Transcripts For CSPAN3 Energy Secretary Nominee Rick Perry Testifies At Confirmation Hearing 20170120

Made in a president ial bid about wanting to eliminate the Energy Department saying after being briefed on so many of the vital functions of the department of energy, i regret recommending its elimination. This is about three hours and 30 minutes. Good morning. Where did he go . Hes in the front row with his wife. Okay. Im looking for him. Good morning. The committee will come to order. Id like to welcome you all to our second cabinet level confirmation hearing of this inaugural week. Id like to start by thanking senator cornyn, our senior senator from texas for being here to speak on behalf of our nominee. Always good to have you before our committee and also our fellow committee member, senator manchin from West Virginia is prepared to also offer introductory remarks for our nominee. Governor perry, i would like to extend a warm welcome to you and to your family. Know that i appreciate your desire to serve, your willi willingness to become our next secretary of energy. Ive enjoyed the meeting that we had together learning more about your leadership as governor of the state of texas including your accomplishments in the area of energy and environment. I will withhold this morning in any reference to texas size versus alaska size. Weve had that discussion. You won. I won, yes. But in all seriousness, we know you are seeking to lead the department of energy at both an interesting time and a critical time. Doe has helped make our nation a Global Leader in research and development by supporting basic research, by encouraging scientific exploration and fostering innovation. At the heart of these efforts are Scientific Research funded by the department and 17 laboratories that deploy the greatest assess, the scientists who dedicate not just their careers but in so many cases they dedicate their lives to solving some of the toughest challenges that face our nation and really face the world. Im hopeful that if you are confirmed, governor perry, you will take a broad view of the importance of basic Scientific Research and pursue the circuit b ben significant benefits that result from it. Done right a good set of policies will provide us with more energy, reduce the amount of energy we use and the cost we pay for energy. In my view, those are the gui Guiding Principles for the department. I would encourage you, as you move forward to work with the rest of the administration to increase access to energy, make energy more affordable and continue to improve its environmental goals. Folks here at the committee know i have a set of principles pretty easy, affordable, accessible, clean, diverse and secure. Theres no acronym there. It is in alphabetical order so that we remember it all. You i sum it all up in one Bumper Sticker that says energy is good because i believe that and hope you believe that as well. If these are your goals, if we share the same outcome here i think we can greatly contribute to the prosperity of this country, our standard of living and to the health of our planet. I would also encourage you to insure the department of energy steps up to become an advocate of the council in our government. It seems in these past years we see other agencies that have been successful in taking resources off the table rega regardless of the longterm consequences for the American People. One of the Biggest Challenges facing the secretary of energy is the management of a large and complex organization with thousands of employees and tens of thousands of contractors. I do not subscribe to the view that only a scientist can manage other scientists. Instead, i think what we need is a good manager. We need a manager to manage all these scientists. One who acknowledges maybe i dont know everything in that space but being capable of organi organizing, setting direction, imposing accountability, making the greatest possible use of taxpayer dollars and reaching goals. Governor perry, as the longest serving governor of texas, you have considerable experience leading a big and very sophisticated enterprise. I believe that that will serve you well as secretary and look forward to hearing how you would carry that experience over to the department. If you are confirmed you will also find yourself in a position to make the department run more effectively. Secretary moniece, i think has made very Good Progress breaking down some of the silos that have historically trust frait tfrust department but i think we all know there is more that can be done. Offices must Work Together to utilize resources and reduce unnecessary duplication. I know in our conversation you made a commitment to travel to my state. Im sure that as you have visited with other members you have made similar commitments to them. I do appreciate your willingness to come to alaska to see my home state first hand. While the department of interior is usually the one that makes the headlines in alaska, the department of energy is also very important. Perhaps three key ways akin point out this morning. The first is what the department can do to help reduce extremely high energy costs in the state of alaska. Our energy costs are the greatest challenge facing our rural areas. Many of our communities are still reliant on diesel as their primary energy source. In many of the small interior communities, again, inaccessible by road, you get a barge twice a year, they may be experiencing fuel prices in the range of 9, 10 a gallon for their fuel. Its not sustainable. It simply does not work. Its a huge burden and what ultimately can happen is you have families who say, we cant live here. We cant stay in a village, a region we have been in for a thousand years because the energy costs are driving them away. So they leave their villagings and they go to town, anchorage, fairbanks, but it really is not the right choice. I think our challenge should be to help them find those energy soluti solutions. This is where i think we in alaska can offer a great deal of opportunity. We have been innovative. Innovative because of necessity. We have a lot to share, we think, with the rest of the country, in terms of demonstr e demonstrating how we can how we can find Energy Solutions very locally. We have more microgrids and more to talk about in that microgrid space than anyone else in the anywhere else in the country. So i ask you to use that expertise. I think the department of energy has great opportunity to partner with communities and organizations not only in alaska, but around the country, to develop real solution, particularly with Renewable Energy that can help reduce our energy costs. Ive told you i think alaska can be that proving ground. We look at it and say, if youve got new technologies that make sense somewhere else we can pretty much guarantee that theyll make sense in alaska, and then were the beneficiary because we see the reduced costs. I want to see the department make a much greater effort to capitalize that in Going Forward. The second way the department can help alaska is bring our stranded natural gas to market. Last year, the department granted a conditional export license to the alaska gas line project. But we have to continue receiving good strong support and timely approvals from the federal government if the project is going to succeed. Finally, the department of energy can help alaska commercialize more of its vast resource base. The office of fossil energy has focused almost exclusively on the analysis of fuels in recent years but its mission is supposed to be considerably broader than that. A renewed focus on methane hydrates and other resources could lead to new breakthroughs and boost our Nations Energy security along into the future. I do think it is important to recognize this committee, which has a reputation of working collaboratively in a good bipartisan way, senator cantwell and i, along with our colleagues have been able to move the ball forward on some very Important Energy issues. Weve been able to do that in part with the department of energy because weve had a good relationship, positive relationship with the current secretary of energy, ernie moniece. I think he has done well as secretary. While i didnt always agree with him, it was a working relationship that was solid and there was good respect. I hope in that respect you will follow his lead there, working with us, making yourself available to us, whether to testify here, to just keep in contact, stay in touch, generally be responsive to our members here. If you can do that, i think youll be on the right track and well Work Together as we seek to maintain Americas Energy leadership. I thank you for being here this morning and your willingness to serve and i now turn to Ranking Member cantwell. Thank you, madam chair. Welcome, governor perry, welcome to your family. Congratulations on your nomination. In case you may have forgotten, you once called for the aboli abolishment of this agency. I suspect that now, having had a chance to learn about the of this department you have a very different opinion. The department, as the chair just pointed out, plays an essential role in protecting our National Security, economic security, Energy Security and Environmental Security and its wide ranging Mission Impacts almost every aspect of our lives. The department of energy is a science and technology pow powerhouse and unrivaled as network of laboratories and certainly helping us with our u. S. Manufacturing base stay competitive. The department of energy has helped make the United States a world leader in clean energy and energy officialsy technology and there are now more people working in installing solar panels in the country than working in coal and gas extraction. We have maintained the Nuclear Deterrent and led Science Technology development and managed Nuclear Weapons complex such as hanned for and help us win world war ii and the cold w war. So it is very important we talk today about our steadfast determination on cleanup and ill get to more. The National Security to evolve the department of energy has to evolve as the quadrant review was done by the Obama Administration, secretary moniece, cybersecurity and Emergency Responses are critical just as the advanced Research Agency helped us in the internet it is time now to help us in the wired economy of the future and making sure it is well prote protected. It will be the job of the next Energy Secretary to be a good overseer of these enterprises, to maintain the achievements of the past 40 years and help the u. S. In its increasing competitive global marketplace on Energy Technologies and protect against growing threats of cyber securities. Leading our National Labs is going to be a critical aspect of this leadership and leading the r d is paramount. It is our job today to consider how well you will do that job. So like many of my colleagues, i am deeply concerned the things you have said in the past about Climate Science, and we will get into that in more detail. I believe Climate Change is real an happening now and due to human activity. Nasa revealed yesterday that 2016 was the warmest on record. In the arctic where warming is happening than any place on earth, the melting of sea ice is at an all time high. How do we know all of this . Because the department of energy does the research. We want to make sure the Climate Science in the arctic is not just something the department of energy in its National Laboratories and University Partners are doing but that people understand its not just an economic pursuit but we need the information for persistent decisi decisions. The nature and pace have serious impacts on the department of defense and investments and infrastructure we need to stand up in the arctic. We are i know my chair would agree with this, we are an arctic nation. That means that this part of the world is going to be covet eed many nations. Its shipping lanes, its trade routes, its defense issues are going to be central. As senator murkowski could also tell you the implication for arctic communities and their way of life is also impacted. In my state alone, our fisheries industry and the shellfish industry were almost devastated by ocean acidification. So the department of energys scientific horsepower is key to understanding these trends, so i hope you can understand there is widespread anxiety about president elect trumps intention to dismantle Scientific Capabilities or simply just starve these resources. We hope that you, governor perry, will be someone who understands and believes in the Science Mission of this agency and will lead it to the best of your abilities. Mission innovation, which is the priority of this agency and continuing to move forward on Renewable Energy is also critically important. Almost 2 million americans work in Energy Efficiency alone dr e driving double digit savings to consumers by these advancements. Our quad rant review estimates we need 1. 5 million new energy jobs by 2030, which will be grid modernization and clean energy related. So what we have seen through the innovation that has happened through sandia, inrel, lawrence, berkeley, many private sector individuals the cost of so lore has dropped 64 since 2008 which caused solar energy to lead all new forms of energy and installation in the u. S. We have seen energy fish sin buildings give back billions to consumers in savings. More than 115,000 electric vehicles were sold in 2016 doubling the amount of 2012. And the doubling of the dervs office helped bring down the cost of Better Research on battery technology. All of these innovations rely on important investments made by the department of energy and the labs that support them. The choice before us, in my opinion, governor perry, is pretty clear. The Trump Administration can either cling to the fossil fuel industry in the past or lead innovations that will be the lead technologies in the world and put the u. S. At a clear leadership position. I hope you will understand these missions are so important. Along with that is also the mission of Nuclear Waste cleanup, which is between 10 and 15 of the agencys budget. The science and technology that underpins our ability to clean up here is critically important, as well as protect us against nonproliferation. As i mentioned earlier, the annual review could not be more clear on the urgency of cybersecurity. In light of recent relvations about russian hacking, the secretary of energy needs to take very seriously the threats to this nation in our electricity grid. We are becoming more and more and more a wired economy. My constituents spend night and days developing new technolo technologies. They deserve a president and an Energy Secretary who are going to take the threats of russian hacking seriously and defend us against them. I hope that we can go into more detail and questions about this. But i want to make sure that you understand that the past Energy Secretary is leaving you with a road map for cybersecurity. I hope you will take it and provide the leadership that our nation needs to stop our vulnerabilities against something so important as protecting the innovation economy of the future for incessant attacks by foreign entities. With that and on behalf of the 15,000 washington workers that work at han ford and pnl labs, i hope you will take what we said here about science and innovation and investment very seriously. I look forward to asking you questions and again, congratulations on being nominated for this persistent agency. Thank you. Thank you, senator cantwell. At this time, we will ask senator cornyn to provide his introduction of the nominee, and when senator cornyn has completed his comments well turn to you, senator manchin, and then we will proceed to hear from governor perry. Welcome, senator cornyn. Thank you, chairman murkowski and Ranking Member cantwell and colleagues, thank you for holding this hearing to consider the nomination of my friend, governor rick perry, to be secretary of the department of energy and to provide me the opportunity of introducing him. I want to also introduce his wife, anita, who is here today. He has is extended family including some of his adopted family with him today. I will let him introduce the rest of them. I got to know my wife, sandy and i got to know them when we were running for office in 1990. Its been a few years now. Rick had already served in the air force and legislature before being elected agricultural commissioner in texas, i got elected to the Texas Supreme Court the same year. And then rick assumed the office of governor of the state of texas becoming, as noted, the longest serving governor in our state, serving in Public Office alongside someone that long gives you a chance to assess their character and abilities. Im here to say i know governor perry to be a tremendous leader of the highest caliber and dedicated Public Servant committed to working on behalf of the people of texas and now on behalf of the nation. Rick perry is not a status quo kind of guy. Hes a leader, hes an innovator. Texans are by nature practical people looking for solutions to problems. Rick has led in that spirit. I believe the results in our state speak for themselves. Weve been blessed by the leadership of governor perry. During his tenure, the state thri thrived, even as much as the rest of the country languished. Texas not only added almost 2 million jobs during his time in office but was responsible for the lions share of all job growth across the nation from 2007 to 2014. Its a really remarkable statistic. While he was governor, texas also became the top exporting state in the country, a title weve held more than 14 years in a row now. The crime rate dropped and thousands of miles of highway lanes were added to our roadw roadways. In other words, under governor perrys watch, texas flourished and he helped give texans everywhere even more to brag about. The real measure of a leader is tested in times of hardship and trial. Though massive wildfires to major hurricanes along our gulfcoast to the tragic explosion in west texas fertilizer plant a few years ago, every time governor perry demonstrated he was able to rise to the occasion, make tough decisions and meet the challenge placed in front of him. On top of all these accomplishme accomplishments, rick perry has a track record of success when it comes to the texas landscape not an insignificant part of our economy. Many associate texas with the oil and gas industry. That would be fair. During ricks time in austin he championed an all of the above Energy Strategy, really, an all of the above Energy Strategy. It wasnt just rhetoric. It revolutionized production in our state and led to more Efficient Energy use, more jobs and more innovation. So today texas not only leads the nation in oil and Gas Production but produces more wind energy than any other state in the country. More than all but five countries in all. Under his leadership, solar energy has continued to grow and texas is poised to become a National Leader in solar power as well. Thanks to his common sense approach to governing, the shale revolution arrived in texas in a big way creating thousands of jobs and making energy even more affordable for texas family. So rick doesnt fall into the either or trap that so many seem to have fallen into, a zero sum game when we talk about energy. He found a way to spur innovation and investment in new technologies without safe t tooling existing technologies and while reducing our states Carbon Footprint as well. In other words, the Guiding Principles of governor perrys tenure are smart regulation, encouraging innovation and creating a climate that grows every aspect of Energy Production and has continued to serve our state well. So i have absolutely no doubt that rick perry will put forward an America First Energy Policy at the department and it will help spawn the next great era of American Energy. He has a track record, he has the know how and a real desire to export more American Energy to enhance security of our friends and allies abroad. Put another way, rick perry is simply the right man for the job and its an honor tore me to support the nomination for him to be the third texan to head the department of energy. Thank you. Chairman murkowski and ra ranking cantwell and my colleagues and senator cornyn and lovely wife, anita and soninlaw, brett, and i know your son, griffeth was unable to be here with you today but here with you in spirit. I know it might be interesting to understand why were sitting here. As a former governor, governors form bonds and friendships unlike any other elected officials ive ever seen. Well have a lot and Work Together. We have the same problems. If its an education problem or disaster were calling and he helping each other all the time. Im here to support my friend. Thats one thing we do develop is friendships, as senator hoeven knows so well. And senator rich also. The president elects nominee for secretary of energy, rick perry. Hes the longest serving governor in the history of texas as senator cornyn said, 12th largest economy in the world and uniquehy qualified to hold this position. For many years we have been friends and i know rick understands how to work across the aisle in a bipartisan way to get things done. Ive seen that first hand. I was honored to call him my colleague and senator king understands colleagues as governor they become friends and part of your family. In my tenure as governor of the state of West Virginia. Let me explain how rick and i first met. The year of 2005, katrina. It was the weekend of katrina. We were at a southern governors conference. We were sitting there and i had not met governor perry before but this was we meet two or three times a year and get to know each other. Were sitting there and governor blanco from louisiana could not be there because she was told that the hurricane was going to have a devastating impact on her state. So rick and i that weekend were talking back and forth and wa h watchiwatch ing the weather reports, what would happen, different precautions as governor you want to protect your citizens to keep them out of harms way the best you can. I never forget the last day we were leaving, rick had to get back and i had to get back to West Virginia and rick was going back to texas. I said do you think the hurricane will affect you . He said, joe, i just talked to our people in texas and we think we will be spared, we will be missed by this hurricane, it was ble blessing. Lo and behold the next week did rick ever have a wide awakening, because then with the devastation that hit over a quarter of a Million People moved over immediately to texas. Texas got overwhelmed at that time and they didnt have the support. We were waiting for someone to direct us. As governors we took our own initiative. We are all commander in chief of our national guard, i said, rick, what can we do . I need help here. We send c 1 30s, sent over 1200 soldiers to help him, move in supplies, help fema move supplies, to help move people out. They had nowhere to go and moved them into West Virginia, it was a collaboration how governments should work and how we all should be working together. I watched him under that really tough situation. People were depending on rick to step to the table and he did. He took care of them and never missed a beat. We all reached out to help each other. Throughout those challenging times, governor perrys resou e resourcefulness and skills were on display. No one gave us a manual when we became governor. We didnt know everything it entailed. We had to learn while we were there. I have to tell you one thing you have to get up to speed quick. Senator murkowski, i know you know from your family exactly what were talking about. I have no doubt rick is going to not only do the job, he will excel in the job. That is evident, ricks achie achievements diversifying the texas Energy Portfolio is remarkable, number 1 producer of crude oil and gas in the nation. The state of texas has done heavy lifting like West Virginia and many states. People dont ask for much, theyll do the heavy work and theyll continue to provide for this country and make us the super power we are with the greatest economy in the world. I believe rick has experience and the tenacity to serve in this cabinet. Texas this is largest producer of crude oil, natural gas and electricity in the nation. During his tenure as senator cornyn knows him, on the campaign trail, when you really know people well, too, from 2000 to 2013, air quality in texas significantly improved with major reductions and pollutions like ozone, nitrogen oxides despite very strong population dwrooet growth. Ill let him tell you about the growth they had in texas. He cultivated wind energy in the state of texas now the leader and also solar coming on so strong. When we talk about an Energy Policy we use everything we can to have dependable Reliable Affordable Energy and do it as clean as possible so hopefully the rest of the world will take the lead. I believe he possesses and all of the above Energy Policy that will find the balance between the economy and environment which is so important. I dont need to tell any of you working with you everyday fi finding that balance is very difficult but we try. I believe rick will be someone to work with you. We enjoyed very much secretary ernie muniz, a great man and worked across the aisle very well and i think you will find that with rick perry. I look forward to rick serving. I think he will do a great job not only for the department of energy but all of us in america. With that, im proud to support my friend, my colleague, rick perry. Thank you, senator manchin. We appreciate the comments of both of you gentleman. Thank you for providing this introduction for governor perry. Now, at this time, i would ask you, governor perry, to please come forward. And before asking for your opening statement, i am going to administer the oath, which is compare rain hearing such as this one and i will ask you the customary three questions. At this time, if you could raise your hands. The rules of the committee which apply to all nominees require they be sworn in connection with their testimony. Raising your right hand, do you solemnly swear that the testimony you are about to give to the Senate Committee on energy and Natural Resources shall be the truth, the whole truth and nothing but the truth . I do. You may go ahead and be seated. Before you begin your statement i will ask you three questions addressed to each nominee before this committee. The first is will you be available to appear before this committee and other congressional subcommittees to represent departmental positions and respond to issues of concern to the congress. I will, senator. Are you aware of any personal holdings, investments or interests that could constitute a conflict of interest or appearance of conflict should you be nominated . I dont. Do you have any assets involved in blind trusts . I do not. Thank you, governor perry, you may proceed with your statement. Is your mike not on . Thank you, sir. Thank you. Already the committee is being wonderfully helpful and supportive. I have found nothing but that during my time in each of your offi offices, so i want to thank you for your hospitality. Madam chair woman murkowski, i want to say to each of you my great thanks. Ranking member cantwell, thank you for your wisdom, your int interaction. All the distinguished members of this committee, thank you for allowing me to come in and share with you to let me listen to your concerns. It is a real honor for me to be here, to be president elect trumps nominee for the secretary of energy. As i said, this process has been extremely informative and beneficial for me. The individual discussions we had in your offices and in some cases over the phone afterwards have been most important i will suggest to you the most important aspect of this process for me. I especially want to thank senator murkowski and senator cantwell again. You both spoke passionately and very frankly about the priorities of this country and for the things that affect Energy Policy. You may be from different Political Parties but, as i noted during those meetings, what you have in common, and both of you talked passionately about energy development, about the safety, about the reliability of Nuclear Stockpile, the vital role of our National Labs. Critical of grid security, unique situations in each of your states. And my i might add both talked about it without the benefit of notes. You know well the challenges and issues that will be facing the secretary of energy if im confi confirmed. Obviously, i look forward to working with each one of you. Before i go further, i want to recognize an individual thats already been recognized, but i want to add my very strong love and support to an individual thats been my greatest advocate, a person whos been with me every step of the way since a piano recital, senator frank franken, back in the late 1950s. You didnt know i was a pianist. I wanted to bring that to your attention, sir, thats obviously my wife a nita. We had quite a journey. I grew up in a dry land cotton farm 16 miles from the closest place that had a post office and house that had just received electrification, received power from the Rural Electrification agency all the way to today, as im being considered as the secretary of energy. With us today is also one of our pride and joys, thats our daughter, and her new husband, a naval officer, brad harrison. I arrive at this appointment with three decades of experience in elected office. I was a state representative. I was the agricultural commissioner, the lieutenantgovernor, and for 14 years the governor of the state of texas. During my 3 1 2 terms as governor, a state that created 2. 2 million jobs, we added more people to our population rolls than any other state during that period of time. If it were a stand alone country, it would be the 12th largest economy in the world. Were also the nations leading Energy Producing state not just in terms of oil and gas as senator cornyn shared with you but also wind energy. I have first hand experience with the shell energy boom that revolutionized American Energy with the state led cleanup efforts to improve our environment as well. As governor, i also learned that the management skills that you gain, as senator manchin shared with you, senator king, you certainly know this and seniorisenator hoeven as well, of being a governor, i have the executive experience necessary for leading an organization as large as the department of energy. From this experience i learned how Important Energy is to the American Economy and the great responsibility that we have to take care of what weve been given, to protect our citizens. Im also i should say, if im so fortunate as to be confirm d confirmed this experience will inform my priorities at the department. Im committed to keeping americans safe. Nuclear security is the largest portion of the department of energys portfolio, its budget, if you will. Ill be focused on continuing to protect and modernize the Nations Nuclear stockpile. As a former air force pilot during the days of the cold war, i understand the deterrent value of our Nuclear Weapons system and the vital role that they play in keeping the peace, another aspect of securities insuring the reliability of our electric grid against cybersecurity attacks. Im committed to undertaking enhanced security measures, where necessary, and assisting with recovering efforts, if those are required, so that americans can depend on a stable source of power. Ill draw up on my years of experience as governor of a coastal state in organizing Emergency Response personnel to handle disasters effectively and efficiently. If confirmed i will advocate and promote energy in all forms. That certainly includes our renewab renewables. America has been blessed with vast Natural Resources and the technology to utilize them. Im committed to helping provide stable reliable affordable and secure sources of American Energy. And in America First Energy Strategy is important to create jobs and grow the economy. Im a major proponent of maintaining the leadership in the area of scientific inquiry. I support the domestic and taca Government Mission of basic Research Even when you may not see the results of that for a generation. Our scientists and our labs are the envy of the world. I look forward to visiting those labs this year. And if confirmed, learning even more about the unique work that they do. I have a strong record of aggressively courting, leading Scientific Minds to bring innovation and job creation to my home state. Furthermore, i understand and am committed to the vital role of the department of energy that it maintains environmental cleanup. Specifically, cleaning up Nuclear Waste that is the legacy of the cold war. I have experience of dealing with the difficult challenges of transporting and storing low level waste in my home state of texas. I know this is a daunting task. You have 35 states that temporarily are housing waste from various nuclear programs. I look forward to working with the members of the committee to address the concerns many of you are hearing back home about Nuclear Waste facilities. In summary, im committed to modernizing our Nuclear Stockpile, promoting and developing American Energy in all forms, advancing the departments Critical Science and Technology Mission and carefully disposing of Nuclear Waste. Madam chairwoman, if i may in my limited time i have left, i have a couple of other issues id like to touch upon. I have learned a great deal about the important work being done everyday by the outstanding men and women of the department of energy. Ive spoken several times to secretary moniz about the operation. Ive spoken to his predecessors. If confirmed, my desire is to lead this agency in a thoughtful manner, surrounding myself with the expertise on the Core Functions of the department. My past statements, made over five years ago, about abolishing the department of energy do not reflect my current thinking. In fact, after being briefed on so many of the vital functions of the department of energy, i regret recommending its elimination. If confirmed, i will enter this role excited and passionate about advocating and advancing the Core Missions of doe, drawing greater attention to the vital role played by the agency and the hard working men and women who dedicate themselves in pursuit of these missions. Second, let me speak to the issue of Climate Change. I believe the climate is chan changing. I believe some of it is natur naturally occurring but some of it is caused by man made activity. The question is how we address it in a thoughtful way, that doesnt compromise Economic Growth, it affects the affordability of energy or american jobs. In texas, weve got a record of taking action to address environmental challenges including Climate Change. Despite this fast growing population. I might add one of the largest petrochemical Refining Industries in the world. We saw our climate and air improve during that period of time. We reduce we decommissioned 137 of these older dirty burning plants, senator. We did it by using incentives to move to new technology and clean technolog technology, such as clean coal and Carbon Capture and underground storage. In houston, theres a billion dollar petronova plant that will be open soon using Carbon Capture sequestration and using carbon injected into wells for secondary and searchary recovery operati operations. I signed a law into place to retrofit some 15,000 engines under the texas emissions reduction plan. And weve provided incentives for Energy Efficiencies. Our willingness to develop natural gas and tap shale formations have helped not only texas reduce its Carbon Footprint but other states and mexico as well. But we truly advocates an all of the above strategy, reducing Carbon Emissions not just through development of cleaner fossil fuels but through the development of Renewable Resources as well. During my time as governor, texas took the National Lead in wind energy development, now produces more wind as senator cornyn reminded you of, in seven count countries excuse me, five count countries. When it comes to Climate Change, im committed to making decision based on sound science but also take into account the Economic Impact. We need an Energy Policy for the 21st century that is focused on promoting American Energy in all fo forms. I am committed to working with this committee and the Incoming Administration to do just that. Senat senators, this is an historic time for america and for the energy sector, and i would be honored to be a part of that. Thank you. Thank you, governor perry. I appreciate that you addressed i know at least two matters of concern, based on statements that you had made previously, and im sure there will be further questions directed to that, but i do think its also very important to recognize the work that has gone forward within the state of texas, as you have worked to not only embrace a growing p populati population, provide for jobs and Economic Opportunity but at the same time, working to address the issue of emissions and how you can bring on Additional Energy sources, both the traditional and our renewable. I think its good story and a story worth repeating. I want to focus my first round of questions on some alaska specific issues. I appreciate your attention to them. Senator cantwell mentioned that i am oft heard stating that america is an arctic nation and we are an arctic nation because of where alaska sits and we are proud that we are an arctic nation. We have been weve been struggling a little bit because there are some who i think view the arctic as something in isolation, something that is frozen in time, almost a snow globe that should sit on the shelf and we shouldnt touch it. But as senator king knows as the cochair mann of the arctic caucus with me, it is a very very a very very dynamic part of the world and a part of a country. But understanding what is happening in the arctic is imparaive knowing the science, understanding the science is an em parrive and we see much of this come out of the department of energy. We also recognize that there are incredible resources in the arctic. Certainly that could enhance this countrys Energy Production if we were able to access them. So the commitment that i am seeking from you today is one where you would agree to work with me and as well the people of the people of the alaska to bring industry, science, local communities together to ensure that the u. S. Can continue to be a leader in arctic as it it relates to our Energy Production and science, as it relates to understanding all that is in front of us as an arctic nation. You have my commitment as do the members of the committee to focus on the development of various regions. Obviously, skpu i have had a lengthy conversations about the challenges that alaska and the natives face from the standpoint of both Economic Impact, Environment Impact it is unique area of the country. The times i have visited there, and the times ill visit in the future will help develop better an understanding of the challenges but the opportunities. I look at this position if im so fortunate to be confirmed as secretary of energy to not only use the agency and the vast, the brilliance of our national allies. One of the things when i started spending time understanding our National Labs, texas a m. Which is my home state was brought into a competition to operate labs. At that particular point in time. I steeped my selfin finding out about the laboratory, and the men and women that are in the laboratory, the Technology Side and the science side of the department of energy. There are a fascinatingly large number that we have on economic side to make peoples quality of life if your home state better by bring technologies that we may have an idea by today and some we have not even dream up yet to the table to commercialization to affect your state and the this nation as a whole. So my record as governor of texas has been one to not only think outside of the box, do some things people may not necessarily have associated with a republican governor. But to do it in a way that both sides of the aisle and people who really dont much give a ticker damn about either Political Party but want to see results and thats what i will commit to you. To find those results that will have a positive impact on your citizens of alaska and of this country. I appreciate that. I would commend to you that we can be that Living Laboratory as wonderful as our labs our, we have so extraordinary individuals with a phd in arctic living and and relying ob the inincidentalingous people and oi round the country is very important. But i look forward to spending more time with you speaking about these issues that are pertinent. Senator cantwell. Thank you. Governor perry i like several things you had to say. It was one thing i definitely want to bring up thats very concerning and that is you said as it it related to an Energy Strategy we cannot as you sate compromise Economic Growth. I guarantee you today we are compromising growth because of our over independence on fossil fuel. It is having an impact in our state. Its having effect on shellfish and ability to seed. Its having nekt on two most devastating fire season in the history of our state burning up one indian reservation two billion worth timber. We have addressed tell you exactly how much this is costing the u. S. Government. I dont think the number going to be billions its going to be higher than that. My question is, as you look at this agency, one of the things that i predicated my comments on is the level of science investment that needs to be made to continue to do this transition. The Transition Team send around a document to the department of energy trying to identify related to climate meetings attending framework on Climate Change. Things of that nature. Juks ta possess to the fact we have getting hacked by the russian and the republicans in the house could not bother to pick up a bill and pass it, im trying to understand where you as energy as secretary going to have priorities. These are two things things. I want to know your commitment to protecting these individuals and the scientific budget and your willingness to make an investment in an effort in defending us reputeuating the comment of brigging the hacking on instead pick up the man l to defend our nation against russian attacks. That question that you reference, went out before i was ever selected as the nominee to sit before this committee. I didnt approve it. I dont approve of it. I dont need that information. I dont want that information. That is not how i manage. I have a history of working with people to find answers to challenges that face us. My commitment to you and the members of this committee, is to obviously, not own reach across political aisles but to work with the men and women who i have a extraordinary amount of respect for at the department of energy to find the solution to these many challenges that we have whether on economically focused, or otherwise. Do you plan to protect this science budget related to information on climate . Your question again. Do you plan to protect the Science Research at doe related to climate. Im going to protect all the science whether to the climate or to the other aspect of what we are going to be doing. You asked about cyber doe has a massive role to play. Its an ava i have a history with of being working with the private sector working with in my case, State Government entities, but the doe will allow me to go to a new level, if you will of engagement to find the ways to protect. Ill be honest, i done care who it is, what players whether its a formal or state or whether it is a group that is loosely associated, if they are trying penetrate into americans lives whether private citizens or whether at highest level of government, you will see me engaged in a activities at the department of energy working across agencies for that matter, working with the dod in our arpi and can all of those different agencies, i feel comfortable ha we have in our scientific laboratories and the department of energy and the scientific side in particular, the technology and the ability to stop the cyber snooping or for that matter the intention to do harm to american by penetrating into our grid. You will protect the scientist and the sign budget related to climate. Im going to protect the men and women of the Scientific Community from anyone that would attack them. Thank you. Senator, hoeven. Thank you. Governor perry thanks for willingness to serve. Great to see you. Thanks for much. Welcome. I appreciate in your opening statement, you talked about all of the different types of Energy Produced in texas because we need it in all of the above Energy Policy for the country. We need one focused on the state. I appreciate the fact that you brought up that not only are you leader in producing fossil fuel, youre also a leader in Renewable Energy. In my state were produce a million a day. And we produce wind and other renewables. And you talked about that and i want to commend you on that. I want to bring up something you talked about when you came to see that is technology is the way forward as we develop all of these source of energy. But also with better environment stewardship. You talked about pet tra nova, we have a project, the great plain plant where we take coal, we produce synthetic natural gas, we capture co 2 and put it in for recovery. We want to do more of that. I want you to see the Research Center. You talked about the new technology there. We have projects to capture co 2 on the front end called allen cycle. We need you to m co and help us continue to develop and commercialize that technology. Im asking for your commitment to d that. Because its something that dont just benefit our state but the country and beyond that as other countries develop this technology it is a global type of solution. Talk about that for a minute and your commitment to help maik make that happen. Thank you. You do have my commitment to continue to work on those technologies to be commercialized ill come to your home state first possible moment, i think im going to be spending a lot of time traveling to your states over the course of the next how about West Virginia any chance, im just wondering. I think they thought i was an honorary citizen over the last few years. I have been to morgan town lots of time. Back to your salient point. Im a big believer that one of the reasons with ehave a responsibility to fund our basic research and a lot of times we dont know what the outcome of thats going to be. We hope we know how its going to turn out. But senator risch, it maybe a generation down the road, but it applied research we have is sa better idea about how it reaches few wish, how it could be commercializing. I saw that as a governor of texas we helped create a fund and again, i dont get confused about the difference between federal government and State Government. And i are strong supporters of federalism. One of those happens to be about investing in the technology that can be commercialized to improve peoples quality of live. One of the things that senator sanders and i talked about in his office was some day i hope that he and i and a host of other individuals can stand up together with technology that came out of the department of energy that were able to sale to the chinese to start making the environment in china better. Thats the potential thats there. My home state, and youre home state, were virtually changed in a live changing way with hydraulic fracturing and that technology had its genesis at the department of energy. So the concept of that using that agency whether on cybersecurity, whether its on new ways to use the Natural Resources that we have, and the management of that, one of the things that im i bring to you is my 14 years of managing that 12th largest economy in the world from standpoint of putting programs into place and seeing a result of that action. Thats my commitment senator, is that on a daily basis i will have men and woman who i trust, who have the expertise and have the authority to be able to implement the programs to effects the citizens of this world not just your state. Thank you. I think thats the good description of opportunity we have. I look forward to working with you. Governor, welcome. As i see it, one of the most critical jobs as deo is the administrator of the administration. I have been deeply concerned about press report inincase this post stuart of our stockpile might be vaca vacant during the presidency. Has it is that been resolved . Thank you. I like you have concern about an orderly transition. The Nuclear Stockpile in our country is a bit different than almost anything else thats out there. So having men and women in place in a structure in place to give confidence and assurety predict ability to the people of this country and can to the men and women of this committee is important. That position is one that has president ial nomination oversight. I have sat down with the general, general vos and had a good conversation with him and have sent the message that it would certainly be my desire to have that conknewty. It is in the president elect office and hopefully well see that type of connunt in those places. I think it would serve the new administration well. We have 25 hours and 20 minutes to finni figure this out. Unlike other agencies because of the way the law was written by my predecessor, have you to appoint those position from people who have served 90 of the last 365 days. So the pool is limited and i think we all want to see doe success. So thank you for your efforts on that. Yes. 2016. Warmest year our planet has experienced in human history. Its third year in the row to break that record. You state in your stm that you the climate is changing. This shouldnting about believe. In my view it should be about data. Evidence. It should be about pure reviewed scientific results. Stepping back from just climate. I want to ask you broadly, were you commitment to using science as your guide whether making policy at doe . Senator my record as the governor of your neighboring state clearly shows thats the case. Ill give you a couple of examples. Relying upon data, when peoples lives are in jeopardy, it was one of the things that i became very wellknown for. I want to speak about hurricane and the affect they can have upon 5 00 one morning i received a phone call that a particular storm is track going to go directly up the Houston Ship Channel as a category 5 storm. I remember. And the definite va stays was a Million People dead. Those are sobering moment in an individuals live. At that. Point in time. We started a massive evacuation of harist county in the houston area. That data happened to be wrong. For that particular storm. But the point is, i made decisions based on the most sound science that i could find. I want to thank you and i know the share is cut me off. I want to say on by half of the nearly 25,000 new next cans who work in nssa i want to thank you for your statement as well for calling for doe. Thank you. Thank you senator. Senator barasso. Thank you. Thanks for coming and listening my concerns about the department. I would like to talk about the transfer of excess you ran yaum. These are the transition in which the department trades some of excess uranium for Services Within the department gets for contract tors. The department uses this uranium because it refused to ask congress to pay for the contract tors. But in the process, the department has in the past violated a number of federal laws. Its flooded the market with ten of millions of uranium. The result have end up laying off workers, canceling projects. In confirmed will you consider spending the uranium until you can review the policy. We will follow the law. As you clearly demonstrated to me in our office at this particular point in time theres some real question on whether the law is being followed. Ill spend sometime to review the impact that is is happening. You made reference to one of the reasons from your perspective that it is happening because of the budgetary and again, during my 30 years of Public Service as a young state represent on the Appropriation Committee and the governor who had to put forward budget every two years. I understand the process very well. So hopefully, you will see that type of activity from the department of energy from the standpoint of very appropriately engag engaged budgetary programs where you dont have to see programs being effected of bad management or because of budgetary negotiations that were not the smoothest that we would hope for. I appreciate as part of that commitment you would meet with the americans uranium producers and essentially come up with a Longterm Management plan of excess uranium prior to authorizing anything we will do that. We talked about a lot of it from with wyoming. Last congress, some of us here on the committee in a bipartisan way, he and i introduced legislation to expedite the departments permitting process. This committee, the entire senate bafd legislation over welling support. S house passed identical sport. If confirmed will you comment on acting on applications and do it in a timely manner . Senator, i will follow the laws, i will follow the clear instruction that i see as Congress Goes forward. Obviously, work with the administration, my understanding from having conversations with president elect trump is he truly is an all the above supporter of American Energy and to promote that energy resourcely kwifide natural gas being one of those. We will reinproduce that. But also those that come after you. Timely manner. We have such an abundance of energy. Putin use energy as a weapon, we are an energy force in this country and i believe we should be acting like the International Force that we are with energy. So i request your commitment to help with legislation so your success os follow the law. I will be able to work with you on any day sir. Thank you, madame chairperson. Senator cortesmsato. Welcome to you and your family and thank you for take time to sit with me. This year senator and i introduced nuclear inform waste act. That requires the secretary of energy to receive consent from any state considered for high level waste before proceeding with development. In 2011, at the president ial debate in las vegas you came out nevada did not want it. 58 do not want it. They ought to have their final say. Do you still support that for yak ka mountain. As you know in 2011, i was the sitting governor and i made a statement about federalism. I still believe in it strongly. I think its important for the secretary of energy and my role if im fortunate to be confirmed to have that good working relationship with as many governors as i can, i happen to be a great believer of following the statutes and laws so if you pass such, not only will i salute it i will happily so lute it. Let me ask you this. I know you have a relationship with our governor who came out and stated the stating any attempt to res you are recollect project will be met with opposition saying down a path that seeks to force project on nevada is waste of money. In fact, in may 8, 2014 on meet the press, you criticize the policy out of washington, d. C. You can commit to work with the people of government with everyone who has the concerns about the safety and health of sighting a highlevel Nuclear Waste in ya ka mountain particularly those who live in summer land. Im aware that this is an issue that this country has been for 30 years. We have spent billions of dollars on this issue. And after i was asked to serve as the secretary of energy i thought it would be wise to pick up the phone or meet facetoface with the two senators from nevada and the governor as you know that im personal friends with to make sure that you all were still preach on the same page of the hymn book. I know it doesnt surprise you, you are. I respect that position, i understand where you are all are come from, im going to work closely with you and the members of this committee to find the answers to these challenges that we have and hopefully this is the beginning of seeing real movement, real management, off an issue that i think no longer can sit and be used as political football one that must be addressed. I think we can find a solution both in the interim in the longterm of our Nuclear Waste. Governor, i appreciate your comments. Here today you said you rely on data and peoples lives are at stake. You make decisions based on sound science. Im hoping in this instance youre going to do the same thing. I look forward to another round to ask additional questions. Thank you for your comments. Thank you. Thank you. Senator cassidy i want to ask you your opinion on this. Theres something in louisiana called the charles methanol plan. And the mission approved 1. 8 billion in private capital. It takes from the pet koe everything from the including carbon die objection side it catches it send it to east texas. Using kind of we know how it Works Technology but bringing it to scale. Your administration will be taking order. This is something the right and left have embraced your thoughts on knowing you may not know the particulars but the idea there would be long create jobs but capture carbon die objection side. I dont know the particulars of this. On the surface it appears to make sense. Your observation thats its supported by both sides of the aisle would seem to make that a relatively easy decision to go forward with. With that said i have that history of investing working with the members of the legislature in the case of my time is the texas governor, the speaker, the lieutenant governor, a panel of experts that refer these projects to us for approval or not. And that history i hope will give you comfort that im a big believer we have a role to place in basic research, but also in that applied research so bring new technologies, new commercialization, new Economic Development opportunities to this country and so you have my commitment to take a look at that project to get to know it firsthand but my instincts is thats the type of programs that the department of energy should be engaged with that have concrete Successful End results. Let ask you this. So i understand you have been speaking about texas records about expanding jobs. One thing my office has been looking at is this relationship between Worldwide Manufacturing moving to china and a Worldwide Growth in emissions. As one example since 2004 to 2013 china share of Global Manufacturing has risen 112th to 1 4. I have told if President Trump is successful Greenhouse Gases sox and okay which the chinese doesnt bore with as well as using Clean Natural gas as opposed to their electricity we would have more of a impact on greenhouse than any other arrangement i would like to get your thought on that one you know im a bit of a competitor. Governor brown used to not be happy with me showing up in california to recruit businesses from california to texas and maybe i may have showed up in your state as well, but the competition is a good thing. And i think the competition that can occur with the United States putting tax and regulatory policy into place to bring manufacturing back on shore is a good thing. It would have the added benefit of forcing china to make changes in how they do their business. As i said earlier, about taking one of our number of senators no Sell Technology to china. All of that makes good sense to me that we not only we retrieve that back into the United States because we know we can, this isnt theory, this isnt talk. I have seen the 12th largest economy in the world lower car been die objection admission by 17 , sox by of 66 thats a real reduction in the environment of the world. If we can see that type of effort or technology that type of Competitive Pressure if you will to places like china than we have served citizens of this world well. Thank you. I yield back. Thank you. Welcome and congratulations. I have had a chance to talk to you in my office as well. I appreciate it what you said then as well what youre saying now in terms of supporting efforts to bring these new technology as well doing basic research. In talking to the professors at the university, they indicate that your universities have indicate their support. I talked with you about the facilities for where i Michigan State university with ten year construction project radioactive beam facility that will advance new National Defense Environmental Technology as well medical technology. We need to have your support for that. Were in the middle of federal funding state funding and i ask to support our effort to bring in into completion. I enjoy your interlekal engagement. That i had great joy and honor to be involved with while i was the governor of texas. In a short we went from no manufacturing of drugs in the state of texas of legal drugs prior to the start of 2000 to ten years later being vaccine. Those are the types things that changed the world. And that project of which you share has the same po engs it to literally change the world in a powerful and positive way. So the idea that i am foundationally invested in that type of thinking is there. I look forward to learning more about it. To coming up and visiting this side with you and then priorityizing both with this committee with the congress and the administration that this is the type of programs that not only we should be engaged with that can make a difference a real difference in the quality of life or the Economic Life or both as we go forward. I appreciate that. The department of energy has played a Important Role with manufacturer in a number of front that are important. The manufacture sector counts for 5 25 of our usage. The largest is truck. Doe has a super truck program. We want to decrease carb carbon emission you have to go where it is. Theres a very important area where the office of energy and efficiency has funded a number of manufacturing hubs. One is the institute for advance composite innovation as we look at things like add for American Company ford with f150 series has gone to aluminum composite taking 700 pounds out of the weight of the truck. So these are all incredibly important. What im concerned about is this morning, i believe you that you support these project, my concerns is were lae hearing in the press that the white house in the Transition Team, using Heritage Foundation are proposing to roll back funding for nuclear fisic, resaern to 2008 levels, eliminating the office of electricity, eliminating the office of Renewalble Energy and skaping the office of fossil energy to reduce carbon die okay side emission. Square this for me. How do you see your role, you coming into a new position where we talking about massive cuts in the kind of things that you have advocated for, you supported to your role, increating more efficiencies, it needs to be the kind of things we have been talking this morning. We have a new statement that were talking about massive cuts in the Energy Department. Governor perry her time has expired. If it you can respond briefly. I think all of us having been in the busy we have been in for the years that we have, know theres a lot of statements sometim sometimes just because its on the internet its not true. I cannot answer that. I know that from my perspective that moving America Forward on the super commuting side is incredible important for this countrys security and i am i have no questions at all about whether or not the Trump Administration is going to be very sportive of keeping america strong and free and the technologies that come out of the doe and many place there going to play a very Important Role for that. I will be in the room advocating for these types of things. Im not going to be one thousand percent successful in that. I can assure you, no of my commitment to making sound science, economic science, connected together because at the end of the day, they make great economic sense and it makes great quality of life sense. Thank you. Senator daines. Welcome. I sue yoee your beautiful fa behind you. Its my best days work. If i were in your chair i would make sure to have marcus guarding me as well. And his twin brother. Just in case. I have complete confidence, youre going to work to restore the balance that American People seek between fossil fuel and Renewable Energy as they would say in texas we say in mon tan na, that is a melody we need in this nation. I think thats has been lacking in president obama Energy Department. I think you restore that balance. Thank you for considering this nomination. Governor perry we discussed whats going on in montana called cold strip. This plant is live blood of this town. Generates enough energy to power 1 1 2 million litigation and they are under these job epa power plan. The other two units are at risk. Theres a study at university of montana. The epa power plan will kill 7,000 jobs in the state, 500 million in lost revenue. 140 million in lost tax revenue. We have a 300 million surplus the governor trying to how to make ends meet because the surplus is gone. In montana and the closure of the plant will go from being a Net Energy Exporter to now having to become an energy importer. I think thats a tragedy. These are regulation coming out of the epa but i do believe the department can do big things tro protect the future. We they have 35 Unemployment Rate right now. We lose those jobs that unemployment goes north of 80 this is poverty in rural america. We had an Energy Conference about a year ago. We had protesters that came and had signs that said keep it in the ground referencing coal. The daughter of the chairman of the tribe ks waubed up to the protesters said if you keep it in the ground, my people are going to starve. Thats whats at stake right now. If they dont do nothing to protect our coal fleet. Many are going to lose jobs and tax revenue and our grid will become less secure and less reliability. I said in our meeting that i welcome and like your personal attention to this issue and i do appreciate your commitment. I know youre going to be traveling a lot when youre the new secretary of energy. I appreciate your commitment to come view and see it firsthand. Some of the way to protect base load are to facilitate at coal plant and investment towards technology. Im concerned that we have a choices we can lead in america with this technology or we which seed this to the china. So my question is will doe support Carbon Capture to use storage as well other america including coal strip so we can continue to use this most viability resource . I look forward to coming back to montana and spending quality time with the men and women who are being affected by the decisions that we collectively have made in the city that have effected their lives. You have very eloquently and passionately shared with this committee and with the world the challenges that we have. I remember well a decade and and a half ago when there was an individual who travelled the country and made a good living giving a speech about peak oil that it was all were done. He didnt know what the answer was for the alternative. But he basically said, were done. But because of technology, they came out of the doe, hydraulic fracture you are and the world has been given resource we have been able to use to help lower the Carbon Emissions. Im talking natural gas. I will suggest that some times we get siloed in our thinking and we think its either other whr. The fact is i certain, i feel positive that some sciencetists, some capable man or women either at the doe or in one of our universities laboratory has technology to be able to use coal in a way that is friendly, that is appropriate, and that can keep that little girls family fed and warm. And with a hope for the future. To me that is thats what were about. We side up to make a difference if peoples lives and you have passionately talk people with disabiliti talked that today. That is my commitment that im going to do everything i can to push the envelope to think outside of the box, to come up with a for the answers to the challenges that we face as a country. Thats obviously, one of them. Thats a big one. Making sure the people out in hans forward know thats being managed. And giving them hope its not going to be 30 years of the government kicking the can down the road. Thats what im committed to. Thank you governor. Senator. Fortunately you and i had more than five minutes when we met. I frame my questions to elicit your responses from you. And i hope youll stay with that format. Yes, maam. Governor you have talk about pursuing Energy Strategy. As senator just mentioned and i am i ware that just this morning we learned that the trump tra Transition Team Renewable Energy office of electricity, scrap office and make other massive cuts to your department. Its hard to see how to pursue in all the above strategy if so muff of the of the departments capabilities ares are elimit nated. Do you support the cuts . Were counting on you to educate incoming president. You also stated having educated yourself, the climate is changing whether it comes to Climate Change im committing make decision based on sound science and take into account Economic Impact. We heard a lot about making sure theres a balance between what we need to to two with regard to energy future. Does the Economic Impact include the costs of not doing anything to address Climate Change . Absolutely. Thats the reason i took the steps to lower the emissions. Thank you. As recently as 2006, relied on foil 92 of the energy needs. The state Energy Program from the u. S. Department of energy have been instrument in terms of the hawaii has the most ambitious renewable goal in the country because we want to become the by 2045. With state of hawaii count on your support on the committee. Yes. Thank you. Finally. Im very troubled by recent news reports that the president elect Transition Team has not asked Nuclear Administration the nssa to extend their service past january 20. This would be first time in history that Senior Leadership will not be kept possibility on for the Incoming Administration. I know you said you wanted a smooth transition. Im wondering this is an area we cannot afford keep these people on. So will commit to a connewt of staff to ensure the department of energy ability to protect manage our nations stockpile. Im not concerned about the conknewty of the protecting our stockpile is going to be in place. As i said earlier, we have sent a message, we have interviewsed existing staff. I theres over there without interviewing them, having interaction. I will suggest to you my 14 years of governoring texas and being the ceo of the 12th largest economy in the world. I know something about talent. I will interview appropriately. As i share with senator, the administration has the final decision on a president ial appointment. Were comfortable process you managed to get aware from a yes or no answer. That cannot give you. I understand. As i mentioned hawaii as a similar goal. In 2012 i called for creation of national standard. Setting a goal gives the private sector the certainty to make kinds of investment needed to meet the goals set by a large state like texas. Would you support national Renewable Energy standard it can achieve baseline achievable baseline national standard. You know my precision on federalism in onesizefitsall. If youre going to leave it up to the state will continue to sup sport states effort . Absolutely. Ill talk to them about the using private sector using the department of energy where it fits to come up with the technology that moves forward their states position. Ill be happy to give them the road map on how hoe do that. Thank you. My time is up. Thank you. Senator. The to go through this process. Thank to your family for being here to support you and your commitment to Public Service as well. I want to fom up on what senator daines talked about. I think its important to recognize the places places across colorado that a lot of people have or may never hear of. But there are places that is have been and your job isnt necessarily to say here is an oil regulation. Thats not all what the department of energy does. There may be no role in some of those areas. Certainly the epa we if he canned the eastern plains. Certainly it effected the jobs that can be created for the strategy and policy in this country. It effected our ability to produce affordable energy. Whether its in the western slope. I would encourage you as you sit in the cabinet and talk about the goals for this country that when we talk about the impact it has know that it has a tremendous impact on the work another agency is doing. They all together layer up in a big way that has real impact on the people of our country. Thank you for your commitment to work through the tangled webs that put people out of work and hurt people in my state of colorado. We all recognize the need to protect my great outdoors. We make sure its bet are tomorrow than it is today. We also have to recognize those people in montrose cant be trained to install solar panel but they have to do work right at home as well. So i want to talk about this. It is extremely important for this country. Colorado were the 7th rapged state in terms of crude Oil Production over the past couple of years and we are also the tenth ranked in installed wind capacity. The leading edge of turbine manufacturing, tower manufacturing. Tts incredible to see what we have done. That being said i want to make sure we have keepen all of the policies successful. One key component of that is national Renewable Energy laboratory. This is nearly a billion dollars Economic Impact. It secures about five additional dollars in funding. It is a known for taking projects from the lab to the marketplace ready to be a part of the Diverse Energy sector. After you travel to hawaii i hope that youll come to colorado and visit to see the important work they are doing there. So please know you have an early invitation and i would like to understand the work thats done and how its part of the nergy. I look forward to coming to visiting as we i wont dwell on this. And some of the work they are doing deals with grid modernization efforts, the Super Computers they have. They focus on grid monitorization and Energy Efficien efficiency. It is located in Research Center that both private energy is used to modernize the electrical grid. It is for private and Public Research efforts. So as secretary, would you continue to the work being done on grid modernization efforts . Yes, sir. Two areas will have a role to play i would suggest Going Forward without having deep knowledge of the problematic line items there but developing the next level of super commuting as its impact upon the grid in hardening and protecting the grid. Both of those will play a very Important Role as they go forward. I think its very important. I look forward to working with you on these issues. Thank you. Thank you, senator. Thank you. Governor, thank you for continuing to want to serve. We hope thats the case. Let me just say that coming from an energy state all of us who really had heavy lifting states over the years, we take for granted lights will come on. We take for granted our air conditioner will work, our fridge rate will keep our food parishing. I had one saying governor, i dont know you use coal. Why dont you just use more electricity. That tells you what we are dealing with. I want to put it in perspective. On sitting where i sit and trying to defend an Energy Policy im for everything. I am for all wind, solars, renewables about everything. You have to be rational and practical. Where does our base load come from . I talked about base load and people dont know what im talking about. I said just everything we talked about. Your fridge comes on. You have to have something that will work 24 7. You to have base load. The only thing that gives you base load today is coal and nuclear. Gas is coming on as base load, but until we get the pipelines you are not going to have everything you want. And i really appreciate your answers. They are very good. And with that youll look at whatever you have, whatever money you have to work with all im asking for is proportionate of research and technology. I would say this. The mix we have in energy, coal and natural gas with 66 of the energy, coal and natural gas. Nuclear 20 . Renewables 13 . So now let me tell you in president obamas budget for 2017 and they wonder why i have odds at this, 66 is supposed to come from coal and gas. It is out of 4. 5 billion. Thats 13 . Nuclear, nuclear produced 20 . He committed 2. 9 billion or 64 of our Research Dollars and only get a return on 13 of energy even if it goes to 20 or 25. It wont be a base load. The wind blows at night. You dont wash your clothes at 2 00 in the morning. We are trying to make sure we understand, until we get that new technology you better take care of what you got. I would ask basically with this mix, can we look for more of a proportionate mix so we can do it better . What you have my commitment to is also backed up by my record and my record is the governor of texas has been that individual who was not afraid to get outside of the box and to look at some things to base your decisions on sound science and interestingly with that its important for us to keep in mind that from time to time science gets it wrong. Im committed to an all of the above with the knowledge and history of being an individual that believes in finding more efficient, more effective, more positive impact on our environment technologies. If i can just real quickly yes, sir. The only thing im saying is we get the living crap beat out of us doing the heavy lifting. When they dont have any commitment and give us the money to find the next technology abdomen neand next research. Trust me, i wont. From the standpoint of being an individual who has promoted those sources of energy that can drive an economy and at the same time help our environment, i have a record of doing that, senator. You can expect if im so fortunate to be confirmed by this committee that same commitment and same action and activity. I look forward to that. Look forward to working with you. Thank you. Thank you. It is too late to keep electric rates low. They have been confirmed with transparency and some of the unobligated balances they have and why they havent resulted in lowers rates. Yesterday i sat down for an update on their obligated ba balanc balances. Can you commit to work with me to make sure arizona customers get the lowest rates possible . We will make sure the department of Energy Follows the statues and laws and constitution and not go outside those bounds. If you ever see the agency participating in Something Like that i know i expect a phone call from you. Thank you. I appreciate that. Arizona is home to the Largest Nuclear plant. So obviously it is of interest to any of us in arizona. The Nuclear Power Industry Needs a resolution to longterm storage problem that we have. What will they do to bring some type of resolution to that issue . Senator, as i have made in some earlier remarks, both to the ranging member and to my goal would be those days are over. We can have a thoughtful conversation and productive conversation. It is a conversation where those that have these 35 different states that are repositories today, not by their desire but by the inaction of the federal government over the course of the decades that we can in fact, number one, by making good decisions here, looking at alternatives, by making a real commitment to clean up the environment in the estates and truly find the interim and the longterm storage answers to this extremely difficult situation. Thank you. Im encouraged to see research is being done in the terms of new Technology Particularly the small modular reactors. In what ways can the deo work with the private sector . There are new scale power. Obviously you need to work on this. How can d. O. E. Speed the adoption of some of these new technologies . I think my historical engagements with universities as a governor and the relationship i think there are 11 senators who were governors. Hopefully we can find the private sector and also a third partner i think is important and thats our universities and the scientists and men and women that are there. I find the entire concept of the small modular reactors as a fascinating as one of the alternatives we need have a conversation with. Again, i will go back to say that none of these are going to move forward with twhat we can find until we are willing to address this issue of dealing with the waste that we have in the states today. Thank you. Senator franken. Thank you for coming into my office. Did you enjoy meeting me . I hope you have as much fun on that dias as you were on that couch. [ laughter ] may i rephrase that, sir . Please. Please. Please. Oh, my lord. Oh, my lord. [ laughter ] well, i think we found our saturday night live sound bite. [ laughter ] lets move on. One of the fun things on the couch was when you said that the shell energy boom owed a lot to the department of energy. This is something i think my colleagues on the other side have almost gotten sick of me saying. But you seem to you make a great validater. We talked about this. I know you agree that the department of energy was an enormous factor in the shell boom. Is that right . I would suggest to you there were technologies that were moved forward at the d. O. E. That they then took and implemented together that allowed for the shell revolution to occur. Private sector had a substantial amount to do with that. George mitchell was a great example of an individual who heard scientists and im sure his private sector friends say youre wasting your time and your money but he believed in it. I give as much credit to him as i do the d. O. E. , but i think the d. O. E. Has a role to play. As a matter of fact the Vice President of the company said d. O. E. Started it and other people took the ball and ran from it. You cannot diminish d. O. E. s involvement. The reason i bring that up is to point to the importance of research in solving all of these problems that we have. Thats why these reports i hope these reports on cuts and d. O. E. Arent true. Things in the new administration seem to be fluid, shall i say. I want to go to Climate Change. As we discussed in my office, i believe Climate Change is one of the most serious challenges of our time. In your 2010 book you claim we have been experiencing a cooling trend. It was Just Announced this is the hottest year on record and the year before was also the hottest year of record. In 2014 you said i dont believe we have the settled science by any sense of the imagination calling co 2 a pollutant is doing a disservice to the country and i believe a disservice to the world. I see in your testimony that your views have been evolving on this. You note demand is responsible for some Climate Change. How much do you think the science shows is due to human activity . It is far from more to be sitting before you today and claiming to be a climate scientist. I will not do that. I dont think youre ever going to be a climate scientist but youll be head of the department of energy. Zwl that thats correct. I know how to hire really good scientists. 90 of Scientists Say this is real and we are going to be approaching at the end of the century 3. 5 celsius increases in temperature which would be disasterous. I dont want that for my grandchildr grandchildren. Let me put that 97 in context. A resent survey found only 95 of scientists are sure that cigarettes cause cancer. So it seems science on Climate Change is pretty definitive. So i just dont want and i know my time is out i dont want this idea of the economy and addressing Climate Change are at odds at all. As you saw in your state, people stay in your communities that have wind. Those towers are big. They are tall. Only young people can go up those towers. They keep young people in your community. And we owe it to i dont know if you have grandchildren yet. A little early for that. They were just married in october. Yes. Yes. Too early. See, im not a mathematician. My time is over. Its done. Thank you. Need a little levity every now and again. We are going to ignore that. First of all, you earlier apologized for raining for other states. There are other governors on this committee. In that regard i would say you dont ever have to apologize for that. We have all sinned for that in our former lives, some quite successfully, i might add. No apologies necessary. You are taking over arguably the most complex and broadreaching Agency Within the government. Now, you might say d. O. E. s maybe got different broader span and different ways but as far as reaching americans lives this is probably as broad reaching as it gets. Your soon to be predecessor was a Nuclear Physicist. He was very intimidating when he started talking about nuclear physics. My contention would be you dont have to be a Nuclear Physicist to run this agency. As he adequately described what happens when you become governor, nobody hands you a manual. Your success or fail your depends on your own ability to manage a broad reaching range of services and issues for the people of your state. It all depends on the people you bring around you. We have the Idaho National laboratory, which is the first lightbulbs were done so there at the lab. After i met with you i was really impressed. There is a lot of different laboratories. Most americans have no idea what they do or the complexity of them. It is now becoming one of the lead laboratories and it will be dealing with Cyber Security issue that is incredible vulnerability here in america. You and i talked about that a little bit. Can you tell me your thoughts on that . Yes. I think you should have the ability to talk about this publicly. Thank you, senator. Thank you for relaying the interesting position that governors have when it comes to managing kind of complex issues that they face. Again, i go back and i think that is a very good prerequis e prerequisite. There has been a governor or two, so the issue for my perspective is being able to manage and prioritize what is important and finding those individuals who are some of the best in the business. You may not be able to bring them into government but you can draw them. On the Cyber Security side that will be my intention is to go find men and women in the private sector, in our universities at the d. O. E. As you know, our National Labs have they are the repository of some of the extraordinary brilliance in the world. They truly are a crown jewel of this country of an intellectual and scientific standpoint. Putting together a Team Obviously working with other agencies to have the support not only of the administration but of congress and the private sector on what i consider to be one of the great challenges that we have in the short span. It will change and it will change in a hurry, just like the super computing side. It is one of the areas i think is to the Cyber Security side is our ability to move forward to the next generation so you will see the same commitment of going literally from 0 to the manufacturing of vaccines for pandemic events. I know that we can do this. We can successfully put into place Cyber Security practices that not only secure our private conversations from that matter but to the more important side of things as our electrical grid and our military capabilities. Well said. My time is up. We didnt get a chance to talk about the small modular reactor. And also we develop all of the space batteries and produce space batteries that go out on these missions. Well talk about that next time. Times up. Thank you. Senator king. At the risk of beating the fraternal order of governors i remember meeting you 16 years ago tomorrow on the steps of the capital standing next to one another. The amazing thing to me is neither one of us have aged today. It is extraordinary. This is the only City Committee you can use the word sequester and get any response. I heard he used the word technology is the way forward. You have talked about it. We talked about the role of the department of energy and fracking research. It can be taken and turned into the revolutionary changes whether it is in fracking or renewables or whatever it is. You will have to do hard pushing back on this. I find it is almost selfparity but will you commitment to me that youre going to be lying hard in this indefer because they are cutting the legs out from under you. It is both from those who are in the know and some times people who dont hard for me to believe the people recommending these cuts are in any kind of know. Ill allow your statement to stand. I know what the department of energy should be good at. I have spent enough time making myself aware both talking to individuals inside the agencies, individuals who have been there before i will have to cut your off because the chair is so rigorous about our times. I really hope you will be strong in this. I think you have indicated that you will. We have already approved 14 bcf which is about 20 of the total production for export. It is 71 of the production for export. If it happens there is no way in the world this congress cannot repeal the law of supply and demand. There is no way in the world that will not drastically effect domestic prices which has been one of our advantages in terms of bringing manufacturing back and sustaining our economy. My request is that Public Interest definition includes effect on domestic prices. What i will commitment to is finding ways to make sure we dont artificially effect supply and demand. There are decisions that have been made in washington, d. C. That have artificially effected supply and demand. It has been on the supply side. I would ask the epa and department of interior and whether its congress on the tax and regulatory side to make sure we had the ability to feel the supply because the demand is going to be there and if we produce it in america it makes abundant good sense to me for us to sell it to the world. Unless doing so significantly increases domestic prices which is what happened in australia. My point is that when we look at this entire issue globally we need to make sure we are not making decisions here that is effecting the ability to supply so that you can keep the demand addressed in a thoughtful and fair way that does not drive up the cost to where a Manufacturing Base of which we are trying to bring america back in a strong and powerful way. And it is an advantage we have that i would hate to lose. Thank you. Thank you for your willingness to step up and your families. I enjoyed our meeting. It was interesting. It is an enrichment capability. In ohio we have a plant that produced uranium. At that point it was shut down. When president obama ran he promised to accelerate that clean up. Just the opposite has happened. It is costing taxpayers billions more and not being more efficient about it. Im disappointed in the department of energy for their inability to follow through. It is difficult for people who work there. They never know if their next paycheck will be there. It usually happens around christmas time. So one question for you, would you be commitmeted to helping t ensure we have the funds necessary to expedite that clean up that provides security to these families and lowers the cost by getting this clean up done . I will commitment to you that i will become as educated on this issue as i can in the most expeditious way that i can manage it and employ management skills and capabilities. Again, without knowing the deep details on this but my instinct tells me this is an issue of execution of Good Management. Thank you for that. Ill put you on the spot here further. When he went through his hearing committed to work to this site. I would love for you to see the site. It is a couple thousand acres. It would be a great site for a future plant. Would you commitment to come out . I do. We were excited in late 2015 the department of energy shut that down. They had spent hundreds of millions up to that point. Those are still there. They are not spending him. They are apparently going to be sent to the desert. We have no ability to enrich uranium in this country. We have to rely on foreigners at a time when ironically we are telling them to enrich uranium. We dont have the ability to do that. My question for you there is would you also be willing to look into this issue . I know you will give it your objective consideration. It seems to me we need to have enrichment capabilities in this country. Do you a response to that . I will give it the appropriate and thorough study. In addition i will say the enrichment of uranium in the United States is a National Security issue and one that i take very seriously. I look forward to working with you to not only understand this issue better but if it is concluded, as i suspect it will, that this is indeed a National Security issue that needs to be addressed either by the United States congress or the administrati administration you will have a willing partner in making sure the d. O. E. Does it in the most efficient and most economically feasible way that you can. It is a National Security issue. No question about it being reliant but also because we need it in the Nuclear Stockpile and we need to have it for our nuclear navy. I know we have stockpiles now but we dont have the ability to quickly be able to enrich. It probably takes a decade to get it back up and going. Finally, just one last question. We talked a lot about energy it was equivalent of taking 22 million cars off the road. We also passed it in the entire senate 8212 8215, as i recall. Both have been on the forefront of this issue. I hope you help us to get that legislation across the line. Yes, sir. Use me as you see fit. Thank you. Thank you. Senator duckworth. Thank you. I look forward to your visit to two of the d. O. E. s in illinois. Governor, while i have served in iraq i risked life and limb as so many brave Young Americans and i saw firsthand the painful price this nation pays because of our ree licenliance on forei. It is not only about competing with china and other nations making huge investments its also a very clear National Security impairtive for us. Under your leadership texas made progress but i do worry you have made statements opposing federal government involvement. With the success as you have seen i know you must recognize this gains could not have been made without federal support. Our nations wind industry would not be where it is today without the federal government and i want to replicate the success in wind energy that you saw in texas under your leadership. I would like to do that in illinois and across the nation. Will you maintain the support of programs that promote Renewable Energy programs that strive to move us forward and away from rev i have reliance on fossil fuels . I want to say thank you for your service. Thank you. There are few people in this room that have made the commitment to this country that you have. Thank you. There are some in this audience that have, but we collectively thank you for your service. Thank you. You and i had a pretty broad rangining conversation about th alternativ alternatives. Aggressively and very positively supported that. There are i think a role for the d. O. E. As we go forward continuing to find the technological advances, whether its on turbines, blade design or some other aspect one of the First Technology grants was on nano foetonics at Texas Tech University on the solar side. My commitment will be to look at every program, senator. I think you know my record of im a physical conservative. I dont back away from that. I think thats a badge i wear with honor, but i do believe that there is a role for us to play both at the state level and at the federal level to continue to put forward funded by our taxpayer dollars technologies that can, in fact, make us more efficient, make us more economically viable, improve our quality of life and thats my record, and im you cant change the stripes on this ze a zebra. Its the way i am. Its what i believe in. The administration knew that when they asked me to serve in this role. I am committed to the conuation continuation of using these private sectors in finding solutions or whether its ways to use resources in a more efficient safe effective matter. Thank you. You have spoken quite proudly of our National Laboratories. They are major employers in illinois. They are also developing next generation and exploring the smallest Building Blocks of matter. You and i spoke at length about the need to develop ways to store and perhaps reuse nuclear fuel. I popped out a little bit ago do to meelt with the students. They told me i needed to say that, go fighting zeebies. There is that storage and nuclear fuel has not we have not been able to find a way to take care of it. I want to make sure youre committed to supporting the National Laboratories and the very important work you do. I wont burn your time. Im out of time any way. By reiterating my commitment to managing that issue. I will suggest to you it has been a political and management challenge and hopefully as we go forward we can stand together as a country and talk about a legacy that we finally made substantial progress in removing waste from your states to places both interim or long term that address that challenge. Thank you. We have finished our first round. Well have an opportunity for another. I appreciate the fact you have been sitting for a considerable period of time. Hopefully we will be able to move quickly through this second round and not put you through too much more if you have got the endure raance. Im here at your service. Thats what we love to hear appreciate that. When its cold you need to stay warm. When you need to stay warm it can be costly to stay warm. So when we talk about all of the above Energy Policies in alaska we really live it and perhaps more so than others. At times of the year like this your life depends on the ability to keep warm. Its not just the oil and the natural gas abond the coal thate have. The people in fair banks dont have the benefit of natural gas. They are a community that is effectively relying on home heating fuel. It is expensive for my sister to keep the house that i was raised in to keep it warm during the wintertime. So one of the things we are looking to in alaska is the ability to access our natural gas from this slope and to be able to access that for the benefit of alaskans and for the benefit of the country. I look forward to your commitment to help us work to facilitate that natural gas pipeline. We also have so much more. We have got the wind. We dont have a lot of solar. It changes very soon. We have incredible opportunities, 24 of our Energy Produced in the state comes to us from hydro power, amazing resource in the southeastern part of the state. It isnt viewed as a renewable resource. I would like to work to change that with you. We also have 33,000 miles of coastline. Thats lot of water. If we can harness the power it is bountiful. We have the bio mass potential. We have pioneered in so many different ways. We want to be able to utilize micro grids but the definition says you have to have the ability to connect and disconnect from your grid. If you dont have a grid in the first place you dont count as that. We need to work with you as the incoming secretary to make sure that we are not standing in the way, that our own federal government isnt standing in the way of this invasion thats coming from our National Labs, thats coming from the innovators on the ground as we are working to help facilitate this. So we need you to help us cut through a lot that holds back the invasion and keeps the people in fair banks right now that are trying to stay warm and its costing them a pretty penny to do so to give them the reassurances. One of the things we dont have is a nuclear. The prospect for what Small Modular Nuclear reactors and he almost got to his question there. I would have you talk about the Broader Energy options. But the potential for small remote communities or whether it is our military installations up there, a good example. Some of our Forward Operating base outposts. But as senator duckworth made the point, and i think appropriately so, it can be life threatening. So the potential that we have with micro and small modular reactors including the more advanced reactors i think hold great prospect for us. Can you speak to how you view the role for advanced nuclear and small modular reactors . Im not sure i can do it anymore eloquently than you have. The point is those are exactly the types of focus that the department of energy should be engaged with, should be funding. I will share with you that i will help you in any small or other way. There needs to be legislation that changes federal laws on the micro grid issue. Ill be more than happy to help you do that. It makes abundant good sense. It may be a really great idea. My home state happens to not be attached to the federal grid either. It works fairly well for us. We are a diverse country. We have a lot of different geography and we have different regions. To put into place Energy Policies that take into account is really important. You have my commitment not only im obviously a very strong supporter of this new technology. Obviously we want to look at it from a safety stand point. We want to look at it from the standpoint of being able to secure it properly. There are places, senator duckworth and i had that conversation, that particularly from a military application to power those bases which you have a number of in your home state. It may be a good starting point on those and then plug them in, if you will, to the near by neighborhoods and have that alternative form of energy that can, in fact, make it available and affordable. Thank you. I know we said we are going to second round but sanders hasnt had an opportunity to ask a question yet. Well turn to him. Thank you. August 17th, 2011 cbs news quote republican president ial candidate said he does not believe in Global Warming and suggested it is grounded in scientists manipulating that of financial gain. He said the climate is changing but it has been changing ever since the earth was formed. It has been argued that america should not spend billions of dollars addressing a scientific theory that has not been proven and from my perspective is more and more being put into question. That position is variance. The scientists i hear from believe Climate Change is the great planetary Environmental Crisis we face and that we need to transform our Energy System away from fossil fuel. Do you still hold the views that you expressed in 2011 number one and number two, do you agree with those scientists that it is impairtive that we transform our Energy System away from fossil fuel so that we can leave this planet in a way that is healthy and habtabtha habitable for our future generations . I believe part of it is caused by manmade activity. The question is how do we address it in a thoughtful way that doesnt compromise Economic Growth that quite frankly doesnt effect our energy affordability. Senator talked about the individuals in her state. Governor, i dont mean to be rude. We have a short period to have ti of time. Yeah. We are in danger of spending god knows how many billions of dollars to repair the damage done by Climate Change. Draught is becoming a major crisis, will impact agriculture in a very significant way and basically what im asking you lets get beyond the rhetoric. You dont have to agree with me. The majority of scientists that i talked to feel that Climate Change is a Global Crisis. Its not a question of ball lan of this and balance of that. It requires massive cuts in carbon and transformation of our Energy System. How do you respond to that . I like getting past the rhetoric. Getting past the rhetoric is looking at the record. I think its important for us to talk about the 12th largest economy in the world while i was the governor. Youre asking me what aim going to do act Economic Impact im asking if you agree that Climate Change is a crisis and we need to transform our Energy System to protect future generations. And senator, i will respond that having an academic discussion whether its with scientists or with you is an interesting exercise. Do i have a record of effecting the climate in the world and in this country and the answer is yes. When you lower Carbon Emissions by 17 and nox by 56 , dont you think that is a good thing . I think what would be a better thing is for you to say right now that you recognize that we have a Global Crisis and that the United States of america should help lead the world working with china, russia, countries around the world. Let me change subjects. As you mentioned in opening remarks more than 60 of d. O. E. s budget deals with nuclear energy. I and i think Many Americans were concerned about president elect trumps remarks regarding allowing or supporting more countries around the world to get Nuclear Weapons. The United States for many many decades now hasnt been strong in saying that we want not to be testing Nuclear Weapons. Can you give us some reassurance that you are within the mainstream in saying that testing of Nuclear Weapons is a dangerous idea . Senator, what i can tell you is i think its really important for the United States to have a Nuclear Arsenal that is modern, that is safe. And, you know, at this particular point in time if we had general klotz here the question was dealing with nuclear testing. Yes, sir. Will you support the ban on nuclear testing. Thats where i was getting to is that obviously the scientists that we have at the d. O. E. , the scientists in the private sector, i am going to rely upon their observations on whether there is a clear technical ability to use the technology that we have today. I we have today. I think anyone would be of the opinion that if we dont ever have to test another Nuclear Weapon that would be a good thi thing. Not just for the United States but for the world. Thank you. Senator lee. Thank you, madam secretary. Thanks so much, governor perry, for being with us. Yes, sir. And thanks for your willingness to be considered for this position. I want to to talk about a couple of things that will relate to the department that youre heading if youre confirmed. One of them relates to uranium, something that senator barrasso mentioned a little bit earlier. I always worry whenever government gets involved in any marketpla marketplace, especially if it gets involved and distorts the marketplace. In some instances it gets involved in a way that picks winners and losers. Often favoring large corporations over newer startups that by their nature have a harder time gaining access to capital, whether its from government or private sector sources. In other instances government gets involved and occupies a market. Takes over the whole market. One of those areas relates to the department of enis excess uranium plan. It hibbits the department of energy from selling or transferring excess uranium if the sale or transfer will harm the domestic uranium industry. And you can understand why that policy might be in place. Had this is an industry that if destroyed, especially if destroyed by government action, might cause us harm down the road. When government resources, government stockpiles dry up. Yet between 2009 and 2011 the department of energy transferred more uranium than it was allowed to transfer under the 2008 plan. And in 2012 the gao found that the department of energy violated federal law when it received no compensation for a very large transfer of uranium which cost taxpayers nearly 200 million. Furthermore the department of energys 2013 excess uranium Management Plan eliminated all annual caps on the transfer of excess uranium. This has introduced a tremendous amount of uncertainty and hazard within the domestic uranium industry. So if youre confirmed to this position, will you have youre going to have the opportunity after being confirmed to is update the department of energys Management Plan with regard to excess uranium. Can you assure us that your plan will take into account the existence of a commercial domestic uranium market and one that honors the market and then stick to the plan thereafter . Senator lee, thank you. I with you and senator barrasso both helped bring me to understand this issue substantially better than before i came into your offices. And thank you for that. And as i further become up to speed, if you will, knowledgeable of it, but a broad look at this, you correctly identified this as a budgetary management issue at the department of energy. And again, i just like to remind folks that for 14 years i delivered a budget to the texas legislature. We negotiated those budgets. We prioritized. And thats my commitment to you, senator, is to manage this agency, understanding how the budgetary process works, working with the office of with the omb, working with the members of this committee, the finance committee, to find the dollars, to accomplish the goals that we have at the department of energy, this obviously being one. The law clearly states that this does not, cannot, should not happen. Thank you. To manipulate the uranium supplies where it has a negative effect. I will follow the laws of this country. Thank you. I appreciate that. Ive got a few seconds left and i wanted to get out one more point. The Nuclear Waste policy act creates an obligation, an obligation that is contractual. It obligates the department of energy to dispose of spent nuclear fuel. Currently weve got about 75,000 tons of Nuclear Waste stored at onsite facilities across the country. The department of energy started developing a Waste Disposal site at Yucca Mountain that was halted by the Obama Administration in 2010. But in the meantime the governments breach in this regard, its failure to finish this and provide disposal options at yucca have cost t taxpayers 5. 3 billion in damages and those damages could mount up to 23, 24 billion dollars in the next few years. Id like to know what you plan to do about that and to move forward with yucca. Senator, not you know, not addressing the issue of yucca directly, i want to ask for the privilege to really come up to speed from the standpoint of both the d. O. E. And the legal aspects of this. But i have a history as i said to this Committee Earlier of solving problems. Of being a manager and look at some alternatives maybe outside of what we have historically looked at before. But my commitment is and my hope is we have as a legacy of us this committee, this congress, this administration for americans that we finally after 30 years of kick the can down the road, whether its for whatever reason. But start seeing clear definitive evidence of addressing this issue and moving to temporary and or permanent siting of this Nuclear Waste. Thank you. Thank you, madam chair. Senator cantwell. Thank you, madam chair. Governor perry, keeping on this same theme, wanting to talk about hanford, and thank you for mentioning it in your statement and testimony. Obviously, you know a little bit now about the history of the hanford site and its producing of plutonium and the history its had for our nation. And obviously we now want to see a commitment as we ask for every Energy Secretary for cleaning up the site and moving forward on waste Treatment Plant construction. Are you committed to funding hanford cleanup and what takes to get the waste Treatment Plant finished . Senator, im committed to working with you and prioritizing what is one of the most dangerous, most polluted sites that we have in this country. The commitment that this country makes, not me singularly, not the d. O. E. Singularly, but the countrys commitment to do this has been a failure from my perspective. And i will work with you on a very, very diligent basis up to and including coming to hanford and walking that site with you, sitting down with the men and women of the labor unions that are there to hear their concerns and so that they know that there is a secretary of energy, that there is an administration that is committed to making True Movement on what i consider to be one of the real failures that this country has had dealing with our Nuclear Waste. Its definitely a very complex problem. Thanks for recognizing the fact that it is arguably one of the most technical cleanup projects in the entire world. Will you work with the state on what is called a triparty agreement between the federal government and the state on the cleanup . Senator, one of my goals, and i hope one of my strong suits is going to be to reach out to governors, reach out to members of the legislature who have had these challenges. Obviously working with this committee to find the collaborations. And its going to take a collaboration. We understand that. This is going to be the private sector. Its going to be the state. Its going to be the federal government working together to make this happen. And doing it in as streamlined and efficient way as we can. You have my commitment. Yes, maam. Thank you. And on this larger issue because the committee dealt with Nuclear Waste conversations in the last congress. And a couple of things that in fact secretary mooney has just published an article yesterday that was in bloomberg kind of recapitalizing the various points on this issue. Two of those i wanted to get your comment on. First of all, the Blue Ribbon Commission that was formed, some by our former chair, senator de minuci and some of our former leagues spent time on this issue and said one of the ideas would be to separate defense from commercial waste because you might be able to get it done in a more rapid time period. And secondly, basically advocated for a consensus process. The notion that we have spent time and money trying to do something that there are great objections to in stymieing the process, their advocacy was looking for a process where states and those who would be hold i Holding Holding material would be done in a consensus fashion. Do you accept that concept of the Blue Ribbon Commission recommendations . Senator, until i have the opportunity to sit and truly go over it i think it would be unfair for me to tell you absolutely without having read it at length. But as a general rule and a general observation of what youre talking about working with the states, having been in Public Service now for 30plus years, finding consensus is what i did. It makes ultimate good sense to do that. Understanding that from time to time sometimes consensus is very hard to reach. And i know the complexities of this issue relatively well. Not as well as i will as we go forward. A very big part of the budget as i mentioned, 10 to 15 . Just on the hanford site. So i think notwithstanding the comments of my colleague from utah i think the committee at least in the senate approach has been with our colleague senator alexander from tennessee and our colleague from california and the legislation they endorsed as appropriators on the other side of this equation has been to say lets look at the discussions with states, whether its new mexico or whether its texas or whether its who are on their way of planning various activities for trying to plan for lowlevel waste. Not the whole equation. But isnt that a faster way to get solutions, get sites cleaned up, get processes moving than contracted battles . So the Blue Ribbon Commission was a Bipartisan Group of experts. Brent scowcroft. Im trying to think of lee hamilton, a whole variety of people who made these recommendations. Senator, i will be open to having those conversations and finding the solutions to the challenges. And just one easy one i know since you guys have that dont mess with texas kind of attitude when it comes to the grid, will you make sure that bpa is protected and not privatized or ridiculous concepts of you and i have had that conversation that our grid is i really look forward to coming out there not just to see hanford but also the Bonneville Power Agency and what theyre doing. The lab. Yes. One thing i wanted to say about hanford. You also support, this is a long conversation, the workers and making sure the workers are safe during the cleanup of hanford waste. Maybe one of our most important duties is making sure those men and women who are working on a very dangerous site have the appropriate protection that they deserve and theyve earned. Thank you. Senator heinrich. Governor, i want to follow up on some of the conversation you had with senator cantwell on cleanup and your inheriting the cleanup of the legacy waste from the entire cold war. Atl at los alamos, for example, it will take about 4 billion over the next few decades to finish that effort. That efforts not as technically complicated i think as the hanford site. But it requires resources. I think if the budget is flat youll have your hands full on this front. But weve heard about a potential hiring freeze. I have a article this morning from the hill talking about rolling substantial portions of the d. O. E. Budget back to 2008 levels. How are you and this is a trump Transition Team article. How are you going to meet d. O. E. s commitments to states like new mexico, to states Like Washington who have consent agreements on these cleanup efforts if we have a dramatically smaller d. O. E. Budget . Yes, sir. Senator, over the 14 years actually, ill even expand it a little bit. Over the 30 years that i was either a state representative, an appropriator, i was an agency head for eight years as and then i was the governor of 14 years. We had budgets that did this. They went up and they went down. We had some really tough budgets in the state of texas in 1985 and 1987 in particular. I was an appropriator during that period of time. As an agency head i had to deal with what i was given. I obviously negotiated and went over as good and hard as i could. And then as the governor of the state it wasnt all blue skies and smooth sailing. In 2003 we showed up with a 10 billion budget shortfall in our state. So ive had this experience of dealing with budget shortfalls. Ive obviously been blessed with some times when we had im not sure i ever ran into a time when somebody said youve got all the money you ever need. But my history is i know how to manage, i know how to prioritize, and i will make that commitment to you, senator, is that managing and prioritizing that budget inside the agency will be very high for me and i hope it gives some comfort that you know, this is not my first rodeo when it comes to dealing with budget shortfalls. Related to that, governor, and i want to thank you for your comments on that, i also want to ask you about the waste isolation pilot plant, the facility in carlsbad, new mexico. You may know that wipp is the nations only deep geological depository for transuranic waste from the Weapons Program and its a very important part of the cleanup effort. Wipp was closed for three years as a result two of serious accidents. We just reopened it this last month. The investigations into those incidents cited lack of proper management and oversight as one of the root causes. I want to ask you to assure me but more importantly to assure the people of new mexico that the safe operation and proper maintenance of wipp will be a Budget Priority and also a management priority. Sir, i hope again that my history of managing a rather large entity im not going to sit here in front of you and tell you we got everything right every day in the state of texas. But by and large it was a very we wellmanaged place. When there were mistakes made, i held people accountable. Because the people of the state of texas were holding me accountable. I consider my accountability to not only be to this administrati administration, to this committee, to this congress, but also to the people of this country and to the people of your state. I want my neighbors in new mexico, or our former neighbors in new mexico to know that there is a secretary of energy who not only will come to that site and to hear their concerns, whether theyre employees of wipp or people who live around the communities there, that every reasonable, every thoughtful effort will be made to make sure that not only does that site stay open because of the powerful Economic Impact that it has on your state but also that the people who work there are going to be safe. And youve got my commitment to that, sir. Thats exactly what i want to hear. I very much appreciate your willingness to spend the first few months of your tenure getting to places like the lab and the wipp facility. I think that means a great deal to the community. Yes, sir. Thank you, governor. Thank you. I think as with the nominee that we had for secretary of glr these folks are going to be doing a lot of traveling in the first six months. Which we appreciate. Yes, maam. Senator courtez nesto. Thank you, governor. I know in our meeting you committed to coming to nevada. I appreciate that. When it comes to the cleanup and disposal of highlevel and lowlevel Nuclear Waste, one of the d. O. E. Sites for cleanup is the nevada National Security site, which was established in 1950 to perform Nuclear Weapons testing activities. And there are right now three main areas of focus for the d. O. E. For cleanup on that site, which is groundwater contamination cleanup, lowlevel radioactive Waste Disposal cleanup, and Environmental Monitoring and reporting. I just want to know, are you committed to continuing the cleanup of the nevada National Security site . Of course, senator. And as i shared with governor sandoval and senator heller, you know, i hope we can, again, as the chairman mentioned, im going to be traveling a lot, and i hope that i can and i wont be coming to nevada to see my daughter. I might do that as an aside. Thank you, governor. But we will be there to go to that site to take a good appraisal of it and continue to prioritize these cleanups. I think everyone on the committee will agree that one of the main priorities, obviously keeping that arsenal safe, modernizing that arsenal, but prioritizing the funding and managing that funding in an appropriate way to clean up these waste sites is going to be very, very high on the priority list. Thank you, governor. And then based on the conversation, what im hearing recently, im going to try one more time, do you support storing Nuclear Waste at Yucca Mountain . Senator, im going to im not going to have a definitive answ answer. Absolutely no way in hell, i heard that from senator heller, governor sandoval, and you pretty loud and clear. But i think what you need to hear from me is im going to be looking at the alternative ways to be able to address this issue. We have not for 30 years been able to address it. And if there are legitimate alternatives that keep the people of nevada happy, well, thats even better. But i think i will not sit here in front of you in a Committee Hearing and tell you absolutely no way is nevada going to be the recipient of any highlevel waste. But what i will tell you is well work with you every day and as i think a number of the other senators have said, there are some other places in this country that are willing to have this conversation and i think we need to have an open conversation. I was for bringing highlevel waste into the state of texas while i was the governor. I seemed to manage to get reelected every time i ran. So the issue is one that if were wise, if were thoughtful, if were respectful, that we use good science, we can find a solution to this, senator. Thank you. And another reason why i would other love for you to come to nevada, most people dont realize there are 28 operating Geothermal Power plants in nevada right now. Employing potentially 6,375 individuals both directly and indirect indirectly. Create these jobproducing Clean Energy Power plants. With the support of d. O. E. s geothermal technologies office. And what id like to know is will you commit to pushing for Adequate Funding for the Geothermal Technology office to continue researching Geothermal Energy innovations . All of the above, senator. I think all of the above meins all of the above. So thats a yes . Where you and i will probably have a more pointed conversation is adequate, the word adequate. And as i shared in my remarks earlier, prioritization and Good Management of budgets can go a long way. Good. There is another project i saw on the horizon called the forge lab project. And fallon is the potential host for it. I would ask for your continued commitment and support to support those kinds of projects. Az become more knowledgeable of that operation there, my soninlaws been at fallon a few times. He can easily point it out to me. Thank you, governor. Thank you. Senator franken. Thank you. Governor, as you know, 2 3 of the department of Energy Budget is dedicated toward our Nuclear Weapons program. Now, the United States already has the worlds most formidable Nuclear Arsenal. We currently maintain a force of approximately 4,000 Nuclear Weapons, a number that is much bigger than we need to maintain an effective deterrent. And yet we are on track to spend more than a trillion dollars over the next three decades to sustain, replace and refurbish delivery systems, warheads and their supporting infrastructure. This plan was launched in a different budget era. And i can tell you that numerous very distinguished National Security experts believe that this investment will significantly hamper the ability of the United States to respond to conventional and unconventional threats that we may face. If you are confirmed would you be open to altering the pace and scope of the current modernization plans if it is clear that significant taxpayer savings can be achieved while still meeting the term requirements . Senator, i will address your remarks by saying that i am i understand my role as being the secretary of energy of being the manager of that agency. From my perspective the issues you bring forward, which with legitimate issues to talk about as a country but those will lie in your purview, and the Congress Making the decisions i would suggest relative to the numbers part liu by the fund in stream and what have you. I will be following the statutes and the laws that the United States congress put in place relative to those issues. You may have influence in this debate. Let me alert you to this. These are weapons were never going to use, we hope. A trillion dollars over 30 years. Yes, sir. Real money. While were on the topic of Nuclear Weapons i want to turn to the iran deal. As you know, your predecessor dr. Moniz, played a crucial role in negotiating the iran deal and its nuclear limits which have blocked irans potential to amass Nuclear Material for a Nuclear Weapon. In a january 2nd, 2017 letter to president elect trump 37 of the nations top scientists wrote that in sum the jcpoa has dramatically reduced the risk that iran could suddenly produce significant quantities of Nuclear Weapons material. They concluded that their technical judgment is the multilateral jcpoa provides a strong bulwark against an iranian Nuclear Weapons program and urged trump to preserve this critical u. S. Strategic asset. Specifically as a result of the iran deal irans uranium stockpile was cut by 97 . To 300 kilograms, a fraction of the amount needed for a single Nuclear Weapon with further enrichment iran reduced its installed centrifuges by 2 3. Irans Nuclear Enrichment levels now capped at 3. 67 , way beyond below weapons grade. The core of the iraq reactor was destroyed. And iran will redesign the facility so that it will not produce weaponsgrade plutonium. Given the nonproliferation benefits of the jcpoa, as secretary of energy i hope that youll make a real effort to talk to people in the National Security community who support the deal. I hope youll speak with the Israeli Military and intelligence community. Because i think they will tell you that this is not just in American National interests but also the interests of israeli National Security and i would urge you to advise the president elect to not get out of this deal. We i think that would be bad for our country. The other p5 plus one countries are going to be staying in it anyway. As Energy Secretary youll have the president s ear on this. So i just want to make a pitch to you. Yes, sir. To keep us in the iran deal. Yes, sir. Just as a response, sir, i think nonproliferation is a good thing. And in a general sense. I have not had a classified briefing yet. Until im confirmed, and i would certainly ask each of you for support on that. But until im confirmed, and i havent 4 that classified briefing, im not going to be as knowledgeable about this iranian deal with specificity. But to say that if d. O. E. Has a role and there may be a role that we have to play, and again, i havent had that classified briefing, to make sure that the iranians are living up, i think all of us can say that we want the iranians to live up to the deal. So message delivered, sir. Thank you. Thank you, governor. Senator king. Thank you. On that point i appreciate your comments, and i think one of the Important Roles the department of energy has is monitoring and working with the intelligence agencies to be sure that iran is living up to the deal and i know thats a very important responsibility. In terms of the arrangement itself, i view it as the fact that iran has gotten their benefits from the deal, which were the release of the sanctions. Now the burdens which are a tenyear or long er tamping dow of their centrifuges, and all that, we would on the be hurting ourselves if we terminated the deal because they would have gotten what they wanted and then we would release them from the restrictions of the agreement. Two things. Very short. And can all you need to do is say yes twice. One of them is sounds like a wedding. Yes, exactly. In your case it appears to have worked out beautifully. Yes, sir, it did. Is to invite you to maine, particularly the university of maine. Our university has a relationship as you mentioned, you talked about texas tech, to the department of energy labs, particularly oak ridge. In fact, senator collins and i are going to be there next week, a week from tomorrow, with people from oak ridge. Its an amazing Engineering School and engineering facility, offshore wind, testing facility, nanotechnology, 3d printing, and i think you would find it very illuminating. Would love to have you come up and if you want to come in more june or july than february, ill accept that. Thank you. Yes, sir, ill be there, senator. That was the right answer. The second issue i just want to commend to you, weve talked today about energy sources. One of the most interesting developments in energy in the last few years is whats called distributed energy, which is homes making their own energy storage, demand response, Energy Efficiency, and by the way the cheapest, cleanest kilowatt hour of all is the one we dont use. So theres enormous potential there. The department has been doing research and i just hope youll continue to Pay Attention to that as part of the all of the above strategy includes distributed energy and energy thats produced at the homeowner level or factory level but also things like efficiency, storage, demand response. Yes, sir. And senator, when you talk about the connectivity issue and distributive issue are you talking about issues like smart meters . Exactly. Yes, sir. Enormous potential there. We have a program in my home state, which we helped fund and gave incentives to the installation of those and its been quite successful from my memory. Those are the types of thoughtful engagement, the type of frankly investment that ive historically been very supportive of. Thank you. Thank you, madam chair. Thank you very much, governor, by the way, for your testimony yes. Thank you, governor. And your patience over a long morning. Thank you. And we do appreciate your endurance, your patience. We were just visiting about how long these nomination hearings go. But theyre longest for those sitting on that side of the table and we appreciate it. I have no further questions. Senator cantwell had a clarification she wanted to make. I am going to file a couple things for the record. If we could get your response on Smart Buildings and Energy Efficiency. These have been very successful programs that have saved millions of dollars for those who own the building facilities and homeowners and we definitely want to get your response on that. I was out while you were dialoguing with senator stab nau. I was dialoguing between the treasury nominee hearing and this hearing. I think you gave her a commitment on the office of electricity. But i just want to make sure given all the discussion weve had this morning in the press that you understand that offices capability on storage, on cyber, on transforming the grid, on all of those things and are committed to that office. Most important aspects of the agency, senator, cyber, i hope ive made a deep impact on the committee about finding the solutions particularly on the cyber side. Theres some work that were going to be able to do on super computing side as well. Office of electricity you support wholeheartedly . Whatever the name of the committee or excuse me, the name of the agency needs to be im sometimes theres renaming and i dont intend to do that off the top of my head. But to those functions today there is great support in general for that as we dive into this agency, more obviously working with your office and the rest of the committee. I look forward to lots of successes. Senator, if i might just thank you for the opportunity to be here, you said something about the length of these things. This is important work. This is important business. And this is an monitor agency. If im so fortunate as to be confirmed and i hope i can get the support of each and every one of these senators as we go forward. But im committed to working with you to being a partner in this process and to truly making america being an energyindependent place that has extraordinary future for our children, for our country, for our environment, and in turn the world. Well said. We thank you, governor perry. We aci the time youve given us today. The testimony youve placed before the wreckage, your willingness to answer the questions of virtually every member on the committee. We only had two members that were not able to be in attendance today. We will allow for questions to be submitted to the record, the deadline for Committee Members is close of business today. We would certainly encourage submission prior to that if at all possible. I will also ask unanimous consent to submit several letters of support for governor perry for the record of this hearing. I would ask that members submit any of their own to our chief clerk darla rejenski. But again, governor, thank you. And id also like to thank four family that has been there not only supporting you, behind you in this hearing but as they have supported you throughout your professional career and the leadership youve provided to the people of the state of texas and now your willingness to step forward. I also want to acknowledge the sacrifice and the service of mr. Luttrell. We certainly honor you and all those who have served us. But with that, again, thank you. And the committee stands adjourned. [ room noise ] [ room noise ] tomorrow the Senate Returns at 4 00 p. M. Eastern for votes on some of president elects trump cabinet nominations, including retired general james mattis for defense secretary and retired general john kelly for Homeland Security secretary. Live coverage on cspan 2. Our coverage of the president ial inauguration begins tomorrow at 7 00 a. M. Eastern. Well have le