Energy Exchange

Federal Regulators Should (Again) Block FirstEnergy’s Sneaky Attempts to Evade Oversight

By Dick Munson / Published: June 17, 2016

FirstEnergyChaseAkronOhio wikipedia croppedIt’s not usually a good idea to dis federal regulators. FirstEnergy doesn’t seem to care.

Almost two months ago, the Federal Energy Regulatory Commission (FERC) ruled against the Ohio-based utility giant’s request to bail out its uneconomic power plants. FirstEnergy then tweaked its proposal to obtain the same result but, according to its CEO, “without the need for…FERC approval.”

To “FERC-proof” its bailout scheme, FirstEnergy now tries to mockingly call its subsidy a “surcharge” rather than a “power purchase agreement (PPA).” Put another way, by simply changing the wording of the original bailout, the utility’s sleight of hand aims to skirt federal oversight.

Environmental Defense Fund (EDF) is joining the Electric Power Supply Association (EPSA) and others in asking FERC to overturn this end-run attempt – something we’re calling FirstEnergy’s “Virtual PPA.” It’s virtually the same as the original rotten deal, and it’s just as bad for customers, clean air, and markets.  Read More »

Posted in FirstEnergy, Ohio / Comments are closed

New EPA Rule Keeps Oil & Gas Wastewater out of Local Treatment Plants

By Holly Pearen / Published: June 17, 2016

TwoKidsDrinkFtn_42-19758561_Corbis_4C-CC_RFIf you like clean water, we’ve got good news. This week the EPA finalized an important Clean Water Act rule that cements commonsense protections for water resources. EPA’s new technology-based categorical pretreatment standard prevents unconventional oil and gas operators from delivering salty, toxic wastewater to publicly owned water treatment facilities — also known as POTWs. These facilities are designed to handle residential sewage, not industrial waste, and often are unable to treat the types of pollutants common in unconventional oil and gas wastewater.

Since 1979, the Clean Water Act has prohibited onshore oil and gas operators in the eastern U.S. from directly discharging oil and gas wastewater to surface waters, like streams and lakes. But until now, there were no rules that applied to the wastewater that is disposed of at separate treatment facilities, or “indirect discharges.”

The final POTW pretreatment rule is consistent with current industry practice, but this wasn’t always the case. Prior to 2011, oil and gas operators in Pennsylvania delivered wastewater to POTWs for treatment and disposal with terrible results. These POTWs struggled to treat unconventional oil and gas wastewater due to elevated levels of halides, heavy metals, organic compounds, radionuclides and salts. High and fluctuating TDS (salt) levels in wastewater interfered with the biological treatment processes reducing treatment efficiency. Bromides that went through POTW disinfection processes were transformed into toxic disinfection by-products and released into receiving waters. Read More »

Posted in Natural Gas, produced water / Tagged , , | Read 1 Response

Market Forces are Driving Coal’s Demise and Cleaning Up the Grid in Texas

By Jim Marston / Published: June 15, 2016

power lines unsplash croppedWhat do economists and environmentalists have in common? When it comes to Texas’ energy future, more than you may think.

According to a new study from the Brattle Group, a reputable, national economics consulting firm with extensive experience in Texas’ electricity sector, market forces are leading to coal’s rapid decline in the Lone Star State. Moreover, rapidly-growing cleaner electricity sources like natural gas and renewable energy will be able to entirely meet Texas’ additional power needs – without increasing electric bills. We couldn’t agree more.

That said, we’re confident the impacts are going to be even more powerful in terms of Texas’ wind, solar, and energy efficiency. And the latest report from Texas’ main grid operator, the Electric Reliability Council of Texas (ERCOT), continues to support that expectation. Read More »

Posted in Air Quality, Natural Gas, Renewable Energy, Texas / Comments are closed

As SoCal Braces for Aliso Canyon-Related Blackouts, These Energy Programs Can Help

By EDF Blogs / Published: June 14, 2016


blackout2By Jayant Kairam and Timothy O’Connor. 

Adding insult to injury, Californians learned this spring that the disastrous four-month methane leak at the sprawling Aliso Canyon natural gas storage facility could result in a new problem: outages.

The failure at Southern California Gas Company’s massive storage site exposed a critical weakness in the state’s energy system. Densely populated Southern California is over-dependent on natural gas from a single provider.

As a result, a vast area stretching from San Diego in the south to Los Angeles and San Bernardino County in the east may face power and gas shortages during the hot summer and cold winter months, a recent report by a group of state regulatory agencies warned. Read More »

Posted in California, Demand Response, Electricity Pricing, Energy Efficiency, Gas to Clean, Grid Modernization, Methane, Natural Gas / Tagged | Comments are closed

Mexico Methane Reductions: An Opportunity For North American Leadership

By Drew Nelson / Published: June 13, 2016

Mapa_Mexico_Con_BanderaIn partnership with Mexico’s Mario Molina Center and Canada’s Pembina Institute, EDF released a policy brief in Mexico City this week that illustrates that national action in the United States, Canada and Mexico could cheaply and quickly eliminate 232 billion cubic feet of methane from the North American oil and gas industry.

Titled “North American Climate Leadership: A road map for global action,” the brief synthesizes analyses included in ICF’s North American report and its research conducted in the U.S. (2014), Canada (2015) and Mexico (2015). All of ICF’s analyses found that reducing methane from the oil and gas supply chain is cost-effective and environmentally beneficial. Even at today’s historically low gas prices, the cost of capturing methane would add just one penny to the current price of gas, based on the cost of solutions and the ability to sell the recovered gas. Read More »

Posted in General, Methane, Natural Gas / Comments are closed

Texas’ Evolving Energy Reality: Clean Energy Uses Less Water

By Kate Zerrenner / Published: June 13, 2016

wind water flickrIt’s been an interesting time for water in Texas. Beyond the incredibly wet and cool spring we’ve been having, Memorial Day saw the second year in a row of record-breaking floods.

And a few weeks ago, the Texas Water Development Board (TWDB) asked for comments on the draft 2017 State Water Plan. The TWDB is the state agency responsible for water planning, and every five years it produces a strategy that “addresses the needs of all water user groups in the state – municipal, irrigation, manufacturing, livestock, mining, and steam-electric power.”

In the five years since the last state water plan, Texas has gone from one extreme to the other in terms of water: from the throes of a devastating drought to historic flooding that resulted in some reservoirs being full for the first time in 15 years.

In this climate of feast or famine, we need to better understand our water supplies and conservation efforts, both of which have a strong tie to our energy choices. That’s why Environmental Defense Fund (EDF) weighed in on Texas’ draft water plan. Not only does the state significantly overestimate the amount of water needed to make electricity, but a more comprehensive view of energy in relation to water demand and supply would benefit the 2017 State Water Plan and future plans. Read More »

Posted in Energy-Water Nexus, Natural Gas, Renewable Energy, Texas / Read 1 Response