Friday, in a 52-46 vote, the Senate confirmed Scott Pruitt, Oklahoma attorney general to head the U.S. Environmental Protection Agency (EPA). Pruitt was sworn in that evening.
As Oklahoma’s attorney general, Pruitt filed 14 lawsuits challenging EPA regulations, including limits on carbon emissions from fossil fuel-fired power plants. Many of the cases are pending in the courts, creating “serious conflicts of interest,” said Delaware Senator Tom Carver the day before the vote. On Tuesday, Oklahoma asked the U.S. Court of Appeals for the District of Columbia Circuit to replace Pruitt in the Clean Power Plan lawsuit with the state’s new attorney general.
In his first speech to EPA staff on Tuesday, Pruitt said, “I believe that we as an agency, and we as a nation, can be both pro-energy and jobs, and pro-environment. We don’t have to choose between the two.”
He steered clear of specifics about the Trump administration’s energy policies, instead hinting at some agency reforms, saying that the agency has a responsibility to “avoid abuses that occur sometimes” in rulemaking, and he stressed the importance of following the “rule of law” and in partnering with states.
“I seek to ensure that we engender the trust of those at the state level,” he said (subscription).
Those comments echoed Pruitt’s first interview as EPA administrator, in which he told the Wall Street Journal that he intends to restore power to states, that environmental laws were not meant to be a “one-size-fits-all model,” and that “the state departments of environmental quality have an enormous role to play” as well as suggested that the public has trust issues with the EPA’s procedure for producing studies and cost-benefit analyses.
“The citizens just don’t trust that EPA is honest with these numbers,” he said. “Let’s get real, objective data, not just do modeling. Let’s vigorously publish and peer-review science. Let’s do honest cost-benefit work. We need to restore the trust.”
During the interview, Pruitt appeared to contradict his confirmation hearing testimony by questioning EPA’s authority to regulate greenhouse gases, saying that “the courts have seriously called into question the legality” of both the Clean Power Plan and the Waters of the United States Rule, which clarifies the EPA’s regulatory authority under the Clean Water Act. Both rules may be targets of future executive actions. Although the order may not cancel the Clean Power Plan outright, it would mark the first step in weakening the Obama-era climate rule.
The Supreme Court ruled in Massachusetts vs. EPA that the EPA possesses authority to regulate greenhouse gases as air pollutants under the Clean Air Act—an authority that the House Energy and Commerce Committee’s panel on the environment is looking to roll back (subscription).
Senate Democrats had sought to delay Pruitt’s Senate confirmation vote, saying lawmakers could afford to wait a few days to learn more about Pruitt’s ties to the oil and gas industry, a reference to an Oklahoma judge’s ruling, that required Pruitt to hand over nearly 3,000 e-mails related to his communications with the industry, the subject of a public records lawsuit. The Center for Media and Democracy published those e-mails yesterday, two years after Pruitt initially refused to release them. The e-mails share close ties to the oil and gas industry. AP detailed a few of the ways in which those e-mails show how Pruitt and his staff coordinated their legal strategy with oil and gas industry executives and advocacy groups funded by those profiting from fossil fuels to fight federal efforts to curb carbon emissions.
Study Examines Spill Risk of Hydraulically Fractured Wells
A new analysis led by the Nicholas Institute for Environmental Policy Solutions, which appeared Tuesday in the journal Environmental Science & Technology, concludes that making states spill data more uniform and accessible could provide stakeholders with important information on where to target efforts for locating and preventing future spills at hydraulically fractured oil and gas wells.
“… Reporting requirements differ across states, requiring considerable effort to make the data usable for analysis,” said Lauren Patterson, policy associate at the Nicholas Institute and the study’s lead author. “Given the rapid recent development of unconventional oil and gas development, data are scarce on both how often spills happen, where in the process they occur, and what caused them.”
“The presence of a spill,” she added, “does not mean an adverse impact; many spills were small or contained. The data on containment and potential impacts varied between states and over time, making it difficult to do more than report on the number of spills.”
It identifies 6,648 spills reported across Colorado, New Mexico, North Dakota and Pennsylvania during a 10-year period (2005 and 2014). The work also shows that the range of requirements makes it impossible to compare states or come up with a comprehensive national picture. For example, Colorado and New Mexico require spills of more than 210 gallons to be reported to the state, whereas North Dakota calls for any spill of more than 42 gallons to be documented.
Making this state-level data more uniform could help regulators and industry reduce future spills.
“Analyses like this one are so important, to define and mitigate risk to water supplies and human health,” said Kate Konschnik, co-author on the paper from Harvard Law School’s Environmental Policy Initiative. “Writing state reporting rules with these factors in mind is critical, to ensure that the right data are available—and in an accessible format—for industry, states and the research community.”
Singapore Commits, States Consider Carbon Tax
A proposed carbon tax by a group of Republican lawmakers—the Climate Leadership Council—hasn’t made much headway with Congress since its introduction earlier this month, but others are starting to think about the concept.
State lawmakers in California are debating whether to extend the current cap-and-trade system beyond 2020, or replace it with a carbon tax—or cap and tax. Like the cap-and-trade system, this alternative strategy would place a cap on emissions that would decline each year, but it would also tax all emissions at the EPA-set social cost of carbon, or $50 per ton in 2030. And, ClimateWire reports, Washington state has proposed a $25-per-ton carbon tax to bolster the state budget. A second proposal to impose a $15-per-ton tax is also on that state’s legislative agenda (subscription).
Across the pond in Southeast Asia, Singapore announced plans to implement a S$10–$20 per ton carbon tax in 2019—committing to reducing emissions 36 percent compared with 2005 levels by 2030.
“The most economically efficient and fair way to reduce greenhouse gas emissions is to set a carbon tax, so that emitters will take the necessary actions,” said Singapore Finance Minister Heng Swee Keat. “Singapore is vulnerable to rises in sea level due to climate change. Together with the international community, we have to play our part to protect our living environment.”
The Climate Post offers a rundown of the week in climate and energy news. It is produced each Thursday by Duke University’s Nicholas Institute for Environmental Policy Solutions.
Reducing greenhouse gas emissions could boost the economy rather than slow it, according to a new study by the Global Commission on the Economy and Climate. Better Growth, Better Climate: The New Climate Economy Report finds that roughly $90 trillion will be spent in the next 15 years on new infrastructure around the world. Adopting rules that redirect that investment toward low-emissions options—more efficient use of resources and the building of connected and compact urban cities driven by public transportation—could make economic sense.
“A central insight of this report is that many of the policy and institutional reforms needed to revitalise growth and improve well-being over the next 15 years can also help reduce climate risk,” the report authors said. “In most economies, there are a range of market, government and policy failures that can be corrected, as well as new technologies, business models and other options that countries at various stages of development can use to improve economic performance and climate outcomes together.”
Taking action on climate change, the report authors said, is affordable.
“Of the $6 trillion we will spend a year on infrastructure, only a small amount—around $270 billion per year—is needed to accelerate the shift to a low-carbon economy, through clean energy, public transport systems and smarter land use,” said Felipe Calderon, chairman of the Global Commission on the Economy and Climate. “And this additional investment could be entirely offset by operating savings, particularly through reduced fuel expenditures”
Studies Assess Impacts of Hydraulic Fracturing
A new study in the journal Proceedings of the National Academy of Sciences links water contamination from shale gas extraction in parts of Pennsylvania and Texas to well integrity rather than the hydraulic fracturing process. The research, which looked at 133 water wells with high levels of methane, found that the contamination was either naturally occurring or linked to faulty well construction by drillers.
“These results appear to rule out the possibility that methane has migrated up into drinking water aquifers because of horizontal drilling or hydraulic fracturing, as some people feared,” said Avner Vengosh, study co-author and professor of geochemistry and water quality at Duke University. Researchers pointed, instead, to the cement used to seal the outside of vertical wells and the steel tubing used to line them as culprits.
“In all cases, it [the study] basically showed well integrity was the problem,” said Thomas H. Darrah, co-author and Ohio State University researcher. “The good news is, improvements in well integrity can probably eliminate most of the environmental problems with gas leaks.”
Another study on hydraulic fracturing in the Bulletin of Seismological Society of Americafound a connection between deep injections of wastewater from a coal-bed methane field and an increase in earthquakes in Colorado and New Mexico since 2001. The report, which focuses on the Raton Basin, suggested that the area had been “seismically quiet”—experiencing only one earthquake of greater than 3.8 magnitude—until shortly after major fluid injections began in 1999. Since 2001, the area has recorded 16 such events.
EPA Extends Comment Period for Power Plants
On Tuesday, the U.S. Environmental Protection Agency (EPA) extended the public comment period for its proposed rule for regulating carbon dioxide emissions from existing power plants by 45 days—to Dec. 1.
Janet McCabe, the EPA’s acting assistant administrator for the Office of Air and Radiation, said the extension is due to stakeholders’ great interest.
“While we’ve heard quite a bit so far, we know that there are many individuals and groups continuing to work to formulate their input,” she said. “We want the best rule possible, and we want to give people every opportunity to give their ideas and contributions.”
The delay, McCabe told reporters, would not affect the timeline for finalizing the rule by June 2015.
The same week, a government watchdog agency—the Government Accountability Office (GAO)—released a report suggesting coal plant retirements may be higher than previously thought. It predicted 13 percent of coal-fired generation would come offline by 2025—compared with its 2012 estimate of 2 percent to 12 percent.
The report suggested that existing regulations such as the EPA’s Mercury and Air Toxics Standard and recently proposed regulations to reduce carbon dioxide emissions from existing generating units were contributors to the retirements. Low natural gas prices, increasing coal prices and low expected growth in demand for electricity were also cited as contributors.
The Climate Post offers a rundown of the week in climate and energy news. It is produced each Thursday by Duke University’s Nicholas Institute for Environmental Policy Solutions.
A federal appeals court upheld the U.S. Environmental Protection Agency’s Mercury and Air Toxics Standards (MATS) requiring power plants install technology to cut emissions of mercury and other air pollutants. MATS was challenged by industry and several states that argued the EPA should have considered costs when determining whether it was “appropriate and necessary” to go forward with the standards. The EPA contended the rule was required under the Clean Air Act.
“On its face,” the majority opinion said, the Clean Air Act “neither requires EPA to consider costs nor prohibits EPA from doing so. Indeed, the word ‘costs’ appears nowhere” in that section of the law.
Although Judge Brett Kavanaugh—one member of the three-judge panel—agreed with the majority in other aspects of the ruling, he wrote a dissenting opinion on when the EPA should have considered the costs of MATS.
“The estimated cost of compliance with EPA’s Final Rule is approximately $9.6 billion per year, by EPA’s own calculation … To put it in perspective, that amount would pay the annual health insurance premiums of about two million Americans. It would pay the annual salaries of about 200,000 members of the U.S. Military. It would cover the annual budget of the entire National Park Service three times over,” Kavanaugh wrote.
Most power plants will have until March 2015 to meet the requirements set forth by the standards, but extensions to 2016 are possible. Despite the litigation, nearly 70 percent of coal-fired power plants are already in compliance with MATS, according to the Energy Information Administration.
The appeals court ruling comes as the EPA released findings that between 2011 and 2012 U.S. greenhouse gas emissions dropped 3.4 percent—an overall decrease of 10 percent below 2005 levels. The findings are based on data in the agency’s annual inventory of U.S. greenhouse gas emissions and sinks. The agency attributed the decrease, in part, to reduced emissions from electricity generation, much of which is attributable to the increased usage of gas instead of coal—a change that has been influenced by the mercury regulations.
Methane Emissions Rule May be on Horizon
Five papers exploring methane emissions from compressors, leaks, liquid unloading, pneumatic devices and hydraulic fracturing production were released by the EPA for public comment Tuesday.
“The white papers will help EPA solidify our understanding of certain sources of methane and volatile organic compound (VOC) emissions in the oil and natural gas industry,” the agency said in a statement. “Methane is a potent greenhouse gas, and VOCs contribute to the formation of harmful ground-level ozone (smog).”
The release of the papers is a first step in what could become a new set of regulations governing emissions of methane from oil and gas operations.
A day earlier, a study published in the Proceedings of the National Academy of Sciences suggested that the EPA underestimated methane emissions from oil and gas operations. In a survey of hydraulic fracturing sites in southwestern Pennsylvania, the peer-reviewed study found that drilling operations released methane at rates that were 100 to 1,000 times greater than the EPA expected. Seven well pads—1 percent of all the wells in the research area—accounted for 4 to 30 percent of the recorded emissions.
Four Years Later, BP “Active” Spill Response Concludes
The “active cleanup” phase of BP’s Deepwater Horizon oil spill ended this week, days before the four-year anniversary of the 2010 spill.
“Let me be absolutely clear: This response is not over—not by a long shot,” said Capt. Thomas Sparks, the Coast Guard federal on-scene coordinator for the Deepwater Horizon response. “Our response posture has evolved to target re-oiling events on coastline segments that were previously cleaned.”
BP said its cleanup involved aerial patrols over more than 14,000 miles of shoreline and ground surveys covering more than 4,400 miles.
“Immediately following the Deepwater Horizon accident, BP committed to cleaning the shoreline and supporting the Gulf’s economic and environmental recovery,” BP said in a press release. “Completing active cleanup is further indication that we are keeping that commitment.”
Multiple studies are attempting to assess not only the reach of the spill, but also its health effects for spill responders and Gulf wildlife. A new report by the National Wildlife Federation used data from independent scientists and the National Oceanic and Atmospheric Administration to assess how 14 species were faring. Some—such as the bottlenose dolphins and sea turtles—are still dying in large numbers due to the spill.
The Climate Post offers a rundown of the week in climate and energy news. It is produced each Thursday by Duke University’s Nicholas Institute for Environmental Policy Solutions.
Editor’s Note: In observance of the upcoming holidays, the Climate Post will not circulate the next two weeks. It will return Jan. 9, 2014.
The Energy Information Administration (EIA) on Monday released a 20-page preview of its Annual Energy Outlook 2014, which includes projections of U.S. energy supply, demand and prices through 2040.
Although the full report won’t be released until spring 2014, the preview projects a spike of 800,000 barrels a day in domestic crude oil production in 2014. By 2016, U.S. oil production will reach historical levels—close to the 9.6 million barrels a day achieved in 1970. The feat—made possible by fracking and other advanced drilling technologies—is expected to bring imported oil supplies down to 25 percent, compared with the current 37 percent, by 2016. Eventually though, the boom will level off, and production will slowly decline after 2020.
Natural gas will replace coal as the largest source of U.S. electricity. In 2040, natural gas will account for 35 percent of total electricity generation, while coal will account for 32 percent. Production of natural gas is predicted to increase 56 percent between 2012 and 2040; the U.S. will become an overall net exporter of the fuel by 2018—roughly two years earlier than the EIA projected in last year’s forecast.
“EIA’s updated Reference case shows that advanced technologies for crude oil and natural gas production are continuing to increase domestic supply and reshape the U.S. energy economy as well as expand the potential for U.S. natural gas exports,” said EIA Administrator Adam Sieminski. “Growing domestic hydrocarbon production is also reducing our net dependence on imported oil and benefiting the U.S. economy as natural-gas-intensive industries boost their output.”
Total energy-related carbon dioxide emissions in the U.S. are also predicted to remain below 2005 levels—roughly 6 billion metric tons—through 2040.
Oil to Flow from Southern Leg of Keystone Pipeline in 2014
Next month some 700,000 barrels per day are expected to begin flowing from Cushing, Okla. to Texas through the 485-mile pipeline that forms the southern leg of the Keystone XL pipeline project. Initial testing, before the Jan. 22 launch, is showing no issues with the pipeline or shippers, according to project lead TransCanada.
Construction of the southern leg required only state environmental permits and permission by the U.S. Army Corps of Engineers. The northern leg—bringing crude oil from the Alberta tar sands to the Gulf Coast—has been more controversial. It awaits presidential approval on a trans-border permit.
Even so, TransCanada announced it has reached an agreement with 100 percent of landowners in five of the six states through which the 1,700-mile northern leg will pass. The remaining holdouts are in Nebraska, where the pipeline’s route was reworked to avoid crossing the Sand Hills aquifer.
U.S. Military to Utilize More Biofuel
On the heels of a proposal by the U.S. Environmental Protection Agency to lower the country’s 2014 biofuel mandate, the U.S. military announced plans to make biofuel blends part of its regular “operational fuel purchase” through a collaboration of the Navy and the U.S. Department of Agriculture.
“The Navy’s intensifying efforts to use advanced, homegrown fuels to power our military benefits both America’s national security and our rural communities,” said Agriculture Secretary Tom Vilsack. “Not only will production of these fuels create jobs in rural America, they’re cost effective for our military, which is the biggest consumer of petroleum in the nation.”
Sudden fuel price spikes—responsible for as much as $5 billion in unbudgeted fuel increases—were cited as one reason for the program, which will begin in 2014. Deliveries are expected in mid-2015.
The Climate Post offers a rundown of the week in climate and energy news. It is produced each Thursday by Duke University’s Nicholas Institute for Environmental Policy Solutions.
Redrawing the Energy-Climate Map, a new report from the International Energy Agency (IEA), warns global energy-related greenhouse gas emissions set an all-time high in 2012, throwing the world off its path to limit global warming to 2 degrees Celsius by 2020. These emissions rose 1.4 percent in 2012 to 31.6 billion tons—though the U.S. posted its lowest emissions (down 200 million tons), curbing them to mid-1990 levels.
“Climate change has quite frankly slipped to the back burner of policy priorities,” said IEA Executive Director Maria van der Hoeven. “But the problem is not going away—quite the opposite. This report shows the path we are currently on is more likely to result in a temperature increase between 3.6 °C and 5.3 °C but also finds that much more can be done to tackle energy-sector emissions without jeopardizing economic growth, an important concern for many governments.”
The release of the report came as nations gathered in Bonn, Germany, for a second week of talks aimed at a global climate pact—taking effect in 2020—to limit carbon emissions to 2 degrees Celsius from pre-industrial levels. The report lays out four policy priorities to put the world back on track: a partial phase-out of fossil fuel subsidies, reduced natural gas venting and flaring in oil and gas production, limited use and construction of inefficient coal power generation and enactment of targeted energy efficiency measures in buildings, industry and transport. The policies, the report said, would stop the growth of energy-related emissions by the end of the decade.
Energy Programs in Question after Senate Farm Bill Vote
This week, the Senate approved a five-year farm bill aimed at reducing food stamps and expanding farm subsidies that are designed to help farmers through extreme weather such as droughts and floods. Attention now turns to the House, which is expected to begin debating it’s version of the bill this month. The two versions include very different provisions for clean and renewable energy programs.
Although the Senate bill does include mandatory funding for clean and renewable energy programs—the Rural Energy Assistance Program and the Biomass Crop Assistance Program—the total allotted comes to 31 percent less per year than the total provided under the 2008 Farm Bill, which was extended through September 30 as part of fiscal-cliff compromises. With the House bill, all funding for the energy programs is reauthorized at reduced and non-mandatory levels.
“The House bill would allow the programs to continue on paper with an annual appropriation, but provides no mandatory funding to operate the programs,” said Andy Olsen at the Environmental Law and Policy Center. That could result in some “very gutted programs,” he noted.
Estimates of Shale-Based Resources Rise
New analysis by the U.S. Energy Information Administration (EIA) provides estimates for global shale gas and oil resources in the U.S. and 41 countries. The update of a two-year-old study by the EIA, nearly doubles the number of formations that have these technically recoverable resources.
It finds that more than half of the identified shale oil resources—roughly 345 billion barrels—outside the U.S. are in Russia, China, Argentina and Libya; China, Argentina, Algeria, Canada and Mexico hold the most shale gas resources. The U.S. holds the second largest concentration of shale oil resources behind Russia and ranks fourth in shale gas resources after Algeria.
“As shale oil and shale gas production has grown in the United States to become 30 percent of oil and 40 percent of natural gas total production, interest in the oil and natural gas resource potential of shale formations outside the United States has grown,” said EIA administrator Adam Sieminski, noting that the EIA report shows “a significant potential for international shale oil and shale gas.”
The Climate Post offers a rundown of the week in climate and energy news. It is produced each Thursday by Duke University’s Nicholas Institute for Environmental Policy Solutions.