EXTRACTED: Daily News Clips 2/8/24

PIPELINE NEWS

• Wisconsin Public Radio: Federal court hears arguments from Bad River, Enbridge in appeal of pipeline shutdown order

• North Dakota Monitor: Summit wins on local ordinance issue in North Dakota

• Wahpeton Daily News: Proposed pipeline goes before the public

• WCIA: CO2 pipeline conversation draws out hundreds of Central IL residents

• Globe Gazette: Hancock County supervisors to discuss concerns with pipeline project manager

• WSLS: Giles County residents raise concerns as construction on Mountain Valley Pipeline continues

• Go Skagit: Community gathers for meeting on Olympic Pipeline spill

• KBAK: OSPR determines no remaining threat to waterways after pipeline burst, crude oil spill

• BNN: Onshore Oil & Gas Pipeline Market Expected to Surpass $6 Billion by 2024

WASHINGTON UPDATES

• E&E News: Red states build legal case against Biden LNG pause

• E&E News: Green New Deal backers take victory lap

• E&E News: Tribal lawsuits threaten Biden’s clean energy push

• Associated Press: Fossil fuel-dependent Puerto Rico can fully shift to clean energy by 2050, a federal study says

STATE UPDATES

• WFLD: Illinois Manufacturers’ Association CEO urges action on smart carbon capture regulations

• Greenfield Recorder: A case for ditching natural gas: Mothers Out Front aims to send message to legislators, utilities

• DeSmog: How the Oil Industry Indefinitely Delays Cleaning up Oil and Gas Wells in California

• KBJR: Union members rally in support of proposed natural gas plant in Superior

• Bleeding Heartland: Gevo plant in South Dakota will use 300 million gallons of water annually

EXTRACTION

• Resources: Accurately Quantifying “Super-Emitting” Leaks Is Key for the Methane Fee to Be Effective

• Institute for Energy Economics and Financial Analysis (IEEFA): Fact Sheet: Carbon Capture and Storage (CCS) has a poor track record

• BNN: CO2 Removal in Climate Change: Is Carbon Capture the Solution or a Risk?

• Associated Press: Jury to decide on climate scientist Michael Mann’s defamation suit over comparison to molester

• Canadian Energy Centre: Operations start at new emissions-reducing oil sands project

• Guardian: Live Aid promoter announces global concerts to tackle climate crisis

CLIMATE FINANCE

• Reuters: Big Oil offers record returns to lure investors back

• Private Equity Climate Risks: Researchers Unveil Searchable Database of Top Private Equity

• Bloomberg: Pacific States Warn Insurers of Wildfire-Size Losses on Oil Risk

• KTVZ: Oregon Treasury releases plan to reach net zero carbon emissions in state pension fund by 2050

OPINION

• South Dakota Searchlight: Oil pipeline experience proves need for caution with carbon pipelines

• Owensboro Times: Pipeline and compressor station a good boost if proper precautions taken

• Ottawa Citizen: Enbridge is proud to help sponsor Winterlude — and many other events 

• Guardian: Joe Biden just did the rarest thing in US politics: he stood up to the oil industry
  

PIPELINE NEWS

Wisconsin Public Radio: Federal court hears arguments from Bad River, Enbridge in appeal of pipeline shutdown order
DANIELLE KAEDING, 2/8/24

“A federal appeals court will hear oral arguments Thursday in a case that has a Canadian energy firm and a Lake Superior tribe fighting over the fate of an oil and gas pipeline running across northern Wisconsin,” Wisconsin Public Radio reports. “…The Bad River tribe wants the federal appeals court to order Enbridge to turn over profits from the continued operation of Line 5 and immediately stop trespassing on tribal lands. In a brief before the court, the tribe’s attorneys say the company has made more than $1.1 billion in profits from Line 5 after the expiration of the reservation easements… “The tribe’s attorneys argue the Non-Intercourse Act bars courts from implementing what they argue amounts to forced easements across tribal lands if the pipeline is allowed to operate for three more years. The law bars the sale, lease or conveyance of tribal land without the approval of the federal government. Enbridge argues the company isn’t trespassing on lands with expired easements because the tribe signed a 1992 agreement that the pipeline would continue to operate until 2043 in exchange for $800,000. The company accuses the tribe of breaching its commitment, saying it’s entitled to the tribe’s consent and “the benefit of the bargain.” “…Wisconsin Manufacturers and Commerce, the state’s largest business lobby, and the Canadian government support continued operation of Line 5… “Meanwhile, more than 30 tribal nations and organizations, including Wisconsin tribes, said in a brief filed with the court that Enbridge’s actions continue a centuries-long practice of stripping lands from tribes. They fear the lower court’s ruling threatens to undermine tribal sovereignty and fails to deter corporations like Enbridge from trespassing on tribal lands. Meanwhile, environmental groups like Clean Wisconsin argue continued operation of Line 5 risks an “imminent rupture” that would harm Lake Superior, fish, wildlife and tribal resources such as wild rice. They and others have highlighted that Line 5 has experienced at least 30 spills on land that released more than 1.1 million gallons of crude oil. Enbridge has said there’s never been a spill on the Bad River reservation.”

North Dakota Monitor: Summit wins on local ordinance issue in North Dakota
JEFF BEACH, 2/7/24

“Summit Carbon Solutions and other pipeline companies scored a victory Wednesday when the North Dakota Public Service Commission decided that state rules preempt local ordinances on pipeline zoning issues,” the North Dakota Monitor reports. “That decision paves the way for a rehearing on Summit’s application for a pipeline permit, which the commission denied last year. Commission Chairman Randy Christmann said hearings on Summit’s revised application would be at latest four weeks away and may be longer. On local ordinances, Christmann said state law, which was changed in 2019, is clear: “the approval of a route permit for a gas or liquid transmission facility automatically supersedes and preempts local land use or zoning regulations except for road use agreements.” “…Before 2019, the law said state rules may supersede local ordinances, if the local ordinances are deemed unreasonably restrictive. “We used to have flexibility on this. That changed in 2019,” Christmann said… “Summit has since proposed changes to its route around Bismarck and an appeal is pending before the commission. Christmann called the case file around the pipeline “enormous,” and said 2,000 pages of filings had been added just in the last eight days. He said staff and commissioners need time to review those filings before more hearings can be set.”

Wahpeton Daily News: Proposed pipeline goes before the public
James Vissers, 2/7/24

“On Tuesday, Feb. 6, residents of Breckenridge and Wilkin County, Minnesota, expressed their views on the draft Environmental Impact Statement recently released by the Minnesota Department of Commerce,” the Wahpeton Daily News reports. “…The goal of the pipeline would be to capture CO2 at the Green Plains Ethanol Plant in Fergus Falls, Minnesota, preventing it from escaping into the atmosphere. Concerns from residents included safety, water usage, pipe corrosion and sequestration as the pipe would stretch 28 miles to Breckenridge. Dale Anderson, Breckenridge, asked whether the thaw and freezing of the ground would impact the pipe and cause potential leaks or ruptures… “O’Konek further explained that the pipe would be surrounded by a protective coating of epoxy to prevent any cracks or chips from surrounding debris… “This is our water we’re talking about. Are we going to have drinking water, or are we going to give it up to sequester this carbon dioxide? The trade-off doesn’t seem like it’s worth it, I worry about the water supply, because everyone is running out of water, once it’s gone it’s gone,” Sharon Leinen, resident, said… “Another concern was that if water were to leak into the pipe and mix with the CO2, carbonic acid would be created and cause corrosion. Keeping the pipeline clear of water would be a priority for the safety team at SCS. Public comments will be closed on Friday, Feb. 23.”

WCIA: CO2 pipeline conversation draws out hundreds of Central IL residents
Arriana Williams, 2/7/24

“Hundreds of people showed up to the Kruse Event Center in Gibson City, some protesting a proposed CO2 pipeline,” WCIA reports. “The Coalition to Stop CO2 Pipelines held an informational meeting bringing the public into the conversation and the decision-making… “One Earth Sequestration is the latest company asking to build a pipeline to store carbon dioxide in Central Illinois, more than 7 miles ready to run through McLean County. But, community members fear the company’s plan is coming too soon. “It’s not regulated well enough. There aren’t safety guidelines sufficient and more importantly, people are not being informed,” said Lan Richart, with the Eco-Justice Collaborative… “[It] Impacts the properties, impacts the people. [These are] safety issues that aren’t being discussed enough,” said Richart… “They ask ‘are you an expert?’ — well you’re all experts in your own lives and many of you know you wouldn’t want this,” said Dawn Dannenbring with Illinois People’s Action.”

Globe Gazette: Hancock County supervisors to discuss concerns with pipeline project manager
Rob Hillesland, 2/7/24

“On Feb. 5, Hancock County supervisors heard public forum comments from Glen Alden regarding potential impacts of Summit Carbon Solutions’ recently announced partnership with POET,” the Globe Gazette reports. “…Alden told supervisors that POET’s Hanlontown and St. Ansgar plants, and probably at least a dozen other plants, would come online with Summit’s project. He said that means originally proposed 8-inch diameter lines could be increased to 24 inches or more in places. He estimated 10 times more volume could be carried by Summit related to adding the new partnership. Alden also noted the proposed pipeline being within one-half mile of a chicken facility in Hancock County. “If there is a rupture there, it will be a whole pile of feathers,” Alden said… “Supervisors Gary Rayhons and Sis Greiman noted their frustrations with not getting reimbursed timely for pre-engineering/locate work done on behalf of Summit… “Rayhons said he tried calling two TurnKey/Summit representatives and was referred to a third representative, who did not call him back, before Summit Project Manager Grant Terry ultimately called him.”

WSLS: Giles County residents raise concerns as construction on Mountain Valley Pipeline continues
2/7/24

“Community concerns about water safety are growing in Giles County as work on the Mountain Valley Pipeline continues,” WSLS reports. “Many of us would not be happy to not have that well water or spring water or be forced to hook up to county water because Mountain Valley Pipeline has made a horrible error,” Kellie Ferguson, a Giles County resident and a part of the Protect Our Water, Heritage, Rights Coalition, told WSLS. People in Giles County are concerned about their waterways after a local creek was left for days with mud flooding into it leaving one home without water. “Seven days ago, there was mud flooding in here and it actually took them up until yesterday to try and do something about it,” Jammie Hale, a Giles County local and activist against the pipeline, told WSLS… “With how many people who rely on groundwater and well water in the area, some are concerned if this continues, the freshwater will be ruined.”

Go Skagit: Community gathers for meeting on Olympic Pipeline spill
EMMA FLETCHER-FRAZER, 2/7/24

“About 50 community members gathered Tuesday night at Conway School to talk with experts about the Dec. 10 gasoline spill from the Olympic Pipeline,” Go Skagit reports. “The open house was one of two community meetings scheduled by the pipeline spill’s unified command to discuss spill response and answer questions. About 25 experts were present to chat with community members. There is still a lot of work to do on spill response, starting with the installation of a sheet piling wall in Hill Ditch beginning Wednesday. The wall will allow responders to protect fish while the work to pull remaining gasoline out of the water and streambank continues. The unified command estimates that its work to clean up the shoreline, remove contaminated tree stumps, excavate soil, and backfill and stabilize the streambank will take until March 13… “The state Department of Transportation’s Pipeline and Hazardous Material Safety Administration is leading the investigation into the spill. Accident Investigation Division Director Chris Ruhl told Go Skagit the agency had investigators on the ground as the incident occurred… “It’s possible that the 3/8-inch tubing from which the gasoline spilled may have been corroded, Ruhl  told Go Skagit… “County Commissioner Peter Browning said the joint response had been excellent, except for some shortcomings early on in reaching out to residents. ”The community felt a little abandoned,” Browning told Go Skagit. ”We need to know that something positive came out of this.”

KBAK: OSPR determines no remaining threat to waterways after pipeline burst, crude oil spill
Leslie Santibanez-Molina, 2/7/24

“The Office of Spill Prevention and Response (OSPR) said that crews determined that there is no remaining threat to waterways from the crude oil spill on Westbound Panama Lane near Buena Vista Road,” KBAK reports. “The response will be transferred to the Central Valley Regional Water Quality Control Board and the State Fire Marshal for ongoing “remediation and repair of the pipeline.” They said the source of the leak was identified as a previously abandoned pipeline separated from Kern Energy’s pipeline by a check valve. The investigation into the cause is ongoing… “The Sierra Club said a pipeline burst at the intersection of Panama Lane and Buena Vista Road, leaking crude oil for an unknown amount of days… “Sierra Club representative Mercedes Macias released the following statement: “Spills like this one are the most blatant, obvious reminders that fossil fuels are often one accident away from wreaking havoc on our soil, water, and environment. These risks only become more serious when our oil and gas pipelines are near homes and schools. We must stay committed to finding safer, affordable alternatives that utilize renewable energy.”

BNN: Onshore Oil & Gas Pipeline Market Expected to Surpass $6 Billion by 2024
Salman Akhtar, 2/8/24

“As the world’s energy demand grows, the Onshore Oil & Gas Pipeline Market is projected to hit unprecedented heights. According to the latest market report, the global revenue for this segment is poised to cross the US$6.04 billion mark in 2024 and continue its upward trajectory through 2034,” BNN reports. “This surge is propelled primarily by escalating global energy needs spurred on by industrialization, urbanization, and population growth. Governments and energy corporations worldwide are making significant investments to expand onshore pipeline networks as a response to this climbing demand… “Despite facing regulatory challenges and environmental concerns, the industry sees potential in the development of unconventional oil and gas resources. Simultaneously, investments in the energy sector and collaborative cross-border projects open up opportunities for further market growth.”

WASHINGTON UPDATES

E&E News: Red states build legal case against Biden LNG pause
Pamela King, Carlos Anchondo, Brian Dabbs, 2/7/24

“Twenty-three Republican-led states are teeing up their legal claims against the Biden administration’s decision to halt overseas shipments of liquefied natural gas,” E&E News reports. “In a Tuesday letter to President Joe Biden and the Department of Energy, the attorneys general of Louisiana, Texas and other states accused the administration of ushering in a “surprise freeze” that bows to the pressure of young climate activists, harms the economy and jeopardizes national security. “Instead of addressing America’s real energy challenges,” the states wrote, “your administration has decided to double down on a reckless environmental agenda through this TikTok-inspired ‘pause.’” “…Red states in their letter to DOE invoked the “major questions” doctrine, a legal theory that says Congress must clearly authorize federal agencies to tackle politically and economically important issues… “[O]ur allies rely on LNG exports for their energy needs,” the states wrote. “And meeting this demand requires new export terminals leading to billions of dollars in capital expenditures and tens of thousands of new jobs.” They added: “The Department’s pause jeopardizes all this work — all without the Department pointing to any ‘clear congressional authorization’ to issue this pause in the first place.” “…The states also argued that the pause violates notice-and-comment requirements under the Administrative Procedure Act, as well as the statute’s protections against unreasonable regulatory delays… “Meanwhile, on Monday, the Sierra Club and other environmental groups urged 15 global financial firms, including Bank of America and JP Morgan, to halt support for LNG exports. “With the Department of Energy stopping the rubber stamping of new LNG export projects in order to consider their full impact on our climate, communities and economy, it’s time for the financial sector to do the same,” Adele Shraiman, senior campaign strategist for the Sierra Club’s Fossil-Free Finance campaign, told E&E. “The message is clear: there is no place for LNG expansion in a net-zero future.”

E&E News: Green New Deal backers take victory lap
Emma Dumain, 2/7/24

“Five years after progressives unveiled the Green New Deal, the movement continues to face deep skepticism from Democratic moderates and hostility from Republicans of all stripes,” E&E News reports. “But on Tuesday, those same progressives who first championed the nonbinding resolution say they have emerged clear winners in the debate over how to combat the climate crisis. “Five years ago, we introduced a 10-year vision for social and ecological transformation big enough to save our planet,” said Rep. Alexandria Ocasio-Cortez (D-N.Y.) at a press conference outside the Capitol celebrating the anniversary. “The critics jumped against it nearly immediately,” Ocasio-Cortez said. “They said it was an impossible dream, too impractical, not serious enough. And today, we can say that they were wrong.” A half-decade after it was first introduced, the Green New Deal is now many different things to many different people. Progressives argue it is a landmark statement that helped lay the groundwork for Biden’s green agenda. Other Democrats consider it a bumper sticker lacking substance… “Advocates joining Ocasio-Cortez and Markey at the Tuesday press event say these ideas have officially entered the mainstream, and a new report from the two original co-sponsors seeks to lay out their victories. The Inflation Reduction Act, the report says, included the biggest federal investment in climate action in history… “At the anniversary press conference Tuesday, Rep. Ro Khanna (D-Calif.) said the Green New Deal “gave this country a sense of common purpose again” and praised climate activists for making their voices heard — including those affiliated with the Sunrise Movement and Climate Defiance, two groups that have been routinely shutting down public events with Biden administration officials to push them further to the left on environmental issues.”

E&E News: Tribal lawsuits threaten Biden’s clean energy push
Niina H. Farah, 2/8/24

“A Wisconsin oil pipeline. An Oklahoma wind farm. Tribal lawsuits over these types of projects are poised to test the legal limits of the Biden administration’s clean energy ambitions,” E&E News reports. “Just weeks after a federal judge took the rare step of ordering the removal of a commercial wind farm on Osage Nation land, a tribe in the Great Lakes region Thursday will make its case that a separate court should shutter an oil conduit that travels through Chippewa reservation land near Lake Superior. The Bad River Band’s fight against Enbridge’s Line 5 pipeline is just one example of tribal property rights “butting up against these economic enterprises where they’re being conducted, essentially, in violation of those rights,” Riyaz Kanji, an attorney representing the band before the 7th U.S. Circuit Court of Appeals, told E&E. “The courts are being put to the test in terms of whether they are willing to enforce the tribes’ sovereignty and property rights.” “…Those conflicts are bound to arise again and again, James Coleman, a law professor at Southern Methodist University, told E&E… “Just because the Biden administration is focused on renewables rather than fossil fuels does not mean it will get a pass on legal scrutiny from tribes, Wesley Furlong, an attorney for Native American Rights Fund, told E&E… “Tribes can fight and push and try to get an agency to not issue a permit. But the legal structure we have for authorizing these types of projects is that that system is really inclined to grant permits.” He continued: “It’s very difficult for tribes to get agencies to a point of saying no.”

Associated Press: Fossil fuel-dependent Puerto Rico can fully shift to clean energy by 2050, a federal study says
DÁNICA COTO, 2/7/24

“As Puerto Rico struggles with chronic power outages and a decaying electric grid, federal officials believe the U.S. territory can fully shift from fossil fuels to clean energy by 2050, according to a report Wednesday that has been two years in the making,” the Associated Press reports. “The report by the U.S. Department of Energy and the Federal Emergency Management Agency surprised those who thought that a recent law requiring Puerto Rico to reach 40% of clean energy by next year and 100% by 2050 was unrealistic. “This transition will be a substantial effort and won’t happen overnight, but 100% clean energy is 100% possible,” said Agustín Carbó, Puerto Rico’s grid modernization director within the U.S. Department of Energy. The department’s secretary, Jennifer Granholm, who traveled to Puerto Rico to help present the study, echoed Carbó’s comments, saying it was a “big, hairy audacious goal” that she believes can be accomplished… “As part of the push, officials on Wednesday announced a new federally funded program that will subsidize residential rooftop solar and battery storage systems for up to 30,000 low-income households on the island.”

STATE UPDATES

WFLD: Illinois Manufacturers’ Association CEO urges action on smart carbon capture regulations
2/7/24

“The state is aiming to adopt more environmentally friendly practices, the Illinois Manufacturers’ Association announced this week,” WFLD reports. “The association discussed plans to advocate for the advancement of cutting-edge technology to reduce carbon emissions… “We risk billions of dollars in economic opportunity and good jobs if we don’t act this session to pass smart carbon capture and storage regulations,” Mark Denzler, the CEO of the Illinois Manufacturers’ Association, told WFLD. Manufacturing, which is the largest contributor among industries, supports nearly a third of all jobs in the state.”

Greenfield Recorder: A case for ditching natural gas: Mothers Out Front aims to send message to legislators, utilities
EMILEE KLEIN, 2/7/24

“The influential lobby group Mothers Out Front took aim at the natural gas industry this week, using its monthly climate action call to encourage people to push for a future without gas,” according to the Greenfield Recorder. “…This month’s call zeroed in on efforts to transition the state off natural gas heating and electricity by obligating utilities to provide electric or geothermal heat rather than gas. The group also supports a moratorium to inhibit gas service expansion and calls for ceasing renovations of gas infrastructure. “The gas utilities must stop wasting ratepayer and taxpayer resources building a shiny new gas system. We need to be investing this money into renewable, zero-emission energy systems,” said Susan Sommer, a Mothers Out Front member from Watertown. “We can’t afford to continue with gas and electrify our buildings. We have to choose our future.” “…While the state department paused development of the pipeline in July 2023, Mednick warns that Eversource continues to lobby in support of the pipeline. The utility says the project is designed to improve reliability of the natural gas system in the greater Springfield area for approximately 58,000 existing natural gas customers… “Sommer said current laws require utilities to provide natural gas for neighborhoods, which counters climate goals. Instead, the law should obligate utilities to provide heat to residents, preferably through geothermal sources or heat pumps… “The nonprofit is also pushing for a moratorium that would prevent further expansion of natural gas infrastructure, such as the Longmeadow-Springfield pipeline. The third request is to end renovations of gas infrastructure under the Gas System Enhancement Program.”

DeSmog: How the Oil Industry Indefinitely Delays Cleaning up Oil and Gas Wells in California
Joe Fassler, 2/6/24

“A new report from the Sierra Club has found that more than 40,000 unplugged oil and gas wells are sitting idle across California — potentially leaking planet-warming gas and unsafe chemicals, but no longer actively extracting fossil fuels,” DeSmog reports. “In theory, it shouldn’t be possible to leave so many wells in that neglected state. Companies that operate in California are required to safely “abandon” wells that are no longer in use, removing pumpjacks and sealing off openings forever with concrete. And yet, the report found that more than 40 percent of unplugged wells in California haven’t produced oil or gas in at least two years, which is the state’s formal criteria for an “idle” well. According to Sierra Club’s review of California Geologic Energy Management Division (CalGEM) data, only three companies are responsible for most of these wells: Chevron, Aera Energy, and California Resources Corporation. And while operators do pay modest fees for letting their wells stay idle so long, aggressive industry lobbying has helped to keep those penalties as low as possible… “For the remaining tens of thousands of idle wells, the fees that companies do pay are so minimal that those that can afford to close them down routinely choose to keep them unplugged for long periods instead. The Sierra Club analysis revealed that ownership of these California wells is intensely concentrated, with two-thirds owned by just three well-heeled companies… “But the Sierra Club insists that Chevron, Aera Energy, and CRC still haven’t moved fast enough, instead exploiting rules that in some cases they helped to shape. “California’s laws are failing to hold polluters accountable,” the nonprofit writes in a blog post disputing industry criticism of its report. 

KBJR: Union members rally in support of proposed natural gas plant in Superior
Cara Kopp, 2/6/24

“A proposed natural gas power plant in Superior is continuing to divide residents and city leaders,” KBJR reports. “Outside Superior’s City Hall late Tuesday stood hundreds of union workers chanting in support of Minnesota Power’s proposed Nemadji Trail Energy Center project. “We’re hoping that the city council, the mayor, and the planning commission will understand why we are here,” said Dan Olson, the business manager for Labor Local 1091… “There’s a lot of people that want to get from fossil fuel to renewable energy, and the natural gas power plant that’s being proposed here is a step in the right direction,” said Olson… However, NTEC isn’t being supported by everyone, especially those inside city hall like Superior Mayor Jim Paine. “There’s no amount of money that will cause me to sell out the health and safety of the people that live here,” Paine told KBJR… “A lot of the information we’ve been provided from the developers just is not true, and they’re misleading on a lot of points, and not providing a lot of the real facts about this plant.”

Bleeding Heartland: Gevo plant in South Dakota will use 300 million gallons of water annually
Nancy Dugan, 2/6/24

“A Gevo official confirmed on February 2 that the company expects to use 300 million gallons of water per year, or 700 gallons per minute, at its planned Lake Preston, South Dakota Net-Zero 1 (NZ1) plant and an adjacent green hydrogen facility known as the Dakota Renewable Hydrogen (DRH) Project,” Bleeding Heartland reports. “When asked if the water use estimate provided was for the NZ1 plant, the DRH plant, or both, Heather Manuel, vice president of corporate communications for Gevo, replied, “Both – we have an agreement with Kingbrook Rural Water for our water supply and do not require a permit.” “…Bleeding Heartland sought clarification from the South Dakota Department of Agriculture & Natural Resources on whether the Kingbrook Rural Water System would be required to obtain a water use permit on behalf of Gevo. According to the Department of Agriculture & Natural Resources’ website, “If supplied by a water distribution system using more than 18 gallons per minute, the water distribution system needs to obtain a water right permit on behalf of the system water users.” “…Gevo’s arrangement with Kingbrook underscores a little-explored facet of the water issues facing the Midwest: rural water systems. In northwest Iowa, for example, the Osceola County Rural Water System has repeatedly pumped the Ocheyedan River dry in its quest to serve rural customers, according to an October 6, 2023, article by Iowa Capital Dispatch reporter Jared Strong. A search of the Iowa Department of Natural Resources’ animal feeding operation website identified 226 facilities in Osceola County alone… “The figures provide a glimpse into the water-intensive processes associated with aviation fuel production.”

EXTRACTION

Resources: Accurately Quantifying “Super-Emitting” Leaks Is Key for the Methane Fee to Be Effective
Brian C. Prest, 2/6/24

“As the US Environmental Protection Agency begins enforcing methane fees on the oil and gas industry, an important question begs answering: How can regulators best calculate the true extent of methane leaks?,” Resources reports. “…As the saying goes, what gets measured gets managed—and that’s particularly true here. In standard economic theory, a carbon price creates a private incentive to reduce pollution: if I cut my methane emissions by one ton, I save $1,500, creating a profit motive to undertake any efforts to reduce emissions that cost less than $1,500 per ton. But what if the measurement is off when my taxes are calculated? The IRA specifies that the methane fee should be calculated using the emissions tallies from the EPA Greenhouse Gas Reporting Program. But it is well established that the reporting program drastically undercounts actual methane emissions from the oil and gas industry—perhaps by a factor of four. Poor accounting thus can blunt the incentive that the methane fee intends to create… “Measuring methane emissions is particularly challenging, because a disproportionate amount of methane emissions from oil and gas infrastructure comes from intermittent “super-emitters.” These super-emitter events are large, typically unintended, episodic leaks such as those due to malfunctioning equipment. Since these unintended leaks are difficult to measure and often go unnoticed, super-emitter events are not tracked routinely nor included in the Greenhouse Gas Reporting Program… “This all sounds reasonable enough, but the EPA scientific advisory board’s recent critique points out a flaw with this approach: these calculations could simultaneously underestimate emissions on average while vastly overestimating emissions from the individual leaks that are caught… “Future improvements in remote sensing, such as MethaneSAT, offer potential for improving greenhouse gas accounting and facilitating effective carbon pricing. But until then, the wonky and technical methods for emissions accounting may start to have major consequences for the effects, and effectiveness, of the first nationwide carbon price in the United States.”

Institute for Energy Economics and Financial Analysis (IEEFA): Fact Sheet: Carbon Capture and Storage (CCS) has a poor track record
Amandine Denis-Ryan, 2/8/24

“IEEFA found that CCS has a long history of failure and underperformance: Three projects have failed; Five projects underperformed materially compared to their own targets; Two projects refused to publish data; Only three projects were performing close to capacity. In Australia, the Gorgon CCS project has failed to deliver, underperforming its targets for the first five years by about 50%. In FY2022-23, it injected just 34% of the 5 million tonnes of CO2 (MtCO2) it captured. The Gorgon partners have spent more than A$3 billion on the CCS facility since it started seven years ago. Globally, the maximum capture rate achieved by CCS to date appears to be 83%, well below the 90%-95% presented as feasible by the oil and gas industry. CCS sequestered about 0.1% of global energy-related CO2 emissions in 2022. According to the Intergovernmental Panel on Climate Change (IPCC), CCS will account for an average of 2.4% of CO2 mitigation by 2030, even if implemented at its full planned potential. Renewables, efficiency, electrification, and reducing fugitive methane emissions can address more than 80% of the world’s decarbonisation needs by 2030, according to the International Energy Agency (IEA) and IPCC. CCS only deals with a fraction of oil and gas projects’ emissions, as it ignores the emissions when oil and gas is burned by the consumer, which represent 85%-90% of total emissions. In addition, about three quarters of CCS projects are engaged in enhanced oil recovery, which creates more emissions, negating the initial reduction. Australia has limited protection against CCS projects failure. Longer-term bonding provisions are required to cover the cost of monitoring, maintenance and intervention post well closure.”

BNN: CO2 Removal in Climate Change: Is Carbon Capture the Solution or a Risk?
Mazhar Abbas, 2/7/24

“Our world is under the blanket of an invisible but increasingly palpable threat – carbon dioxide (CO2) emissions,” according to BNN. “…Processes that naturally remove CO2, such as absorption by forests, oceans, and soils, are being compromised by human activities like deforestation and pollution. One technology that promises a solution is Carbon Capture and Storage (CCS). This technology prevents excess CO2 from entering the atmosphere by capturing it at the source or directly from the air, subsequently storing it underground. Despite the potential of CCS technologies, they are fraught with health and safety concerns. The risks include potential asphyxiation, water contamination, and seismic activity resulting from the storage process. Despite these risks, some consider CCS technologies as an essential tool in our arsenal against climate change… “However, the application of these technologies is currently limited and requires significant development. Critics argue that relying on such technologies could enable continued fossil fuel exploitation. Their advocacy leans towards a reduction in fossil fuel dependence and a complete phase-out as a more effective solution… “The European Commission has recommended member states to cut 90 percent of their emissions by 2040 and use CCS technologies to prevent up to 400 million tonnes of CO2 from reaching the atmosphere by 2040. Yet, there are concerns about the feasibility and cost of relying heavily on CCS technologies, with some experts suggesting a focus on electrification of industrial heat and reducing the use of fossil fuels instead.”

Associated Press: Jury to decide on climate scientist Michael Mann’s defamation suit over comparison to molester
SUMAN NAISHADHAM, 2/7/24

“It’s been 12 years since a pair of conservative writers compared a prominent climate scientist to a convicted child molester for his depiction of global warming. Now, a jury is about to decide whether the comments were defamatory,” the Associated Press reports. “Closing arguments were made Wednesday in a lawsuit brought by Michael Mann, who rose to fame for a graph first published in 1998 in the journal Nature that was dubbed the “hockey stick” for its dramatic illustration of a warming planet… “In 2012, the Competitive Enterprise Institute, a libertarian think tank, published a blog post by Rand Simberg that compared investigations by Penn State University — then Mann’s employer — into Mann’s work as well as the case of Jerry Sandusky, a former assistant football coach who was convicted of sexually assaulting multiple children… “Mann sued the two men and their publishers, seeking monetary damages… “Mann’s attorney, John Williams, questioned in his closing whether Simberg and Steyn believed the accusations they leveled at Mann or whether “they just advanced their political agenda.” He told jurors that by awarding damages they could “set an amount not just to punish but to serve as an example to prevent others from acting in the same kind way.”

Canadian Energy Centre: Operations start at new emissions-reducing oil sands project
Deborah Jaremko, 2/7/24

“The first oil sands project using a technology designed to reduce emissions per barrel by nearly half is officially up and running,” according to the Canadian Energy Centre. “…The new technology is an advancement in steam assisted gravity drainage (SAGD), which is responsible for nearly half of today’s oil sands production… “In so-called solvent assisted SAGD, light hydrocarbons or “solvents” like diluent, propane or butane are injected deep underground along with steam to melt and mobilize thick bitumen deposits. It’s a bit like adding a thinner to a heavy paint. After an initial start-up phase expected to last through the first quarter of 2024, production is targeted to ramp up to 15,000 barrels per day. Corson says the company “has a whole pipeline” of solvent deployment potential at Cold Lake.”   

Guardian: Live Aid promoter announces global concerts to tackle climate crisis
Ben Beaumont-Thomas, 2/7/24

“Harvey Goldsmith, the concert promoter who backed the London leg of Live Aid as well as numerous other charity events and major gigs, has announced a new multi-year project to benefit action on the climate crisis,” the Guardian reports. “Earth Aid Live will take place in six countries across five continents over one weekend in August 2025, including London, Los Angeles and Rio de Janeiro, with lineups still to be announced. Goldsmith is planning similar events in 2030 and 2035, and will feature concerts in the metaverse as well as real life. Goldsmith was upbeat as he announced the events, hailing “a new era marked by unity, sustainability, and a profound positive impact on the planet. Building on what we have already achieved with Live Aid, our aspiration is to unite people from all walks of life in the shared mission of bettering our world.” Written plans for the events state they will “evolve from a traditional fundraising effort”, such as at Live Aid, where funds were raised for NGOs fighting famine in Ethiopia. Earth Aid Live intends to provoke wider climate action in its audiences, spanning “individual action, community engagement, corporate participation and intergovernmental collaboration”. Organisers will “strive” to have “net zero carbon” generated by the events, with “transparent carbon reporting”.

CLIMATE FINANCE

Reuters: Big Oil offers record returns to lure investors back
Ron Bousso, 2/7/24

“Big Oil firms are handing shareholders more money than ever and are promising more going forward in an attempt to reassure investors of their discipline and resilience in the face of an uncertain outlook for fossil fuels,” Reuters reports. “The top five Western oil and gas firms – BP, Chevron, Exxon Mobil, Shell and TotalEnergies – returned to shareholders over $111 billion in dividends and share repurchases in 2023, according to Reuters calculation. That was slightly higher than the $110 billion they returned in 2022, when the group’s profits soared to a record $196 billion after energy prices soared following Russia’s invasion of Ukraine. Net profits dropped sharply in 2023 to $123 billion. All five companies have reported results over the past week. “During a time of geopolitical turmoil and economic uncertainty, our objective remained unchanged: safely deliver higher returns and lower carbon,” Chevron CEO Mike Wirth told investors last Friday. Investors such as pension funds have traditionally held on to oil majors’ shares because of their steady, long-term dividends. But the rise of the tech sector, a sharp drop in oil majors’ performance last decade due to excessive spending and oil price volatility as well as the growing environmental concerns have led to a decline in interest in the sector… “But the messaging to investors on returns was largely identical in recent days – stick with us and we’ll pay you. “We’re very much focused on ensuring we have a compelling distribution to our shareholders,” Shell Chief Financial Officer Sinead Gorman told investors last week, vowing “complete predictability” over returns.

Private Equity Climate Risks: Researchers Unveil Searchable Database of Top Private Equity
2/7/24

“Private Equity Climate Risks is launching the Private Equity Energy Tracker, the first-of-its-kind, searchable portal that provides a catalog of the energy holdings of eight of the top North American private equity firms: KKR, The Carlyle Group (NGP), Brookfield (Oaktree Capital), The Blackstone Group, TPG Capital, Warburg Pincus, Apollo Global Management, and Ares Management. Collectively, they hold around $4.3 trillion in assets under management (AUM). The private equity industry has been quietly expanding into the energy sector for decades, while fighting efforts to allow investors and the public from accessing the true scope of their ownership and influence. The Private Equity Energy Tracker will allow investors, climate campaigners, community members, journalists, and academics to investigate the role the private equity industry is playing in the continued production and distribution of fossil fuels. “The Private Equity Energy Tracker finally does what private equity firms refuse to do themselves: disclose their energy portfolios to the public,” said Amanda Mendoza, senior campaign and research coordinator at the Private Equity Stakeholder Project (PESP). “Private equity firms consistently limit disclosure of the extent of their energy portfolios to their investors and to the public. We hope that pension funds and other investors finally have the tools to realize the frightening risks their capital faces when exposed to these private equity-owned fossil fuel companies. These top private equity firms intentionally want their fossil fuel investments to remain shrouded in secrecy, but with the new Energy Tracker, the hidden risks of PE’s dirty investments are showcased for the world to see.” The dataset reveals that during 2023 these major private equity firms were invested in at least 116 fossil fuel companies out of 184 energy companies overall, with Brookfield and The Carlyle Group owning the largest number of fossil fuel energy companies.”

Bloomberg: Pacific States Warn Insurers of Wildfire-Size Losses on Oil Risk
Eliyahu Kamisher and Maxwell Adler, 2/6/24

“US insurers face potential portfolio losses comparable in size to claims from catastrophic wildfires if they delay selling off investments tied to fossil fuels, according to a study by West Coast insurance regulators,” Bloomberg reports. “A swift worldwide transition toward renewable energy would hammer assets tied to oil and gas, coal, power and automobiles, and spur losses of $7 billion to $28 billion in insurers’ bond portfolios by 2026, according to the state insurance agencies of California, Oregon and Washington.”

KTVZ: Oregon Treasury releases plan to reach net zero carbon emissions in state pension fund by 2050
2/6/24

“On Tuesday, Treasurer Read presented to the Oregon Investment Council details regarding Treasury’s plan to transition the Oregon Public Employees Retirement Fund to a net zero carbon emissions portfolio by no later than 2050,” KTVZ reports. “…Specifically, Treasury will: Triple climate positive investments in Private Equity and Real Assets from the current $2 billion to $6 billion by 2035; Increase percentage of Public Equity holdings that are climate- or transition-aligned; Exclude new investments in private market funds that have a stated intention to invest primarily in fossil fuels; Increase the share of portfolio emissions covered by credible net zero transition plans. “The impacts of climate change are being felt across the globe, including in Oregon. Planning and acting now to address the investment risks – and opportunities – of the climate crisis is a critical next step in making sure the pension fund will produce strong returns far into the future,” Oregon State Treasurer, Tobias Read told KTVZ. “This plan is a strategic roadmap that positions the pension plan for the future, and allows Treasury to continue to deliver sustainable returns for Oregon’s hard working public employees.” Additionally, the plan lays out the importance of prioritizing efforts as a responsible investor and shareholder that will lead to real-world emissions reductions. Through increased shareholder engagement and investor partnerships, Treasury aims to encourage the companies it invests in to be net zero-aligned and adopt credible carbon-reduction plans.”

OPINION

South Dakota Searchlight: Oil pipeline experience proves need for caution with carbon pipelines
Peggy Hoogestraat, 2/7/24

“My husband and I take our corn to Poet near our home, and we purchase ethanol-blended gasoline. I don’t have millions of dollars to purchase large advertisements for my thoughts, but I would like to share just a small part of my experience with the Dakota Access Pipeline for crude oil that crosses my Minnehaha County property,” Peggy Hoogestraat writes for South Dakota Searchlight. “…However, in 2016, an oil pipeline was built on my property. I can no longer build on that land. Even if I wanted to build just off the easement area, I would not because of the threat of a leak. The oil company has already had to do a maintenance dig on my property only to find oil on the outside of the pipe before repairs were completed. The leaked oil remains in the ground. Please note that the oil company is taxed on the pipe in the ground but as the pipe depreciates, the tax gets less. Now I would like you to imagine this happening to property owners across the state if a carbon dioxide pipeline comes through… “And if your town is worthy, according to pipeline companies such as Dakota Access, you may get a new baseball stadium, which will only be a monument reminding the local folks of the damaged field drain tiles, livestock damages, soil issues, damaged roads, fear of a possible leak, affected physical and mental health, and so much more. Please also consider the amount of water and electricity that a carbon pipeline would require. As government officials make decisions for the taxpayers and citizens of their township, county and state, they should do their own homework. And remember that South Dakota is a great state to live in. Let’s keep it that way.”

Owensboro Times: Pipeline and compressor station a good boost if proper precautions taken
Carlin Gregory, 2/8/24

“I would like to comment on the matter of the pipeline and compressor station that has been proposed to carry natural gas generated by the landfill to a compressor station to inject the natural gas into the network for distribution. I was employed by a local natural gas transmission company for 31 years and the majority of my time there was spent in the corrosion control department,” Carlin Gregory writes for the Owensboro Times. “…A good engineer always allows for corrosion in their calculation on designing a pipeline. Almost all natural gas drilled for in the past contained zero oxygen. But this new technology, gas from landfills, does not have enough history to allow for accurate corrosion rates. My concern does not involve the laying of the pipeline or the compressor station but whether precautions have been taken to eliminate the water and oxygen and sulfur from the landfill to the station. Have the engineers gotten a copy of the gas analysis from the landfill? Have the engineers taken into account their design if these elements are present? Have they designed internal corrosion monitoring facilities to see if their precautions are effective? Yes, this is a good boost to the county if precautions are taken. The data and design considerations should be made public. Just to ensure the design of the facilities are in accordance to the detrimental effects of these gas.”

Ottawa Citizen: Enbridge is proud to help sponsor Winterlude — and many other events 
Brian Johnson, senior vice-president in Gas Distribution & Storage, Enbridge Gas, 2/724

“Re: Fossil-fuel companies shouldn’t be sponsoring events such as Winterlude, Feb. 3. Enbridge Gas is an active and caring partner in the communities that we serve across Ontario. Each year, we support events and organizations such as fire departments, youth programs and the United Way through donations, sponsorships and employee volunteerism,” Brian Johnson writes for the Ottawa Citizen. “We believe in giving back to the vibrant communities in which we live, work and operate. Last year alone, we contributed more than $4 million to causes that helped to strengthen those communities. That’s why we are happy to help sponsor Winterlude, as we have been doing for more than 20 years.”

Guardian: Joe Biden just did the rarest thing in US politics: he stood up to the oil industry
Bill McKibben is the founder of Third Act, which organizes Americans over 60 for progressive action and which worked this fall to persuade the administration to stop granting the LNG permits, 2/7/24

“Ten days ago Joe Biden did something remarkable, and almost without precedent – he actually said no to big oil,” Bill McKibben writes for the Guardian. “His administration halted the granting of new permits for building liquefied natural gas (LNG) export terminals, something Washington had been handing out like M&Ms on Halloween for nearly a decade. It’s a provisional “no” – Department of Energy experts will spend the coming months figuring out a new formula for granting the licenses that takes the latest science and economics into account – but you can tell what a big deal it is because of the howls of rage coming from the petroleum industry and its gaggle of politicians. And you can tell something else too: just how threadbare their arguments have become over time. Biden has called their bluff, and it’s beautiful to watch… “And so much is leaking that – when you combine those emissions with the carbon that still comes from burning gas – America’s total contribution to global warming has probably not gone down at all over the last two decades. Far from being a boon, natural gas has been a trap, one that the industry now wants to catch the rest of the globe in. What’s more – as new research this fall showed – when you put fracked gas on a boat and send it on a long ocean cruise, so much leaks out that it’s far worse than coal… “That won’t stop the industry from shouting. At this point, bypassed by new renewable technology, their only real hope is political gamesmanship. But it’s getting far easier for enlightened leaders to stand up to them. In December, in Dubai, the world signed a pledge to “transition away” from fossil fuels. Last month, in Washington, Joe Biden started to show that he meant it.”