EXTRACTED: Daily News Clips 1/6/25
PIPELINE NEWS
South Dakota Searchlight: Carbon pipeline company asks SD regulator to recuse herself; regulator declines
Dakota Scout: PUC: Lawmakers not eligible to intervene in carbon pipeline hearing
DRG News: South Dakota PUC schedules public meetings on Summit Carbon Solutions pipeline proposal
Manchester Press: Supervisors will continue to monitor pipeline developments in 2025
Dominion Post: Hope Gas files condemnation suits in Morgantown Connector pipeline project
Salish Current: More Canada crude is coming, but trade war could hamper flow
Bangor Daily News: Maine natural gas prices will rise less than expected following pipeline talks
WASHINGTON UPDATES
E&E News: Republicans gear up for lightning-speed reconciliation bill
E&E News: Westerman: Permitting overhaul unlikely in reconciliation
E&E News: Biden bans new drilling off nearly all US coasts
E&E News: Biden administration releases long-awaited hydrogen tax rules
E&E News: New hydrogen tax rules face uncertain future
Earthjustice: Treasury Department Finalizes Hydrogen Tax Credit Guidance
World Oil: Final Section 45V regulations will expand opportunity for natural gas, CCS, says API
TechCrunch: Hydrogen tax credit rules give startups clarity while boosting nuclear and carbon capture
OilPrice.com: Trump calls to ‘open up’ North Sea, get rid of windmills
Politico: At EPA, Trump’s second term is already having consequences
Washington Post: Biden To Create Two National Monuments In California Honoring Tribes
InsideEPA: DOJ, NEPA Plaintiffs Ask Court To Scrap Decision That Barred CEQ Rules
InsideEPA: GOP States Tout Decision Rejecting CEQ Rulemaking Power In NEPA Suit
Guardian: Trump aims to crush legal curbs on his climate rollback – but it may not be easy
E&E News: Soaring power demand could fuel Trump carbon boom
E&E News: House Republicans Prioritize Pro-Fracking Bill
Yale Climate Connections: The Fossil Fuel Industry Spent $219 Million To Elect The New U.S. Government
Grist: How Elon Musk could end fossil fuel subsidies
STATE UPDATES
Clean Technica: Illinois Carbon Capture Project Captures Almost No Carbon
E&E News: Vermont secures win over oil industry in climate case
WCAX: Vt. faces lawsuit over law requiring fossil fuel companies to pay for climate change damage
Inside Climate News: Elevated Levels of Radium Found in Western Pennsylvania’s Freshwater Mussels
Daily Nonpareil: Council Bluffs power plant to host University of Iowa carbon capture study
Daily Montanan: Montana failed to consider pollution from new power plant, but Supreme Court won’t stop it
TribLive: Pa. environmental board to review Penn Twp. fracking gas well permit renewals
EXTRACTION
Canada’s National Observer: Industry faces painful choice between clean air and profits
Associated Press: Russia-appointed officials in Crimea declare emergency as oil spill reaches Sevastopol
Reuters: Oil spill in Black Sea smaller than first thought, Russia says
CLIMATE FINANCE
Carbon Herald: Morgan Stanley Joins Citi And BofA In Exiting Net-Zero Banking Alliance
KOIN: Oregon Treasury releases first progress report on decarbonizing pension funds
TODAY IN GREENWASHING
Kingfisher Times & Free Press: Post 5 among recipients of Midship Pipeline donations
OPINION
Sierra Magazine: Gas Is Dirty. LNG Proponents Ignore the Facts—and the Human Toll.
Clean Technica: US Treasury Signals A New Hope For Green Hydrogen
PIPELINE NEWS
South Dakota Searchlight: Carbon pipeline company asks SD regulator to recuse herself; regulator declines
Joshua Haiar, 1/3/25
“The company proposing a carbon dioxide pipeline has formally requested that a South Dakota regulator recuse herself from the project’s permit application because of an alleged conflict of interest, but the regulator said she does not have “a legal conflict,” South Dakota Searchlight reports. “In a letter sent Thursday, Iowa-based Summit Carbon Solutions asked Public Utilities Commissioner Kristie Fiegen to disqualify herself. That would allow the governor to appoint another state official to fill in for Fiegen during the three-member commission’s consideration of the application… “Fiegen has not recused herself from the new application, but Summit said the same conflict exists. “As with your previous decisions,” said the company’s new letter to Fiegen, “the facts and established South Dakota law support a decision that you should step aside.” On Friday, Fiegen responded with a letter to Summit. In its entirety, Fiegen’s letter said, “I am an elected Public Utilities Commissioner and will carry out my duties as such. I do not have a legal conflict. I am sitting on the docket.” The Summit letter also drew criticism from an attorney representing landowners opposed to the pipeline, Brian Jorde, of Domina Law Group in Omaha, who disputed the allegation that Fiegen has a conflict of interest. “From my viewpoint she never had a conflict that rises to the level of recusal and certainly doesn’t now,” Jorde wrote. “The isolated fact that she is related by marriage to a trustee of a trust that owns land that signed an easement with Summit is not a direct conflict.” “...The letter said Fiegen’s failure to recuse herself could lead to litigation, an appeal of the commission’s eventual permit decision, and delays in the permitting process. “Because your family has a direct interest in the approval or denial of the permit, and because you previously recused yourself in two dockets based on the same facts, a court almost certainly would find it inappropriate for you to participate in this docket,” the letter says.”
Dakota Scout: PUC: Lawmakers not eligible to intervene in carbon pipeline hearing
Austin Goss, 1/3/25
“State lawmakers opposed to Summit Carbon Solution’s proposed carbon capture pipeline are ineligible to file opposition to the project in their official capacities,” the Dakota Scout reports. “That’s according to an official opinion released by the Public Utilities Commission (PUC) staff — the entity tasked with moderating and providing input to the three-member commission about matters that appear before them — after a trio of incoming and current lawmakers filed petitions to receive party status in the matter. Summit has applied with the PUC for a permit to construct the pipeline to capture carbon from ethanol facilities. Rep. Ben Krohmer of Mitchell and Sen. Brent Hoffman of Sioux Falls, both outgoing lawmakers with terms that expire in January, attempted to file opposition documents to the pipeline, in their official capacities as representatives of their districts. Impacted parties on either side of the carbon pipeline issue, such as advocacy groups and nearby landowners, have the ability to apply to be impacted parties, thus earning a seat at the table during the PUC’s proceedings.”
DRG News: South Dakota PUC schedules public meetings on Summit Carbon Solutions pipeline proposal
Jody Heemstra, 1/3/25
“The South Dakota Public Utilities Commission scheduled a series of six public input meetings in January about Summit Carbon Solutions’ application for a permit to construct a carbon dioxide pipeline. The meetings are scheduled for January 15-17, 2025, at various locations in eastern South Dakota near the proposed pipeline route,” DRG News reports. “...The purpose of the public input meetings will be to hear public comments regarding the application and the project,” the commissioners said in a written order. “At the meetings, Summit will present a brief description of the project, after which interested people may appear and present their views, comments, and questions.” The application included “major reroutes” of the proposed structure in four South Dakota counties. The move happened over a year after the South Dakota Public Utilities Commission rejected the company’s first application.”
Manchester Press: Supervisors will continue to monitor pipeline developments in 2025
Mike Putz, 1/1/25
“When it comes to carbon capture pipelines, Delaware County supervisors will spend 2025 keeping close tabs on developments in other parts of Iowa, as well as North and South Dakota and Minnesota,” the Manchester Press reports. “In November 2023, Navigator Heartland Greenway canceled plans for a pipeline in Iowa, including through parts of Delaware County. In their decision the company cited “the unpredictable nature of the regulatory and government processes involved, particularly in South Dakota and Iowa.” “...As a result of those decisions, Delaware County Supervisor Shirley Helmrichs said, “As a board, we aren’t sitting real comfortable. Summit has progressed in North Dakota and South Dakota. They say they will only come as close as their POET refinery in Fairbank.” ‘...Recently, Linn County supervisors approved the implementation of a new set of regulations governing the construction of hazardous liquid pipelines in Linn County. Helmrichs said Delaware County supervisors will closely monitor the Linn County regulations… “Delaware County Supervisors have so far resisted putting in setback regulations for carbon capture pipelines. The supervisors did, however, retain legal counsel in March 2023, when they hired Timothy Whipple, an attorney with Ahlers and Cooney, P.C.”
Dominion Post: Hope Gas files condemnation suits in Morgantown Connector pipeline project
David Beard, 1/5/25
“In January, the state Public Service Commission approved Hope Gas’ plan to build a new pipeline to serve the Morgantown area: running a total 30 miles from Wadestown in western Monongalia County eastward to the edge of Morgantown and then northwest to site near Osage,” the Dominion Post reports. “Construction on the Morgantown Connector Project has begun, Hope told The Dominion Post on Friday Now, Hope has initiated a series of condemnation proceedings against landowners along the planned route, asking Monongalia County Circuit Court to grant entry and easements in order to undertake construction. From Aug. 31 to the present, Hope has filed 31 suits, with three of those settled and closed… “Landowners who spoke to The Dominion Post – with agreement their names would be withheld since the litigation is ongoing – noted two problems with what Hope is seeking. One is loss of use of property… “The other problem they cite is inadequate compensation offers from Hope. One mentioned their offer and commented, “for all of that disruption, … the loss of being able to use the land, are you kidding me? … It makes me very angry.” “…Our land agents dedicated to this project have had positive and informative discussions with landowners,” Hope said… “While condemnation proceedings are not uncommon in similar projects,” Hope said, “Hope’s goal is to educate and inform landowners about the project and to reach voluntary agreements. Our team will continue our conversations with landowners throughout the entirety of the project.”
Salish Current: More Canada crude is coming, but trade war could hamper flow
Tom Banse, 1/3/25
“Western Washington refineries brought in more oil by tanker from Canada after an expanded export terminal opened in May near Vancouver,” the Salish Current reports. “Washington state oil refineries are taking advantage of a newly expanded tanker terminal just across the border near Vancouver, Canada, to up their imports of discount Alberta crude. The increased oil deliveries using tankers approaching three football fields long meet demand that has outstripped the capacity of a local pipeline. But they also raise two very different concerns. In the environmental community, there’s heightened fear about the potential for oil spills in the Salish Sea… “The Trans Mountain Pipeline expansion roughly tripled the volume of Alberta crude the pipeline can carry to an enhanced tidewater terminal in Burnaby near Vancouver… “A twist not heralded in advance was that North Puget Sound refineries would charter large oil tankers — usually around 820 feet long — to bring in more Canadian crude, too. The short-haul trips are puzzling on their face because Washington’s four biggest refineries have a direct connection to the Alberta oil sands via a more efficient, lower-risk spur pipeline across the border. “The reason they are moving it by tankers is because the Puget Sound Pipeline is full. The capacity is full going from BP Cherry Point (refinery) south,” Fred Felleman, a Port of Seattle commissioner and also a longtime marine protection advocate in his other role as Northwest Consultant for Friends of the Earth, told SC.
Bangor Daily News: Maine natural gas prices will rise less than expected following pipeline talks
Billy Kobin, 1/4/25
“Regulators and three natural gas pipelines serving Maine have reached agreements on rate increases that advocates said are smaller than anticipated but may still lead to higher prices for customers,” the Bangor Daily News reports. “Specifics on the changing rates tied to the Maritimes & Northeast Pipeline, Algonquin Gas Transmission and Granite State Gas Transmission, which serve businesses and large electricity generators in the region, are still under wraps and will need federal approval later in 2025. But the parties confirmed they reached agreements following months of negotiations… “Enbridge, a Canada-based energy firm, controls the Maritimes and Algonquin pipelines and told the News agreements have been reached “in principle” with customers and federal regulators. Additional rate-related details were not yet finalized, but Maine’s public advocate said all of the settlements “provide for significant reductions” from the increases initially sought… “Though Maine’s climate goals seek 80 percent renewable energy generation by 2030, natural gas remains a key source for the state and currently generates nearly half of New England’s power.”
WASHINGTON UPDATES
E&E News: Republicans gear up for lightning-speed reconciliation bill
Kelsey Brugger, 1/3/25
“House GOP lawmakers are meeting Saturday for an all-day workshop to fine-tune their legislative ambitions on energy, immigration, defense and taxes for the beginning of the year,” E&E News reports. “...Conversations with lawmakers, aides and lobbyists reveal Republicans want to use the budget reconciliation process — which will allow them to bypass the Senate filibuster — to expand drilling in the Arctic National Wildlife Refuge, repeal a fee on methane emissions, claw back electric vehicle subsidies and potentially scrap EPA tailpipe rules meant to promote EV adoption. Some Republican lawmakers have expressed concern about repealing green tax credits… “Republican lobbyist Mike McKenna thought the carbon capture and sequestration tax credit would survive, although in a modified form. The same could be true for the hydrogen tax credit. He also predicted reconciliation could include legislation precluding any IRA and infrastructure law benefits from reaching entities with ties to China… “When you start taking people’s oxes, it’s amazing how many ox owners stand up and defend them,” Sen. Kevin Cramer (R-N.D.) told E&E, referring to the subsidies. “I think we can get rid of some of the electric vehicle nonsense,” he told E&E, but then suggested securing Project Tundra, a carbon capture venture in his home state.”
E&E News: Westerman: Permitting overhaul unlikely in reconciliation
Garrett Downs, 1/6/25
“An overhaul of the nation’s permitting laws to accelerate energy and other projects is unlikely to be part of the Republicans’ plans to pass a major spending and policy bill along party lines in the coming weeks, a top Republican said,” E&E News reports. “House Natural Resources Chair Bruce Westerman (R-Ark.) had once envisioned trying to address permitting in the budget reconciliation process. But he acknowledged late last week that procedural constraints would likely thwart efforts to advance “broad permitting reform like we were working on at the end of the last Congress.” Still, Westerman told E&E News on Friday — ahead of a meeting Saturday of House Republicans on their agenda — that the reconciliation bill would borrow from last Congress’ H.R. 1, the “Lower Energy Costs Act.” “...Whatever the procedural strategy, energy will be a focus of the legislation. That could include repealing Democratic-led clean energy tax breaks, clawing back climate spending, some easing of environmental regulations and green-lighting new oil and gas lease sales… “H.R. 1 did include significant permitting provisions, which Republicans have used as a negotiating starting point for talks with Democrats on the issue. Westerman told E&E permitting action in reconciliation will be more piecemeal. “It’s gotta be revenue driven. But that doesn’t mean that, maybe you fast-track a project in order to generate the revenue,” Westerman told E&E. Republicans are eyeing the bill’s energy provisions as a major offset for its price tag — which will be large given the costs associated with the president-elect’s tax promises and border crackdown plans. “I don’t think there’s any question that energy is going to be where we’re going to get a big pay-for,” Rep. Kevin Hern (R-Okla.), chair of the Republican Policy Committee, told E&E.”
E&E News: Biden bans new drilling off nearly all US coasts
Mike Soraghan, Shelby Webb, 1/6/25
“President Joe Biden announced Monday that he would ban new offshore oil and gas drilling along most of America’s coastline — a move that won’t slow fossil fuel production but could tee up a battle over the country’s energy future,” E&E News reports. “...Biden is blocking new drilling along the Atlantic and Pacific coasts, the eastern Gulf of Mexico and portions of the North Bering Sea off the Alaskan coast… “The Biden administration stressed that production in the western Gulf of Mexico, untouched by Biden’s order, is at an “all-time high.” The western Gulf is where the lion’s share of offshore oil production occurs and accounts for about 14 percent of U.S. crude production… “In a statement Sunday, the American Petroleum Institute said reversing Biden’s move should be a “top priority” for Congress… “Environmental groups cast Biden’s move as striking a blow against offshore oil and gas drilling and nudging along the transition to clean energy. Joseph Gordon, Oceana’s campaign director, called it “an epic ocean victory.” “...Biden plans to use the Outer Continental Shelf Lands Act to withdraw the 625 million acres of federal waters from future oil and gas leasing… “OCSLA authorizes presidents to set expiration dates for withdrawing waters from drilling, or to make the decision permanent. And, according to the Congressional Research Service, the law is unclear on whether presidents can reverse withdrawals ordered by their predecessors. That means that overturning Biden’s order would likely require an act of Congress. And that could get tricky with Republicans’ thin majorities in both the House and the Senate.”
E&E News: Biden administration releases long-awaited hydrogen tax rules
Brian Dabbs, Christa Marshall, 1/3/25
“The Treasury Department finalized long-awaited tax guidance Friday for the production of “clean” hydrogen, a low-emissions energy source that could see federal support wane under President-elect Donald Trump,” E&E News reports. “...For some of the biggest perks, the rules target hydrogen produced with renewable energy and electrolysis, which is referred to as “green hydrogen.” The final guidance changes several provisions from a proposal issued last year, including allowing hydrogen made from some nuclear plants that avoid retirement to obtain credits. The rule supports use of carbon capture and renewable natural gas, but also largely keeps in tact three “pillars” backed by environmentalists that require developers to use new clean energy added to the grid to produce hydrogen… “Environmental groups have voiced concerns about clean hydrogen, arguing rules governing its production should be strict to ensure the fuel cuts emissions and does not harm water resources.”
E&E News: New hydrogen tax rules face uncertain future
Nico Portuondo, 1/6/25
“The Biden administration finalized long-awaited tax guidance Friday for the production of “clean” hydrogen, but the lasting impact — and even survival — of the credits may come down to Hill Republicans,” E&E News reports. “After intense lobbying, Democrats appear pleased with how the Treasury Department plans to implement the Inflation Reduction Act incentives. But that may not matter. Even though Republicans have not pointed to the hydrogen incentives as a priority for repeal, Senate Environment and Public Works Chair Shelley Moore Capito (R-W.Va.) told E&E it’s not off the table. “I don’t think [the hydrogen tax credit] is one of the targets at this point, but I think everything will be on the table,” Capito told E&E. “We’ll have to see.”
Earthjustice: Treasury Department Finalizes Hydrogen Tax Credit Guidance
1/3/25
“Today, the U.S. Treasury Department released final guidance to clarify which hydrogen projects will be eligible for the 45V tax credit established by the Inflation Reduction Act. Chris Espinosa, Legislative Director for Climate & Energy at Earthjustice, released the following statement in response: “The Biden administration’s tax guidance supports clean hydrogen projects that by and large do not worsen climate and health-harming pollution, but more protections are needed. While final Clean Hydrogen Production tax credit guidance largely maintains the critical ‘three pillars’ framework that is needed to have maximum positive impact on the climate crisis, the administration included several significant loopholes for dirty hydrogen producers to enjoy the benefits of this important climate program. Earthjustice and our partners will continue to work with Congress to ensure that the 45V clean hydrogen program and other hydrogen policies are real climate solutions and not just more greenwashing gimmicks from the fossil fuel industry.” “Using hydrogen to power anything that can run on renewable energy, such as homes and vehicles, wastes critical renewable energy because of this inefficiency. Hydrogen should only be used for projects that lack better climate solutions. Green hydrogen is made using 100% renewable electricity, like solar and wind. To be truly clean, it must rely on sources of clean energy that are ‘new, now, and near.’ These criteria — incrementality, hourly matching, and deliverability — are often called the “three pillars” of clean hydrogen production.”
World Oil: Final Section 45V regulations will expand opportunity for natural gas, CCS, says API
1/4/25
“The American Petroleum Institute (API) has released a statement regarding the U.S. Department of the Treasury’s final regulations for the Section 45V Clean Hydrogen Production Tax Credit,” World Oil reports. “Clear, consistent policy is essential for building a lower-carbon hydrogen industry and strengthening America's energy leadership,” said Dustin Meyer, API’s Senior Vice President of Policy, Economics and Regulatory Affairs. “Treasury's 45V guidance marks a meaningful step forward, encouraging innovation while driving progress on emissions. This framework offers an opportunity for natural gas, when paired with carbon capture and storage, to compete more fairly in new markets and meet growing demand for affordable, reliable, lower-carbon energy. We look forward to collaborating with the incoming administration to uphold technology-neutral hydrogen policies that position the U.S. as a global leader in innovation.”
TechCrunch: Hydrogen tax credit rules give startups clarity while boosting nuclear and carbon capture
Tim De Chant, 1/3/25
“...The rules, which have been over two years in the making, relax some parts of the draft proposal, giving existing nuclear and fossil fuel power plants a bit of a reprieve,” TechCrunch reports. “...At its core, the 45V rules seek to ensure that new hydrogen production doesn’t result in additional greenhouse gas emissions on the grid. To do so, the Treasury Department requires producers to track the emissions generated by each kilogram of hydrogen throughout its lifecycle. That means, for example, blue hydrogen producers must account for the planet-warming effects of methane leaks from natural gas pipelines. Hydrogen producers will have to buy renewable or clean power from the region they’re in. By 2030, they’ll also have to show that power was used to make hydrogen within the hour. Generally, hydrogen production that generates fewer greenhouse gases throughout its lifecycle gets bigger tax credits, up to $3 per kilogram. Green hydrogen generally costs around $4.50 to $12 per kilogram, according to BloombergNEF, so the maximum credit could make the process competitive with fossil-derived hydrogen in some regions. Nuclear and fossil fuel power plants also benefit under the revised guidance. Previously, hydrogen producers would have been required to source power from new nuclear plants to qualify. Now, existing nuclear plants can supply up to 200 megawatt-hours of electricity. Also, certain fossil fuel power plants that have recently installed carbon capture equipment will now qualify… “We want one that stays in place and then can possibly be tweaked,” Beth Deane, chief legal officer at Electric Hydrogen, told TechCrunch. “We really encourage the incoming administration to let this rule stand.”
OilPrice.com: Trump calls to ‘open up’ North Sea, get rid of windmills
Tsvetana Paraskova, 1/3/25
“U.S. President-elect Donald Trump called to “open up” the North Sea and get rid of windmills in a post on his social media platform Truth Social on Friday,” OilPrice.com reports. “Oil companies have been steadily exiting the North Sea in recent decades with production declining from a peak of 4.4 million barrels of oil equivalent per day at the start of the millennium to around 1.3 million boed today. Trump’s post was in response to a report about U.S. oil and gas producer APA Corp’s unit Apache’s plans to exit North Sea by year-end 2029… “In October last year, the British government said it would increase a windfall tax on North Sea oil and gas producers to 38% from 35% and extend the levy by one year. The government wants to use the revenue from oil and gas to raise funds for renewable energy projects.”
Politico: At EPA, Trump’s second term is already having consequences
Annie Snider and Alex Guillén, 1/2/25
“President-elect Donald Trump’s inauguration is just weeks away, and many of the staff at the Environmental Protection Agency are eyeing the exits rather than trying to hunker down to withstand the coming onslaught,” Politico reports. “Many of the agency’s 16,000 staffers served through the first Trump administration, a period that left them feeling ignored, mistrusted and abused by political leadership. Now, ahead of a second term that Trump and his advisers have said will be more aggressive in targeting the “deep state,” many EPA employees are considering whether now is the time to leave. Any significant exodus of staff, either through retirement, resignation or termination, could devastate key EPA functions. While the agency’s work on issues like climate change are political lightning rods, the bulk of its day-to-day activities are devoted to issues with widespread bipartisan support, such as ensuring that air is safe to breathe and water is safe to drink, cleaning up contaminated land and responding to disasters like train derailments and oil spills. But that work requires significant scientific and institutional know-how — which could be compromised if the agency loses large numbers of employees. Staffers “are calling me day and night,” Matthew Tejada, who spent a decade leading environmental justice work at EPA before taking the helm of the Natural Resources Defense Council’s environmental health program in 2023, told Politico. “I think that the EPA, in 12 to 24 months, is a shadow of the agency that we know.”
Washington Post: Biden To Create Two National Monuments In California Honoring Tribes
Maxine Joselow, 1/2/25
“President Joe Biden plans to create two new national monuments in California in the coming days, according to two people briefed on the announcement, aiming to cement his environmental legacy before President-elect Donald Trump takes office,” the Washington Post reports. “The two individuals spoke on the condition of anonymity because the announcement is not yet public. Biden will sign a proclamation establishing the roughly 644,000-acre Chuckwalla National Monument in Southern California near Joshua Tree National Park, the people told the Post. The move would bar drilling, mining, solar-energy farms and other industrial activity in the area. It also would honor the wishes of several Native American tribes that have revered the landscape for thousands of years, and would expand local Latino communities’ access to outdoor recreation areas. The president also will sign a proclamation creating the roughly 200,000-acre Sáttítla National Monument in Northern California near the Oregon border, the people told the Post. The Pit River Tribe has spearheaded the campaign to protect that area from energy development.”
InsideEPA: DOJ, NEPA Plaintiffs Ask Court To Scrap Decision That Barred CEQ Rules
12/26/24
“The Biden administration and environmental groups that sued it to tighten implementation of the National Environmental Policy Act (NEPA) are both urging the U.S. Court of Appeals for the District of Columbia Circuit to overturn a split panel ruling that held the White House Council on Environmental Quality (CEQ) lacks authority to issue binding NEPA rules,” InsideEPA reports. “...DOJ’s Dec. 20 brief notes that environmental groups and the government ‘have now both filed petitions for rehearing en banc asking the Court to do the same thing: summarily withdraw Part II of the panel decision. And the Environmental Groups and the government also agree on the reason for doing so: As Chief Judge Srinivasan explained in his partial dissent . . . the panel violated the party-presentation principle.’ That principle requires courts to only consider questions presented to them by parties to the case at issue.”
InsideEPA: GOP States Tout Decision Rejecting CEQ Rulemaking Power In NEPA Suit
12/26/24
“Republican states challenging the White House Council on Environmental Quality’s (CEQ) phase 2 National Environmental Policy Act (NEPA) rule in district court are invoking a recent, landmark appellate decision that held CEQ lacks authority to issue binding rules under NEPA, even though that precedent is not binding on the court hearing their case,” InsideEPA reports. “The states lay out their arguments in a Dec. 20 supplemental brief in their challenge to the NEPA rule, saying the U.S. Court of Appeals for the District of Columbia Circuit’s decision in Marin Audubon Society, et al. v. Federal Aviation Administration, et al., ‘explains why CEQ lacks rulemaking authority’ and urging the U.S. District Court for the District of North Dakota to follow that reasoning.”
Guardian: Trump aims to crush legal curbs on his climate rollback – but it may not be easy
Dharna Noor, 1/31/24
“Donald Trump has promised to deregulate the energy sector, boost fossil fuels, dismantle environmental rules and otherwise attack climate progress,” the Guardian reports. “However, experts and advocates told the Guardian that lawsuits that aim to hold the fossil fuel sector responsible for deceiving the public about the climate crisis still “have a clear path forward”. “The overwhelming evidence of the industry’s lies and ongoing deception does not change with administrations,” Richard Wiles, president of the non-profit Center for Climate Integrity, which tracks and supports the litigation, told the Guardian. There are more than 30 accountability lawsuits active around the US brought by states and municipalities accusing fossil fuel interests of covering up the climate risks of their products or seeking damages for impacts. “Climate deception lawsuits against big oil have a clear path forward no matter who is in the White House.” On the campaign trail, Trump pledged to “stop the wave of frivolous litigation from environmental extremists”. But the administration’s ability to block the suits will be limited, Wiles told the Guardian. Since the federal government is neither plaintiff nor defendant in any of the suits, Trump’s election will not directly affect their outcome. And since each case was filed in state court, the president cannot appoint judges who will oversee them… “Trump’s justice department could also file influential “friend of the court” briefs in the cases, Gerrard told the Guardian… “Another possibility advocates are preparing for: Trump could work with Republican majorities in both houses of Congress to attempt to offer legal immunity to the fossil fuel industry from the lawsuits. But such a measure is unlikely to succeed, even with a Republican trifecta, Farber told the Guardian.”
E&E News: Soaring power demand could fuel Trump carbon boom
Benjamin Storrow, 1/6/25
“Stagnant power demand undermined then-President Donald Trump’s pledge to save coal in his first term. Now, soaring power needs could boost his energy agenda when he returns to the White House later this month,” E&E News reports. “...Technology companies, which have long been major drivers of renewable energy growth, have started to use gas to meet their power demands. In November, Meta announced a plan to power a massive new data center in Louisiana with a $3.2 billion expansion of natural gas generation… “Signs of the energy shift are already apparent. Vistra Corp. announced last month it would postpone the retirement of its Baldwin Power Plant, a 1,185 megawatt coal plant in Illinois, from 2025 to 2027. The decision came on the heels of a similar postponement in Wisconsin, where a trio of utilities said they would delay the planned conversion of an 1,110MW coal plant to natural gas from 2026 to 2029. Utilities often over-project demand and some forecasts could be inflated by the actions of data center developers, who are racing to secure power contracts, he told E&E… “The future of U.S. power may hinge as much on technology companies as Trump. Tech giants like Google, Amazon and Microsoft have been large buyers of renewable energy. In recent years, they have started to branch out. Some are dabbling with nuclear power, restarting mothballed power plants, or supporting advanced reactors as a way to meet their climate goals and feed their power needs, Rhodes told E&E. Others are experimenting with geothermal technology, or exploring natural gas.”
E&E News: House Republicans Prioritize Pro-Fracking Bill
Andres Picon, 1/3/25
“House Republicans are laying down a marker on energy policy in the new GOP-led Congress by prioritizing a bill that would prohibit a ban on fracking,” E&E News reports. “The measure is one of a dozen bills in the House rules package for the 119th Congress. Republicans are expected to adopt the rules package Friday, which would set up the individual bills for future House votes. House leaders did not release the full text of the fracking legislation Thursday because it cannot be introduced until the new Congress begins Friday afternoon, but the description appears to mirror that of the ‘Protecting American Energy Production Act,’ H.R. 1121, from retiring Rep. Jeff Duncan (R-S.C.), which the House passed in March. That bill proposed to bar the president from declaring a moratorium on hydraulic fracturing — the process used to extract natural gas — without authorization from Congress. It also included a messaging component expressing support for state-led regulation of fracking on state and private land.”
Yale Climate Connections: The Fossil Fuel Industry Spent $219 Million To Elect The New U.S. Government
Karin Kirk, 1/3/25
“The 119th Congress comes with a price tag,” Yale Climate Connections reports. “The oil and gas industry gave about $24 million in campaign contributions to the members of the U.S. House and Senate expected to be sworn in January 3, 2025, according to a Yale Climate Connections review of campaign donations. The industry gave an additional $2 million to President-elect Donald Trump’s campaign, bringing the total spending on the winning candidates to over $26 million, 88% of which went to Republicans. The fossil fuel industry exerts substantial financial power within the U.S. political system, and these contributions are only the tip of the (melting) iceberg.”
Grist: How Elon Musk could end fossil fuel subsidies
Tik Root, 1/3/25
“President-elect Donald Trump has repeatedly promised to upend the federal government, and he has enlisted firebrands Elon Musk and Vivek Ramaswamy to help him do it. The two men are set to lead the Department of Government Efficiency and aim to trim $2 trillion from the U.S. budget,” Grist reports. “...But there’s a chance that, if DOGE wields its cleaver widely enough, the department may actually please environmentalists by eliminating a few things they have long-loathed, including fossil fuel subsidies. “It’s a truth test to all of their messaging,” Matthew Tejada, a former Environmental Protection Agency official who’s now a senior vice president at the Natural Resources Defense Council, told Grist. “These handouts to the oil and gas industry, which allows these multinational corporations to earn billions of dollars a year, fly in the face of everything else they talk about.” “...The Fossil Fuel Subsidy Tracker pegged them at nearly $18 billion in 2023… “One major tax break allows companies to deduct most of the cost of drilling new oil and gas wells. The Joint Committee on Taxation, a nonpartisan panel of Congress, estimates that repealing this “intangible drilling costs” provision could bring an additional $6 billion in revenue by 2032… “Neither the Trump transition team or the American Petroleum Institute responded to multiple requests for comment.”
STATE UPDATES
Clean Technica: Illinois Carbon Capture Project Captures Almost No Carbon
Steve Hanley, 1/3/25
“Last year, the Department of Energy’s National Energy Technology Laboratory celebrated what it called “the largest demonstration of its kind in the United States” at an ethanol plant in Decatur, Illinois, where carbon dioxide is being captured and permanently stored deep underground,” Clean Technica reports. “According to Oil & Gas Watch, the project is a partnership among ethanol producer Archer Daniels Midland, oilfield service company Schlumberger, the Illinois State Geological Survey, and Richland Community College. To date, it has received $281 million in taxpayer dollars via Department of Energy grants… “But wait. There’s a catch. Those same EPA records also show that over the last decade the project has only captured between 10 and 12% of its total emissions each year. The rest has been allowed to escape into the atmosphere, which Oil & Gas Watch says raises questions about whether industrial-scale carbon capture technology can be a meaningful solution to global warming. Whether carbon capture will work became an even more burning issue this week, when new EPA regulations for coal-powered thermal generating stations emphasized carbon capture as a potential way to keep coal plants operating longer… “William Burns, a founder of the Institute for Responsible Carbon Removal at American University and a visiting professor at Northwestern University, told CT that even the modest amount of CO2 stored at the ADM plant in Illinois was only achieved with the help of massive taxpayer subsidies. “We’ve been providing these subsidies for a long time — billions and billions of taxpayer dollars — and we still have very little to show for it,” he told CT… “The small percentage of carbon captured by ADM undercuts the argument that industrial carbon capture can have a significant impact on global warming. Skeptics describe carbon capture as a false solution that will never be deployed on a big enough scale to meaningfully reduce carbon dioxide emissions… “Though some experts hope the carbon storage industry can succeed, others say the small percentage of emissions captured after more than a decade is raising questions about the effectiveness of the technology. Charles Harvey, an MIT professor who once worked for a carbon capture startup firm and became skeptical about the cost-effectiveness of the technology, questioned the benefit of sequestering carbon at an ethanol plant in the first place… “If our interest is in using government resources to reduce CO2 emissions, that money would be much better spent not making ethanol,” Harvey told CT. “You’d really be better off just replacing those corn fields with solar panels. You’d get a lot more reduction, and you get cheaper electricity.”
E&E News: Vermont secures win over oil industry in climate case
Lesley Clark, 1/3/25
“A Vermont judge has delivered a legal victory to the state, rejecting the oil and gas industry’s request to dismiss a lawsuit that accuses companies like Exxon Mobil of deceiving consumers about climate change,” E&E News reports. “Vermont Superior Court Judge Megan Shafritz in a December ruling sided with state officials who want major oil companies to pay up for their contributions to warming the planet. The decision is the latest of its kind in a yearslong tug-of-war between dozens of local governments nationwide and the oil industry, which has pushed to scrap similar cases or move them to more favorable courts. State Attorney General Charity Clark — a Democrat who inherited the 2021 lawsuit from her predecessor — celebrated Vermont’s win with a post on X, calling the ruling a “happy update” in her office’s consumer case against Exxon, Shell and other companies. “The court denied the defendants’ motions to dismiss and allowed every claim of our case to proceed!” Clark wrote. “Vermonters deserved to know the truth about fossil fuels.”
WCAX: Vt. faces lawsuit over law requiring fossil fuel companies to pay for climate change damage
1/2/25
“The oil industry is among groups challenging a new Vermont law that seeks to hold them accountable for their role in climate change,” WCAX reports. “The lawsuit filed Monday in Vermont federal court marks the first of an expected wave of litigation against states with similar climate Superfund laws, according to Bloomberg. The bill to establish a Climate Superfund Cost Recovery Program passed the Legislature in May… “The plaintiffs in the lawsuit, including the U.S. Chamber of Commerce and the American Petroleum Institute, argue that the law is preempted by the federal Clean Air Act and that it would only harm other states. “Although Vermont would reap the benefits of millions of dollars to fund its preferred climate change adaptation projects, citizens of other States would receive no benefits, only costs,” according to the lawsuit.”
Inside Climate News: Elevated Levels of Radium Found in Western Pennsylvania’s Freshwater Mussels
Kiley Bense, 1/2/25
“Sixty-two years ago, Rachel Carson’s “Silent Spring” connected disappearing populations of bald eagles to the presence of the pesticide DDT in the birds’ food chain. Because bald eagles are apex predators, their dose of the toxic chemical was magnified and became fatal to their ability to reproduce. Now, a study from scientists at Penn State University has illustrated another source of contamination that could be affecting the food chain of bald eagles in Pennsylvania, where they were reintroduced in 1983,” Inside Climate News reports. “Researchers tested freshwater mussels near a waste treatment facility in Franklin, Pennsylvania, that had historically discharged oil and gas wastewater into the Allegheny River but no longer does so. Compared to samples collected upstream of the facility, the researchers found elevated levels of the radioactive element radium in the animals’ soft tissue, their hard shells and the streambed sediment where they live. The results were consistent with the chemical signature of wastewater produced from drilling in the Marcellus, the shale formation beneath Pennsylvania that has fueled the fracking boom. “It’s a similar situation to what Rachel Carson was warning about with DDT affecting animals up the food chain,” Evan Clark, the waterkeeper at Three Rivers Waterkeeper, a Pittsburgh-based nonprofit that focuses on health and water quality in the Allegheny, Monongahela and Ohio Rivers and their watersheds, told ICN. “The muskrats are depended on by bald eagles, and muskrats are probably the biggest consumer of the freshwater mussels.”
Daily Nonpareil: Council Bluffs power plant to host University of Iowa carbon capture study
Hailey Peck, 1/5/25
“Council Bluffs will be home to a new $11 million study being conducted by the University of Iowa researchers. The university is launching a study on different ways to store carbon dioxide emissions, according to a news release,” the Daily Nonpareil reports. “MidAmerican Energy agreed to partner with the university to use the company's Walter Scott, Jr. Energy Center south of Council Bluffs as the study's location. The center is a coal-fired power plant in Council Bluffs on top of the Midcontinent Rift System. The formation holds about a 6-mile-thick area of basalt, which researchers are examining to see whether it could store carbon dioxide. To do this, the project will drill about 5,000 feet into the site to gather data and rock samples which will then be tested for carbon dioxide injection simulations… “The study will be a two-year project for $11.3 million, of which 20% will be funded by MidAmerican Energy. The U.S. Department of Energy will contribute $9 million toward the research… “Clark told the Nonpereil that the project is not only conducted solely by the University of Iowa. While the school is the lead, it has partnered with a consulting firm, a drilling company and the Pacific Northwest National Lab.”
Daily Montanan: Montana failed to consider pollution from new power plant, but Supreme Court won’t stop it
Darrell Ehrlick, 1/3/25
“In a years-long fight to stop a power plant near Laurel from releasing the pollution equivalent of 167,000 cars per year, the Montana Supreme Court decided unanimously that both the state’s Department of Environmental Quality as well as NorthWestern Energy had skirted the state’s environmental law by refusing to acknowledge or take action on the greenhouse gases released by the power plant,” the Daily Montanan reports. “But the decision will do little to stop the already-operational power plant. The ruling will now force the DEQ to go back and fully analyze the pollution impacts of the 18 methane-combustion generators, and report the effects that greenhouse gases and industrial lighting will have on the environment. However, the Montana Supreme Court orders will do nothing to stop or change the operations — at least not immediately — or halt any of the pollution the two environmental groups proved will happen. Owing to a unique set of circumstances and unconstitutional laws passed by the Montana Legislature and struck down later, the Montana Supreme Court said that because the DEQ was following the law at the time, and because the environmental groups did not ask the district court judge to halt the operational permit for the Laurel Generation Station, it will be allowed to operate under its current permit, even though the justices acknowledged that state government, including the DEQ and the governor, have a constitutionally mandated obligation to protect the environment from harm… “The successful environmental groups cheered the ruling as a reinforcement of the Montana Constitutional mandate that requires a “clean and healthful environment,” but noted the ruling will have little effect on the substantial air pollution that neither NorthWestern or DEQ denies the plant will produce… “However, we are disappointed that NorthWestern’s dangerous plant is allowed to continue operations without any accountability for the state ignoring our constitutional right to a clean and healthful environment. It’s time for DEQ to take its job seriously so that everyday Montanans are not sacrificing their health and livelihoods for one corporation’s profits,” Edward Barta, chair of Northern Plains Resource Council, a group which has long opposed the project, told DM. The Sierra Club and the Montana Environmental Information Center were the organizations that challenged the Laurel Generation Station.”
TribLive: Pa. environmental board to review Penn Twp. fracking gas well permit renewals
Quincey Reese, 1/4/25
“Nearly a year-and-a-half after an environmental nonprofit appealed the Department of Environmental Protection’s renewal of permits for two Penn Township gas wells, the case will be reviewed by the state Environmental Hearing Board,” TribLive reports. “Environmental advocacy organization Protect PT, based along Route 130 in Penn Township, appealed permit renewals for unconventional natural gas wells 1H and 7H on the township’s Drakulic well pad in September 2023, according to Environmental Hearing Board documents. Created in 1988, the Environmental Hearing Board reviews appeals from decisions made by the DEP. The board holds hearings — similar to non-jury civil trials before a county judge — and issues decisions, opinions and orders, according to its website. The board will hold a hearing on the permit renewals on Wednesday, Jan. 15 at Piatt Place Downtown, located along Fifth Avenue in Downtown Pittsburgh… “Protect PT believes that a proper emergency evacuation plan was not developed before the gas wells received permits and that the Drakulic gas wells will infringe upon Penn Township residents’ right to clean air and water, Graber told TribLive. “We feel that the DEP made the incorrect decision by permitting this well site,” she told TribLive. “We feel that there are certain things that were not considered.”
EXTRACTION
Canada’s National Observer: Industry faces painful choice between clean air and profits
Aaron Cosbey, 1/3/25
“Industry is the forgotten child of climate change mitigation, but a newly launched independent group — the Commission on Carbon Competitiveness — is aiming to change that in Canada,” according to Canada’s National Observer. “We can’t address climate change without decarbonizing sectors like steel, cement, aluminum, oil & gas; they constitute a quarter of global emissions and over 40 per cent of Canada’s total… “But it’s also because decarbonized production of these goods raises costs (at least for now), and in these heavily traded sectors that risks shifting emissions to countries that don’t have ambitious climate policies — a phenomenon known as carbon leakage. The Commission’s first report finds risks of carbon leakage in nine sectors in Canada: iron and steel, aluminum, fertilizers, basic chemicals, cement, conventional oil and gas extraction, oil sands, pulp and paper and petroleum refining… “One is border carbon adjustment… “Realistically, a Canadian BCA would have to be designed as a cooperative effort with the US — not an easy challenge. Another option is for Canada and trade partners, such as the US, to agree on prohibiting industrial products with embodied carbon above certain thresholds… “The Commission reports end with a call to establish a high-level task force on carbon competitiveness to create tailored roadmaps of the policies and actions needed in each sector, and to begin to work cooperatively with the US and others on leakage prevention.”
Associated Press: Russia-appointed officials in Crimea declare emergency as oil spill reaches Sevastopol
1/4/25
“Russia-appointed officials in Moscow-occupied Crimea announced a regional emergency on Saturday, as oil was detected on the shores of Sevastopol, the peninsula’s largest city,” the Associated Press reports. “Fuel oil spilled out of two storm-stricken tankers nearly three weeks ago in the Kerch Strait, close to eastern Crimea — about 250 kilometers (155 miles) from Sevastopol, which lies on the southwest of the peninsula. “Today a regional emergency regime has been declared in Sevastopol,” regional Gov. Mikhail Razvozhaev wrote on Telegram. Oil was found on four beaches in the region and was “promptly eliminated” by local authorities working together with volunteers, Razvozhaev said… “Razvozhaev’s announcement came after authorities in Russia’s southern Krasnodar region announced a region-wide emergency last week, as the fuel oil continued washing up on the coastline 10 days after one tanker ran aground and the other was left damaged and adrift on Dec. 15.”
Reuters: Oil spill in Black Sea smaller than first thought, Russia says
1/2/25
“Russian investigators have determined that an oil spill from two tankers in the Black Sea last month was smaller than initially thought, the Transport Ministry said on Thursday,” Reuters reports. “The oil leaked from two ageing tankers that were hit by a storm on Dec. 15… “More than 10,000 people have been working to shovel up viscous, foul-smelling fuel oil from sandy beaches in and around Anapa, a popular summer resort. Environmental groups have reported deaths of dolphins, porpoises and sea birds. The ministry said experts had established that approximately 2,400 metric tons of oil products had spilled into the sea… “There are no proven technologies in the world to remove it from the water column. Therefore, the main method is collection from the shoreline," the ministry said.”
CLIMATE FINANCE
Carbon Herald: Morgan Stanley Joins Citi And BofA In Exiting Net-Zero Banking Alliance
Theodora Stankova, 1/6/25
“Morgan Stanley has announced its departure from the Net-Zero Banking Alliance (NZBA), following similar moves by Citigroup and Bank of America) last week,” the Carbon Herald reports. “This is a reflection of a growing tension between U.S. financial institutions and political pressures, particularly from Republican campaigns that label net-zero initiatives as “climate cartels,” according to BNN Bloomberg. The exits come amid heightened scrutiny, including lawsuits. In November, Texas sued BlackRock, Vanguard, and State Street, alleging antitrust violations tied to climate-focused investment strategies. BlackRock dismissed these claims as baseless. Despite leaving NZBA, major banks like Morgan Stanley, Goldman Sachs, and Wells Fargo reaffirm their commitment to achieving net-zero emissions through independent strategies… “Insurers faced a wave of exits in 2023 due to legal risks, while Vanguard left a GFANZ-associated asset managers’ group in 2022.”
KOIN: Oregon Treasury releases first progress report on decarbonizing pension funds
Michaela Bourgeois, 1/1/25
“The Oregon State Treasury released its first progress report on Monday, detailing efforts to “decarbonize” Oregon’s Public Employee Retirement Fund,” KOIN reports. “The Net Zero Plan for the Oregon Public Employees Retirement Fund was rolled out in February by State Treasurer Tobias Read, with the goal of achieving a net zero emissions investment portfolio for the pension fund by the year 2050. Creating a net zero carbon emission investment portfolio does not mean stopping all investments in carbon-producing companies. Instead, it means there must be a balance between investments in companies that produce carbon emissions and companies that remove emissions from the atmosphere. Under the plan, the amount of greenhouse gas emissions removed by the companies the state pension fund invests in must offset those produced by all other investments… “Additionally, the portfolio includes more than $343 million worth of investments across 39 shale oil and gas or oil sands companies. The report defines these companies as those that derive about 20% of revenue from unconventional oil and gas… “As of November 30, 2024, OPERF is valued at over $100 billion, which is managed by the state treasury, which also oversees $476 million in monthly retirement payments to Oregonians.”
TODAY IN GREENWASHING
Kingfisher Times & Free Press: Post 5 among recipients of Midship Pipeline donations
1/3/25
“Midship Pipeline announced last month a $10,000 donation to the Kingfisher American Legion,” the Kingfisher Times & Free Press reports. “This gift is part of an $80,000 donation to eight American Legion posts in the eight counties where the pipeline operates and will help to meet critical needs as the American Legion lives out its mission…”
OPINION
Sierra Magazine: Gas Is Dirty. LNG Proponents Ignore the Facts—and the Human Toll.
Ben Jealous is the executive director of the Sierra Club and a professor of practice at the University of Pennsylvania, 1/3/25
“Not long after her adopted twins came to live with her in Freeport, Texas, Melanie Oldham saw their health start to decline. Both children were diagnosed with severe asthma,” Ben Jealous writes for Sierra Magazine. “...She also began to see that other serious chronic illnesses were rampant in her community… “Those emissions she is referring to are from the oil, gas, and petrochemical plants peppering the landscape of her part of the Gulf Coast. Increasingly, the source of that pollution is the growing number of liquefied methane gas (commonly referred to as LNG) facilities in the region. Freeport LNG, in Oldham’s town, is the third-largest LNG export terminal by capacity in the country. The largest is Sabine Pass LNG, just a few hours along the coast from Freeport. That facility sits just over the Louisiana border from Port Arthur, Texas—which is also home to Port Arthur LNG, currently under construction. Port Arthur, like Freeport, is a textbook environmental sacrifice zone. John Beard, a Port Arthur community leader, says the entire region is a “sacrifice coast.” Texas Monthly once labeled this part of the state the "Cancer Belt." Beard speaks of members of his community like Etta Hebert, a two-time cancer survivor whose daughter also has cancer and whose husband Roy just passed away from a long battle with cancer on November 30. And Beard’s own family has been impacted by the intense pollution in the area. His oldest son had to have a kidney transplant—despite no family history of kidney disease—and his daughter had a brain tumor removed. This is what the extractive fossil fuel industry does to human bodies and communities. It is the real-life human toll of our continued reliance on fuels like methane gas. And it is a toll that will get significantly steeper if the US expands LNG exports and the infrastructure to support a continued LNG boom… “Meanwhile, as former mayor Nutter and former representative Meek make the case that more methane gas will help Black, brown, and low-income communities, what about the communities of color and low-income communities bearing the brunt of the deadly pollution from this toxic industry?”
Clean Technica: US Treasury Signals A New Hope For Green Hydrogen
Tina Casey, 1/5/24
“Green hydrogen stakeholders in the US have been eagerly awaiting clarification on a potentially lucrative federal tax credit and they finally got what they wished for last Friday, when the Treasury Department issued its Final Rule. Normally that would spark a conversation about being careful what you wish for, but in this case it looks like a win-win for the emerging domestic green hydrogen industry,” Tina Casey writes for Clean Technica. “Green hydrogen is just one type of hydrogen covered by the new federal tax credit, which is described in section 45V of the 2022 Inflation Reduction Act… “However, because the IRA is a climate bill in disguise, natural gas only qualifies if carbon capture is involved… “Overall, the IRA tax credit aims to move beyond natural gas, which currently accounts for about 95% of domestically produced hydrogen, and motivate investment in alternative hydrogen sources including biogas, biomass, and various types of solid waste or fugitive emissions… “Green hydrogen producers were originally required to meet the accounting standard by 2028 in order to qualify for the top tax break. Among other benefits, the new rule gives them an extra two years, until 2030… “Of the seven Regional Clean Hydrogen Hubs designated for startup funding, six rely either fully or partially on water electrolysis and other sustainable systems. The only outlier is ARCH2, the Appalachian Regional Hydrogen Hub. ARCH2 received Energy Department approval in 2023 for a model based on exclusively on natural gas, as enabled by the BIL. That’s far from a free ticket to ride. ARCH2 still needs to account for carbon capture in order to qualify for the IRA tax credit, and investors appear to be having second thoughts… “As applied to energy systems, though, the economic case for carbon capture has yet to emerge, at least not here in the US. In terms of coal power plants, the ill-fated FutureGen project of the early 2000’s was a warning sign, followed more recently by the collapse of carbon capture plans for the San Juan power plant.”