Energy Exchange

Do Lower Gas Prices Alter Conclusion of the ICF Study on Methane Reduction Costs?

hqdefaultLast week, the industry-sponsored Energy In Depth (EID) launched a critique of an analysis by ICF International showing that oil and gas companies can achieve major reductions in their methane emissions at relatively modest cost relative to the price of the natural gas they’re selling. In particular, EID emphasizes that natural gas prices have fallen substantially since the study was done, undercutting the result.

It’s true that natural gas prices have dropped, but the basic conclusion of the study still stands. While commodity prices fluctuate, the fundamental rationale for action hasn’t changed. In fact, over the same timeframe, EPA and other estimates of industry emissions have increased dramatically.

The bottom line is that reducing oil and gas methane emissions remains one of the biggest, most cost-effective opportunities we have for addressing climate change. Read More »

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

5 Ways Pennsylvania Can Build a Smarter, More Efficient Grid

pa electric gridAcross the country, signs of a cleaner, more efficient, and more affordable U.S. energy system are emerging. But we can’t reach the clean energy future without updating the way utilities make money. Today, utilities earn revenue based on how much electricity they deliver. Companies earn less when they sell less electricity, so they have little incentive to provide energy efficiency programs for their customers.

To address this issue, the Pennsylvania Public Utilities Commission is considering changing how utilities are paid for the electricity they sell. The goal – determining whether new rate plans could eliminate the barriers to energy efficiency programs – is an admirable step toward the clean energy future. Environmental Defense Fund (EDF) has a number of ideas on how to design a more efficient grid, which we filed in comments today:

  1. Performance-based regulation – Utilities have few incentives to help people adopt solar panels or energy efficiency, so the Commission should implement performance-based regulation plans. Rather than encouraging the sale of more electricity, a performance-based framework would reward utilities for meeting goals that benefit customers and the environment, like encouraging the use of rooftop solar or increasing the use of energy efficiency programs.

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Posted in Clean Energy, Energy Efficiency, Voltage Optimization / Tagged | Read 3 Responses

Time is Money: Strong BLM Methane Waste Rules Should Be Finalized Without Delay

1219_Pocket Watch.TIFWhat do Farmington, NM, Oklahoma City, Lakewood, CO and Dickinson, ND have in common? These cities are in the heart of oil and gas country, and – most importantly – were locations in which the BLM heard overwhelming support for strong efforts to reduce wasteful venting, flaring and leaks from the oil and gas industry at a series of public meetings in recent weeks.

Methane is a potent climate pollutant and the main constituent of natural gas, so when oil and gas companies on public land allow methane to be leaked, burned or vented to the atmosphere, it not only impacts air quality and our climate, it also represents an economic loss to taxpayers.

Individually at each hearing, and collectively across all four, voices supporting strong BLM methane waste and pollution rules far outweighed the opposition. In the final tally, supportive statements outnumbered negative ones by more than three-to-one. This fits with recent polling that found that a bipartisan majority (fully 80 percent) of Westerners support commonsense rules to cut oil and gas waste on BLM managed lands. Read More »

Posted in Air Quality, BLM Methane, Climate, Colorado, Energy Efficiency, Methane, Natural Gas / Read 1 Response

Real Action on Paris Commitments as the US and Canada Announce Methane Targets

canada CAC graphicIt was a big week in Canada-US relations. For the first time in 19 years, the White House hosted the Canadian Prime Minister for a state dinner. And for good measure, President Obama and Prime Minister Trudeau announced a renewed collaboration to combat climate change starting with methane, one of the most potent greenhouse gases.

Under the pact, the United States and Canada committed to reduce oil and gas methane gas emissions by 40-45 percent below 2012 levels by 2025. Both countries also said the goal would be met by developing regulations for existing sources as well as new ones – a crucial concern – and challenged other countries to adopt similarly aggressive oil and gas methane goals.

This new level of cooperation will deliver significant progress for both Canada and the United States toward achieving their emissions reduction commitments set at the Paris climate talks held this past December. Read More »

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

How Duke Energy’s Grid Modernization Effort Will Benefit Indiana Customers

gridHelp is on the way to reduce harmful pollution in Indiana, which has the seventh highest level of greenhouse gas emissions in the country.

Environmental Defense Fund (EDF) joined a settlement filed this week for Duke Energy’s grid modernization plan. The settlement calls for Duke – the largest utility in the country, which serves over 800,000 Indiana households – to invest $1.4 billion over the next seven years to improve its electric grid. Doing so will deliver major benefits for Duke’s customers. Read More »

Posted in Grid Modernization, Voltage Optimization / Read 1 Response

Forget Taco Wars – the Real Competition is Over Who is Using Water More Wisely

Guadalupe_river_Hunt_TXSan Antonio and Austin just called a cease-fire on a taco war over which city invented the breakfast taco. Both make excellent tacos: from the traditional chorizo and egg taco in San Antonio to a free-range egg and organic spinach taco in Austin. But this debate was about more than just tacos – it was about the history and culture of these two neighboring cities.

Only 80 miles apart, San Antonio and Austin have some significant differences. San Antonio is known as “Military City USA” largely due to its huge military bases, but it’s also known for other industries like biotech, military medical centers, and a dynamic business relationship with Mexico. The capital city’s economy, on the other hand, is based on high-tech, entertainment, state government, and the behemoth University of Texas at Austin. San Antonio is one of the largest Hispanic-majority cities in the country (at 63 percent in 2010), while Austin’s diversity comes in large part from people flocking to the Capitol from all over the state and country. As someone with roots in both San Antonio and Austin, I appreciate both – I’m an equal opportunity taco lover.

But both cities share an important commonality: exploding population growth. The population of the 13 counties that make up the Austin-San Antonio corridor is estimated to increase by 77 percent by 2050, to 6.8 million people. Extreme growth brings intense pressure on resources and services, particularly water in this drought-prone region. Both cities are standing up to that challenge through careful water conservation measures and by advancing clean energy. Read More »

Posted in Energy-Water Nexus, Solar Energy, Texas, Wind Energy / Comments are closed