Legislation to define natural gas, propane as ‘clean energy’ heads to governor

By Rebecca Thiele, IPB News | Published on in Business, Environment, Government, Politics
The entrance sign to AES Indiana's Petersburg Generating Station. In the background of the image are a line of trees and two smoke stacks stretching into the sky behind them.
AES Indiana plans to convert the Petersburg Generating Station from coal to natural gas. If Senate Bill 178 becomes law, its possible it could open up the plant to receive clean energy grant funding. (Courtesy of Google Maps)

A bill to define natural gas and propane as clean energy sources is awaiting the governor’s signature. House lawmakers passed Senate Bill 178 on Monday.

The author said it would allow Indiana to use federal clean energy grants to fund natural gas and propane projects. But environmental groups have said that’s unlikely — because most federal grant programs don’t define it that way.

They also say that — while natural gas is less dirty than coal — it still shouldn’t be considered “green.” Natural gas produces methane — a greenhouse gas 28 times more potent than carbon dioxide.

READ MORE: Natural gas, propane would be considered ‘clean energy’ if Senate bill becomes law

Ohio passed similar legislation in 2022 in an attempt to help companies meet ESG standards. Those are policies that consider the environmental or social impacts of their investments.

Rebecca is our energy and environment reporter. Contact her at [email protected] or follow her on Twitter at @beckythiele.

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