Energy Exchange

Exxon methane proposal shows promise, but misses the mark on rigor, reductions

By Jon Goldstein / Published: March 6, 2020

It’s big news when one of the world’s largest oil and gas companies announces it supports hard and fast regulations to reduce its industry’s methane emissions. And it deserves to be, since methane pollution is supercharging the climate crisis and enforceable, comprehensive regulations are the only proven way to make a significant dent in this problem.

However, go a level deeper on the Model Regulatory Framework Exxon unveiled this week and it quickly becomes clear that the specific strategies it proposes lack the ambition needed to dramatically reduce oil and gas methane emissions industrywide. Far from a nationally leading set of proposals, if implemented, they would actually be weaker than the methane standards currently in place in several leading states as well as the Environmental Protection Agency’s current requirements.

Also posted in Methane, Natural Gas / Tagged New Mexico | Comments are closed

The defining decade for oil and gas in the energy transition

By Ben Ratner / Published: February 19, 2020

Business as usual for the oil and gas industry is over. Investor confidence is flagging just as the talent pool shrinks and competition from cleaner energy sources intensifies. Pressure on companies to respond to the climate crisis to maintain their future viability has never been higher.

BP’s recent “net-zero” announcement is a case in point. And though time will tell whether BP delivers on its ambition, CEO Bernard Looney deserves credit for putting his company on the right path. It’s critically important — for the planet and the entire industry — that other energy companies meet or beat the mark of BP’s ambition, and that all turn their sights next to implementation.

As BP’s new plan changes the conversation in boardrooms around the world, energy companies that are serious about performing while transforming will need to step up in four areas. Here’s what to watch for as industry’s defining decade begins.

Also posted in Methane / Comments are closed

The next major ESG opportunity for investors in Europe

By Ben Ratner / Published: January 15, 2020

In recent years, institutional investors have demonstrated their formidable influence, as companies respond to investor environmental, social and governance demands and governments take note of forceful investor calls to action. Europe’s leading investors have been especially active, stepping to the vanguard to address the climate crisis with a sense of urgency and injection of ambition.

As Europe pursues its bold “Green Deal,” European investors have a powerful chance to help address a climate blind spot and policy vacuum to ensure worthy climate goals are not derailed. Investors can do so in a way that generates shareholder value while mitigating one of the largest near-term sources of climate risk. The opportunity lies in addressing methane emissions from the global oil and gas industry, which emits more than 75 million metric tons of the greenhouse gas every year.

Also posted in Europe, Methane, Natural Gas / Comments are closed

EPA’s methane rollback sparks opposition from a diverse group of stakeholders

By Jon Goldstein / Published: December 11, 2019

Over the last few months the Environmental Protection Agency has accepted comments on its proposal to deregulate methane from the oil and gas industry. And based upon the volume and content of comments they have received, the agency should realize opposition to this proposal is both widespread and strong.

It is no surprise that more than 300,000 commenters weighed in to oppose this harmful proposal when you consider that EPA themselves admit it will lead to millions of tons of additional air pollution and potentially prevent any future federal methane regulation of hundreds of thousands of older oil and gas facilities. Not to mention that this proposal will supercharge climate change due to the fact that methane is an extremely potent greenhouse gas, responsible for a quarter of the warming that we are experiencing today, and the oil and gas sector is the largest industrial source of methane pollution.

EPA heard from EDF and other environmental groups, but they also heard from a diverse range of other powerful voices explaining why they oppose this rollback.

Also posted in Air Quality, Natural Gas / Tagged New Mexico | Comments are closed

New mapping tool shows who will be impacted by EPA’s dangerous methane rollback

By Rosalie Winn / Published: December 9, 2019

A few months ago, the Environmental Protection Agency released their proposal to eliminate regulation of methane emissions from new and modified sources across the oil and gas sector and attempt to preclude future federal regulation of the vast number of older sources in the industry.

EDF and a coalition of other concerned public health and environmental organizations submitted detailed comments to the EPA during the public comment period that ended last month, underscoring that the Trump EPA proposal is deeply flawed and unlawful. The proposal is essentially an attempt to dodge the agency’s responsibilities under the Clean Air Act and ignores the extensive scientific evidence that pollution from the oil and gas sector is a public health threat.

Also posted in Air Quality / Comments are closed

New companies oppose methane rollbacks but industry divide remains

By Ben Ratner / Published: December 6, 2019

The stakes are high for businesses to support strengthened Environmental Protection Agency methane regulations.

While there are multiple pathways to achieve a net zero carbon emissions future by 2050 in the U.S., it’s clear that the oil and gas industry can and must virtually eliminate methane emissions. Not only is methane control an environmental priority, it is the most immediate and cost-effective decarbonization option for natural gas. Action on methane is a litmus test of industry’s ability to make necessary changes, and build the muscle to support responsible public policy that cuts emissions and stimulates innovation.

The late November close of the comment period on EPA’s proposal to eliminate methane regulation and exempt large segments of industry from pollution control requirements shows a growing industry divide. A review of industry filings to EPA reveals three game changers for the politics and policy of federal methane regulation.

Also posted in Natural Gas / Comments are closed