheaper to recycle PET than to

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THEY ARE LOOKING TO FIND WAYS TO MAKE THE PROCESS CHEAPER, GREENER, AND MORE PROLIFIC FOR THE ENVIRONMENTAL COMMITMENTS OF THE PARIS AGREEMENT.

WE ARE REACHING A POINT WHERE COLLABORATIVE SCIENCE HAS ENORMOUS POTENTIAL TO ACCELERATE THE DEVELOPMENT AND DEPLOYMENT OF ENZYME-BASED SOLUTIONS AT SCALE

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manufacture it from scratch with petroleum.

Nature is so magnificent that it provides a way to return PET to its essential elements. This is where the concept of enzymatic recycling came to the fore. In 2016 Japanese scientists discovered a bacterium called "ideonella sakaiensis," breaking down old plastic bottles outside a recycling plant in Japan. John McGeehan, a scientist who led the team's contribution from the University

of Portsmouth (UoP), said, "We are reaching a point where collaborative science has enormous potential to accelerate the development and deployment of enzyme-based solutions at scale."

However, rapid technological advances hit a crucial hurdle at the industrial level. Enzymes were only effective on a small percentage of PET products, but there were deconstruction difficulties for crystalline varieties. They could only accomplish the process if they were softened with extra heat and energy. And thanks to advances in bioinformatics and machine learning, a new search for enzyme sequences for crystalline PET began.

Japheth Gado, a computer scientist at NREL, built a statistical model to learn the biological rules of known plastic-deconstructing enzymes. With 3D renderings provided by DeepMind, researchers provided valuable clues about how the plastic-deconstructing enzymes in PET act. "This will allow us to improve the protein-engineered enzymes and find other enzymes in nature that are similar in terms of performance," Gado added.

This research is being funded by the U.S. Department of Energy's Offices of Advanced Manufacturing Technologies and Bioenergy. And they are looking to find ways to make the process cheaper, greener, and more prolific for the environmental commitments of the Paris Agreement.

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