EXTRACTED: Daily News Clips 1/16/25
PIPELINE NEWS
E&E News: Biden administration proposes safety updates for CO2 pipelines
Des Moines Register: U.S. regulators propose stricter carbon dioxide pipeline rules to prevent another Satartia
Iowa Capital Dispatch: Federal regulators announce proposed rule for CO2 pipeline safety
KFYR: North Dakota Landowner group appeal says constitutional rights were violated
South Dakota Searchlight: Hundreds crowd public hearing on second attempt at a carbon pipeline permit
Mitchell Republic: PUC public input meetings for Summit Carbon pipeline begins in Mitchell
Aurora News-Register: Speaker shares concerns about carbon pipeline safety
Milwaukee Journal Sentinel: Enbridge estimates the cost of Jefferson County Line 6 spill at more than $1 million
Homer News: LNG key to ‘global energy transition’, says potential pipeline developer
WPDE: Pipeline lawsuit stalls new business growth along Grand Strand as Dominion halts natural
Post Independent: Save West Mamm Creek Coalition urges locals to comment on proposed pipeline project
Eagle Post: Pipeline project moving forward with PREA
Natural Gas Intelligence: TC Eyes Mid-Year Startup for Undersea Pipe as Mexico Natural Gas Demand Rises
WASHINGTON UPDATES
InsideEPA: GOP Lawmakers Pledge To ‘Make The Case’ For Permitting Via Reconciliation
The Hill: House Republicans eye reconciliation bill for oil and gas leasing mandates, approving mining projects
E&E News: Judge dismisses NYC’s climate case against the fossil fuel industry
The Hill: Wright poised for confirmation despite hearing clashes over climate, LA fires
E&E News: 4 takeaways from Chris Wright’s confirmation hearing
Washington Post: Trump’s Energy pick rejects link between climate change and wildfires
New York Times: Choice for Energy Secretary Has Been an Evangelist for Fossil Fuels
Politico: Schumer knocks Trump’s DOE pick Wright over climate change
Politico: Thune, Westerman At API
E&E News: Rubio: Fossil fuels a centerpiece of US interests
Associated Press: Biden announces 2 new national monuments in California after wildfires scuttled previous event
E&E News: Dems add moderates to Natural Resources Committee
Journal of Petroleum Technology: DOE, EPA put $850 million toward reducing methane pollution from the oil and gas sector
STATE UPDATES
Louisiana Illuminator: Local governments in Louisiana want revenue reward from carbon capture risks
The Center Square: Louisiana parishes seek revenue from carbon storage projects
The Cooldown: Bipartisan effort to pass new law in Michigan sparks controversy — here's what you need to know
Des Moines Register: Iowa biodiesel plants idled after Biden administration fails to provide new tax guidance
Guardian: Big oil pushed to kill bill that would have made them pay for wildfire disasters
Journal of Petroleum Technology: S&P Analysis Provides Basinwide Estimate of Methane Emissions for the Permian
EXTRACTION
Associated Press: How mega-polluters take advantage of billions in green loans
Institute for Energy Economics and Financial Analysis: IEEFA Webinar: Financial risks of the Pathways Alliance CCS Project
OPINION
Nature: Fossil fuel-exporting countries have the responsibility and resources to accelerate CCUS adoption
PIPELINE NEWS
E&E News: Biden administration proposes safety updates for CO2 pipelines
Mike Soraghan, 1/15/25
“The Biden administration on Wednesday proposed new safety regulations for carbon dioxide pipelines, a key step in advancing a technology intended to cut planet-warming emissions,” E&E News reports. “...Industry leaders welcomed progress on the rule. But Andy Black, president of the Liquid Energy Pipeline Association, which represents developers and operators of CO2 pipelines, said officials are still reviewing the details. "LEPA supports PHMSA making a targeted update to its CO2 pipeline rules that addresses recent lessons learned and makes US CO2 pipeline regulation the strongest in the world," Black told E&E. The Carbon Capture Coalition, a group of oil and gas, environmental, and policy groups that back the technology, "welcomes" the draft, Executive Director Jessie Stolark told E&E News, adding that finalized rules will "strengthen regulatory certainty" for developers. "There must be full public and policymaker confidence in the safety of CO2 pipelines and assurance that appropriate regulations and protocols are in place and enforced to prevent future incidents," Stolark told E&E. Critics and opponents of CO2 pipeline have voiced support for stronger safety rules. The Pipeline Safety Trust, a main pipeline safety advocacy group, told E&E that it did not know details of the Biden administration's proposal. The rule's potential sticking points include requirements for a "reverse 911" system for notifying people along a pipeline about a leak. Such systems are often used to notify people who live around a location, such as a refinery. Pipeline companies may question how to use it for a piece of equipment hundreds or thousands of miles long. Also, PHMSA has described proposed requirements for enhanced pipe design as "prescriptive," an approach that is known to rub industry the wrong way.”
Des Moines Register: U.S. regulators propose stricter carbon dioxide pipeline rules to prevent another Satartia
Donnelle Eller, 1/16/25
“The federal government says it's strengthening the rules around the construction and operation of carbon dioxide pipelines, taking lessons learned from a pipeline rupture in Mississippi five years ago,” the Des Moines Register reports. “The 2020 leak in the town of Satartia forced the evacuation of 200 people and sickened about four dozen residents. The Pipeline and Hazardous Materials Safety Administration, a U.S. Department of Transportation agency, said Wednesday the proposed rules are needed to prevent another accidental release of the colorless, odorless gas, an asphyxiant… “The new rules are especially needed, the agency said, given projections that carbon capture and sequestration projects will develop rapidly… “The new rules would establish for the first time design, installation and operation standards for the pipelines, boost training and equipment that pipeline companies provide local emergency responders, call for more detailed dispersion modeling that would identify areas at risk in a rupture, and increase the level of public notification during emergencies. They also would establish "emergency planning zones" 2 miles on either side of the pipelines that would ensure "members of the public have adequate emergency response information," the release said. And they would set standards for converting existing pipelines to carbon dioxide transport… “But Carolyn Raffensperger, executive director of the Science and Environmental Health Network, a pipeline opponent told the Register it would be easy for President-elect Donald Trump, once he takes office — or the industry — to defeat the proposal by pointing to the rules' expected costs… “PHMSA said in the proposed rules that 66 carbon pipeline leaks or breaks occurred over the decade ending in 2021… “Jessica Mazour, an Iowa Sierra Club Iowa Chapter spokesperson, told the Register the group is still evaluating the proposed rule but is looking for guidance on whether local governments can require companies to meet setback requirements, preventing them from building close to homes, churches, schools and other places where people gather… “Opponents of Summit's pipeline often have pointed to the Mississippi rupture as an example of the danger it could pose.”
Iowa Capital Dispatch: Federal regulators announce proposed rule for CO2 pipeline safety
Cami Koons, 1/15/25
“The Pipeline and Hazardous Materials Safety Administration, or PHMSA, announced Wednesday a notice of proposed rule making to strengthen guidelines for carbon dioxide pipelines,” the Iowa Capital Dispatch reports. “...The proposed rule, if adopted as is, would require CO2 pipeline operators to train emergency responders and ensure local first responders have the necessary detection equipment in the event of an emergency. It also would require operators produce more detailed vapor dispersion analyses and implement “more robust requirements” for communicating with the public in the event of an emergency, like a pipeline rupture or leak. According to the press release, these proposed rules address “lessons learned” from the administration’s multi-year investigation of a CO2 pipeline rupture in Satartia, Mississippi… “A statement from Summit Carbon Solutions, said the company was “pleased” with the proposed rules for providing clear standards for project developers… “Jimmy Powell, the chief operating officer for the company, told the Dispatch the updates underscore the importance of safety standards as the infrastructure for CO2 pipelines grows nationwide. “Summit Carbon Solutions will ensure these standards are met as we move forward,” Powell told the Dispatch… “Jess Mazour, with the Iowa Chapter of the Sierra Club, an organization opposed to the Summit project, told the Dispatch the group was working to evaluate the rule as it would apply to the project in Iowa and surrounding states. “We are very happy to see that PHMSA listened to the voices of everyday people threatened by proposed carbon pipelines,” Mazour told the Dispatch. “We hope the incoming administration continues to prioritize this rule and prioritize the needs of people, not pipeline companies and their investors.”
KFYR: North Dakota Landowner group appeal says constitutional rights were violated
Michael Anhalt, 1/15/25
“North Dakota landowners are steadfast when they feel their property rights are being violated,” KFYR reports. “A landowner group represented by Bismarck Attorney Derrick Braaten is appealing a Dec. 12 decision by the North Dakota Industrial Commission (NDIC) and Department of Mineral Resources (DMR) to approve an underground storage permit for Summit Carbon Solutions, a private company. The landowner group has alleged that they were illegally denied computer-generated models showing where carbon emissions would end up when pumped underground and the safety of the emissions if they escaped their storage facility. They also believe that state and federal constitutional rights were violated by taking over the pore space and surface land of private landowners through a state law that allowed the Industrial Commission to amalgamate. “Meaning that they are going to take anyone who has not consented to this project and force them to have their land be a part of that storage facility against their will. This is what we call, on a legal basis, a taking. The government can take private property, but there’s a limit in the Constitution on its ability to do that. They can’t take private property without payment for just compensation. That’s in both the federal and state constitution and has been since they were adopted,” Braaten Law Firm Attorney Derrick Braaten told KFYR… “Plaintiff Kurt Swenson told KFYR this appeal and others he is involved in regarding CO2 storage have opened his eyes to the workings of state government. “I am absolutely ashamed of the Department of Mineral Resources in the disdain and contempt that they gave to us as legal intervenors exercising our constitutional rights to protect our private property. They hid evidence from us. They lied in their orders. And they should be held accountable, and they will through this court process,” Swenson told KFYR… “The Braaten Law Firm believes this appeal will reach the North Dakota Supreme Court for a ruling within the next 18 months.”
South Dakota Searchlight: Hundreds crowd public hearing on second attempt at a carbon pipeline permit
Makenzie Huber, 1/15/25
“Hundreds of people, many of them opponents of a carbon dioxide pipeline, filled the Southeast Technical College auditorium Wednesday evening for a state Public Utilities Commission hearing regarding a second attempt by Summit Carbon Solutions to gain a permit for the project,” the South Dakota Searchlight reports. “We know this is an incredibly important issue to you,” said Commissioner Gary Hanson at the start of the three-hour meeting… “Most of Wednesday’s attendees opposed the pipeline — evident by applause often filling the room after opponents spoke. The opponents who spoke primarily reiterated concerns about safety and impacts to farmland affected by the pipeline’s planned route, which were raised during the company’s initial attempt at a permit. Opponents also spoke against efforts to designate the pipeline as a common carrier, which would allow the use of eminent domain to push the project through… “Meanwhile, some state lawmakers have proposed legislation to ban carbon pipelines from using eminent domain. Betty Strom, whose property would be crossed by the pipeline, said it would be a “forever hazard across my land.” “Summit is in it for the tax credits. They don’t care about property rights, safety, the damage to property, its value or the long-term consequences,” Strom said. “Please deny this permit again.”
Mitchell Republic: PUC public input meetings for Summit Carbon pipeline begins in Mitchell
Marcus Traxler, 1/15/25
“The South Dakota Public Utilities Commission began its caravan across eastern South Dakota on Wednesday in Mitchell, listening to the public regarding Summit Carbon Solutions’ planned Midwest Carbon Express Pipeline,” the Mitchell Republic reports. “The PUC held a public input session at the Mitchell High School Performing Arts Center, with more than 250 members of the public in attendance for the three-hour-plus session… “Those in attendance heard from ag industry advocates and construction industry professionals who spoke about the benefits of the project to farmers and to the workforce. Opponents to the plan spoke about potential concerns if the pipeline were to burst, and the issues that it would cause for health, environment and communities along the pipeline's route, along with taking aim at Summit Carbon's hope to use eminent domain against landowners who don't want to use the pipeline… “There was plenty of industry representation on hand to back the project during the meeting. Paul Bloom, the chief carbon officer from Gevo, spoke and reminded the audience that the $1 billion sustainable aviation fuel plant it has planned near Lake Preston will go ahead with the pipeline but won’t happen if the pipeline plan fails… “Other South Dakotans spoke in opposition to the pipeline and Summit's tactics. Jeff Stewart, of Wagner, said he hasn’t heard many benefits for the pipeline from advocates aside from making money. “Money is good but so is life, property, liberty and freedom,” Stewart said. “It seems to me like the people have spoken on this. I don’t know why we’re here and doing this again. It’s an exercise in futility.” “...Crystal Page lives in Sanborn County and expressed concern about the close nature of the pipelines to schools, particularly the Upland Colony school, which is located within 1 1/2 miles to the proposed pipeline route. She cited a figure that there’s more than 60 schools within four miles of the route. “If it ruptures, those kids are gone. I’m gone. You cannot put a price on human life,” Page said.”
Aurora News-Register: Speaker shares concerns about carbon pipeline safety
Kurt Johnson, 1/15/25
“A Nebraska-based radio and podcast host shared information with a group of approximately 70 area residents in Aurora Thursday explaining what he believes are significant safety concerns regarding the CO2 carbon capture pipeline project planned in Hamilton County and others like it,” the Aurora News-Register reports. “Trent Loos, who lives north of Hazard, Neb., in Sherman County and is the host of a radio program called “Loos Tales,”...”
Milwaukee Journal Sentinel: Enbridge estimates the cost of Jefferson County Line 6 spill at more than $1 million
Laura Schulte, 1/15/25
“Two months after a leak was discovered on a Canadian energy company's oil pipeline in south-central Wisconsin the response cost is estimated at more than a million dollars,” the Milwaukee Journal Sentinel reports. “Enbridge Energy released additional details about the spill in a report to the U.S. Department of Transportation's Pipeline and Hazardous Materials Safety Administration on Jan. 10, laying out the damage and cost of the spill. Clean-up, emergency response and continued remediation are estimated to cost more than $1.3 million, according to the documents. Enbridge’s Line 6 — a 465-mile pipeline carrying crude oil from Superior, Wisconsin, to a terminal near Griffith, Ind. — spilled an estimated 1,650 barrels, or 69,300 gallons, in the Town of Oakland in Jefferson County. Less than one barrel of oil reached groundwater below the spill, according to the company… “Enbridge spokesperson Juli Kellner said that 60% of the spill has been recovered so far from the soils around the pump station… “The company has also faced scrutiny regarding the recently approved reroute of Line 5 in northern Wisconsin because the two most recent spills in Wisconsin weren't immediately reported to agencies. Critics say a spill in the Lake Superior watershed could be devastating.”
Homer News: LNG key to ‘global energy transition’, says potential pipeline developer
Jacob Dye, 1/16/25
“New York-based Glenfarne Group is the company in talks with state officials and local utilities to lead development of both the $44 billion Alaska LNG Project and imports of liquefied natural gas to address the upcoming shortfall of Cook Inlet natural gas — where demand is expected to outpace supply as soon as winter 2026,” Homer News reports. “...Glenfarne in a statement to the Clarion on Wednesday night confirmed that they had entered into two exclusive agreements, with AGDC to develop the Alaska LNG Project and with Enstar Natural Gas to advance “an LNG import project” using the export facility in Nikiski… “Richards during the Jan. 6 press conference said that the agreement with Glenfarne was secured because of the “critical” recent creation of a $50 million line of credit issued to AGDC by the Alaska Industrial Development and Export Authority… “LNG projects became more enticing, Duval said, when Russia invaded Ukraine and political and economic pressures began to drive an interest to get European countries away from Russian gas… “By the time these facilities are built, even if we don’t build all of the permitted ones, the U.S. will become the largest LNG exporter globally,” he told the News. “For those of us in the business, we’re very proud of what we’re doing for the energy transition.”
WPDE: Pipeline lawsuit stalls new business growth along Grand Strand as Dominion halts natural
Michael Owen, 1/15/25
“A lawsuit that’s been going on for several years is now impacting new businesses along the Grand Strand because they’re unable to get natural gas from Dominion Energy. It’s all connected to environmentalists’ efforts to stop the Pamplico pipeline,” WPDE reports. “Dominion Energy is looking to install a natural gas line along Old River Road south of the Kingsburg valve station in Florence County, but the 15-mile route could impact several waterways including wetlands. The Blue Ridge Environmental Defense League filed a lawsuit against DHEC for giving Dominion Energy a water permit, but a court ruled in favor of DHEC in 2023. So, the BREDL filed an appeal to protect the Great Pee Dee River. “We think it is unnecessary and it’s all about greed. These gas pipelines, they cause water contamination. The Great Pee Dee River provides water to Florence County residents,” Kathy Andrews, the Executive Director of the Blue Ridge Environmental Defense League, told WPDE. Andrews told WPDE that most of the residents in the area don’t want the pipeline on their land and she believes the area chosen was targeted. “They want to put it in an area where there are a number of African Americans living there. They target poor areas filled with minorities, and they say, ‘We’re going to put in a pipeline because we won’t get any pushback,’” Andrews told WPDE. But now Dominion Energy is also pushing back… “We reached out to them to find out more about the lawsuit, the moratorium, and the pipeline project… “Until the litigation challenging the permit is concluded, including further appeals to the South Carolina Supreme Court, the necessary system expansion project cannot be completed and the Myrtle Beach area will continue to experience constraint… “Until planned expansion projects can be completed as needed, we are unable to make any new service commitments in the area.” Local leaders told WPDE they've already seen that constraint impacting businesses trying to open in the Grand Strand… “The BREDL and the Pamplico Defense League plan to hold a public meeting on February 15 from 11 to 1 at the Pamplico Library for anyone who wants to get involved in preventing the pipeline.”
Post Independent: Save West Mamm Creek Coalition urges locals to comment on proposed pipeline project
Julianna O’Clair, 1/14/25
“The Save West Mamm Creek Coalition is calling for community members to submit comments on the environmental assessment for a proposed project for new natural gas and water pipelines near West Mamm Creek south of Rifle,” the Post Independent reports. “...The West Mamm Creek Pipeline Project, proposed by TEP Rocky Mountain LLC and Grand River Gathering LLC, would construct around seven miles of pipelines near West Mamm Creek to transport natural gas and produced water. The pipelines would cross 2.9 miles of National Forest System lands, 2.1 miles of land managed by the U.S. Bureau of Land Management and 2.1 miles of private property, expanding TEP’s water transfer system and delivery to water management systems and collecting and delivering low pressure natural gas. Although officials say the project would reduce truck traffic in the area and improve transportation efficiency, local advocacy organization Save West Mamm Creek Coalition is concerned about its cumulative environmental impact and future implications. “It’s just going to be providing further fragmentation of the wildlife habitat up here,” LuLu Colby, organizer of the Save West Mamm Creek Coalition, told PI… “TEP’s existing development in the Mamm Creek area includes three well pads, each with three producing wells, on private land. “We’re surrounded by what we call high density oil and gas development and we need to keep a few wild safe places,” Colby told PI. “We just can’t have it leach out all over our beautiful habitat.”
Eagle Post: Pipeline project moving forward with PREA
Jodi Camp, 1/16/25
“In the first meeting of the year, the Pennyrile Regional Energy Agency officially designated its planned 53-mile long, 16-inch wide natural gas pipeline as the Pennyrile Energy Corridor,” the Eagle Post reports. “First announced in 2022, the corridor will connect Lyon, Caldwell, Trigg, Christian and Todd Counties to a reliable, high-volume gas supply. PREA Board Chairman Eston Glover said the Pennyrile Energy Corridor will be a regional asset that helps the area achieve its full potential, attract businesses, and create new jobs for citizens and future generations… “Jason Vincent, executive director for the Pennyrile Area Development District, said the corridor may be the greatest enhancement to the region’s growth since I-24 was built. “It will be a game-changer in bringing in new investment,” he said.”
Natural Gas Intelligence: TC Eyes Mid-Year Startup for Undersea Pipe as Mexico Natural Gas Demand Rises
Christopher Lenton, 1/15/25
“A key natural gas pipeline has been laid in the seabed of the Gulf of Mexico,” Natural Gas Intelligence reports. “The 444-mile pipeline (with 416 miles offshore) was installed by pipelay and subsea construction company Allseas Group SA for TC Energy Corp.’s Southeast Gateway Pipeline. Allseas disclosed it laid the 1.3 Bcf/d capacity, 36-inch diameter pipeline in 11 months, including “complex nearshore scope and pre-commissioning of the entire system,” according to the company.”
WASHINGTON UPDATES
InsideEPA: GOP Lawmakers Pledge To ‘Make The Case’ For Permitting Via Reconciliation
1/14/125
“Republican lawmakers say they are aiming to include as many aspects of permit streamlining policy and other energy priorities as possible in their planned budget ‘reconciliation’ package, setting up likely debates with the Senate parliamentarian about which provisions can be included in such legislation that can avoid a Senate filibuster,” InsideEPA reports. ”There are a lot of things that traditionally may not have been looked at for reconciliation that I think have a definite budget hook,” argued House Natural Resources Committee Chairman Bruce Westerman (R-AR), during a Jan. 14 event hosted by the American Petroleum Institute (API). Those provisions could be included, he argued, either because they cut expenses or generate revenue. He discussed oil and gas leasing and mining as possible areas for action. Westerman also complained that officials at the Congressional Budget Office and joint tax committee ‘haven’t always been accurate’ in assessing the benefits of energy and tax provisions because they don’t look at the provision’s full economic impact. The oil and gas royalties to Treasury are only a small portion over the overall economic effect, he said.”
The Hill: House Republicans eye reconciliation bill for oil and gas leasing mandates, approving mining projects
Rachel Frazin, 1/15/25
“House Republicans are eying a process called reconciliation to boost oil and gas drilling, and approve specific mining projects, which would only require a simple majority for passage,” The Hill reports. “House Natural Resources Chairman Bruce Westerman (R-Ark.) told reporters on Wednesday “there are a lot of very specific things we could look at possibly for reconciliation.” He particularly listed the Twin Metals mine in Minnesota, the Resolution Copper mine in Arizona and the Ambler Road project in Alaska, and he said the language could be similar to the way a 2023 bill to raise the debt limit legislated the approval of the Mountain Valley Pipeline… “In addition, Westerman said that Republicans could try to require more auctions for the rights to drill oil and gas, saying they could “mandate more sales in the Gulf of Mexico” as well as in Alaska’s North Slope and Bering Sea.”
E&E News: Judge dismisses NYC’s climate case against the fossil fuel industry
Lesley Clark, 1/16/25
“In a win for the fossil fuel industry, a state judge has rejected New York City’s lawsuit seeking to hold oil and gas companies financially accountable for climate change,” E&E News reports. “New York City filed its case in 2021 under then-Mayor Bill de Blasio, alleging — like dozens of similar climate lawsuits nationwide — that the oil industry intentionally misled the public about the role of fossil fuels in worsening climate change. But in a ruling issued Tuesday, state Supreme Court Justice Anar Patel found that the city had failed to show that Exxon Mobil, Shell and BP deceived New Yorkers about the climate effects of their products… “The New York City Law Department said it was disappointed with the ruling and is reviewing its options. “Our complaint alleged that these defendants spent millions to mislead consumers to think that they, and their products, contribute to a clean energy future. They do not,” spokesperson Nicholas Paolucci told E&E. “Companies that violate the city’s consumer protection laws should be held fully accountable. New Yorkers deserve no less.” A spokesperson for Exxon, the lead defendant in the case, noted it was the second time a judge has dismissed a similar lawsuit filed by the city. “At some point our hope is that political figures around the country come to understand that ideological hatred for us doesn’t mean we did anything wrong,” the spokesperson told E&E… “If other state courts follow their lead, the rulings could slow the momentum of climate liability litigation, which — if successful — could lead to a multibillion-dollar payout to local governments dealing with climate mitigation. Such lawsuits were dealt a major win Monday with the Supreme Court rejecting the industry’s petition to intervene in the cases.”
The Hill: Wright poised for confirmation despite hearing clashes over climate, LA fires
Rachel Frazin, 1/15/25
“Fracking CEO Chris Wright is on track to be the nation’s next energy secretary despite a few tense moments during his confirmation hearing,” The Hill reports. “The tension largely centered around climate change. Wright acknowledges that the planet is warming, but has downplayed the phenomenon’s connection to extreme weather. Nevertheless, even some Democrats expressed support for his nomination, including Sen. John Hickenlooper (Colo), who introduced Wright at the start of the hearing… “I have high optimism we can work together,” Hickenlooper added… “Sen. Alex Padilla (D-Calif.) posed tough questions to Wright over some of his past comments, particularly a Linkedin post in which Wright wrote: “The hype over wildfires is just hype to justify more impoverishment from bad government policies.” “...Padilla asked: “Given the devastation that we’re currently experiencing in Los Angeles, do you still believe that wildfires are just hype?” “I stand by my past comment,” Wright said in response but also said that “climate change is a real and global phenomenon.” “Tell that to the families of the more than two dozen lost in these fires,” Padilla retorted. At various points during the hearing, several climate protesters interrupted, objecting to Wright’s position as a fossil fuel CEO and invoking the raging wildfires.”
E&E News: 4 takeaways from Chris Wright’s confirmation hearing
Nico Portuondo, 1/16/25
“President-elect Donald Trump’s Energy secretary nominee Chris Wright appeared to make it unscathed through a tough confirmation hearing Wednesday even as some Democrats and climate protesters challenged his views on the issue,” E&E News reports. “Wright, CEO of Liberty Energy, navigated a number of questions about global warming, increasing energy demand and the future of Democratic-passed incentives. Many of the nominee’s answers seemed to appease moderate Democrats still on the fence of whether to support Wright. “As I understand your position [on climate change] is more subtle,” said Sen. Angus King (I-Maine), who caucuses with Democrats. “You see a tension between diminishing our reliance on fossil fuels and powering those 6 million people who don’t have adequate energy sources today.” Indeed, Wright walked a fine line between acknowledging the science of climate change while also emphasizing his long-held belief that a dearth in energy supply is the most critical issue facing consumers in the United States and the world at large. “Energy is critical to human lives. Climate change is a global challenge that we need to solve,” Wright said. “And the trade-offs between those two are the decisions politicians make, and they’re the decisions that will impact the future of our world.” “...Wright did manage to steer clear of an overly partisan views on energy, adding that every energy source has a role to play in decreasing global emissions. “There isn’t dirty energy and clean energy, all energies are different, and they have different trade-offs,” Wright said… “Still, Wright’s balancing act on climate change is unlikely to appease certain Democrats skeptical of increased fossil fuel production. Sens. Ed Markey (D-Mass.) and Jeff Merkley (D-Ore.) introduced the “Banning In Government Oil Industry Lobbyists (BIG OIL) from the Cabinet Act” to prohibit fossil fuel executives and lobbyists from serving in Cabinet-level positions. “We can’t afford to have a fossil fuel CEO like Chris Wright help the industry capture our federal agencies further for oil profits,” Markey said in statement. Wright’s answers also didn’t seem to satisfy climate protesters, who interrupted the meeting several times criticizing his fossil fuel ties.”
Washington Post: Trump’s Energy pick rejects link between climate change and wildfires
Maxine Joselow, 1/15/25
“Oil executive Chris Wright, President-elect Donald Trump’s pick to lead the Energy Department, has said that climate change has not fueled more frequent and severe wildfires — a claim at odds with the scientific consensus,” the Washington Post reports. “Wright’s arguments are set to draw scrutiny from Senate Democrats during his confirmation hearing Wednesday, as deadly wildfires continue to ravage the Los Angeles area, destroying thousands of homes and killing at least 25 people. In a 2021 appearance on the PetroNerds podcast, Wright criticized mainstream media outlets for drawing a connection between wildfires and warming. Wildfires are “a major thing in the news now,” he said. “‘It’s climate change. It’s climate change.’ … The short answer: It is not.” Wright, the head of fracking company Liberty Energy, has also disputed this connection in more recent LinkedIn posts, according to a review of his comments conducted by the environmental group Evergreen Action and shared with The Washington Post… “Sen. Alex Padilla (D-California), a member of the Energy and Natural Resources Committee that will hold the confirmation hearing Wednesday, told the Post that “of course” he plans to question Wright about his views on wildfires… “Yet Republicans, who have a 53-47 majority in the Senate, remain confident they can confirm Wright to helm the Energy Department, which oversees the nation’s energy policy but not wildfire response efforts.
New York Times: Choice for Energy Secretary Has Been an Evangelist for Fossil Fuels
Lisa Friedman, 1/15/25
“Chris Wright, Donald J. Trump’s pick to lead the Department of Energy, landed the job during his first encounter with the past and future president,” the New York TImes reports. “The founder and chief executive of Liberty Energy, a fracking services company based in Colorado, Mr. Wright was among about 20 oil and gas executives whom Mr. Trump gathered at his Mar-a-Lago resort in Florida in April. Mr. Wright had not met Mr. Trump before but caught his attention by making what two people in the room described as a forceful case for fossil fuels. “Want to be my energy secretary?” Mr. Trump asked, seemingly in jest, according to those present. Days after the election, though, Mr. Trump chose Mr. Wright to lead the agency.”
Politico: Schumer knocks Trump’s DOE pick Wright over climate change
Kelsey Tamborrino, 1/14/25
“Senate Minority Leader Chuck Schumer (D-N.Y.) called Chris Wright, President-elect Donald Trump’s nominee to head the Energy Department, the “worse nominee” possible for the U.S. clean energy transition, likening Wright’s nomination to “putting a fox in the henhouse” during floor remarks Tuesday,” Politico reports. “Schumer’s comments — ahead of Wright’s planned nomination hearing before the Senate Energy and Natural Resources Committee on Wednesday — marked the highest-profile Democratic opposition to Wright’s nomination… “If you believe in clean energy, you couldn’t have a worse nominee,” Schumer said. “If confirmed, will Mr. Wright advance our country into a prosperous, affordable clean energy future, or will he take us backward and do the bidding of Big Oil?” the minority leader added.”
Politico: Thune, Westerman At API
1/15/25
“Top GOP lawmakers pledged Tuesday to back policy changes sought by the oil and gas industry as they roll back the Biden administration’s regulations and craft a reconciliation package,” Politico reports. “Speaking at the American Petroleum Institute’s State of American Energy event, Senate Majority Leader John Thune said Republicans are looking at how to use the Congressional Review Act to roll back the waiver EPA recently granted to California for its clean cars rule. “That is such a radical regulatory overreach,” Thune said. EPA and the Government Accountability Office have said such waivers should not be subject to the CRA… “API opposes Trump’s plans to slap tariffs on Mexico and Canada, where the majority of U.S. oil imports come from. Thune also promised to work across the aisle on energy issues, naming Democratic Sens. Mark Warner and Tim Kaine of Virginia, Jeanne Shaheen and Maggie Hassan of New Hampshire, and John Fetterman of Pennsylvania, as well as independent Sen. Angus King of Maine, as possible partners across the aisle.”
E&E News: Rubio: Fossil fuels a centerpiece of US interests
Sara Schonhardt, 1/16/25
“Sen. Marco Rubio said promoting all forms of energy, including coal, oil and natural gas, should be a “centerpiece” of U.S. diplomacy, at his confirmation hearing to serve as secretary of State,” E&E News reports. “The Florida Republican went before the Senate Foreign Relations Committee on Wednesday to face questions about his ability to be the United States’ top diplomat under President-elect Donald Trump. The position has in other administrations blazed paths on international cooperation on climate change and energy by engaging with world leaders to reduce carbon pollution and expand clean energy production. Rubio indicated that he would focus on fossil fuels. Asked by Wyoming Sen. John Barrasso, a Republican, whether he was committed to promoting those types of energy projects globally — what he dubbed “affordable energy” — Rubio offered a strong defense of oil, gas and coal.”
Associated Press: Biden announces 2 new national monuments in California after wildfires scuttled previous event
Will Weissert, 1/14/25
“In an announcement postponed by the Los Angeles wildfires, President Joe Biden on Tuesday designated two sites in California as national monuments that will honor Native American tribes while shielding picturesque mountains and deserts from mining and energy development,” the Associated Press reports. “Biden made the designations at an event at the White House, a week after — and on the other side of the country from — how he’d originally planned to do so, with a speech in California’s Eastern Coachella Valley. The president landed in California on Jan. 6, but made it as far as Los Angeles before high winds — that helped spark the Los Angeles blazes — forced officials to scrap the event. It was a stark reminder that, even as Biden uses the last days of his administration to attempt to safeguard the environment, climate change is already helping to exacerbate natural disasters. Instead, Biden spoke next to screens featuring towering peaks, desert vistas and an array of plant and animal life.”
E&E News: Dems add moderates to Natural Resources Committee
Garrett Downs, Timothy Cama, 1/15/25
“Eight freshman House Democrats snagged seats on the Natural Resources Committee as the party filled out its rosters,” E&E News reports. “Democrats got more moderate on the panel with the additions Tuesday of Blue Dog Reps. Jared Golden of Maine and Adam Gray of California. Golden and Gray are both leaders of the conservative Democratic caucus, which is trying to rebuild itself into a power player again on Capitol Hill after years of contraction. Rep. Mary Peltola (D-Alaska), who was defeated by Republican Nick Begich, was the lone Blue Dog on the committee during the previous Congress. Begich now also sits on Natural Resources. Notably, Golden was one of four Democrats to vote for the ‘Lower Energy Costs Act,’ a Republican-led measure in the previous Congress to ramp up energy production. He also represents one of the most prominent fisheries in the country. Democrats adding two moderates to Natural Resources marks a change for the committee, now being run by ranking member Jared Huffman of California. Former ranking member Raúl Grijalva of Arizona often sought to recruit progressives.”
Journal of Petroleum Technology: DOE, EPA put $850 million toward reducing methane pollution from the oil and gas sector
1/14/25
“The US Department of Energy (DOE) and the US Environmental Protection Agency (EPA) announced approximately $850 million for 43 projects selected for negotiation that will help small oil and gas operators, Tribes, and other entities across the country reduce, monitor, measure, and quantify methane emissions from the oil and gas sector,” the Journal of Petroleum Technology reports. “The funding builds on actions across the Biden/Harris administration to dramatically reduce methane emissions, with agencies taking nearly 100 actions since 2023, including the finalization of an EPA rule that is expected to reduce methane emissions from covered oil and gas sources by 80% from 2024 to 2038 compared with projected emissions without the rule.”
STATE UPDATES
Louisiana Illuminator: Local governments in Louisiana want revenue reward from carbon capture risks
Elise Plunk, 1/15/25
“Another legislative push to get more local governments more revenue from carbon capture and sequestration projects could be on the horizon,” the Louisiana Illuminator reports. “With 30 such projects planned or proposed in Louisiana, talk about a tax on the injection and storage of carbon dioxide underground has gained traction as a possible way to garner additional money for infrastructure work and other parish-level needs. Companies pay the state $7.50 per ton to store carbon dioxide, with proposed projects calling for millions of tons of CO2 to be placed underground annually. Past legislative proposals to carve out more revenue for local governments have failed to gain approval. A Louisiana House Natural Resources and Environment Committee meeting saw extensive debate Tuesday on how local governments stand to benefit from the growing trend. “We struggle from year to year,” Allen Parish Administrator Jacob Dillehay said, arguing that his area has “fallen through the cracks” in terms of benefitting from the risk of carbon capture and sequestration (CCS) technologies. Dillehay spoke on behalf of the Louisiana CO2 Alliance, a multi-parish coalition concerned with the rollout of carbon sequestration… “The relatively new and controversial technology is making rapid advances throughout Louisiana as state and local lawmakers alike angle to get a share of the revenue… “Critics have noted some methods of carbon capture offset any climate gains with the fossil fuel that’s needed to power them. They’re also skeptical when it comes to storing CO2 in certain areas, such as the proposed site under Lake Maurepas. But with momentum behind bringing so many CCS projects on line, elected officials want to ensure their constituents benefit from the revenue they produce.”
The Center Square: Louisiana parishes seek revenue from carbon storage projects
Nolan McKendry, 1/14/25
“Louisiana lawmakers are grappling with how to ensure equitable revenue distribution from emerging carbon capture and sequestration projects, as testimony before the House Committee on Natural Resources and Environment highlighted local concerns about economic benefits and risks,” The Center Square reports. “Dr. Greg Upton, director of LSU’s Center for Energy Studies, emphasized the complexities of cost-benefit analyses for carbon capture and storage projects, particularly the disparity between the economic benefits at the state level and the localized impact on parishes. Upton and the committee are concerned that while the state benefits from increased tax revenues and reduced emissions intensity, local governments face limited property tax revenues associated with sequestration sites. The issue is particularly pressing for parishes like Allen, Beauregard, and Vernon, where carbon capture and storage infrastructure is proposed. Representatives from Allen Parish pointed to the massive profits companies stand to gain from tax credits like the federal 45Q program while advocating for a share of the revenues to support local communities. Roland Hollins, an Allen Parish Police Jury representative, proposed an $8-per-ton injection fee on stored carbon, arguing it would provide critical funding for struggling parishes. "It's real simple," Hollins told the committee. "If you send CO2 into our parishes, it should be a tariff for every ton of CO2 that's pumped underneath our our water and pipeline through our parishes." We have no choice but to come to you," Hollins said. "This is less than 10%. The company still will receive 11,000,000,700 $550 million off of that 12,000,000,750 by giving the parishes $8."
The Cooldown: Bipartisan effort to pass new law in Michigan sparks controversy — here's what you need to know
Craig Gerard, 1/16/25
“A bipartisan group of Michigan state senators recently sponsored a bill to support carbon-capture technology in the state,” The Cooldown reports. “...But the question of what to do with the captured pollution is one that regularly sparks controversy and debate… “Some concerned citizens are understandably wary of liquid pollution being injected underground. They are especially worried about the safety and security of their drinking water. However, supporters of the bills, which not only include politicians from both sides of the aisle but also a wide coalition of pro-environment and pro-business groups, remain confident. "We [Michigan] have … lots of protection from where it's being stored to where we are living, and that we're not going to disrupt any of our drinking water sources," Autumn Haagsma, director of the Michigan Geological Repository for Research and assistant director of the Michigan Geological Survey, told the Cooldown… "Instead of prioritizing carbon capture, we should invest in clean, renewable energy solutions like community solar and wind power, real solutions that benefit the whole ecosystem, not just corporate interests," Chris Gilmer-Hill, a policy associate for the Michigan Environmental Justice Coalition, told the Cooldown.”
Des Moines Register: Iowa biodiesel plants idled after Biden administration fails to provide new tax guidance
Donnelle Eller, 1/15/25
“Some Iowa biodiesel plants have shut down after the Biden administration failed to issue final guidance that would provide new tax incentives for the next generation of renewable fuel, industry groups say,” the Des Moines Register reports. “The Iowa Renewable Fuels Association said Tuesday that plants stopped producing the fuel after a $1-per-gallon "blenders tax credit" ended Dec. 31. A new clean fuel production tax credit, often referred to as 45Z, was supposed to replace it Jan. 1. But the U.S. Treasury Department has yet to finalize rules that determine how much producers can qualify for in tax incentives. Monte Shaw, the group's executive director, declined to tell the Register how many of the state's 10 biodiesel plants are idled. But much of Iowa and U.S. biodiesel production has either greatly slowed or stopped, given the uncertainty that the industry faces, Grant Kimberley, the Iowa Biodiesel Board's executive director, told the Register… “The Treasury Department issued some 45Z guidance Jan. 10, but Iowa and U.S. renewable fuel and farm groups criticized the Biden administration for failing to provide what they said was needed clarity about how the program would be implemented… “The amount of tax incentives that producers might receive depends on how much they can reduce biodiesel carbon emissions below those of traditional petroleum products… “Biodiesel and ethanol plants typically employ about three dozen workers apiece in what are considered good, high-paying jobs for rural Iowa.”
Guardian: Big oil pushed to kill bill that would have made them pay for wildfire disasters
Tom Perkins, 1/15/25
“In the year preceding the devastating Los Angeles county wildfires, big oil fiercely lobbied to kill a “polluter pay” bill that moved through the California senate and would have forced major fossil fuel companies to help cover the costs of climate disasters,” the Guardian reports. “Fossil-fuel industry lobbying in California spiked to record levels during the 2023-24 legislative session, and the polluter pay bill was among the most targeted pieces of legislation, a Guardian review of state lobby filings found. The bill was included in about 76% of 74 filings last year from two top lobbying forces in the state – oil giant Chevron and the Western States Petroleum Association, the largest fossil-fuel trade group in California. Chevron and Western States’ filings that included polluter pay totaled over $30m, although it is impossible to know spending levels for individual bills because lobbying laws do not require a breakdown. Others in the lobbying blitz included at least 34 of the world’s largest oil producers, industry trade groups, and a range of greenhouse gas-polluting companies such as Phillips 66 and Valero, records show. The measure would have required the state’s largest carbon polluters to pay into a fund that would be used to prevent disasters or help cover cleanup efforts. The effort to thwart it leaves taxpayers for now shouldering much of the cost of catastrophes in part fueled by big oil’s pollution. “The latest fire shows exactly how Californians are paying for climate destruction, not just with budget dollars, but with their lives, and it shows exactly why we need … to put the cost back on polluters” Kassie Siegel, an attorney for the Center for Biological Diversity, which has lobbied in support of the bill, told the Guardian. The legislation, called the Polluters Pay Climate Cost Recovery Act of 2024, has new life in the wake of the Los Angeles catastrophe, its supporters told the Guardian, but the industry is already mobilizing. On the day after the wildfires started, Western States launched an ad campaign implying such measures would force them to increase oil prices.”
Journal of Petroleum Technology: S&P Analysis Provides Basinwide Estimate of Methane Emissions for the Permian
1/14/25
“Annual methane emissions stemming from oil and gas production operations in the Permian Basin decreased 26% in 2023 from the previous year—equal to the total amount of carbon emissions avoided by every electric vehicle (EV) on the road in the United States that year, according to a new analysis by S&P Global Commodity Insights,” the Journal of Petroleum Technology reports. “The data show that methane emissions from upstream oil and gas operations in the Permian Basin fell by more than 34 Bcf in 2023, the most recent year that data is available… “The sheer scale of this single-year improvement represents significant progress and demonstrates the potential for what lies ahead,” said Daniel Yergin, vice chairman for S&P Global. “Continued improvements in the Permian—an area roughly the size of Great Britain that is responsible for almost half of all US oil output—is providing a path to make meaningful contributions that lower overall US emissions.” “...The analysis attributes the emissions decline to ongoing improvements in equipment as well as increasing deployment of new technologies—including AI-driven analysis of operational data and on-the-ground sensors, aircraft overflights, and satellites—that make it possible to detect leaks with greater speed and accuracy.”
EXTRACTION
Associated Press: How mega-polluters take advantage of billions in green loans
Sasha Chavkin, 1/15/25
“Shell got one. So did the pipeline company Enbridge. And last summer, energy giant Drax got its biggest one to date, worth more than half a billion dollars. These weren’t just any loans to massive corporations. They were made by some of the world’s largest banks at discounted rates, in exchange for commitments by each of these mega-polluting companies to improve their environmental practices,” the Associated Press reports. “That may sound like a typical “green” loan. But these “sustainability-linked loans,” or SLLs, require little of the same accountability. Companies don’t have to spend the money toward their sustainability targets, and neither they nor the banks have to disclose interest rates, benchmarks for success or the penalties for falling short. In the last several years, banks gave out more than $286 billion in these SLLs to hundreds of companies in environmentally damaging industries, including fossil fuels, mining and companies linked to significant deforestation, an investigation by The Examination, Toronto Star and Mississippi Today has found… “In some cases, the loans have financed companies that were actively expanding polluting operations, the investigation found. “They do not lead to measurable change,” Richard Brooks, climate finance director for the environmental nonprofit Stand.Earth, told AP. “And they’re really meant to greenwash your finances mostly for expansion activities.” Shortly after receiving an SLL, Canada-based Enbridge expanded a pipeline carrying tar sands oil from Alberta to the United States, a project estimated to increase carbon emissions by the equivalent of 50 new coal-fired power plants… “Experts told AP the consequences of greenwashing in SLLs are worse than allowing big corporations to tout potentially bogus makeovers. Flawed SLLs can also take the place of funding intended for truly sustainable companies while giving banks cover to keep investing in the world’s most harmful industries.”
Institute for Energy Economics and Financial Analysis: IEEFA Webinar: Financial risks of the Pathways Alliance CCS Project
1/15/25
“Financial challenges threaten the ability of a large, planned carbon capture project in Alberta to achieve financial sustainability, according to a new report from the Institute for Energy Economics and Financial Analysis. Join us on Thursday, January 23, 2025 at 1:00 PM ET to hear from the author, Mark Kalegha, who will discuss the findings of the report.”
OPINION
Nature: Fossil fuel-exporting countries have the responsibility and resources to accelerate CCUS adoption
Steve Griffiths & Joao M. Uratani, 1/15/25
“Carbon capture, utilization and storage (CCUS) is an important technology for decarbonizing hard-to-abate industries, but its deployment lags far behind the levels needed to meet climate targets. Here, we argue that high-income oil- and gas-exporting countries have both the capability and responsibility to drive CCUS adoption and overcome key barriers to implementation,” Steve Griffiths & Joao M. Uratani write for Nature. “... This level of capture requires about a 100-fold scale-up of carbon capture from current levels, which at the current speed and scale of deployment may not be feasible. High-income fossil fuel-exporting countries, particularly those that export oil and gas, are positioned to lead in the research, development, demonstration and deployment of CCUS. These countries, which are high-income economies as defined by the World Bank and include the United States, Norway, Saudia Arabia, the United Arab Emirates and others, continue to contribute substantially to domestic and/or global emissions through fossil fuel and gas exports. However, they also possess sociotechnical contexts that can drive CCUS innovation. High-income oil- and gas-exporting countries therefore have an ethical imperative to accelerate deployment of CCUS across heavy-emitting, hard-to-abate sectors and industries… “Public engagement efforts can also be used to leverage existing societal support for sustainability initiatives across many oil- and gas-exporting countries… “Policy mechanisms with demonstrated efficacy for industrial decarbonization, such as carbon pricing via emissions trading schemes and carbon taxes, can not only provide economic incentives for CCUS adoption, but also validate the extent to which oil and gas exporters are actively reducing the carbon footprint of their own operations… “Ambitious national CCUS targets need to be set and stuck to, alongside broader decarbonization efforts.”