Energy Exchange

As Oil and Gas Industry Goes Big in the Permian, Efforts to Tackle Emissions Will Be Telling

By Jon Goldstein and Ben Ratner

Much ink has been spilled recently about big new oil and gas investments in the Permian Basin across West Texas and Southeastern New Mexico. What some are dubbing “Permania” includes a more than $6 billion investment by ExxonMobil in New Mexico acreage and an almost $3 billion one by Noble Energy across the border in Texas, among others. But a large question remains: will these types of big bets also come with the needed investments to limit methane emissions?

It’s not just an academic question. The answer will go a long way toward revealing if industry actors plan to operate in a way that serves the best interest of local communities and taxpayers. Unfortunately, New Mexico is currently the worst in the nation for waste of natural gas resources from federal lands (such as those that are found in large parts of the state’s Permian Basin). Largely avoidable venting, flaring and leaks of natural gas from these sites also puts a big hole in taxpayers’ wallets, robbing New Mexico taxpayers of $100 million worth of their natural gas resources every year and depriving the state budget of millions more in royalty revenue that could be invested in urgent state needs like education. Read More »

Posted in General, Methane, Natural Gas / Read 1 Response

How Polluting Less Can Help Pennsylvania Employ More

By Andrew Williams and Isabel Mogstad

For decades, the polluter lobby has argued that environmental regulations are too costly and kill jobs. A new report out today is calling their bluff.

The report, from international consulting firm Datu Research, looks at a sector of the economy that focuses on finding and fixing oil and gas leaks – which contribute to climate change, waste energy, and damage local air quality. A growing number of states  have been requiring companies to reduce emissions by regularly checking their equipment for leaks. In those regions, companies that provide pollution control services have grown up to 30%.

This could mean big things for Pennsylvania – which has committed to implementing its own oil and gas pollution protections targeted at cutting methane from new and existing natural gas infrastructure. Read More »

Posted in General, Jobs, Methane, Natural Gas / Tagged | Comments are closed

With New Distributed Energy Rebate, Illinois Could Challenge New York in Utility Innovation

By Andrew Barbeau, senior clean energy consultant

How does the electric utility fit in to a rapidly-evolving energy system? That’s what the Illinois Commerce Commission is trying to determine with its new effort, “NextGrid.” Together, we’re rethinking the roles of the utility, the customer, and energy solution providers in a 21st-century electric grid.

In some ways, NextGrid will follow in the footsteps of New York’s innovative Reforming the Energy Vision (REV) process, a multi-year effort to re-examine how electric utilities and customers interact. A new approach is essential to accelerating the adoption of clean energy technologies and services in the state.

Like REV, NextGrid is gaining national attention for stakeholder-driven processes to reveal new ways to value distributed energy resources (DER), like rooftop solar and batteries. New York and Illinois’ efforts also seek alternatives to simply building more and more wires, poles, and power plants to meet the energy needs of tomorrow.

Yet, Illinois may go a few steps beyond New York, creating a comprehensive framework for utilities to measure how DER are making the grid smarter and more efficient. Here is what we know will happen so far.

Read More »

Posted in Clean Energy, Grid Modernization, Illinois, Utility Business Models / Read 2 Responses

6 Ways President Trump’s Energy Plan Doesn’t Add Up

By Jeremy Proville and Jonathan Camuzeaux 

Just 60 days into Trump’s presidency, his administration has wasted no time in pursuing efforts to lift oil and gas development restrictions and dismantle a range of environmental protections to push through his “America First Energy Plan.” An agenda that he claims will allow the country to, “take advantage of the estimated $50 trillion in untapped shale, oil, and natural gas reserves, especially those on federal lands that the American people own.”

Putting aside the convenient roundness of this number, its sheer size makes the policy sound appealing; but, buyer beware. Behind the smoke and mirrors of this $50 trillion is an industry-commissioned Institute for Energy Research (IER) report that lacks serious economic rigor. The positive projections from lifting oil and gas restrictions come straight from the IER’s advocacy arm, the American Energy Alliance. Several economists reviewed the assessment and agreed: “This is not academic research and would never see the light of day in an academic journal.”

Here are six reasons Trump’s plan can’t deliver on its promises. Read More »

Posted in Aliso Canyon, Clean Energy, Electricity Pricing, Gas to Clean, Natural Gas, Social Cost of Carbon / Comments are closed

Study: Emissions from power plants, refineries may be far higher than reported

By Joe Rudek and David Lyon

A new peer-reviewed paper in Environmental Science and Technology suggests that methane emissions from natural gas power plants and oil refineries may be significantly higher than accounted for in current inventories. The report estimates average hourly methane emissions 11 to 90 times higher for refineries, and 21 to 120 times higher for natural gas power plants than those calculated from data provided by facility operators to Environmental Protection Agency’s Greenhouse Gas Reporting Program.

By multiplying total CO2 emitted annually by all US natural gas power plants and refineries (as tallied by EPA) by the methane-to-CO2 emission ratio determined in the study, the authors estimate yearly methane emissions from the nation’s refineries and gas-fired power plants are twenty times higher than currently reported. Read More »

Posted in Methane / Comments are closed

Congressional Review Act: A Law of Unintended and Long-Lasting Consequences

3802348922_e99184a252_bBy Carol Andress, Director of Legislative Operations, Climate & Air

With legislation flying fast and furious through the Capitol – much of it using new or unusual legal mechanisms – lawmakers today must be doubly mindful of unintended consequences. Case in point: Actions rushed through the House and Senate under an obscure law called the Congressional Review Act (CRA), the details of which can cause deeper, more lasting impact than the simple name implies.

The CRA dates to the 1990s. It says that any rule finalized by a federal agency can be subject to an expedited congressional repeal for 60 legislative days after the agency sends up a copy of the final rule and a report detailing the reasons for its promulgation. Within that window, either chamber can introduce a joint resolution of disapproval – which, if passed by both houses of Congress and signed by the president, effectively voids the rule.

The law sounds simple enough. But it leaves a lot of room for error or mischief. Read More »

Posted in BLM Methane, General, Methane, Natural Gas / Read 3 Responses