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Exclusive: White House signals "clean" standard push in budget reconciliation

The White House hopes to use the filibuster-proof budget reconciliation process to mandate that power companies supply escalating amounts of zero-carbon electricity, a memo from two top aides obtained by Axios shows.

Why it matters: The policy, called a "clean energy standard," is a priority for environmentalists, and the memo comes as activists fear infrastructure talks will leave major climate measures on the cutting room floor.


  • President Biden has set a target of achieving 100% carbon-free U.S. power by 2035.
  • A CES would help meet that goal by requiring that growing percentages of power sales over time come from sources like renewables and nuclear power.

Driving the news: The memo promotes environmental pieces already in the bipartisan infrastructure outline, touting climate measures "embedded throughout" the framework.

But it also lists other steps President Biden supports through the budget process.

  • That includes, per the memo from domestic climate chief Gina McCarthy and senior adviser Anita Dunn, "sending a market signal that brings additional private investment off the sidelines and into modernizing our electric grid through an Energy Efficiency and Clean Electricity Standard."
  • The memo also lists $10 billion for "mobilizing the next generation of conservation and resilience workers" and touts the idea of a "Civilian Climate Corps" to achieve it.
  • Another goal is expanded clean energy tax credits, which Biden has cited repeatedly as a priority for the reconciliation bill Democrats plan to craft.

Our thought bubble: The memo is the latest step in the delicate and uncertain push to build support for the bipartisan plan, while also appealing to climate-focused lawmakers and activists who want much more.

  • The sections touting grid, clean water and transit investments in the bipartisan outline mirror other sales pitches earlier this week.
  • Meanwhile, the pledges around the CES and other provisions could help reassure Biden's left flank.
  • The "Civilian Climate Corps" is a priority for the Sunrise Movement, but they're seeking much more funding than Biden has floated.
  • The memo also argues provisions in the bipartisan outline — like cleaning abandoned mines — and reconciliation ideas will boost union jobs.

Catch up fast: Biden recently abandoned threats to veto the bipartisan plan unless a much larger, Democrats-only reconciliation package moves too.

But both packages — which have yet to even be unveiled in legislative form — face extremely high political hurdles.

What we're watching: How a CES could fit within reconciliation, which is meant for revenue-related measures but not general policy ideas.

The groups Evergreen Action and Data for Progress released a proposal in February about CES designs consistent with that process.

The intrigue: The memo, while citing Biden's reconciliation goals, leaves wiggle room.

  • It offers a commitment to pushing priorities outside the bipartisan plan "through additional congressional action, including budget reconciliation, to ensure we build back our economy and country better."
  • However, even corralling 51 Senate votes for those efforts is a challenge, let alone the 60 needed for traditional legislation.

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Podcast: Congress is now debating an increase to $15 per hour

The federal minimum wage has been $7.25 per hour since 2009, which works out to just about $15,000 per year at 40-hour weeks, without any vacation days. Congress is now debating an increase to $15 per hour as part of the next round of economic stimulus, but there is plenty of opposition.

Axios Re:Cap digs into the economics and politics of the federal minimum wage, on which it seems everyone has an opinion.

Trump targets Liz Cheney and other Republicans as "weak" in new escalation of GOP civil war

Addressing a huge crowd of loyal supporters south of the White House, President Trump declared that he will never concede to Joe Biden and attacked "weak Republicans" — calling out "the Liz Cheneys of the world" — for failing to support his efforts to overturn the results of the election.

Why it matters: It's a new escalation in Trump's war against the GOP, which has pitted Senate Majority Leader Mitch McConnell and other mainstream Republicans against the most popular figure in the party. Cheney is a member of House Republican leadership, meaning that Minority Leader Kevin McCarthy will likely be forced to respond.

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In photos: The countries facing massive COVID surges

Laos, Nepal and Thailand are among several countries now facing steep surges in COVID-19 cases that threaten to overwhelm their health care systems.

The big picture: The scale may be less than India's, but Bloomberg analysis of Johns Hopkins University data shows the percentage jump in coronavirus caseloads recorded in the past month compared to the previous one in these nations is much higher than in the world's second-most populous country.

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