EXTRACTED: Daily News Clips 3/29/22
PIPELINE NEWS
Pittsburgh Business Times: Appeals court denies Mountain Valley Pipeline's rehearing request
The Courier: CO2 pipeline opponents plan hearing on eminent domain
KMTV: Iowa controversy over proposed carbon dioxide pipeline; use of eminent domain rankles landowners
Inforum: Plain Talk: North Dakota's Sierra Club doesn't oppose carbon capture pipeline
Associated Press: Environmental law group sues TVA over gas pipeline documents
State News: Students gather for climate rally outside Michigan Capitol
National Law Review: Army Corps Issues Notice of Nationwide Permit 12 Review and Seeks Stakeholder Input
WASHINGTON UPDATES
Financial Times: US environment agency chief defends push for greater oil supply
Politico: WHERE IS THE NATURAL GAS COMING FROM?
Press release: Gulf Coast Groups Respond to Biden’s EU Task Force: Don’t Turn the Gulf Into A Fracked Gas Sacrifice Zone
Indianz.com: Tribal consultation bill finally set for movement on Capitol Hill
Politico: A NEW EJ OUTREACH LEAD
EXTRACTION
Bloomberg: Oil Sands to Play Biggest Role in Canada’s Export Boost Pledge
IEEFA: ‘Carbon capture’ model at Exxon’s Shute Creek CCUS reveals a questionable technology and uncertain economic viability
Stand.earth: Thousands of Canadians call on federal government to stop funding carbon capture with public dollars
MIT Technology Review: A US oil-drilling hotspot is kicking out far more methane than we thought
OPINION
Globe and Mail: Pathways Alliance plan can help lead Canada to a clean energy industry and a net-zero future
The Hill: The time for American natural gas is now
PIPELINE NEWS
Pittsburgh Business Times: Appeals court denies Mountain Valley Pipeline's rehearing request
Paul J. Gough, 3/25/22
“A federal appeals court has denied Mountain Valley Pipeline's request for a rehearing on two of its recent rulings that have thrown off the timeline for completion of the $6 billion pipeline,” the Pittsburgh Business Times reports. “A federal appeals court has denied Mountain Valley Pipeline's request for a rehearing on two of its recent rulings that have thrown off the timeline for completion of the $6 billion pipeline. The two separate rulings earlier this year removed approvals that MVP had received from the US Forest Service and US Bureau of Land Management that would help clear the way for the 303-mile pipeline to become operational… “But an analyst told the Business Times that it's a necessary step on the way to a potential Supreme Court appeal. Jon Sokolow, a Virginia lawyer and an opponent of MVP, told the Times that the denial was another setback for MVP. "A unanimous panel of the Fourth Circuit clearly rejected a Forest Service permit to cross the Jefferson National Forest, in a portion of Virginia and West Virginia where construction has barely begun, and no judge on the full Fourth Circuit even requested a poll of the whole circuit to review that ruling," Sokolow told the Times. "MVP will tell its investors that it is reviewing its options, but the truth is this pipeline is on life support - and rightly so. It is time for MVP to pack up and go home."
The Courier: CO2 pipeline opponents plan hearing on eminent domain
JAMES Q. LYNCH, 3/29/22
“Concerned with a lack of action, opponents of the use of eminent domain for the construction of carbon capture pipelines across Iowa will host their own public hearing at the Capitol on Tuesday,” The Courier reports. “Landowners report threats and harassment from interests promoting the construction of three proposed pipelines to carry carbon dioxide from Iowa ethanol plants to underground sequestration sites in neighboring states, according to Jessica Mazour of the Sierra Club… “Gov. Kim Reynolds and legislators have been invited to hear from landowners directly affected by the Summit, Navigator and ADM pipelines, Mazour told the Courier… “But landowners report agents of pipeline interest are calling them more than a dozen times a day, repeatedly showing up at their homes and workplaces to pressure them into granting easements for pipelines across their property, Mazour told the Courier… “In general, environmental groups and landowners have supported limits on the use of eminent domain. Pipeline companies and some labor unions have opposed limits. Mazour told the Courier the Sierra Club, which has about 6,500 Iowa members, expects a crowd at the hearing because “this is our chance to say ‘you have to listen to the people who are directly impacted and not just think you know what’s best for the landowners.’”
KMTV: Iowa controversy over proposed carbon dioxide pipeline; use of eminent domain rankles landowners
Isabella Basco, 3/25/22
“Summit Carbon Solutions is proposing to build a carbon dioxide pipeline dubbed "The Midwest Carbon Express" that would connect more than 30 ethanol plants in five Midwestern states: North and South Dakota, Iowa, Minnesota and Nebraska, spanning more than 2000 miles,” KMTV reports. “...Attorney Brian Jorde is representing landowners opposed to the Summit pipeline. "The problem is, the use of eminent domain, to take the land of farmers, homeowners so that they can make private profits off this project," Jorde told KMTV. "When I was a little child, my parents gave up some of their farm ground so the new Highway 34 could be built. That's obviously something that benefits the entire community. It's for the better good, the greater good, but this project is basically being proposed so a well-connected private corporation could make billions of dollars," Montgomery County resident Jan Norris said… “Montgomery County Supervisor Chairperson Mark Peterson has reservations about production. "You're going to disrupt the soil structure, you can ruin tile lines, all sorts of infrastructure like that, plow through terraces," Peterson told KMTV… “Summit Carbon Solutions is also seeking easements, which give one-time payments to property owners. "Yet they get the rights forever till the end of time to make billions of dollars utilizing their land. That's not fair, they should pay annually, at the very least," Jorde told KMTV. For Norris, the fight feels personal. "It's not just a business to most people — this is their livelihood, but this is also who they are, and you can't just take that away from somebody," Norris told KMTV.
Inforum: Plain Talk: North Dakota's Sierra Club doesn't oppose carbon capture pipeline
Rob Port, 3/28/22
“The Sierra Club in other states, such as Iowa, is opposed to the Carbon Express pipeline, but not in North Dakota,” Inforum reports. “They're not against it. They're also not for it. "If we voted, we would probably vote to oppose it," Dr. Dexter Perkins, a member of the North Dakota chapter of the high-profile environmental activist group, told Inforum… “Perkins, who is also a geologist at the University of North Dakota, told Inforum he's skeptical that the pipeline will work, but he and his group are hoping it does. "We're hoping we're wrong," he told Inforum, noting that the club's refusal to condemn the project "puts us in the minority among environmental groups." That's not exactly a ringing endorsement of the pipeline, which would bring carbon emissions from ethanol plants across the Upper Midwest to North Dakota where they would be pumped underground, but given the intensity of environmental politics, but given the polarizing nature of environmental politics in America, the reticence to be opposed seems like a breakthrough for pragmatism.”
Associated Press: Environmental law group sues TVA over gas pipeline documents
3/29/22
“The Southern Environmental Law Center has sued the nation's largest public utility for failing to disclose full contracts related to proposed natural gas pipelines,” the Associated Press reports. “The Tennessee Valley Authority plans to shutter its remaining coal-fired power plants and get power from another fossil fuel — natural gas. The SELC requested copies of TVA contracts with two gas companies under the federal Freedom of Information Act. TVA supplied the contracts, but they were heavily redacted, according to the lawsuit last week… “SELC attorney George Nolan told AP it appears that TVA has committed to purchasing gas before complying with its National Environmental Policy Act obligations to study alternative energy sources… “SELC is seeking unredacted copies of the contracts and a declaration that TVA violated the Freedom of Information Act.”
State News: Students gather for climate rally outside Michigan Capitol
Jack Armstrong, 3/28/22
“Our identities are inextricably bound to this land, everything that we are and everything that we need comes from the land itself,” Michigan State University social relations and policy junior Stevie Quijas said, speaking into a cold wind from the steps of the Michigan Capitol building,” State News reports. “...Quijas was one of several speakers to address the crowd on Friday, March 25, during a climate strike organized by student organization Sunrise MSU. Speakers led the crowd in environment-related songs and chants and discussed environmental issues. Multiple speakers discussed how Black and Indigenous people are disproportionately affected by climate change… “Ross Fisher, an organizer at Lansing advocacy group Oil and Water Don’t Mix, spoke on the controversial Enbridge Line 5 oil pipeline and making the transition to clean energy. Fisher referenced past environmental catastrophes at Enbridge sites, like the Line 6B spill, which was the largest inland oil spill in U.S. history.”
National Law Review: Army Corps Issues Notice of Nationwide Permit 12 Review and Seeks Stakeholder Input
3/26/22
“On March 24, 2022, the Department of the Army and the U.S. Army Corps of Engineers (“Corps”) (collectively “Army”) announced their intent to publish a Notice (the “Notice”) in the Federal Register initiating a formal review of Nationwide Permit (“NWP”) 12 for Oil or Natural Gas Pipeline Activities, and soliciting input from stakeholders to inform future potential decision-making by the agency related to NWP 12,” the National Law Review reports. “The Notice marks the anticipated reconsideration of NWP 12, which could significantly affect construction timelines for oil and natural gas pipelines. Consistent with several other initiatives from the current administration, this request for input signals the administration’s continued focus on considering environmental justice and climate impacts in federal decisionmaking… “Notably, the Army appears to be considering a notice-and-comment process for projects that seek to take advantage of NWP 12. The Army points to claims made against one particular pipeline and suggests through “an opportunity for notice to the community, a written comment period or a public hearing prior to the Corps providing authorization for the pipeline,” the Corps could have more extensively considered environmental justice, climate change impacts, and drinking water impacts… “Comments in response to the Notice are due within 60 days of the Notice’s publication in the Federal Register. The Corps will conduct a number of virtual meetings throughout the month of May.”
WASHINGTON UPDATES
Financial Times: US environment agency chief defends push for greater oil supply
Leslie Hook and Myles McCormick, 3/29/22
“The top US environment official has defended the White House’s push for increased oil production, saying it is still “compatible” with President Joe Biden’s pledge to cut greenhouse gas emissions and shift away from fossil fuels,” the Financial Times reports. “I don’t think the goals are mutually exclusive,” Michael Regan, head of the Environmental Protection Agency (EPA), told FT. “Clean energy investment could coexist alongside greater crude production, Regan insisted. The administration remained focused on providing “certainty” to investors to push forward renewable development, he said. “We will continue to walk and chew gum at the same time.” “...Regan told FT the surge in prices had shown the US was “still, to a certain extent, held captive to fossil fuels”. Greater development of renewable resources would leave the country less “vulnerable” in future, he said. “We can see in real time that if we continue to invest in cleaner energy, and more domestically available resources, the American people will experience less pain at the pump or less pain within their individual pocketbooks,” he told FT… “The Biden administration’s goal to halve emissions by 2030 has been made more difficult by the failure of its climate policy to be passed by Congress. The legislative logjam has led to increased focus on the EPA’s role in limiting emissions. Regan noted that the EPA had “certain tools in its toolbox to be deployed to help protect public health and drive down carbon emissions”.
Politico: WHERE IS THE NATURAL GAS COMING FROM?
Mathew Choi, 3/28/22
“The White House and European Commission announced plans last week to find 15 billion cubic meters of liquefied natural gas to help the EU replace Russian gas imports. But a senior administration official said the quiet part out loud shortly after, saying they “can’t speak to exactly where the 15 [bcm] is coming from,” Politico reports. “Russia exported 155 bcm of natural gas to Europe in 2021, according to the International Energy Agency, accounting for 45 percent of its gas imports. Replacing that capacity isn’t just a question of willpower. The U.S. is already operating at near max capacity in LNG production, and no new capacity is expected to come online for another two years. The White House said it was working with international partners to meet European demand and has been in discussions with Asian and Middle Eastern countries to redirect shipments. But the White House has been vague in how it would compel shipments to change course to Europe… “But Biden's support for increased LNG imports under the U.S.-EU arrangement demonstrated the potential for a longer commitment to natural gas… “Meanwhile, environmentalists feared it was sliding back on climate goals by investing in fossil energy. Kate DeAngelis, international finance program manager at Friends of the Earth, pushed for a “Marshall Plan for renewable energy, not more of the same” in a Thursday statement ahead of the announcement.”
Press release: Gulf Coast Groups Respond to Biden’s EU Task Force: Don’t Turn the Gulf Into A Fracked Gas Sacrifice Zone
3/25/22
“This morning, President Biden and European Commission President Ursula von der Leyen announced the development of plans to help the EU end its reliance on Russian gas in response to Russia’s invasion of Ukraine. The announcement lays out strategies to both expand the supply of US-produced gas to Europe and to reduce Europe’s need for fossil fuels. Gulf Coast communities are speaking out against any plans the Task Force may develop to expand gas exports as this will endanger their communities and environment, which are already overburdened by industry presence… “Building new gas export and import terminals, which takes years and billions of dollars, will do nothing to help Europe in the short term. For example, Golden Pass LNG in Southeast Texas is the only export terminal under full construction – and this started in 2019 and will not be complete until 2024. Expanding exports will lock the US and the EU into burning gas for decades at the expense of Gulf Coast communities and global climate goals. John Beard, founder and CEO of Port Arthur Community Action Network, said: “Here’s the deal: Increasing gas exports to the EU will exacerbate environmental racism and environmental injustices in the Gulf. Routinely, communities of color across the Gulf bear the brunt of air and water pollution, get displaced due to industry operations, and receive inadequate hurricane relief while fossil fuel corporations are getting billion-dollar tax breaks to pollute our neighborhoods. This has been true for decades, but the Biden Administration and the EU are preparing to give the fossil fuel industry a greenlight to transform the Gulf Coast into a “sacrifice zone” for fracked gas.”
Indianz.com: Tribal consultation bill finally set for movement on Capitol Hill
Acee Agoyo, 3/28/22
“Tribal leaders and tribal organizations are rallying in support of a bill that mandates — for the first time — consultation with Indian nations on actions that affect their interests,” Indianz.com reports. “In 2000, then-president Bill Clinton issued an executive order that requires federal agencies to consult with tribal governments. Despite the requirement, which was reaffirmed by President Joe Biden shortly after he took office in January 2021, Indian Country has frequently complained of lapses in consultation, as well as an inability to hold the United States accountable for its trust and treaty responsibilities. H.R.3587, the Requirements, Expectations, and Standard Procedures for Effective Consultation with Tribes Act, seeks to solidify the consultation requirement. The bill, also known as the RESPECT Act, would ensure that changes in presidential administrations don’t affect the U.S. government’s legal obligations to tribes and their citizens. “Tribal consultation is not a ‘Dear Tribal Leader’ letter or a voicemail, it is the bedrock of the federal Indian trust responsibility,” Gay Kingman, the the long-serving executive director of the Great Plains Tribal Chairmen’s Association, one of the many organizations supporting H.R.3587, told Indianz.com. “The RESPECT Act embodies that and will bring the United States government closer than it has ever been to adhering to the values it has long espoused but so often ignored,” said Kingman, a citizen of the Cheyenne River Sioux Tribe… “According to Grijalva’s committee, the bill establishes criteria for identifying tribal impacts, conducting outreach to tribal governments, and initiating tribal consultation sessions. Significantly, the RESPECT Act also ensures that tribes can take the U.S. to court for lapses in the process.”
Politico: A NEW EJ OUTREACH LEAD
Mathew Choi, 3/28/22
“The White House Council on Environmental Quality is announcing Jessica Ennis as its new public engagement director today. Ennis comes from Earthjustice, where she serves as legislative director for climate and energy,” Politico reports. “Ennis fills the position vacated by David Kieve, whose departure in January elevated concerns among activists that the White House was understaffed to carry out its EJ priorities. Kieve left the White House shortly after the departure of Cecilia Martinez, who’d led the White House’s EJ efforts, leaving the bulk of the staff’s EJ work to Corey Solow, deputy director for environmental justice.”
EXTRACTION
Bloomberg: Oil Sands to Play Biggest Role in Canada’s Export Boost Pledge
Robert Tuttle, 3/28/22
“Canada’s oil sands would play the biggest role in the government’s pledge to boost crude and natural gas exports by 300,000 barrels a day this year to compensate for Russian supplies, according to the lead trade organization for the industry,” Bloomberg reports. “Oil sands companies are able to increase crude output by about 130,000 barrels a day, conventional drillers can add another 60,000 and a platform off Newfoundland could raise production by 10,000 barrels, Ben Brunnen, vice-president of oil sands, fiscal and economic policy at the Canadian Association of Petroleum Producers, told Bloomberg. “Will companies bring that production on-stream? It depends,” he told Bloomberg. “Industry is encouraged and would like to support the government but to do so they need some signals” that regulatory burdens will be relaxed and pipelines built more easily. “If we want to see production increases from Canada, we need support from the federal government.” Canada, the world’s fourth-largest oil producer, faces constraints in rapidly raising output. It currently produces more than 5 million barrels a day of liquid hydrocarbons, but the country’s pipeline network for exports is limited… “The incremental production is based on industry’s assessment of what can be reasonably brought online this year,” Alycia Sevigny, spokeswoman for Natural Resources Canada, told Bloomberg. “It is mostly because of bringing forward production increases that were already anticipated for 2023 and 2024.”
IEEFA: ‘Carbon capture’ model at Exxon’s Shute Creek CCUS reveals a questionable technology and uncertain economic viability
3/28/22
“ExxonMobil’s Shute Creek Carbon Capture, Utilization and Storage (CCUS) facility located in Wyoming, U.S., has been operating since 1986. The technology is still found wanting,” IEEFA reports. “Over its lifetime, facility executives report it has captured about 120 million tonnes (MT) of carbon dioxide (CO2), which is around 34% less than its designed CO2 capture capacity, based on publicly available data and company disclosures according to IEEFA’s findings. An estimated 66 MT of CO2 has been emitted to the atmosphere during the facility’s lifetime, in addition to the inevitable vent of CO2 from the gas processing facility (≈ 54 MT). Despite huge investment globally over the last 50 years, and the pace of recent carbon capture build-up in the fossil fuel industry, the technology is still found wanting — as is the motivation of companies using it. Around 95% of Shute Creek’s captured CO2 (≈ 114 MT) has been sold to oil companies for enhanced oil recovery — a process in which CO2 is pumped into depleted wells to recover more oil. The recovered oil is then burned, emitting CO2 to the atmosphere… “Indeed, the Shute Creek project has rarely met its maximum capture capacity during its 35-year lifetime. Around half of Shute Creek’s total CO2 emissions have been vented over its lifetime. Only around 3% has been sequestered underground and about 47% has been sold for enhanced oil recovery. In short, the facility hasn’t captured the volume of CO2 it was designed for, for economic, rather than technical reasons… “Overall, the majority of commissioned carbon capture projects globally have not attained the levels of capture/storage they aim to achieve. At best, carbon capture appears unrealistic as a climate solution. And the CCUS model should mainly be seen as a subsidy harvesting scheme to prolong the life of the oil and gas industry, not an emission reduction investment.”
Stand.earth: Thousands of Canadians call on federal government to stop funding carbon capture with public dollars
3/28/22
“Thousands of people from across Canada are urging Finance Minister Freeland and Natural Resources Minister Wilkinson to scrap a proposed carbon capture, utilization and storage (CCUS) tax credit,” according to Stand.earth. “The government is expected to release the tax credit in the upcoming budget. CCUS is touted by the oil and gas lobby as a way of cutting emissions, by capturing carbon before it escapes into the air. Today, national organizations delivered petitions, with a total of 31,512 signatories demanding the government to reject this false climate solution. “Carbon capture is being used as a Trojan horse by oil and gas executives to continue, and even expand, fossil fuel production. It’s a dangerous distraction driven by the same polluters who created the climate emergency,” says Julia Levin, Senior Climate and Energy Program Manager with Environmental Defence. “We no longer have time for incremental emission reductions that aren’t aligned with a pathway to zero emissions. There is no fixing fossil fuels, we need to ditch them to protect our climate.” Providing public financial support for CCUS diverts resources from proven, cost-effective climate solutions including electrification and grid modernization, renewable energy generation and storage, and energy efficiency… “Despite raking in bigger profits than ever given the high price of oil and gas, oil and gas companies want governments in Canada to pay for CCUS for their sector. The companies have lobbied for the tax credit to pay for 75% of the cost to build carbon capture facilities, as part of the more than $50 billion companies want governments to contribute to their CCUS plans. Betting on CCUS only prolongs reliance on fossil fuels at the very time when avoiding catastrophic climate change requires winding down the production and use of fossil fuels.”
MIT Technology Review: A US oil-drilling hotspot is kicking out far more methane than we thought
Casey Crownhart, 3/28/22
“One of the largest and fastest-growing oil production sites in the US is emitting far more methane than previously measured,” according to the MIT Technology Review. “... But an aerial survey of the Permian Basin in New Mexico revealed more leakage than even the highest estimates had suggested to date… “According to the new study, the site emits about 194 metric tons of the gas every hour. That’s about 9% of the site’s total natural-gas production, double previous estimates. Researchers and environmental groups have long been monitoring the area, which spans across New Mexico and Texas, because it is well known as a methane hot spot. From ground monitoring by towers to satellite measurements, those previous studies suggested that methane emissions from the site amounted to under 4% of total natural-gas production in the area. “We were initially surprised by the magnitude,” Yuanlei Chen, a graduate student at Stanford’s Energy Resources Engineering program and one of the authors of the study, told the Review… “The findings add to calls for toughening methane regulations on oil and gas producers. At the time this data was collected, from 2018 through 2020, oil production was increasing quickly, and regulations in the area were looser than they are today. New Mexico recently passed legislation banning routine flaring of excess natural gas. Stronger federal policies are still needed to cut emissions in other oil-producing states like Texas, Jon Goldstein, a senior policy director at the Environmental Defense Fund, told the Review.”
OPINION
Globe and Mail: Pathways Alliance plan can help lead Canada to a clean energy industry and a net-zero future
Tim McKay is president of Canadian Natural Resources; Alex Pourbaix is president and CEO of Cenovus Energy; Bij Agarwal is president of ConocoPhillips Canada; Brad W. Corson is chairman, president and CEO of Imperial Oil; Derek Evans is president and CEO of MEG Energy; Mark Little is president and CEO of Suncor Energy, 3/28/22
“Former U.S. Treasury Secretary Timothy Geithner, who led the American economy through the global financial crisis, often said “a plan beats no plan.” Today we need a plan to tackle one of the most pressing challenges of our time: climate change,” Tim McKay and fellow oilsands executives write for the Globe and Mail. “The Oil Sands Pathways to Net Zero Alliance, which comprises companies that operate 95 per cent of oil sands production, has announced a plan that will contribute significantly to meeting Canada’s 2030 Paris commitments and its 2050 net-zero goal… “Achieving our 2030 goal will require close collaboration with both federal and provincial governments. Canada needs a regulatory process that allows us to build carbon capture, transportation, and sequestration infrastructure as soon as possible. Reaching the goal of net zero by 2050 requires new technologies – many of which are still in the development stage – that will enable the production of energy from hydrogen, biofuels, and small modular reactors and allow for the capture of carbon dioxide directly from the atmosphere… “Equally important, the federal government has promised new policies that will accelerate the reduction of emissions. The last federal budget committed to bring forward an investment tax credit to support carbon capture, utilization, and storage (CCUS). Some question why companies need access to tax credits. Quite simply, this technology is very capital-intensive and Canada is competing internationally for investment in emissions-reducing technology.”
The Hill: The time for American natural gas is now
Luke J. Lindberg is the former chief of staff and chief strategy officer at the Export-Import Bank of the United States under President Trump, as well as a senior adviser to Evolution Metals and GreenMet, 3/28/22
“The world has finally woken up to the magnificent blessing of American natural gas,” Luke J. Lindberg writes for The Hill. “President Biden and the European Union leaders announced plans for new liquified natural gas (LNG) shipments to Europe to help alleviate rising energy prices. And I have to say — it’s about time. The U.S. Energy Information Administration estimates we have approximately 98 years’ worth of gas in the United States. We should use it… “Meanwhile, at home, Biden has fought to end American energy dominance claiming pledges to combat climate change. We can all be glad that the sleeping giant is reawakening. Germany has chosen to realign their energy interests with the West and Biden is rightfully offering American support through LNG exports… “The president’s bully pulpit is required to cut through the endless red tape, review processes and burdensome regulations that often hold up these kinds of well-intentioned efforts. The recent reversal by the democratic commissioners on the Federal Energy Regulatory Commission is a perfect example of what is needed — the proposed greenhouse-gas analysis would likely have killed certain export projects — or at least slowed them down… “The coming weeks and months provide a unique opportunity to support high-quality American jobs and lay the groundwork for American energy dominance. The energy maps of the future are being redrawn as we speak. Let’s pray that we get it right — our long-term energy and national security depend on it.”