in Nebraska

Fiscal Budgets Nebraska state budget and finances Tax policy in Nebraska Finance Financial regulation in Nebraska Pensions Public pensions in Nebraska Pension health in Nebraska Civil liberties Affirmative action in Nebraska Campaign finance requirements in Nebraska Campaign finance requirements for Nebraska ballot measures Nonprofit regulation in Nebraska Education Charter schools in Nebraska Higher education in Nebraska Public education in Nebraska School choice in Nebraska Elections Ballot access Ballot access requirements for political candidates in Nebraska Ballot access requirements for political parties in Nebraska Political parties in Nebraska Ballot access requirements for presidential candidates in Nebraska Redistricting in Nebraska Voting in Nebraska Energy andEnvironment Energy policy in Nebraska Fracking in Nebraska Oil and gas extraction on federal land in Nebraska Endangered species in Nebraska Environmental policy in Nebraska Healthcare Healthcare policy in Nebraska Medicaid spending in Nebraska Effect of the Affordable Care Act in Nebraska Immigration Immigration in Nebraska

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Fracking in the U.S.
Energy policy in the U.S.
State fracking policy
State energy policy
Glossary of energy terms

Energy policy involves governmental actions affecting the production, distribution, and consumption of energy in a state. Energy policies are enacted and enforced at the local, state, and federal levels and may change over time. These policies include legislation, regulation, taxes, incentives for energy production or use, standards for energy efficiency, and more. Stakeholders include citizens, politicians, environmental groups, industry groups, and think tanks. A variety of factors can affect the feasibility of federal and state-level energy policies, such as availablenatural resources, geography, and consumer needs.

This article outlines state-level oil and gas regulations, renewable energy programs, oil and gas production, energy usage, energy and electricity prices, fuel taxes, and utilities in Nebraska.

See the tabs below for further information:

1. Policy: This tab provides information about state regulations on energy production and policies related to oil and gas production, fracking, renewable energy generation, energy efficiency, and net metering.
2. Production: This tab provides information about total energy production by energy source in Nebraska.
3. Usage: This tab presents information about electricity consumption by energy source.
4. Prices and taxes: This tab presents information about average energy and electricity prices, per capita spending on energy, and fuel taxes.
5. Utilities: This tab presents information about public and private utilities, electricity markets, the types of utilities in Nebraska, and the electric reliability organizations in Nebraska.
6. Background: This tab provides information about the types of nonrenewable and renewable energy sources produced and used in the United States, an energy profile of Nebraska, a state profile of Nebraska from theAlmanac of American Politics (2016), and economic indicators in the state, such as median income.

Policy

State regulations

The Nebraska Oil and Gas Conservation Commission has regulatory authority overoil andnatural gas operations in the state. State rules and regulations cover the drilling of all wells used for oil or gas exploration, the spacing of wells, permitting requirements for oil and gas operators,injection wells used to enhance oil and gas recovery or to dispose of wastewater, the cementing and plugging of wells, the underground storage of natural gas, the prevention of well blowout and leaks, well restoration, reporting requirements, and more. All Nebraska rules and regulations related to oil and gas operations can be accessedhere.^[1]

Fracking

See also:Fracking in Nebraska

The Nebraska Oil and Gas Conservation Commission is responsible for regulatinghydraulic fracturing (also known as fracking) in Nebraska. The commission enforces regulations for the reporting and disclosure of the types of fluids used in fracking and at what volume, a description of each chemical additive used in fracking, the maximum amount of surface and injecting pressure used during the process, well safety, and other information considered necessary by the commission for the regulation of fracking. More detailed information on oil and gas rules and regulations can be found inChapter 3, Section 42 of the Oil and Gas Code.^[2]

Renewable energy policies

States have implemented funding and financial incentive programs to subsidize or otherwise increase investment inrenewable energy resources such aswind,solar, andhydroelectric power. These programs includerenewable portfolio standards, grants, rebate programs, tax incentives, loans, performance-based incentives, and more. The aim of the policies generally involves reducing the cost of renewable energy production for consumers, reducing regulatory compliance costs, reducing investment risks involving renewable energy, and/or increasing the adoption of renewable energy sources by individuals and businesses.^[3]

Renewable Portfolio Standard

See also:Renewable Portfolio Standard

ARenewable Portfolio Standard (RPS), also known as a renewable electricity standard, is a mandate intended to increase the amount ofrenewable energy production and use. Under these standards, a utility company can be required by a state to have a certain percentage of its electricity come from certainrenewable energy resources. In addition, states may give tax credits to utility companies to fulfill these requirements.^[4][5]

As of February 2017, Nebraska was one of 20 states that did not have a Renewable Portfolio Standard or a voluntary renewable energy standard or target.^[6]

Grant programs

States, nonprofit organizations, and/or private utilities may operate grant programs for renewable energy. These programs may include state or private funding for energy installation costs, research and development, infrastructure and business development, system testing, and renewable energy feasibility studies (studies that look into the potential for renewable energy use in specific areas). Grants can be provided with or without requiring a recipient to match the grant. Additional incentives, such as lower interest loans, may be included with a grant.^[3]

As of March 2015, Nebraska was one of 26 states that did not have state-run, utility-run, or locally run grant programs for renewable energy. See the map below for grant programs by state.^[3]

States with grant programs for renewable energy as of March 2015 (Source:Environmental Protection Agency)

Loan programs

Loan programs may be used to offer lower interest loans or other financing options to individuals and businesses to reduce the upfront costs of purchasing and installing renewable energy technologies. Loan programs may include programs that use payments from earlier borrowers to provide loans for new borrowers, programs in which building owners reduce their energy consumption to pay their upfront costs for renewable energy technologies, and programs that allow individuals with a higher debt-to-income ratio to purchase homes that use less energy, among others.^[3]

As of March 2015, Nebraska was one of 36 states with a state-run loan program for renewable energy technologies. The Nebraska Energy Office administers the Nebraska Dollar and Energy Savings Loan program, which provides loans to residential and commercial customers of electricity. Eligiblerenewable energy projects include photovoltaicsolar energy,wind energy, solar water heating, and fuel cells powered by renewable energy. Other renewable energy projects are eligible if an energy audit shows that a proposed project will result in energy savings and payback of the loan. The State Energy Office operates the loan with Nebraska banks, credit unions, and savings and loan institutions, which must receive approval from the state to provide loans. From 1990 (when the program was enacted) to August 2011, the program distributed around $250 million for approximately 26,000 projects.^[3][7]

A complete list of state, local, and private incentive, loan, grant, and assistance programs for renewable energy and energy efficiency in Nebraska can be foundhere.

See the map below for renewable energy loan programs by state.

States with loan programs for renewable energy as of March 2015 (Source:Environmental Protection Agency (EPA)

Energy efficiency regulations

As of February 2017, Nebraska required all new residential and commercial buildings to meet energy efficiency standards. All residential and commercial buildings must meet energy efficiency standards for heating, ventilating, air conditioning, water heating, and lighting found in the 2009 International Energy Conservation Code.^[6][8]

Net metering

Net metering is a billing system in which customers who generate their own electricity, usually usingrenewable sources (such assolar panels) are able to sell their excess electricity back to the electric grid, which is an interconnected network that is used to deliver electricity. This requires electricity to be able to flow both to and from a consumer.^[9][10][11]

As of October 2016, Nebraska was one of 41 states with a statewide net metering policy. In 2009, theNebraska State Legislature enacted statewide net metering rules for all electric utilities in the state. Utilities must provide net metering to customers with a qualified facility. Qualified facilities must generate electricity fromsolar energy, landfillmethane gas,wind energy,biomass,hydroelectric power, orgeothermal energy at a capacity of 25 kilowatts (kW) or below. For a complete list of net metering programs by state, clickhere.^[6][12][13]

Recent legislation

The following is a list of recent energy policy bills that have been introduced in or passed by theNebraska State Legislature. To learn more about each of these bills, click the bill title. This information is provided byBillTrack50 andLegiScan.

Note: Due to the nature of the sorting process used to generate this list, some results may not be relevant to the topic. If no bills are displayed below, no legislation pertaining to this topic has been introduced in the legislature recently.

Ballot measures

Energy policy ballot measures

See also:Energy on the ballot andList of Nebraska ballot measures

Ballotpedia has not covered any ballot measures relating to state and local energy policy in Nebraska.

Utility policy ballot measures

See also:Local utility tax and fees on the ballot

Ballotpedia has not covered any ballot measures relating to local utility tax and fees in Nebraska.

Production

The sections below include statistics on total energy production in Nebraska, oil and natural gas production in Nebraska, oil and gas production in Nebraska over time (2004-2014), and oil and gas production onfederal land, including the amount of federal land leased in Nebraska for production.

Total energy production

The table below provides information regarding energy production in Nebraska in British thermal units (Btu). A British thermal unit is used to measure the heat contained in different fuels. The U.S. Department of Energy defines a Btu as "the quantity of heat required to raise the temperature of 1 pound of liquid water by 1 degree Fahrenheit." Fuels are discussed in terms of Btu to compare fuels with different energy content and prices. For example, one gallon of gasoline equals 120,524 Btu.^[14]

Nonrenewable energy production

The table below provides information regarding nonrenewable energy production in Nebraska. For coal data, the phraseproductive capacity refers to the maximum amount of coal that could be expected to be produced in 2014. The natural gas and crude oil production data refer to the amounts of natural gas and crude oil produced in December 2014 and April 2016, respectively.^[15][16]

Oil and gas production (2004-2014)

Note: This section provides information about oil and gas production on private and state-owned lands. Information onoil and gas production on federal lands is accessible here.

The graph and table below provide information about crude oil production in Nebraska. Information from select surrounding states is provided for comparative purposes.^[17]

The graph and table below provide information about natural gas production in Nebraska. Information from select surrounding states is provided for comparative purposes.^[18]

Oil and gas production on federal land

See also:Oil and natural gas extraction on federal land

The federal government leases federally managed land to private individuals and companies for energy development, includingcrude oil andnatural gas drilling,solar energy development, andgeothermal energy development. Approximately 166 million acres of federal land were available to be leased for energy development as of December 2014. TheU.S. Bureau of Land Management (BLM) is responsible for regulating oil and gas drilling on federal lands in the United States.^[19][20]

The table below provides information about oil and natural gas production on federal lands in Nebraska in 2014. Information from select surrounding states is provided for comparison.^[21][22]

Land leased

Private oil and natural gas companies apply for leases from theU.S. Bureau of Land Management (BLM) to develop energy resources on federal lands. After a lease is approved, the company must submit information to the BLM about how it will conduct its drilling and production operations. The BLM also inspects a company’s operations during production.^[23]

The table below provides information about oil and gas producing leases and acres on federal lands in Nebraska from 2013 to 2015. Information from select surrounding states is provided for comparison.

Energy usage

The section below includes statistics on electricity consumption in the state by energy type (in 2014).

Consumption

The table below provides information about energy consumption by source in Nebraska in 2014. Information from select surrounding states is provided for comparison.^[15]

Prices and taxes

The sections below include information on energy prices and spending in Nebraska, fuel taxes and state taxes in Nebraska and in neighboring states, and an overview of the federal tax on gasoline.

Energy prices

The price of electricity is affected by supply and demand. The supply of electricity is affected by fuel prices, environmental and energy regulations, power plant capacity, weather, and other factors. Demand for electricity also affects the price. Because electricity cannot be stored for long periods of time, it must be produced and used when it is needed. As demand for electricity increases, the price also generally increases.^[24][25]

The table below provides information about energy prices in Nebraska as of April 2016. Information from select surrounding states is provided for comparison.^[15]

Electricity prices can vary depending on the type of consumer; consumer categories include residential, commercial, industrial, and in some cases, transportation. The rate-making process is both political and economic. The table below presents information about electricity prices by consumer type in Nebraska in April 2016. Information from select surrounding states is provided for comparison.

Energy spending

The table below provides information about energy spending in Nebraska as of 2014. Information from select surrounding states is provided for comparison.

Fuel taxes

Click to enlarge.

Revenue collected by federal, state, and local governments from fuel taxes is usually used to fund transportation infrastructure such as roads and bridges. Some states may charge anexcise tax based on how much gas or diesel is purchased. Some states may charge retail tax based on the average price of gas over a certain period. Additionally, some states may charge an environmental tax to be used for environmental projects. TheTax Foundation, which created the map to the right, used data from the American Petroleum Institute, which converted each state's different tax structure into cents per gallon to compare each state's gas taxes. In 2016, gas taxes accounted for 23 percent of the price of gasoline. Crude oil accounted for 40 percent of the price of gasoline,refining accounted for 24 percent of the price, and distribution and marketing accounted for 13 percent of the remainder.^[26][27]

The table below provides information about state fuel taxes by type (excluding the federal gas taxes) in Nebraska as of January 2016. As of January 2016, Nebraska levied a 27.7 cent state gasoline tax and a 27.1 cent state diesel tax. Nebraska ranked 28th highest in total gasoline taxes (federal and state) and 28th highest in total diesel fuel taxes as of January 2016.^[28][29]

Federal tax

The first federal tax on gasoline was proposed by Secretary of the Treasury Ogden L. Mills under President Herbert Hoover (R) as a revenue generating measure to balance the budget during the Great Depression. A 1-cent tax per gallon of imported gasoline and fuel oil was passed as part of the Revenue Act of 1932 and signed by President Franklin D. Roosevelt (D). The 1-cent tax continued until 1951 when the tax was increased to 2 cents in part to raise revenue during the Korean War. In 1956, the tax was raised to 3 cents to fund the Interstate Highway System. During this time, the Highway Trust Fund was created as a means to fund highway construction. Since 1956, there have been increases to the tax. As of April 2016, the gas tax was last raised by PresidentBill Clinton (D) in 1993 to 18.4 cents per gallon.^[30]

Utilities

The sections below include general information on utilities, an overview of utilities and electricity markets, information on the types of utilities in Nebraska, an overview of electricity reliability organizations (EROs), and the EROs that oversee electricity in Nebraska.

Background

Utilities are firms that own and/or operate facilities to generate, transmit, and/or distribute electricity, gas, and/or water to the public. Electric utilities are commercial entities that own and operate facilities to generate, transmit, and distribute electricity to the public and/or the industrial sector. State and local regulators oversee transmission and distribution charges. Local utilities read electric meters and bill individuals or businesses, generally on a monthly basis.^[31][32]

Utilities are defined differently in each state and in federal legislation. Two general types of utilities are private and public utilities. Private utilities, commonly known as investor-owned utilities, provide stocks to investors and sell bonds. These utilities are regulated by state regulatory agencies. State agencies are also responsible for setting retail rates charged by investor-owned utilities, overseeing utility infrastructure, and ensuring that investor-owned utilities respond to customer service demands. Public utilities include government or municipally owned utilities. Another type of utility is an electric cooperative. Cooperatives are nonprofit businesses voluntarily owned and managed by the individuals and businesses that use their services. They are commonly used in rural areas that do not have access to a larger state or region-wide electric grid.^[32]

Electricity markets

Electricity markets in each state are defined as regulated or deregulated. A regulated market includes utilities that own and manage the power plants that generate the electricity, the electricity transmission lines, and the distribution equipment (such as wires and electric poles). In addition, the utilities rates are approved and regulated by local and state agencies. A deregulated market requires utilities to divest ownership in the generation and transmission of electricity. In this market, utilities oversee the interconnection from a meter at a household or business to the power grid and is responsible for billing ratepayers.^[33][34]

Electric reliability organizations

TheEnergy Policy Act of 2005 required theFederal Energy Regulatory Commission (FERC) to designate an electric reliability organization (ERO) for the United States. An ERO oversees the reliability of a nation's electric grid. In 2006, FERC granted authority to the North American Electric Reliability Corporation (NERC) to develop and enforce grid reliability standards for the United States. NERC, a self-regulated nonprofit corporation, is authorized to enforce grid reliability standards for all users, owners, and operators of the U.S. electrical system.^[35]

NERC works with eight regional reliability organizations to oversee the U.S. electrical system. These organizations, known as regional entities, are composed of officials from investor-owned utilities, federal power agencies, electric cooperatives, and state and municipal utilities. Regional entities enforce NERC and regional reliability standards. Further, they forecast electricity demand and coordinate operations with other regional entities.^[36]

Nebraska EROs

As of February 2017, the Midwest Reliability Organization (MRO) was the NERC-affiliated corporation that oversees electricity in Nebraska. The MRO conducts studies and assessments of the electricity grid, conducts long-term planning, and develops regional standards for electricity reliability.^[37]

Background

The sections below include an overview of the types of renewable and nonrenewable energy produced and consumed in the United States, an energy profile of Nebraska (from theU.S. Energy Information Administration), a general profile of Nebraska (from the 2016 edition of theAlmanac of American Politics), and various economic indicators in Nebraska.

Background on energy resources

Nonrenewable energy sources, such ascoal,oil, andnatural gas (sometimes known as fossil fuels), and renewable sources, such ashydropower,wind,biofuels, andsolar energy, are produced in each state, though at different levels depending on a state's geography, energy consumption, and the raw materials available in a particular state. For example, several states do not have coal, oil, and/or natural gas resources. States that lack these resources import these fuels.^[38]

According to theU.S. Department of Energy, oil, coal, and natural gas comprise the majority of the resources used to generate power in the United States. In 2014, the top five energy-producing states were the top five fossil fuel-producing states—Texas,Wyoming,Pennsylvania,Louisiana, andWest Virginia. These states' fossil fuel production accounted for approximately 42 percent of U.S. energy production in 2014. States with fewer coal, oil, and natural gas resources generally consume less energy. In 2014, the bottom five energy-producing states—Rhode Island,Delaware,Hawaii,Nevada, andNew Hampshire—produced 0.2 percent of U.S. energy and consumed approximately 2 percent of total U.S. energy.^[38]

The production ofbiofuels (liquid fuels created from plant or plant-derived materials) is generally concentrated in the Midwest—states such asIllinois,Iowa,Nebraska, andSouth Dakota) given the region's agricultural production of crops such as corn, which is used to makeethanol, a biofuel that can be blended with gasoline and used as a transportation fuel.^[38]

Other renewable sources are used to generate power in the states include hydroelectric power, which accounted for about half of all renewable energy production in the United States in 2014.^[38]

Nebraska energy profile

As of 2015,crude oil was produced in Nebraska, and the state's reserves accounted for less than 0.1 percent of total U.S. proved oil reserves. In addition, the state did not have crude oil refineries. Petroleum pipelines in Nebraska deliver crude oil from Western states, such asWyoming, to oil refineries in the Midwest. In 2014, approximately 40 percent of the petroleum consumed in Nebraska was diesel fuel, which is used by Nebraska farmers during agricultural production.^[15]

In 2015, Nebraska produced less than 500 million cubic feet ofnatural gas from fewer than 150 producing wells, according to theU.S. Energy Information Administration. Nebraska relied mainly on interstate delivery of natural gas to meet demand as of 2015.^[15]

As of 2015,coal-fired power plants accounted for approximately 60 percent of the state's net electricity generation.Nuclear power accounted for around 25 percent. Other sources of electricity in Nebraska includedwind energy,natural gas,hydroelectric power,biomass, andpetroleum.^[15]

State profile

Presidential voting pattern

See also:Presidential voting trends in Nebraska

Nebraskavoted Republican in all seven presidential elections between 2000 and 2024.

Pivot Counties (2016)

Ballotpedia identified 206 counties that voted forDonald Trump (R) in 2016 after voting forBarack Obama (D) in 2008 and 2012. Collectively, Trump won thesePivot Counties by more than 580,000 votes. Of these 206 counties, one is located in Nebraska, accounting for 0.5 percent of the total pivot counties.^[39]

Pivot Counties (2020)

In2020, Ballotpedia re-examined the 206 Pivot Counties to view their voting patterns following that year's presidential election. Ballotpedia defined those won by Trump won asRetained Pivot Counties and those won byJoe Biden (D) asBoomerang Pivot Counties. Nationwide, there were 181 Retained Pivot Counties and 25 Boomerang Pivot Counties. Nebraska had one Retained Pivot County, 0.55 percent of all Retained Pivot Counties.

More Nebraska coverage on Ballotpedia

• Elections in Nebraska
• United States congressional delegations from Nebraska
• Public policy in Nebraska
• Endorsers in Nebraska
• Nebraska fact checks
• More...

Economic indicators

See also:Economic indicators by state

Nebraska's GDP increased by 0.7 percent in 2014. Click the image to view a larger version.

Broadly defined, a healthy economy is typically one that has a "stable and strong rate of economic growth" (gross state product, in this case) and low unemployment, among many other factors. The economic health of a state can significantly affect its healthcare costs, insurance coverage, access to care, and citizens' physical and mental health. For instance, during economic downturns, employers may reduce insurance coverage for employees, while those who are laid off may lose coverage altogether. Individuals also tend to spend less on non-urgent care or postpone visits to the doctor when times are hard. These changes in turn may affect the decisions made by policymakers as they react to shifts in the industry. Additionally, a person's socioeconomic status has profound effects on their access to care and the quality of care received.^[40][41][42]

In Nebraska, the median annual household income was about $55,107 from 2011 to 2013, which was highest among its neighboring states. The state had an unemployment rate of 3.6 percent in September 2014. Nebraska and its neighbors all had relatively similar economic indicators.^{[43][44][45][46]}

Note: Gross state product (GSP) on its own is not necessarily an indicator of economic health; GSP may also be influenced by state population size. Many factors must be looked at together to assess state economic health.

See also

• Energy policy in the U.S.
• Fracking in Nebraska
• Net metering
• Renewable Portfolio Standard
• Environmental policy in Nebraska

Recent news

The link below is to the most recent stories in a Google news search for the termsNebraska energy policy. These results are automatically generated from Google. Ballotpedia does not curate or endorse these articles.

Footnotes

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