EXTRACTED: Daily News Clips 2/16/22
PIPELINE NEWS
Progressive Farmer: Carbon Pipeline Plans See Pushback
AgWeek: Bill to limit use of eminent domain for carbon pipelines in Iowa advances
Radio Iowa: Bill drafted in response to proposed carbon pipelines
Law360: Wis. Tribe Pushes To Kill Enbridge Pipeline
Bloomberg: Energy Transfer’s Warren Hit With Pipeline Corruption Claims
Law360: Unitholders Allege Mariner East Pipelines Co. Flouted Safety
Houston Chronicle: What a giant cake and an East Texas pipeline have in common
Canadian Press: Coastal GasLink pipeline to go ‘significantly’ over budget: TC Energy
Reuters: TC Energy’s quarterly profit falls on charges related to Keystone XL pipeline
Marcellus Drilling News: Enbridge Announces $100M TETCO Pipe Expansion in Marcellus/Utica
WASHINGTON UPDATES
Politico: MANUFACTURING CLIMATE
E&E News: White House CCS guidance exposes environmental justice rifts
Politico: EJ IN COMMITTEE
E&E News: Group asks EPA to nix fuel rule that relied on climate metric
STATE UPDATES
Los Angeles Business Journal: Local Oil Companies Look to Fight Drilling Bans
Santa Fe New Mexican: Hydrogen hub bill is tabled
EXTRACTION
Reuters: U.S. corn-based ethanol worse for the climate than gasoline, study finds
FOX Business: US natural gas producer says prices are surging due to lack of adequate pipeline structure
Climate Change News: Experts sound the alarm on oil sector’s blue hydrogen push
S&P Global: Infographic: Platts Analytics sizes up oil's carbon intensity from North Sea to Venezuela
Bloomberg: The Case Against Methane Emissions Keeps Getting Stronger
CLIMATE FINANCE
TODAY IN GREENWASHING
CNBC: BP CEO says oil and gas giant is a ‘greening company,’ refutes greenwashing accusations
CNBC: PR firms are facing a backlash for ‘greenwashing’ Big Oil — and the pressure on them is growing
OPINION
Albuquerque Journal: Time is now to wean budget off oil and gas
Wall Street Journal: America Takes Pole Position on Oil and Gas
The Hill: It's time for Congress to take environmental justice seriously
PIPELINE NEWS
Progressive Farmer: Carbon Pipeline Plans See Pushback
Chris Clayton, 2/15/22
“Carbon pipeline companies looking to take carbon emissions from ethanol plants and pipe liquid carbon through multiple states are starting to face more organized landowner resistance,” Progressive Farmer reports. “An Iowa state senator's bill would take away the companies' ability to use eminent domain. The bill introduced by state Sen. Jeff Taylor, a Republican from northwest Iowa, would limit the use of eminent domain to public utilities and double the annual fee paid to the state for pipelines carrying hazardous liquids. "I've heard from lots of farmers back home, in northwest Iowa, who are upset about the pipelines and about the likely use of eminent domain to seize part of their land -- or, to put it another way, to coerce an easement," Taylor stated Monday in an email to DTN. "Some object to the pipelines for safety reasons, some because crop yields will decrease as a result of topsoil disturbance, and others just don't want to have a hazardous liquid pipeline forced upon them. Three of the four county boards of supervisors in my district have registered opposition to the use of eminent domain for these pipelines with the Iowa Utilities Board." “...Jessica Mazour, a coordinator for the Iowa Sierra Club, told DTN on Monday she had just found out that Taylor's bill would get a subcommittee hearing at the Iowa State Capitol on Tuesday…Mazour told PF there is an inherent unfairness about a private company using eminent domain to make a profit at the expense of someone else's right to their land… “Earlier this month, the group Bold Nebraska held a couple of in-person events and an online informational meeting about landowner rights… “Brian Jorde, an attorney with the Domina Law Firm in Omaha, also helps lead the Nebraska Easement Action Team (NEAT) to represent landowners in negotiations with pipelines. That work has since crossed over into Iowa where NEAT is representing dozens of landowners as well. Jorde said landowners may be in the camp of opposing any pipeline or may be in the camp of negotiating better terms than the pipelines are offering now. "It's going to be a battle over whether they have a mechanism to use the power of eminent domain," Jorde said.
AgWeek: Bill to limit use of eminent domain for carbon pipelines in Iowa advances
Jeff Beach, 2/15/22
“After a parade of testimony from landowners opposed to carbon capture pipelines crossing their property, a subcommittee of the Iowa Senate will allow a bill to prevent the use of eminent domain for such pipelines to advance,” AgWeek reports. “However, two of the three state senators on the subcommittee that allowed the bill to move forward said they thought the bill was flawed and would need to be amended. In a public hearing, several landowners rejected the idea that the carbon pipelines will provide a public service. "I get nothing but torn up piece of land, broken tiles, possibly canceled CRP contracts," said Jason Howard, a Palo Alto County farmer. "I see this as a disruption to my family's livelihood." “...The bill, SF 2160, would force pipeline companies to get 100% voluntary easements for a project to move forward. The bill was forwarded by Republican Sen. Jeff Taylor, who told AgWeek he has heard from his constituents in northwest Iowa concerned about being forced to allow a pipeline to run through their property through the use of eminent domain. “...Williams also challenged Boeyink's comments about the number of voluntary easements in the Dakota Access Pipeline project. Williams said he was told by the Iowa Utilities Board that eminent domain was used on about 10% of the the property for that crude oil pipeline. Boeyink, was also was a lobbyist for Dakota Access, had said during the hearing that the eminent domain figure was only 2%. Boeyink explained the 2% figure by saying,"Let's face it, at the end, when you get the permit, it's actually in your benefit to settle with us than have your property taken through eminent domain, you get more money."At the end of the hearing, Williams expressed reservations about "unintended consequences" of the bill and that it may need some modifications but did allow it to move on the Commerce Committee, which meets Wednesday, Feb. 16 at 11 a.m.”
Radio Iowa: Bill drafted in response to proposed carbon pipelines
O. KAY HENDERSON, 2/16/22
“A bill scheduled for debate in a Senate committee today would take away the Iowa Utilities Board’s power to grant eminent domain to private companies, so land may be seized for carbon pipelines and similar projects,” Radio Iowa reports. “Senator Jeff Taylor, a Republican from Sioux Center, is the bill’s sponsor. “There is neither constitutional nor ethical justification for government to use its coercive power to seize private land or force an easement primarily for the benefit of wealthy, well-connected business owners,” Taylor told Radio Iowa. Jeff Boeyink is a lobbyist for Summit Carbon Solutions, the company that’s hired former Governor Terry Branstad to promote its carbon pipeline… “With this bill, this project stops dead in its tracks,” Boeyink said. “That means all the tens of millions of dollars that have already been invested are lost, this project goes nowhere, farmers get no benefit, the ethanol plants we sign up are done.” “I thought I had property rights, but Summit Carbon is telling me I don’t…that they can ask for eminent domain and that I might as well go ahead and sign a voluntary easement,” said Dan Tronchetti, who owns a farm near Paton in Greene County. “…I can’t believe that 40 years of hard work doesn’t mean anything.”
Law360: Wis. Tribe Pushes To Kill Enbridge Pipeline
Clark Mindock, 2/15/22
“A Wisconsin tribe wants a federal court to force Enbridge to shut down an oil and gas pipeline that runs through its reservation, saying the company is liable for trespassing by continuing to operate without an active easement,” Law360 reports. “The Bad River Band of the Lake Superior Tribe of Chippewa Indians moved on its trespassing claim Monday in a sealed motion for summary judgment, saying it deserves the win an appropriate compensation for the intrusion.”
Bloomberg: Energy Transfer’s Warren Hit With Pipeline Corruption Claims
2/15/22
“An Energy Transfer LP investor filed suit in Delaware against billionaire Kelcy Warren and other leaders of its general partner entity, claiming they hid the corruption and environmental violations plaguing its Mariner East pipeline project despite having “actual knowledge” of the scandal,” Bloomberg reports. “The lawsuit accuses Warren and the others of “willfully and persistently” looking the other way while Energy Transfer unit Sunoco LP bribed constables, pressured officials to fire a regulator scrutinizing the project, and took engineering shortcuts that caused major leaks and an explosion. “Rather than comply with legal and safety requirements,” they “corrupted the process,” but their “disregard ...
Law360: Unitholders Allege Mariner East Pipelines Co. Flouted Safety
PJ D’Annunzio, 2/15/22
“Energy Transfer LP and its board members violated Pennsylvania environmental and safety laws in the “rushed,” profit-driven construction of the state-spanning Mariner East pipelines, company investors alleged in a lawsuit filed in Delaware Chancery Court,” Law360 reports.
Houston Chronicle: What a giant cake and an East Texas pipeline have in common
Amanda Drane, 2/15/22
“An environmental group protesting a new oil pipeline in East Texas sought to turn heads in downtown Houston on Tuesday,” the Houston Chronicle reports. “The group, Save Sabine Lake, threw a tongue-in-cheek freeze anniversary party targeting the offices of Energy Transfer, the Dallas pipeline company co-founded by Kelcy Warren. Protesters carried a large decorative cake but failed in an attempt to present workers with a card congratulating the company on its profits during last year’s freeze… “Protest organizers also focused on the company’s plans for the Blue Marlin offshore oil export platform that would include a 37-mile pipeline from Nederland through Sabine Lake and to the Gulf Coast. They argue that the project could threaten the fisheries and bird habitats in the region… “John Beard, a Port Arthur resident and CEO of the Port Arthur Community Action Network, told the Chronicle the pipeline is inching quietly toward reality. It doesn’t take much leaked oil to contaminate a body of water, Beard told the Chronicle, adding that Sabine Lake tourism is too important to the local economy to risk spoiling. “All of that would be affected, and it would be affected for generations,” he told the Chronicle. “That’s not a chance that we’re willing to take.”
Canadian Press: Coastal GasLink pipeline to go ‘significantly’ over budget: TC Energy
Amanda Stephenson, 2/15/22
“The company behind the Coastal GasLink pipeline continues to expect to go “significantly” over budget for the project and will also deliver a delayed completion date,” the Canadian Press reports. “However, TC Energy Corp. said Tuesday it still expects the pipeline to be finished ahead of LNG Canada’s export terminal at Kitimat, B.C., which is also currently under construction. Calgary-based TC Energy was selected by LNG Canada in 2011 to design, build, own and operate Coastal GasLink. Construction began in 2019, with an originally anticipated completion date of 2023. TC Energy said as part of its fourth quarter earnings report Tuesday that construction of the pipeline is now approximately 60 per cent complete. The 670-kilometre project is intended to move 2.1 billion cubic feet per day (bcf/d) of natural gas to LNG Canada’s terminal, where it will be converted into a liquified state for export to global markets.”
Reuters: TC Energy’s quarterly profit falls on charges related to Keystone XL pipeline
2/15/22
“Canada’s TC Energy beat analysts’ estimates for quarterly profit on Tuesday, boosted by strong demand for its oil and gas transportation services after energy prices hit multi-year highs,” Reuters reports. “Pipeline operators have benefited from a pick-up in transport volumes, as oil prices surged about 50% in the quarter helped by a sustained recovery in fuel demand from the pandemic-driven lows. The company said income from its Canadian natural gas pipelines increased 11.1% to C$389 million in the quarter, while its liquid pipelines business earned C$373 million, up 24.3% from last year… “During the quarter, TC recorded a C$60 million reduction in the impairment charge it had previously booked after scrapping the Keystone XL pipeline.”
Marcellus Drilling News: Enbridge Announces $100M TETCO Pipe Expansion in Marcellus/Utica
2/15/22
“As part of its fourth-quarter and full-year 2021 update, Canadian pipeline giant Enbridge (with huge assets in the U.S., including in the Marcellus/Utica) announced it is spending $400 million to expand capacity on its Texas Eastern Pipeline Company (TETCO) system,” Marcellus Drilling News reports. “Enbridge will also spend an additional $100 million on TETCO for the newly-announced Appalachia to Market Phase II expansion.”
WASHINGTON UPDATES
Politico: MANUFACTURING CLIMATE
Matthew Choi, 2/15/22
“The Biden administration is unveiling a smorgasbord of programs aimed at reducing emissions from the manufacturing sector, which ranks behind only transportation and electricity as the biggest contributor to U.S. greenhouse gas emissions,” Politico reports. “The programs received funding in the bipartisan infrastructure package and prioritize budding technologies, such as clean hydrogen and carbon capture, to address industries that are particularly difficult to decarbonize. The new initiatives include $8 billion for regional hydrogen hubs and $1 billion for a clean hydrogen electrolysis program. The administration will take into consideration life-cycle emissions for hydrogen when weighing it against other energy sources. Environmentalists have voiced concerns that hydrogen produced with natural gas and other fossil fuels — the overwhelming majority of hydrogen produced in the U.S. — still creates considerable carbon and methane emissions.mThe White House Council on Environmental Quality is also creating a “Buy Clean Task Force” to promote government procurement of industrial materials made with lower greenhouse gas emissions. And CEQ unveiled guidance to “responsibly” advance carbon capture and storage technology, which faces skepticism among some progressives over concerns it would allow the continued burning of fossil fuels.”
E&E News: White House CCS guidance exposes environmental justice rifts
By Carlos Anchondo, 2/16/22
“The White House released guidance yesterday on how to advance carbon capture and storage in a “responsible” way, even as the technology faces significant opposition from environmental justice advocates and some green groups,” E&E News reports. “The document, prepared by the Council on Environmental Quality and published today in the Federal Register, included recommendations aimed at deploying CCS in a way that addresses concerns from local communities and tribes. The 13-page guidance called for a range of actions by federal agencies, including that they study the effects of “proposed [carbon capture, utilization and storage] actions on potential host communities” early in the planning stages and avoid “the imposition of additional burdens on overburdened and underserved communities.” “This guidance is intended to address opportunities for clarifications and improvements to ensure that [carbon capture, utilization and storage] is responsibly scaled in a timely manner, while maintaining the integrity of public health, the environment, and the economy,” the CEQ document said… “CCS opponents pointed to a report from the Government Accountability Office late last year saying the Energy Department spent more than $1 billion on nine carbon capture demonstration projects, but only three of those projects ended up being built… “
Politico: EJ IN COMMITTEE
Matthew Choi, 2/15/22
“The House Natural Resources Committee will turn its focus to addressing pollution that affects low-income and minority communities today with a full committee hearing on Chair Raul Grijalva’s Environmental Justice for All Act, H.R. 2021 (117),” Politico reports. “The bill would put into law several of the Biden administration's EJ priorities, including creating advisory bodies and grants to curb the inequalities in environmental harm, establishing legal avenues to sue over environmental discrimination under the Civil Rights Act and expanding recreation area access. Republicans complain the effort will lead to onerous new regulations that would stifle economic activity in environmental justice communities. A provision that would help pay for programs in the bill by adding fees to federal oil and gas leases is also a nonstarter for the House GOP.”
E&E News: Group asks EPA to nix fuel rule that relied on climate metric
By Lesley Clark, Arianna Skibell, 2/16/22
“A conservative think tank is asking EPA to reconsider its recent rule to increase fuel economy standards, pointing to a court order last week that bars the Biden administration from employing a key climate measure,” E&E News reports. “The Competitive Enterprise Institute (CEI) yesterday sent a formal request to EPA Administrator Michael Regan on behalf of itself and four individuals, noting that a federal judge found that a metric used in the vehicle emissions rule was “likely unlawful.” The letter notes that the December 2021 fuel economy rule relied on a measure of the social cost of carbon that Judge James Cain of the U.S. District Court for the Western District of Louisiana ruled had increased regulatory costs for the red states that had challenged the metric… “In the letter, CEI said EPA had relied on the social cost of carbon estimates from an interagency working group to write the vehicle emissions rule. It said EPA had “touted how the ‘benefits [of this rule] include reduced impacts of climate change.’ “But the letter adds, “if the EPA’s social cost of carbon estimate was corrected in accordance with the court order, it would show a total net harm, not a benefit.” CEI and 14 other groups had flagged what they said were problems with the social cost of carbon estimate as EPA was writing the emissions rule.”
STATE UPDATES
Los Angeles Business Journal: Local Oil Companies Look to Fight Drilling Bans
Howard Fine, 2/14/22
“With crude oil prices at a seven-year high and nearing $100 per barrel, it would seem like boom times for local oil-producing companies,” the Los Angeles Business Journal reports. “In the past when oil prices hit these levels, they reactivated shuttered wells, expanded drilling operations and watched the dollars roll in. But now, things are different as oil drilling bans are proliferating throughout the region. Culver City, the city of Los Angeles and the county of Los Angeles have all approved in concept new drilling bans and the phasing out of all existing wells, with the city of Los Angeles, acting just last month. What’s more, the state is considering imposing a huge buffer zone between oil drilling operations and sensitive land uses that could terminate the operations of most wells. So, instead of enjoying the oil price boom, local oil companies are gearing up for legal battles in a desperate bid to gain enough compensation for the termination of their local drilling operations in order to keep from being put out of business entirely. “We’re not going out without a fight,” Ralph Combs, manager of regulatory and government affairs from Long Beach-based oil producer The Termo Co, told LABJ. “This is the mother of all lawsuits if (jurisdictions) try to take our property without compensation.”
Santa Fe New Mexican: Hydrogen hub bill is tabled
By Robert Nott, 2/14/22
“One of the most contentious bills in this year’s legislative session is dead,” the Santa Fe New Mexican reports. “...The bill’s sponsor, Rep. Patty Lundstrom, D-Gallup, revamped that legislation into HB 228 and eliminated a provision giving tax credits to interested industry parties. Instead those wanting to develop the hydrogen industry in the state would apply for public/private partnership money to be vetted and approved by a hydrogen hub development board and approved by the New Mexico Finance Authority… “Environmental activists opposed the initiative, saying it would lead to the emission of more fossil fuels at a time when the state is trying to reduce its carbon footprint. Camilla Feibelman, director of the Rio Grande Chapter of the Sierra Club, wrote in an email Monday she believed Egolf’s action meant the bill was permanently tabled and thus would not get a hearing. Her organization opposes the legislation. “Hydrogen is a hugely complex issue that requires a careful and inclusive conversation with all stakeholders, especially those on the frontlines of fossil fuel extraction,” she wrote. “The Speaker is wise to slow the conversation in this session. We need to understand how fossil fueled hydrogen impacts our climate, local air quality, community health and potentially our economy in ways we haven’t had a chance to fully vet.”
EXTRACTION
Reuters: U.S. corn-based ethanol worse for the climate than gasoline, study finds
By Leah Douglas, 2/4/22
“Corn-based ethanol, which for years has been mixed in huge quantities into gasoline sold at U.S. pumps, is likely a much bigger contributor to global warming than straight gasoline, according to a study published Monday,” Reuters reports. “The study, published in the Proceedings of the National Academy of Sciences, contradicts previous research commissioned by the U.S. Department of Agriculture (USDA) showing ethanol and other biofuels to be relatively green… “Corn ethanol is not a climate-friendly fuel,” Dr. Tyler Lark, assistant scientist at University of Wisconsin-Madison Center for Sustainability and the Global Environment and lead author of the study, told Reuters. The research, which was funded in part by the National Wildlife Federation and U.S. Department of Energy, found that ethanol is likely at least 24% more carbon-intensive than gasoline due to emissions resulting from land use changes to grow corn, along with processing and combustion. Geoff Cooper, president and CEO of the Renewable Fuels Association, the ethanol trade lobby, called the study "completely fictional and erroneous," arguing the authors used "worst-case assumptions [and] cherry-picked data."
FOX Business: US natural gas producer says prices are surging due to lack of adequate pipeline structure
By Angelica Stabile, 2/15/22
“FOX Business’ Lydia Hu visited independent natural gas producer EQT in East Millsboro, Pennsylvania, Tuesday, where she spoke with CEO Toby Rice, who suggested the fix to high natural gas prices is increased production and investment in ‘adequate’ infrastructure,” FOX Business reports. “It’s because of the lack of adequate pipeline infrastructure," he told FOX. "People need to be aware that we want to do more. Natural gas prices here in Pennsylvania -- $3.50 – well below what anybody’s paying in the northeast. We need more pipeline infrastructure." EQT pointed to four pipeline projects that have been canceled since 2016, which could have served more than 25 million homes. According to Rice, these nixed projects have restricted nearly 10% of the nation’s natural gas. Rice expressed that people should be "very upset" about the price they’re paying to heat their homes, and that failing to implement more U.S. infrastructure will only strengthen America’s dependence on foreign energy.”
Climate Change News: Experts sound the alarm on oil sector’s blue hydrogen push
Patrick Galey, 2/15/22
“The oil and gas industry is promoting the use of “low-carbon” hydrogen derived from methane that is potentially dirtier than burning fossil gas for energy, scientists and analysts have toldClimate Change News. “Observers say the European Commission’s decision to classify gas as a transition fuel in its green investment list leaves the door open to “blue hydrogen” projects with exaggerated climate credentials. “Blue hydrogen is basically nothing but a smokescreen for more air pollution, mining, and fossil fuel use with hardly any CO2 benefit,” Mark Jacobson, professor of civil and environmental engineering and director of the Atmosphere/Energy Program at Stanford University, told CCN. “Unlike green hydrogen, which is derived from water in a process powered exclusively by renewable energy, blue hydrogen comes from methane, with the carbon dioxide emitted during production captured and stored… “Jacobson disputed Equinor and Engie’s claim that blue hydrogen can be classified as “low-carbon”. “Carbon capture equipment is never 95% effective,” he told Climate Home. Blue hydrogen capture technology currently available is at best 78.8% effective, “but that ignores the fact that more energy is needed to run carbon capture equipment, so it is 78.8% of a much larger emission stream”. Jacobson co-wrote a study last year which found, due to the increased amount of fossil gas needed to power the carbon capture and storage (CCS) process, blue hydrogen likely had a 20% higher carbon footprint than burning methane alone.”
S&P Global: Infographic: Platts Analytics sizes up oil's carbon intensity from North Sea to Venezuela
Meghan Gordon, 2/15/22
“Oil pumped offshore Norway and the US Gulf Coast continued to rank among the lowest in carbon intensity while crude from Venezuela's Orinoco Belt and a few fields in California, Canada and the Middle East were among the biggest emitters, according to S&P Global. “The updated rankings published Feb. 15 look at the carbon intensity of 104 crude streams across the world, with values expressed in kilograms of carbon dioxide equivalent per barrel of oil equivalent. Many oil and gas producers are scrutinizing the emissions impact of their portfolios to determine which fields will have staying power as fossil fuel investment shrinks. Carbon pricing and other climate policy could create a premium for the least-intensive crude streams. The Oil and Gas Climate Initiative, a CEO-led consortium of companies responsible for about one-third of global production, has set targets to reduce upstream carbon intensity to 17 kgCO2e/b by 2025 and bring an end to routine flaring by 2030. Of the 104 fields ranked by Platts Analytics, 39 would currently meet the 2025 target. Producers are reducing upstream emissions through cogeneration facilities, modernizing compression plants, improving leak detection, ending venting and reducing flaring. Environmental groups say the efforts do nothing to eliminate Scope 3 emissions, which are the vast majority of global warming emissions tied to the use of fuels in airplanes, cars, petrochemicals and elsewhere downstream.”
Bloomberg: The Case Against Methane Emissions Keeps Getting Stronger
Akshat Rathi, 2/15/22
“A 30-year-old scientific tool has shaped how governments and companies measure their carbon footprints. But many experts contend that the approach is causing the world to underestimate the impact,” Bloomberg reports.
CLIMATE FINANCE
Politico: DIVERTING FROM DIVESTING
Matthew Choi, 2/15/22
“There’s a growing conservative charge in state capitals to curtail financial firms from considering climate risks when making investments, Politico reports. “Texas, West Virginia and Oklahoma are among the states considering legislation that would make it illegal for officials to deal with companies that are divesting from fossil fuels or otherwise moving away from investments that could contribute to climate change. Republicans argue those kinds of divestments neglect portfolio managers’ responsibility to get the best returns for the clients, and some of the legislative pushes in state houses are backed by conservative groups with histories of downplaying the science on climate change. Portfolio managers and activists alike who are pushing for greater climate consciousness retort that taking climate risk into consideration is simply good financial planning.”
E&E News: GOP boycotts committee vote on Federal Reserve nominees
By Nick Sobczyk, 2/15/22
“Republicans today blocked the nomination of Sarah Bloom Raskin and several other Federal Reserve nominees, creating confirmation chaos for the pro-climate bank regulator pick in what Democrats labeled a “smear campaign,” E&E News reports. “Republican senators refused to show up for a scheduled markup on Raskin’s nomination in the Banking, Housing and Urban Affairs Committee this afternoon, denying the panel a quorum to conduct business and preventing Raskin from moving to the floor. The move also blocked several other less controversial nominees who had been scheduled for a vote alongside Raskin, including Fed Chair Jerome Powell and Lael Brainard, President Biden’s pick to be the Fed’s second-in-command… “Raskin, Biden’s pick to be the Fed’s vice chair for supervision, has become increasingly controversial with the GOP for her views on climate risk to the financial system. Republicans point to her past arguments against lending to oil, gas and coal companies, including a 2020 op-ed in which she called fossil fuels a “dying industry.” Raskin, a favorite of progressive and environmental groups, said during her confirmation hearing she would be objective and not pick winners and losers… “Toomey has repeatedly attacked Raskin’s climate views, but the Republican blockade primarily stems from her past work at a small financial technology firm that got special access to Fed payment systems during her tenure.”
TODAY IN GREENWASHING
CNBC: BP CEO says oil and gas giant is a ‘greening company,’ refutes greenwashing accusations
Anmar Frangoul, 2/15/22
“The CEO of BP has labeled the oil and gas giant a “greening company” which is carbon-intensive today but planning for a net-zero future,” CNBC reports. “His comments are likely to raise eyebrows in some quarters at a time when a number of governments have declared a climate emergency and speak to the huge task facing energy majors in the years ahead… “If we want that energy to remain affordable because we want this loop where people desire the energy transition, we must invest in those hydrocarbons and drive the emissions down,” he said, before adding that his company was trying to do this. “The third thing is, we need to back ‘greening’ companies,” Looney said, referencing a term his company has written about in the past. “And a greening company is a company who is carbon-intensive today like BP — some people would call it a heavy polluting company. Carbon intensive today, but has plans for net-zero tomorrow — not tomorrow, but in the future… You need to have companies who are carbon-intensive to become net-zero, and that’s what we call a greening company.”
CNBC: PR firms are facing a backlash for ‘greenwashing’ Big Oil — and the pressure on them is growing
Sam Meredith, 2/16/22
“The public relations industry has a PR problem,” CNBC reports. “The role of PR firms and ad agencies in “greenwashing” fossil fuels has come under intense scrutiny in recent months, with communications firms accused of obstructing climate action by spreading disinformation on behalf of their clients. A peer-reviewed study published late last year in the journal Climatic Change was the first to comprehensively document the role that PR firms have played in helping the world’s most profitable oil and gas companies improve their environmental image and block climate action. It shows that energy giants have relied on PR firms and ad agencies to finesse their public messaging for more than three decades. For instance, the authors note how the PR industry has played a key role in downplaying the seriousness of the climate crisis, promoting industry-favored solutions as the preferred course of action and emphasizing the benefits of fossil fuel use… “My bottom line was, you know, we really ought to pay attention to this,” Bob Brulle, visiting professor of environment and society at Brown University, and lead author on the paper, told CNBC via telephone… “Last year, a letter from over 1,100 employees at management consulting giant McKinsey sharply criticized the firm’s work with the world’s biggest polluters, according to The New York Times. In response, McKinsey said reaching net-zero carbon emissions by 2050 “requires engaging with high-emitting sectors to help them transition. Walking away from these sectors might appease some critics, but it would do nothing to solve the climate challenge.” Meanwhile, WPP, the world’s biggest advertising company, said last year in its Sustainability Report that it had identified the “increased reputational risk associated with working with oil and gas companies and taking on environmentally detrimental briefs.”
OPINION
Albuquerque Journal: Time is now to wean budget off oil and gas
BY SEN. GEORGE K. MUNOZ / CHAIRMAN, SENATE FINANCE COMMITTEE, 2/15/22
“The current booming oil and gas revenues flowing to the state are almost enough to make New Mexicans forget the massive budget cuts we experienced just a few short years ago. As a legislator who had to make tough decisions then, I recognize that long-term diversification of state revenues remains a critical priority for our kids’ and grandkids’ futures. That’s why Sen. Benny Shendo, D-Jemez Pueblo, and I have introduced Senate Bill 155, which would create the Economic Diversification and Climate Resilience fund using 50% of the oil and gas production tax revenue that would otherwise flow into the general fund,” Sen. George K. Munoz writes for the Albuquerque Journal. “These taxes include the oil and gas emergency school tax and the oil and gas conservation tax. Our bill would essentially treat half of those production tax collections as nonrecurring dollars, diverting those revenues into a separate fund that would be appropriated by the Legislature for important investments in diversifying the economy. By diverting half of the production tax revenue, our bill would immediately reduce general fund recurring budgetary reliance on oil and gas revenues… “If we continue to grow recurring budgets using this historic growth in oil and gas revenue, the general fund reliance on oil and gas will only continue to increase, and important state services provided through recurring agency budgets will continue to be subjected to the boom-and-bust cycles of the industry.”
Wall Street Journal: America Takes Pole Position on Oil and Gas
Daniel Yergin, 2/14/22
“While the Ukraine crisis was raising anxiety about Europe’s dependence on Russian natural gas, something remarkable happened. Last month, for the first time ever, U.S. exports of liquefied natural gas to Europe exceeded Russia’s pipeline deliveries,” Daniel Yergin writes for the Wall Street Journal. “Russian exports, which normally account for about 30% of Europe’s gas use, dropped substantially because of Russian pricing. And with European gas prices about four times as high as normal, U.S. exports surged to fill the gap. The extraordinary growth in U.S. oil and gas production is a geopolitical and economic asset for the U.S. that contributes to global energy security. As the domestic oil-and-gas industry continues to rebound from the spring 2020 price collapse caused by the onset of Covid, the U.S. is again the world’s top oil producer—almost 20% above the other two largest producers, Saudi Arabia and Russia—and the world’s top natural-gas producer.”
The Hill: It's time for Congress to take environmental justice seriously
Angelo Logan is campaign director of the Moving Forward Network, building partnerships between these community leaders, academia, labor, big green organizations and others to protect communities from the impacts of freight. Raul Garcia is legislative director and lobbyist working on defending and improving federal safeguards for clean air, clean water, and against toxics exposure at Earthjustice, a nonprofit public interest environmental law organization, 2/15/22
“Our country is long overdue for a reckoning with our long history of environmental racism,” Angelo Logan and Raul Garcia write for The Hill. “For decades, we’ve seen the same story repeat itself… “ In light of these injustices, some Congressional leaders have heard the calls for action and introduced legislation to empower communities with the tools they need to hold polluters accountable for their actions. It’s time for the rest of Congress to treat this crisis with the importance it deserves… “The Environmental Justice for All Act is the result of these efforts. It’s a bill crafted by the people and for the people who need it the most. It reflects the realities and needs of environmental justice communities. It is grounded in the idea that all people — no matter their race, origin or socioeconomic status — deserve clean air, water and land. It represents the most significant step Congress has ever taken to remedy the toxic legacy of environmental racism and address its disparate impacts on communities of color and those of low-income by mandating bold actions to protect public health. Under the provisions of this bill, communities have a legal recourse to demand justice… “The facts are clear. As environmental concerns worsen alongside the climate crisis, urgent action is needed to not only address the injustices of the past but ensure those same injustices are not repeated. Reckoning with our history of environmental racism involves taking the necessary steps forward to ensure every community has the clean air, water and land they deserve. This is our opportunity to act.”