Energy Exchange

As Permian drilling booms, will the Texas Railroad Commission stand against wasted gas?

By Colin Leyden / Published: June 19, 2018

This piece originally appeared as an op-ed in the Midland Reporter-Telegram

The West Texas Permian oilfield is poised for rapid development in the next decade; the Energy Information Administration projects oil production in the Permian could grow 60 percent by the year 2030. But oil wells in Texas’ Permian Basin don’t just pump oil, they also produce large amounts of natural gas – which many companies aren’t equipped to handle.

That is posing a problem for Texas, as producers run out of capacity to move associated gas to market. Without reasonable action from the state’s oil and gas regulator, the Texas Railroad Commission (RRC), producers could resort to simply burning away excess gas – something we’ve seen in other oil fields where gas is not the primary production target.

This process, also known as flaring, is a recipe for widespread waste and pollution.

Read More »

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

In Permian, company leadership and state standards are critical for reducing oil and gas methane emissions

By EDF Blogs / Published: June 12, 2018

By Jon Goldstein and Colin Leyden 

This May, ExxonMobil, the world’s largest publicly traded oil and gas company, announced targets to limit methane waste from its global operations. We’ve also seen commitments to cut methane from a range of leading companies like BP and others.

But as more companies step forward with methane targets, it begs the question: Is voluntary action from companies enough to move the needle on methane? A look at what could become the world’s largest oil field points to the answer being a solid no. Read More »

Also posted in Climate, Methane, Natural Gas, Texas / Tagged | Comments are closed

East Coast meets West Coast style – how 2 states are advancing clean energy

By EDF Blogs / Published: June 1, 2018

By Rory Christian, Lauren Navarro

Cities and states are taking the initiative to address climate change independently from the federal administration. With unique political contexts and environmental needs, each local authorities’ policies address specific climate challenges.

California’s new landmark mandate, requiring solar panels on new home constructions, and New York’s ongoing Reforming the Energy Vision (REV) initiative, illustrate just how different paths can lead to accomplish the same intent: to fight climate change.  They are also indicative of how elected officials are prioritizing energy, infrastructure, and housing in their planning.

The longer states wait to take action to set or meet environmental goals, the more expensive their efforts will become. More importantly, the delay can affect the economic and health benefits from new jobs and lower emissions that improve residents’ quality of life.

New York and California are well positioned because they’ve capitalized on emerging trends by addressing legal and regulatory issues in ways other states have yet to do. Let’s take a look at their approaches and challenges. Read More »

Also posted in California, Clean Energy, Electric Vehicles, Electricity Pricing, Energy Efficiency, Energy Innovation, New York, New York REV, Solar Energy / Comments are closed

New report: 5 energy innovations that Ohio can use to attract $25 billion in investment

By Dick Munson / Published: May 29, 2018

Why should Ohio ramp up its investment in energy innovation? More than 20,000 jobs and $25 billion in capital are on the line.

That’s according to a new report that outlines a vision for Ohio’s energy future and economic development. The report draws from the insights and experiences of a diverse group of advisors from across the state’s business, regulatory, academic, labor, and manufacturing sectors.

Here’s why now is a prime moment for Ohio to seize this multibillion-dollar opportunity, which will bring about a cleaner, more efficient energy system for Ohioans.

Five big opportunities

With the state’s largest utility constantly asking for a bailout and state legislators repeatedly trying to gut clean energy standards, Ohio isn’t exactly a leader on energy innovation. But it can be.

The report by Synapse Energy Economics, called Powering Ohio: A Vision for Growth and Innovative Energy Investment, highlights five areas for growth:

  1. Attracting investment from corporate clean energy leaders;
  2. Electrifying transportation, with a focus on electric vehicles;
  3. Building new clean electricity generation, like wind and solar power;
  4. Boosting Ohio’s energy productivity through energy efficiency; and
  5. Investing in a 21st century electric grid.

Taking advantage of these five related opportunities will net more than 20,000 jobs and $25 billion in investment dollars for Ohio, while enhancing productivity and lowering costs. Read More »

Also posted in Clean Energy, Energy Financing, Energy Innovation, Grid Modernization, Ohio / Read 1 Response

Dear FirstEnergy, America doesn’t need your coal plants

By John Finnigan / Published: May 21, 2018

Why do grocers mark down the price of asparagus in the spring, or strawberries in the summer? Because they’re in season and stores have excess supply, and they need to increase demand by cutting prices. The lower prices are a sign, or “price signal,” of excess supply, and the grocers are following the economic law of supply and demand.

Electricity markets follow the law of supply and demand, too. Falling electricity prices are a price signal that we have more power plants than we need. The Federal Energy Regulatory Commission (FERC), which oversees our nation’s electric grid, reports on wholesale electricity prices, and their latest State of the Markets report is an eye-opener.

The report shows that we’re retiring old coal plants at a fast clip, but we’re adding new natural gas plants at an even faster clip – causing power prices to plummet. In PJM, the largest regional electricity market in the country, 1.9 GW of coal plants closed in 2017 as 2.8 GW of new natural gas plants were added. Read More »

Also posted in Electricity Pricing, FirstEnergy, Illinois, Ohio / Comments are closed

Fundamentals should guide FERC on PJM’s misguided state policy proposal

By Michael Panfil / Published: May 8, 2018

Federal regulators are currently considering a proposal that could fundamentally alter how our nation’s power markets work in tandem with state-crafted public policies.

The change being considered, submitted by the nation’s largest grid operator, PJM, would increase electricity prices and undermine state policies in the 13 states and D.C. where PJM operates. Today, Environmental Defense Fund (EDF), alongside other clean energy advocates, filed in opposition to this proposal.

PJM’s proposal before the Federal Energy Regulatory Commission (FERC) is dense and complex (for a great primer on the universe of issues surrounding a similar proposal, see this blog post by NRDC and this article by Vox’s David Roberts). At its core, however, PJM’s proposal centers on a subject that is elemental to the electricity sector: the interplay and interaction between states and federal regulators. PJM should not thrust itself into a public policymaking role, nor should FERC become judge and jury of state policies. Instead, PJM and FERC should facilitate state policy choices. Read More »

Also posted in Clean Energy, Electricity Pricing, Illinois, Market resilience, New Jersey, Ohio / Tagged | Comments are closed