The Big Story 

The Biden administration’s new proposed rules for which electric vehicles (EV) qualify for Inflation Reduction Act tax credits seek a balancing act between avoiding reliance on China and slowing down the transition. 

© Getty

The rules on “foreign entities of concern,” which are ineligible for the credits, disqualify entities whose boards are at least 25 percent controlled by China or other affected countries, which include North Korea, Iran and Russia.

The rules, set to take effect in January, represent a tightrope the administration has attempted to walk that creates domestic jobs while running up against China’s market dominance for much of the refining and production of critical minerals used in batteries.

White House renewable energy adviser John Podesta struck an optimistic note, telling reporters the rules will “support good-paying U.S. jobs … paving the way for an electric transportation future that’s built here in America.” 

Read more at TheHill.com.

Welcome to The Hill’s Energy & Environment newsletter, we’re Rachel Frazin and Zack Budryk — keeping you up to speed on the policies impacting everything from oil and gas to new supply chains.

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Essential Reads 

How policy will affect the energy and environment sectors now and in the future:

Manchin blasts exemptions in Biden administration rule on foreign EV parts

UN chief calls on world leaders to plan for future without fossil fuels

COP28 host faces scrutiny over oil ties, human rights as global climate talks kick off

In Other News 

Branch out with a different read from The Hill:

DOJ asked to investigate water utility hack

Three members of Pennsylvania’s congressional delegation have asked the Department of Justice to investigate how foreign hackers breached a water authority near Pittsburgh, which prompted warnings to other water treatment facilities.

What We’re Reading 

News we’ve flagged from other outlets touching on energy issues, the environment and other topics:

• Climate Change Drives New Cases of Malaria, Complicating Efforts to Fight the Disease (The New York Times)

   

• Exploding Carbon-Credit Market Helps Brazil Regrow Rainforest (The Wall Street Journal)
  
  

• California Supreme Court rules against case seeking damages from utility over its planned power outages (Santa Rosa Press-Democrat)

On Our Radar 

Upcoming news themes and events we’re watching:

 Saturday

• Vice President Harris is expected to appear at the COP28 summit and deliver remarks on climate change

Tuesday

• The House Energy and Commerce Committee is slated to hold a hearing titled “Leading a New Era of Energy Dominance, Security, and Environmental Stewardship.”
  
  

• The House Natural Resources Committee will hold a hearing on opportunities for tribal land management
  
  

• The House Natural Resources Committee will hold a hearing examining the National Parks Air Tour Management Program

Wednesday

• The Senate Environment and Public Works Committee will hold a hearing on the Bipartisan Infrastructure Law’s investments in habitats and ecosystems. The director of the Fish and Wildlife Service is slated to testify.

What Others are Reading 

Two key stories on The Hill right now:

5 takeaways from the fiery DeSantis-Newsom debate on Fox

Florida Gov. Ron DeSantis (R) and California Gov. Gavin Newsom (D) went head-to-head in a Fox News debate Thursday as the governors — one a current presidential contender and the other seen as a future White House prospect — clashed over their records and policy. Read more

House expels George Santos in historic vote

The House voted Friday to expel Rep. George Santos, ending the New York Republican’s tumultuous tenure in Congress and officially etching his name in the history books as the sixth lawmaker ever to be ousted from the lower chamber. Read more