Energy Exchange

Trust, but verify: How Colorado must lead as latest methane rulemaking advances

By Nini Gu

Colorado’s oil and gas regulators face an important decision that will determine whether the state can continue to successfully cut methane emissions and reach its statutory climate targets.

In 2021, Colorado’s Air Quality Control Commission adopted a rule that limits how much greenhouse gas can be emitted per barrel of oil and gas produced. However, the 2021 GHG intensity rule left open the critical question of how oil and gas operators can demonstrate that their emissions comply with the new standard.

Allowing companies to determine for themselves how to measure and report emissions without strong guidance and a requirement to use direct measurement data threatens to undermine the intensity standard and set a bad precedent for other jurisdictions — in the U.S. and abroad — that are looking to implement performance-based standards.

Fortunately, the Air Pollution Control Division is now undertaking a GHG Intensity Verification rulemaking to address this glaring omission, offering the opportunity to create a program based on best-available science and grounded in real and meaningful outcomes.

This GHG Intensity Verification Rule must be accurate, reliable and capable of directly quantifying the volume of real-world methane emissions so Colorado can make informed decisions to protect communities and the climate.

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Also posted in Air Quality, Climate, Colorado / Comments are closed

4 opportunities for gas utilities to accelerate the energy transition today

A troubling story recently emerged about a group of gas utilities whose mission is to fight electrification. While the leaked materials alone don’t explain the full extent of the group’s efforts, it was unsettling to see baseless, fear-driven tactics such as “take advantage of power outage fear,” to make people wary of electrification. Instead of blocking progress to safe, affordable, clean energy, gas utilities concerned with the future should be taking steps today to accelerate the energy transition.

Several analyses make clear that electrification of commercial and residential buildings will play a predominant role in achieving state climate goals. Take New Jersey, for example, where residential and commercial buildings account for the second largest share of the state’s greenhouse gas emissions. According to modeling done by the state, in order to achieve its climate goals of 80% emission reductions by 2050, residential and commercial sector emissions must be reduced by 89%.

To achieve this level of emission reductions, New Jersey has found that “policies requiring net-zero emissions for new construction must be paired with aggressive requirements for electrification of older residential and commercial buildings as soon as practicable.” In other words, the last thing we should be doing is fighting efforts to electrify.

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Also posted in Methane, Natural Gas, New Jersey, New York / Comments are closed

New innovative tool empowers utilities to reduce emissions in investment planning

By Erin Murphy and Christie Hicks

As the United States moves toward decarbonization, cities and states must use all means available to reduce climate pollution, and natural gas utilities should be at the forefront of this rapid energy transition. Gas utilities are the subject of increasing scrutiny because plans to expand and fortify their infrastructure could lock in greenhouse gas emissions and costs for decades. As the industry reckons with its role in a decarbonized future, advocates, utilities and regulators alike are calling for a carefully-managed transition that avoids costly long-term investments. New York has been at the forefront of this effort, seeking to balance ambitious climate goals with outdated natural gas investment planning processes.

To help utility planners align business decisions with environmental targets, EDF engaged MJ Bradley and Associates to develop the Gas Company Climate Planning Tool, an innovative new framework for New York and other states.

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Also posted in General, Methane, Natural Gas, New York / Comments are closed

What does it really mean for a gas utility to go net-zero?

SoCalGas – the nation’s largest gas utility recently pledged to go net-zero on their greenhouse gas emissions. At face value, this is a great move, but what does this really mean for a gas-only company that has had some major climate missteps in the past? And what are the implications for current and future SoCalGas customers?

Today, customers use natural gas for a variety of purposes — to warm our homes, to take hot showers, to cook hot meals. But as part of the transition to a cleaner energy economy, more and more customers are shifting to electric appliances to perform those same functions. That shift means that they will be leaving the gas system to a decarbonized electric grid.

That’s great news for the climate, but it’s less great news if you’re a gas-only company or if you’re one of the few gas customers left on the system, especially if you are a large industrial customer and there is not an electric alternative available for your business process.

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Also posted in California, Natural Gas, New Jersey, New York / Comments are closed

What our climate goals mean for natural gas, and what states should do about it

The transition to a low-carbon economy will have a big impact on the way we think about natural gas: how we produce, use and transport it. One area where this challenge is particularly acute is the state regulatory frameworks governing gas utilities across the country, and in particular, how those rules line up against the climate goals now being set by a growing number of states.

States that don’t re-envision the way their gas utility systems run will be challenged to meet their climate targets. To help states avoid that fate, EDF has developed a new guide suggesting ways that state regulators can navigate this complex challenge.

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Also posted in California, Clean Energy, Colorado, Natural Gas, New York / Comments are closed

These two programs will help California reach its carbon-neutral goals

California is continuing its leadership on climate change by eliminating carbon from the economy and our daily lives. In fact, California has a law to create a carbon neutral electric grid by 2045.

This spring, our state took two important steps to support these efforts.

Decarbonizing our buildings

Approximately 25% of the state’s greenhouse gas emissions come from residential buildings. Because these buildings come in all different shapes and sizes, we need different strategies to reduce their emissions.

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Also posted in California, Clean Energy, Solar Energy, Wind Energy / Tagged | Comments are closed