EXTRACTED: Daily News Clips 3/27/24

PIPELINE NEWS

• Globe Gazette: Summit CEO addresses pipeline project in Mitchell County

• South Dakota Public Broadcasting: SD Supreme Court seeks further evidence from Summit Carbon Solutions

• Sioux Falls Argus Leader: South Dakota ethanol lobbying entered a ‘borderline,’ ‘gray’ area, critics say

• North Dakota Monitor: North Dakota Republicans tackle eminent domain issue for carbon pipelines

• Canadian Press: With completion in sight, what’s next for the Trans Mountain pipeline project?

• Reuters: Phillips 66 explores sale of pipeline stake worth over $1 billion, sources say

• Canadian Energy Centre: B.C. First Nation buying ‘ready-to-go’ natural gas pipeline to supply LNG project

• Press release: Enbridge to enter into JV connecting Permian Basin natural gas supply to growing LNG and USGC demand

WASHINGTON UPDATES

• Washington Post: The surprising reasons why Big Oil may not want a second Trump term

• Bloomberg: Biden EPA Sets Stage for Limits on Gas Power Plant Pollution

• Ohio Capital Journal: Energy regulator nominees face Senate committee

• Law360: High Court Won’t Review Texas Oil Spill Liability Fight

• Axios: Biden’s “hush-hush” oil boom

• Bloomberg: Biden’s First Public Land Oil And Gas Lease Sales Survive Suit 

• Common Dreams: Federal Court Rules Major Wyoming Oil and Gas Lease Sale Illegal for Ignoring Climate Impacts

STATE UPDATES

• Associated Press: Pennsylvania county joins other local governments in suing oil industry over climate change

• KTVF: Anniversary of Exxon Valdez oil spill

• Colorado Newsline: Colorado air quality bills call for summer fracking pause, ‘repeat violator’ crackdown

• KUNR: Oil And Gas Areas Of Mountain West Leak Up To Nine Times More Methane Than EPA Thinks

• Indiana Capital Chronicle: Mitchell cement plant selected for up to $500M in federal funds for new carbon reduction project

EXTRACTION

• E&E News: Exxon hydrogen CCS plant advances with power company deal

• Financial Times: A ‘critical year’ for the UK’s carbon capture ambitions

• Inside Climate News: When Natural Gas Prices Cool, Flares Burn in the Permian Basin

CLIMATE FINANCE

• DeSmog: Report: As Climate Crisis Expands, Canada Still Hands Billions to Fossil Fuel Industry

• Bloomberg: Banks Shying Away From Fossil Fuels Bolster Private Credit Deals

TODAY IN GREENWASHING

• The Mountain Press: Enbridge supports future Mountain Hope Good Shepherd Clinic location

OPINION

• Utility Dive: The SEC makes the call: Climate risk equals financial risk

• The Hill: The ’90s are over: 5 reasons to embrace carbon pricing today

PIPELINE NEWS

Globe Gazette: Summit CEO addresses pipeline project in Mitchell County
Jason Selby, 3/26/24

“A few weeks ago, a coalition of Mitchell County landowners visited a Mitchell County Board of Supervisors meeting, and one of their primary concerns was the safety of the pipeline. In 2020, in Satartia, Miss., a pipeline carrying compressed carbon dioxide ruptured, and opponents of the Iowa pipeline point to that incident as a warning sign,” the Globe Gazette reports. “Summit Carbon Solutions CEO Lee Blank met with members of the media on March 25 to address concerns raised by landowners impacted by the CO2 pipeline proposed to run through Mitchell County. Blank believes comparing the two pipelines is like comparing apples to oranges. He also described those opposing the pipeline as a loud minority. “I do understand the sentiment,” he told the Gazette. “It’s not that we don’t sympathize with it. But there’s 5,200 miles of CO2 pipelines in the U.S. today. All operate extremely safe. They’ve been operating for decades. You don’t hear a lot about them because they’re not in our region. Part of the reason we hear quite a bit about this particular system and this particular pipeline is it’s big (in miles).” “…The most likely consequence of the pipeline would be a scenario where someone hits it with a backhoe or a similar piece of equipment. Blank described that as a minor incident with little damage and no risk… “Blank described the Satartia rupture as a geological issue, which caused a guillotine break… “Blank added that Satartia was the only kind of CO2 pipeline event to endanger public safety in decades… “Blank told the Gazette he understands he is facing pushback from many landowners. There are even members on the Mitchell County Board of Supervisors who vocally oppose the proposed pipeline. When asked at what point does public opinion sway the decisions of Summit Carbon Solutions, Blank told the Gazette he believes Summit is already listening and acting upon feedback – it already has helped Blank navigate the installation plans of the pipeline… “Another concern voiced by those opposing the pipeline is that Summit would use more water when there is already a severe drought taking place in the region. “To be fair, there is an increased usage of water when you add our small capture facility that goes alongside the ethanol plant,” Blank told the Gazette. “But it’s a very small amount. The amount of additional water that will be used has been highly exaggerated in the press. It’s less than 10% of additional water. I understand the drought situation; it’s a hard situation for sure.” “…Opponents of the pipeline believe that Summit is overestimating or intentionally misleading the public about the overall economic benefit to communities.”

South Dakota Public Broadcasting: SD Supreme Court seeks further evidence from Summit Carbon Solutions
Evan Walton, 3/20/24

“The South Dakota Supreme Court wants to see more evidence before ruling on a case of landowner’s vs Summit Carbon Solutions,” South Dakota Public Broadcasting reports. “The court ultimately aims to determine if carbon is a commodity and if SCS is a common carrier. The case centers arounds the rights of private companies surveying private land. The crux of the issue is determining if carbon is a commodity. Brian Jorde is an attorney who represents South Dakota landowners. He argued that the lower court’s decision that SCS is a common carrier company goes against the state’s constitution. He hopes the higher court will review and agree. “It’s absolutely clear that SCS takes title as soon as the CO2 emits from the ethanol plant. They are transporting what they own. They are a private, for profit, carrier and they do not have the protections of 49.7.11,” Jorde told SDPB. Carbon ownership contracts were a factor in determining the carrier status of SCS… “The Supreme Court was provided with redacted, or edited, versions of the agreements. Janine Kern is a Supreme Court Justice. She requested that Summit Carbon Solutions provide the court with unredacted contracts… “Summit Carbon Solutions agreed to the ten-day window to provide the court with copies of unedited agreements.”

Sioux Falls Argus Leader: South Dakota ethanol lobbying entered a ‘borderline,’ ‘gray’ area, critics say
Dominik Dausch, 3/27/24

“Emails, petitions, phone calls, one-on-one conversations, rallies: These are all traditional ways South Dakotans engage lawmakers about hot-button issues affecting them. They often do it on their own time, on their own dime and in their personal capacity,” the Sioux Falls Argus Leader reports. “So, when a comprehensive bill that would open the door to Summit Carbon Solutions’ multi-billion-dollar carbon dioxide pipeline was about to head to the South Dakota House for its second of four floor debates before it was signed into law, the state’s major ethanol companies came out in force to support the bill.  During the month of February, busloads of people with ties to ethanol companies, well-organized and decked out in company swag, showed up at the Capitol’s doorstep with the primary purpose of earning “yeas” from lawmakers for Senate Bill 201, currently one of the most heated topics in the state.  An Argus Leader investigation has found these companies reimbursed — and, in one case, paid — employees and board members to lobby legislators in the days leading up to the vote on SB 201. The bill itself was an affair that saw a divided House grapple with the question of whether limiting a county’s ability to regulate carbon pipelines would be worth potential economic gain from Summit Carbon’s proposed pipeline… “Ethanol companies contend they were well within their rights for their lobbying efforts and their employees’ actions. But critics of SB 201 believe the lobbyist statutes, which lack clear definitions for “lobbyist” and other terms, allowed the ethanol companies’ employees undue access to lobby lawmakers in the final days leading up to the vote on the bill. Legislators have also questioned the ethical implications of the companies’ lobbying efforts. Their concern coincides with the revelation a CEO of one of those ethanol businesses sent a letter to a lawmaker, indicating their intent to “monitor” the lawmaker’s vote on pro- and anti-pipeline legislation and threatening to “become involved” in their upcoming campaign if they voted against their interests. “It should scare the daylights out of any South Dakotan who’s been watching the developments … that sort of one of the linchpins of our economy, the ethanol industry, is suddenly going to start … changing who’s in the legislature to benefit them,” Dakota Rural Action lobbyist Chase Jensen told the Argus Leader… “Among SB 201’s opponents, South Dakota landowners represent a portion of this group. They have formed groups, such as Landowners for Eminent Domain Reform, who have registered lobbyists… “The landowners advocating on our side of the issue are all there on their own time,” Fischbach told the Argus Leader. “There’s nobody providing them transportation. They’re coming on their own. Nobody’s giving them a shirt or a free meal or paying them to be there. It’s spontaneous.” 

North Dakota Monitor: North Dakota Republicans tackle eminent domain issue for carbon pipelines
Jeff Beach, 3/26/24

“The North Dakota Republican Party will vote on a resolution that backs the rights of landowners and objects to using eminent domain for carbon capture pipelines,” the North Dakota Monitor reports. “The resolution was one of several approved by a committee this month and targets a project that Gov. Doug Burgum and some Republicans have supported – the carbon capture and storage project from Summit Carbon Solutions… “State Sen. Jeff Magrum, R-Hazelton, told the Monitor he contributed much of the wording on the resolution that passed the Resolutions Committee. It was then approved by the State Committee. He told the Monitor he looks forward to a debate on the resolution at the Republican state convention April 5-6. “Is our party still the party of property rights?” Magrum told the Monitor… “The resolution says “Corporations within the energy sector are capitalizing on the false premise of a looming climate apocalypse by introducing CCS (carbon capture and storage) projects into North Dakota” and “eminent domain is being considered to acquire the necessary land for the pipeline.” “…The governor is part of North Dakota’s three-person Industrial Commission that recently approved state funds to promote carbon capture, utilization and storage. The resolution takes aim at that, too. It says the party opposes the use of state funds to educate the public on the benefits of carbon capture that are contrary to the interests of private property owners. Furthermore, the party “opposes the fascism of mutually beneficial partnerships between government and private energy corporations created under the pretext of climate change.” 

Canadian Press: With completion in sight, what’s next for the Trans Mountain pipeline project?
3/26/24

“After more than four years of construction and at least $34 billion in costs, the Trans Mountain pipeline expansion project is nearly complete. Here’s a look at what milestones to expect in the coming weeks as the massive pipeline gets ready to start shipping Canadian oil to the West Coast,” the Canadian Press reports. “Resolution of B.C. construction challenges: Crown corporation Trans Mountain Corp. has been dealing with construction-related challenges in the Fraser Valley between Hope and Chilliwack, where it encountered an “obstruction” when trying to pull the pipe into the horizontal hole that had been drilled for it. The setback forced the company to remove the pipe temporarily to address the issue, but Trans Mountain Corp. says it is nearing a resolution and expects to be able to re-install the pipe in that section within the next couple of weeks. Mechanical completion: This marks the final stage of physical construction of the pipeline… “Leave To Open: After construction is finished but before the pipeline can be put into service, there are several regulatory steps that must be completed… “Line fill: This term is used to describe the final stages of work required to prepare and ultimately fill the expanded pipeline system with more than four billion barrels of oil. The process will take several weeks to complete. While line fill has not yet started on the newly constructed pipe, part of the Trans Mountain expansion project involves reactivating two older pipeline segments that had been maintained in a deactivated state. Initial line fill has already begun in B.C. on that section of the project. In-service: This term refers to when the entire expanded pipeline system is fully operational and ready to make regular deliveries. According to a Bloomberg report, China’s Sinochem Group has purchased one of the first shipments, a 550,000-barrel cargo from Suncor Energy Inc., which will load from the Trans Mountain expansion pipeline in May-June. Trans Mountain is continuing to target an in-service date sometime in the second quarter of 2024.”

Reuters: Phillips 66 explores sale of pipeline stake worth over $1 billion, sources say
David French, 3/26/24

“U.S. oil refiner Phillips 66 is exploring a sale of its 25% stake in the Rockies Express Pipeline that it hopes could be worth more than $1 billion, including debt, people familiar with the matter said on Tuesday,” Reuters reports. “The Rockies Express Pipeline (REX) is a 1,700-mile (2730-km)interstate natural gas pipeline, stretching from Wyoming and Colorado in the U.S. West to Eastern Ohio. Phillips 66 is working with its advisers on talks with potential buyers, which include private equity firms and infrastructure funds, the sources told Reuters, requesting anonymity as the discussions are confidential… “Stakes in pipelines, such as REX, are attractive to financial investors as they like businesses with steady cash flow, the sources told Reuters, adding stakes in interstate pipelines are not marketed to buyers often.”

Canadian Energy Centre: B.C. First Nation buying ‘ready-to-go’ natural gas pipeline to supply LNG project
Will Gibson, 3/26/24

“Momentum continues building for Indigenous-led Canadian liquefied natural gas (LNG), with a second project securing a pipeline connection,” according to the Canadian Energy Centre. “The Nisga’a Nation, a small coastal community near B.C.’s border with Alaska, announced earlier this month it will purchase TC Energy’s Prince Rupert Gas Transmission project along with partner Western LNG. It’s a turning point for the proposed Ksi Lisims LNG project, particularly because the pipeline has all the permits it needs to go ahead, said market analyst Ian Archer. “Buying this asset, a permitted and ready-to-build natural gas pipeline, puts control in the hands of the project’s partners,” said Archer, S&P Global’s associate director for gas, power and climate solutions. “The Nisga’a Nation and Western LNG now have control over the timeline and development of their proposed development. It’s a great day for them and the LNG industry in B.C.” The purchase comes after years of uncertainty for the proposed 900-kilometre pipeline, which would run from Hudson’s Hope in northeast B.C. to Lelu Island, near Prince Rupert.   It was originally supposed to supply the $36-billion Pacific NorthWest LNG project, which was cancelled in 2017.  In 2014, the Nisga’a Nation signed an agreement for construction of the pipeline through its traditional lands. Today, Nisga’a president Eva Clayton says becoming an owner of the project ensures it will provide even greater benefits… “The momentum is building for Ksi Lisims – which also recently signed on Shell as a long-term LNG buyer and filed its regulatory application for an environmental certificate – hot on the heels of Cedar LNG, another Indigenous-led project on the B.C. coast. Cedar LNG, owned jointly by the Haisla Nation and Pembina Pipeline Corporation, has regulatory approval to proceed and is preparing for construction to start. A final investment decision is expected by the middle of this year. Cedar’s pipeline is already in the ground. It will be served by Coastal GasLink, a 670-kilometre pipeline from northeast B.C. to Kitimat that was completed late last year.”  

Press release: Enbridge to enter into JV connecting Permian Basin natural gas supply to growing LNG and USGC demand
3/26/24

“Enbridge Inc. announced today that it has entered into a definitive agreement with WhiteWater/I Squared Capital and MPLX LP to form a joint-venture that will develop, construct, own, and operate natural gas pipeline and storage assets connecting Permian Basin natural gas supply to growing LNG and U.S. Gulf Coast (“USGC”) demand. The joint venture will be owned by WhiteWater/I Squared (50.6%), MPLX (30.4%), and Enbridge (19.0%) and will include the following assets: 100% interest in Whistler pipeline, a ~450-mile, 42-inch intrastate pipeline transporting natural gas from an interconnect with the Waha Header in the Permian Basin to Agua Dulce, TX, near the starting point of the proposed Rio Bravo pipeline; 100% interest in the Rio Bravo pipeline project, ~137-miles of new 42-inch and 48-inch pipelines transporting natural gas from the Agua Dulce supply area to NextDecade’s Rio Grande LNG project in Brownsville, Texas; 70% interest in ADCC pipeline, a ~40-mile, 42-inch proposed intrastate pipeline designed to transport 1.7 Bcf/d of natural gas from the terminus of the Whistler pipeline in Agua Dulce, TX to Cheniere’s Corpus Christi LNG export facility (the pipeline is expected to be in-service in Q3 2024 and is expandable up to 2.5 Bcf/d) 50% interest in Waha Gas Storage, a ~2.0 Bcf gas storage cavern facility, with additional topside facilities capable of injection and withdrawal… “Upon closing of the transaction, Enbridge will contribute its wholly-owned Rio Bravo pipeline project and ~US$350MM in cash to the joint venture, and will fund the first ~US$150MM of the post-closing capex to complete the Rio Bravo pipeline project. Enbridge will receive a 19% equity interest in the joint venture and retain a 25% economic interest in the Rio Bravo pipeline project (subject to certain redemption rights of the joint venture partners).”

WASHINGTON UPDATES

Washington Post: The surprising reasons why Big Oil may not want a second Trump term
Maxine Joselow, 3/26/24

“As president, Donald Trump vowed to unleash American “energy dominance,” while on the campaign trail, he has summarized his energy policies with the slogan “drill, baby, drill,” the Washington Post reports. “Yet a possible Trump victory in the 2024 election is not delighting oil and gas executives as much as one might expect, according to interviews with several industry leaders at a recent energy conference in Houston… “In addition, Trump has championed an “America First” approach to trade policy that prioritizes steep tariffs on imported goods. The approach could hike the costs of building new pipelines and other energy infrastructure, and it could heighten anxieties about a global trade war… “If a poll were conducted among energy executives about the 2024 election, the results “would be a little more balanced than people might expect,” Alan Armstrong, president and CEO of the gas pipeline company Williams, said in an interview at CERAWeek by S&P Global… “Trump plans to gut the Inflation Reduction Act, including its generous tax credits for clean energy and electric vehicles, should he return to the White House, according to senior campaign officials and advisers to the former president. Yet several oil industry executives have praised the Inflation Reduction Act — the IRA for short — for helping their companies pursue still-unproven green technologies such as carbon capture and clean hydrogen. The subsidy for carbon capture has especially benefited ExxonMobil, CEO Darren Woods acknowledged at CERAWeek… “In that scenario, Mike Sommers, president and chief executive of the American Petroleum Institute, told the Post the trade group would aggressively lobby against any proposals to scrap green subsidies that have helped the industry… “Publicly, Trump has floated the idea of imposing a 10 percent tariff on every good coming into the United States… “Sommers told the Post such proposals, which are widely viewed as likely to spark a global trade war, carry “risks” for his sector.”

Bloomberg: Biden EPA Sets Stage for Limits on Gas Power Plant Pollution
Jennifer A. Dlouhy, 3/26/24

“The Biden administration’s plans to limit greenhouse gas emissions from the current US fleet of natural-gas fired power plants advanced Tuesday, as the EPA asked for public comment on the matter,” Bloomberg reports. “The goal is to “design a stronger, more durable approach to greenhouse gas regulation of the entire fleet of existing gas combustion turbines in the power sector,” EPA says in an online notice, adding it is “committed to expeditiously proposing this” and other elements of a “comprehensive approach” to regulating pollution at the sites. The agency poses questions on the best emission-reduction technologies for the sites, how to sub-categorize the diverse fleet and ways to provide for flexibility in complying with new limits, such as through emissions-trading. Public comment is being accepted through May 28, and a policy forum is slated for May 17.”

Ohio Capital Journal: Energy regulator nominees face Senate committee
ROBERT ZULLO , 3/26/24

“President Joe Biden’s three nominees to the Federal Energy Regulatory Commission faced questions from a U.S. Senate committee last week, with senators probing their views on fossil fuels and climate policy, the reliability of the nation’s electric grid and gas delivery system and how to handle the pressing need for new electric transmission lines, among other topics,” the Ohio Capital Journal reports. “…At least two of Biden’s nominees could be seen as an olive branch to Manchin. One is David Rosner, a Democrat and FERC energy industry analyst who was detailed to Manchin’s committee and was recommended for the commission seat by the senator last year, Politico’s E&E News reported… “The other is West Virginia Solicitor General Lindsay See, a Republican who led the state’s successful legal fight against the Environmental Protection Agency’s proposal to regulate greenhouse gas emissions from power plants that wound up before the U.S. Supreme Court. The third nominee, Judy Chang, a Democrat, is an energy economics and policy expert and adjunct lecturer and senior fellow at Harvard’s Kennedy School… “In response to repeated questions from multiple GOP senators about whether FERC is an economic or environmental regulator, the nominees agreed that is the former… “Sen. Bill Cassidy,  a Louisiana Republican, asked whether FERC has the authority to incorporate greenhouse gas emissions into its review of projects, a long-running debate at the agency. The nominees pledged to follow the law, though Rosner noted there are some courts that have decided the agency needs to consider certain emissions. “According to the Natural Gas Act, it does not specify greenhouse gas as a criteria for evaluating natural gas pipelines,” Chang said.

Law360: High Court Won’t Review Texas Oil Spill Liability Fight
Peter Mcguire, 3/245/24

“The U.S. Supreme Court on Monday refused to consider if a mixture of petroleum and chemicals is considered “oil” under federal law and rejected companies’ attempt to revive their suit against a storage terminal operator for polluting the Houston Ship Channel,” Law360 reports. 

Axios: Biden’s “hush-hush” oil boom
Javier E. David, 3/26/24

“The Biden administration’s environmental crowd-pleasing crusade against carbon emissions is obscuring a very inconvenient truth about U.S. energy policy: oil and gas production are way up,” Axios reports. “Why it matters: President Biden’s assertive environmental policy is helping to fortify his (vulnerable) left flank with restive environmental activists, and drawing pushback from critics. Still, it’s taking place against a backdrop of soaring fossil fuel production that’s made the U.S. a global leader on the energy market league tables… “The irony (or dichotomy?) is what led geopolitical analyst Ian Bremmer to call it a “hush-hush” oil boom, fueled by a shale bounty that’s made the world’s largest economy increasingly energy independent — a policy goal that was elusive for decades. By the numbers: U.S. crude output closed out 2023 at a record, topping 13 million barrels per day. And that figure only tells part of the story; S&P Global Insights noted in December that America is producing more oil than any other nation in history. In fact, total domestic liquids production is north of 21 million barrels per day, S&P estimates, with the non-crude and condensate portion churning out massive quantities of natural gas and biofuels. The other side: Republicans have bemoaned Biden’s environmentally-friendly approach, pushing back on everything from permitting policy for oil drilling, carbon emissions, and the controversial decision to pause liquefied natural gas exports.”

Bloomberg: Biden’s First Public Land Oil And Gas Lease Sales Survive Suit 
Bobby Magill, 3/25/24

“The Biden administration’s first oil and gas lease sales on federal lands were upheld Friday by a federal judge who said he found no legal fault with the 2022 auctions.” Bloomberg reports. “Judge Christopher R. Cooper of the US District Court for the District of Columbia allowed the lease sales to stand, denying the groups’ motion for summary judgment and granting the Interior Department’s cross-motion for summary judgment in the agency’s favor. The Bureau of Land Management in June 2022 auctioned 173 parcels for oil and gas drilling in seven states after a 2021 court order required the administration to lift its moratorium on leasing federal lands for oil and gas. President Joe Biden in 2021 ordered a ‘pause’ on leasing to allow the Interior Department to account for how oil and gas drilling contributes to climate change.”

Common Dreams: Federal Court Rules Major Wyoming Oil and Gas Lease Sale Illegal for Ignoring Climate Impacts
JULIA CONLEY, 3/25/24

“The U.S. Bureau of Land Management will have to reevaluate the wildlife and public health impacts of a major 2022 oil and gas lease sale in Wyoming after a federal judge ruled Friday that the agency had overlooked “what is widely regarded as the most pressing environmental threat facing the world today” when it moved forward with leasing 120,000 of federal land,” Common Dreams reports. “U.S. District Judge Christopher Cooper ruled in Washington, D.C. that the BLM did not halt the lease sale even after it acknowledged that oil and gas drilling on the federal lands could result in the same negative environmental and social impacts as the addition of hundreds of thousands of cars to U.S. roads each year. Moving forward with one of the Biden administration’s largest lease sales despite its likely environmental harm, said Cooper, was illegal under the National Environmental Policy Act and other laws… “The judge found BLM did not complete a sufficiently detailed review of drilling impacts on the greater sage grouse, and relied too heavily on outdated and overly broad analyses of oil and gas drilling in Wyoming… “The ruling “should be another wake up call for the Bureau of Land Management to at long last address the damage caused from federal oil and gas development,” said Alexandra Schluntz, senior associate attorney for Earthjustice. “It is time to make fossil fuel leasing on our public lands a thing of the past.”

STATE UPDATES

Associated Press: Pennsylvania county joins other local governments in suing oil industry over climate change
MICHAEL RUBINKAM, 3/26/24

“A large suburban Philadelphia county has joined dozens of other local governments around the country in suing the oil industry, asserting that major oil producers systematically deceived the public about their role in accelerating global warming,” the Associated Press reports. “Bucks County’s lawsuit against a half dozen oil companies blames the oil industry for more frequent and intense storms — including one last summer that killed seven people there — flooding, saltwater intrusion, extreme heat “and other devastating climate change impacts” from the burning of fossil fuels. The county wants oil producers to pay to mitigate the damage caused by climate change. “These companies have known since at least the 1950s that their ways of doing business were having calamitous effects on our planet, and rather than change what they were doing or raise the alarm, they lied to all of us,” Bucks County Commissioner Gene DiGirolamo said in a statement. “The taxpayers should not have to foot the bill for these companies and their greed.” Dozens of municipal governments in California, Colorado, Hawaii, Illinois, Maryland, New Jersey, New York, Oregon, South Carolina and Puerto Rico as well as eight states and Washington, D.C., have filed suit in recent years against oil and gas companies over their role in climate change, according to the Center for Climate Integrity. Residents and businesses “should not have to bear the costs of climate change alone,” the county argued in its suit, filed Monday in county court. It cited several extreme weather events in Bucks County, including a severe storm in July that dumped seven inches of rain in 45 minutes and caused a deadly flash flood. The suit named as defendants BP, Chevron, ConocoPhillips, ExxonMobil, Philips 66, Shell and the American Petroleum Institute, an industry group.”

KTVF: Anniversary of Exxon Valdez oil spill
Bethany Doudna, 3/215/24

“On March 24 of 1989, the supertanker Exxon Valdez struck the Bligh Reef in Prince William Sound. Over the next few days it spilled 10.8 million gallons of crude oil into Alaskan waters,” KTVF reports. “Sunday marked the 35th anniversary of the infamous Exxon Valdez oil spill. An environmental disaster that deeply impacted all of Alaska. “35 years later we still all remember that day,” recalled Homer resident, Robert Archibald. “Something that nobody thought would happen and that evening when word got out, it was a crushing experience for a lot of people and it’s still lingers affected the economy it affected people it affected wildlife that certainly affected the environment.” “…There’s still some species of fish that haven’t recovered,” Archibald told KTVF and added, “and there still, you can go out and dig a hole at some of the islands and still find lingering oil in the sub strata. So it’s still there.” “…Looking forward, it is a priority to make sure this kind of oil spill never happens in Alaskan waters again.”

Colorado Newsline: Colorado air quality bills call for summer fracking pause, ‘repeat violator’ crackdown
CHASE WOODRUFF, 3/25/24

“A pair of bills backed by Colorado Democrats aims to crack down on polluters to improve the state’s long-running air quality problem, but opposition from powerful business groups could force significant revisions as the proposals make their way through the Legislature,” Colorado Newsline reports. “Senate Bills 24-165 and 24-166 both had their origins in the Interim Committee on Ozone Air Quality, which was convened last year as a compromise measure after a group of Democratic lawmakers dramatically scaled back a previous proposal to more strictly regulate sources of pollution. For decades, a nine-county region in and around the Denver metro area has failed to meet federal health standards for ozone set by the Environmental Protection Agency under the Clean Air Act. Significant local contributors to the region’s ozone problem, which peaks in the summer months, include oil and gas operations, gas-powered vehicles, lawn equipment and other industrial sources… “Colorado’s oil and gas industry has decried SB-165 and a slate of other environmental legislation pending in the General Assembly this session. Kait Schwartz, director of the Colorado chapter of the American Petroleum Institute told Newsline the bill’s seasonal drilling pause would lead to decreased production… “The other bill heard during Wednesday’s 10-hour committee hearing, SB-166, aims to crack down on polluters who repeatedly violate air quality laws, including what it calls “high-priority repeat violators,” which would face much stiffer prescribed penalties. Though it’s not specifically singled out in the bill’s text, there’s little mystery about the polluter that would likely be atop that list of violators. “You should call this the anti-Suncor bill,” Edward Ingve, the owner of a small oil and gas company, told the committee in testimony opposing SB-166.”

KUNR: Oil And Gas Areas Of Mountain West Leak Up To Nine Times More Methane Than EPA Thinks
Kaleb Roedel, 3/25/24

“Researchers at Stanford University, Kairos Aerospace and Carbon Mapper analyzed methane emissions gathered from aerial surveys over six oil- and gas-producing regions in the U.S.,” KUNR reports. “That included areas of Colorado, Utah, New Mexico, California, Texas, and Pennsylvania. On average, about 3% of methane produced leaks into the air, which is three times higher than Environmental Protection Agency estimates. New Mexico’s Permian Basin had the highest methane emission rate at more than 9%. Utah’s Unita Basin had the second-highest rate at nearly 6%. On the other end of the spectrum was Colorado’s Denver Basin, which had an emission rate of 1%. Only the Pennsylvania portion of the Appalachian Basin had a lower rate (0.75%).”

Indiana Capital Chronicle: Mitchell cement plant selected for up to $500M in federal funds for new carbon reduction project
CASEY SMITH, 3/25/24

“A Mitchell-based cement plant was selected to receive up to $500 million in funding from the U.S. Department of Energy (DOE) for a major carbon reduction project, state and federal officials announced on Monday,” the Indiana Capital Chronicle reports. “Heidelberg Materials North America is expected to use the federal dollars to bring online a system to capture and store carbon underground at the plant site. The project aims to capture at least 95% of the carbon dioxide released by the cement plant, which will prevent 2 million tons of carbon dioxide from entering the atmosphere each year. The award is part of a larger, $6 billion announcement by the Biden administration to fund several commercial-scale decarbonization projects nationwide that will slash emissions from the industrial sector… “So, what does this investment here mean? … It means that in the carbon-constrained future, that this plant will continue to lead the way in the production of low- to no-carbon cement,” said David Crane, DOE’s Under Secretary for Infrastructure, speaking at the Heidelberg Materials plant Monday morning.”

EXTRACTION

E&E News: Exxon hydrogen CCS plant advances with power company deal
Carlos Anchondo, 3/26/24

“Japan’s largest power generation company announced Monday it has reached an agreement with Exxon Mobil to “jointly explore” the development of the oil major’s planned project in Texas to produce “blue” hydrogen with carbon capture,” E&E News reports. “The project envisions producing an estimated 900,000 metric tons of low-carbon hydrogen and more than 1 million metric tons of ammonia each year at a facility in Baytown, which is nearly 30 miles east of downtown Houston. Exxon unveiled plans for the hydrogen facility and carbon capture project two years ago, but the company hasn’t yet made a final investment decision on the proposal. That decision is “still subject to supportive government policy, necessary regulatory permits, stakeholder support and market conditions,” Exxon spokesperson Margot Ledet told E&E. Ledet declined to share a cost estimate for the project. Dan Ammann, president of Exxon Mobil’s Low Carbon Solutions, said in the news release that the agreement is an “important catalyst” in growing a hydrogen economy. Blue hydrogen envisions producing the fuel with natural gas and capturing the resulting emissions.”

Financial Times: A ‘critical year’ for the UK’s carbon capture ambitions
Rachel Millard, 3/26/24

“…Britain’s ambitions to capture and store a large chunk of its carbon dioxide emissions took a step forward last week, with the government granting planning permission to a 60.5km carbon dioxide pipeline,” the Financial Times reports. “If all goes to plan, Italian energy giant Eni’s proposed HyNet North West Co2 pipeline between Flintshire, north-east Wales, and Cheshire, north-west England, will gather emissions from planned hydrogen plants and other sites, and send them out towards depleted gasfields in Liverpool Bay. Claudio Descalzi, Eni’s chief executive, told FT the approval was a “significant step” towards setting up a British carbon capture industry, adding that Eni was working to decarbonise industrial activities “at a competitive cost and with a fast time to market”. The announcement was the latest sign of activity in the UK’s carbon capture plans. Earlier this month Net Zero Teesside Power said that it had picked contractors for its planned carbon capture-fitted power station being developed by BP and Equinor. Yet whether the nascent industry turns into reality rests on talks taking place behind the scenes, with a crucial few months ahead. The government has been in negotiations since March last year with developers of the first batch of projects it wants to get up and running. The complex process involves dozens of parties: ministers are trying to work out how pipeline and storage owners should set up and charge for the new service, and at the same time strike subsidy deals with emitters to help them bear the costs of fitting carbon capture equipment… “Meanwhile, the CCSA has been pushing the government to set out plans for more financial support beyond the £20bn already announced in March 2023, to give certainty to investors beyond the current batch of projects.” 

Inside Climate News: When Natural Gas Prices Cool, Flares Burn in the Permian Basin
Martha Pskowski, 3/26/24

“…Wilson documented widespread flaring, venting and other methane releases during a week in the Texas Permian Basin this month,” Inside Climate News reports. “Natural gas prices in the Permian Basin fell below zero during March. When natural gas prices are low, companies are more likely to vent or flare methane. Pipeline capacity to transport the gas out of the Permian Basin is currently limited, which can also result in more flaring. That’s bad news for efforts to fight climate change. Natural gas is mostly made up of methane and the Permian Basin is the single-largest source of methane emissions in the U.S. oil and gas industry. As a greenhouse gas, methane is about 80 times more potent at warming the atmosphere than carbon dioxide over a 20-year period.”

CLIMATE FINANCE

DeSmog: Report: As Climate Crisis Expands, Canada Still Hands Billions to Fossil Fuel Industry
Taylor Noakes, 3/27/24

“Last year was one of the worst on record for climate change-related disasters, yet Canada’s federal government spent $18.6 billion supporting the fossil fuel and petrochemical industry,” DeSmog reports. “A new report by the nonprofit Environmental Defence indicates that, despite record profits for the fossil fuel industry and Canadian claims to eliminate subsidies, the government of Justin Trudeau continues to spend massive quantities of public money supporting the primary cause of climate change. “As people across Canada faced a fossil fuel affordability crisis, and climate disasters continued to ravage the country and the world, the government of Canada continued providing financial support to an industry that we need to be winding down in order to avoid catastrophic levels of warming,” Julia Levin, associate director of National Climate at Environmental Defence told DeSmog… “The report identified specific subsidies including loan guarantees of $8 billion for the Trans Mountain Expansion pipeline (TMX), and $7.3 billion in public financing through Crown corporation Export Development Canada. The report also noted over $1.3 billion in subsidies for carbon capture and storage projects, and approximately $1.8 billion in tax breaks for the oil and gas and related sectors. The Trans Mountain project, controversially acquired by the Trudeau government early in 2018, would not have been possible without considerable direct federal government financial support. Initially estimated to cost $5.4 billion to complete, the most recent cost estimates are $34 billion. In addition to the added climate risk of a new pipeline exporting Canadian oil, with an anticipated drop in the global demand for oil, the project remains a substantial financial risk—one of the reasons Kinder Morgan abandoned it in the first place. The pipeline has been called a ‘global warming machine.’ Environmental Defence’s report further notes the oil and gas sectors’ cost to society — in terms of air pollution, climate change-related natural disasters, and/or extreme weather — is estimated at $52 billion for 2023 alone.”

Bloomberg: Banks Shying Away From Fossil Fuels Bolster Private Credit Deals
Natasha White, 3/25/24

“Private credit managers are doing significantly more fossil-fuel deals now than just a few years ago, as they step into a void left by banks exiting assets they worry pose too big a climate risk,” Bloomberg reports. “The value of private credit deals in the oil and gas industry topped $9 billion in the 24 months through 2023, up from $450 million arranged in the preceding two years, according to data provided by Preqin, an analytics company that tracks the alternative investment industry. That’s based on the limited pool of deals reported publicly or disclosed directly to Preqin.”

TODAY IN GREENWASHING

The Mountain Press: Enbridge supports future Mountain Hope Good Shepherd Clinic location
3/26/24

“Enbridge, a prominent energy transportation and distribution provider, has announced a significant contribution of $10,000 to Mountain Hope Good Shepherd Clinic in support of their ongoing efforts to construct a new clinic facility in Gatlinburg,” The Mountain Press reports. 

OPINION

Utility Dive: The SEC makes the call: Climate risk equals financial risk
Bob Hinkle is founder and executive chairman of Metrus Energy, 3/26/24

“As the cost and risks of climate change continue to mount — global insurance losses from natural disasters have exceeded $100 billion for the last four consecutive years — it is clear that climate and financing are inexorably linked. The SEC’s recent adoption of its climate disclosure rule by a 3-2 vote earlier this month underscores this reality,” Bob Hinkle writes for Utility Dive. “The final rule puts a regulatory stake in the ground by requiring companies to disclose their material greenhouse gas emissions, detail climate-related risks, and report on plans to mitigate those risks. This new rule should be viewed as the seismic event that it is: the SEC — which oversees the $100 trillion capital market system in the U.S. — has determined that investors need consistent, comparable and reliable information about the impact of climate risks to make investment decisions… “After reviewing over 24,000 comment letters and the onslaught of likely legal challenges to the rule, the SEC dropped the requirement to have companies report scope 3 emissions. Far and away, the inclusion of scope 3 emissions was the most contentious issue in the SEC’s original proposal. The removal is significant since scope 3 emissions can account for as much as 70% of the average corporate value (supply) chain’s total emissions. This decision also puts the SEC out of sync with other reporting directives and regulations like Europe’s Corporate Sustainability Reporting Directive, or CSRD, the International Sustainability Standards Board, or ISSB, and the State of California, which all require the disclosure of scope 3 emissions. Even if there is not full alignment or cohesion between the CSRD, ISSB and the new SEC rule, mandated reporting on the disclosure of climate risks is being woven together, stitch by stitch, which strengthens the global reach of these efforts. When the SEC’s rule is paired with other climate reporting directives — in particular, CSRD and ISSB — the shift within the financial landscape will be monumental… “The SEC ruling is a start that gets us further than we are right now and this forward, global regulatory momentum signals that there is no going back. And that is a good thing.”

The Hill: The ’90s are over: 5 reasons to embrace carbon pricing today
Kimberly Clausing is the Eric M. Zolt Professor of Tax Law and Policy at UCLA School of Law; Catherine Wolfram is the William F. Pounds Professor of Energy Economics at the MIT Sloan School of Management, 3/26/24

“Trends from the 1990s have made a resurgence in today’s fashion and pop culture. But one unfortunate development from the 1990s stayed with us all along; that of politicians fearing they’ll be “BTUed,” a play on President Bill Clinton’s proposed 1993 “BTU tax,” which was a close cousin to a price on carbon emissions,” Kimberly Clausing and Eric M. Zolt write for The Hill. “Democrats in the House voted — some reluctantly — for the tax, which the Senate soundly defeated. Many House Democrats who lost their seat in the 1994 midterms blamed it on their vote for the BTU tax. This political lesson still resonates; just last week 10 Democrats vulnerable to losing seats in November chose to join Republicans in voting “no” on a carbon tax measure. This political lesson still resonates; avoid forcing congressional votes on divisive issues destined to fail. But the entrenched view that the United States will never support a carbon price is misguided. Here are five key reasons why now is the time for U.S. politicians to embrace it… “The Inflation Reduction Act has paved the way for carbon pricing adoption in the United States. Its investments in clean energy infrastructure and capacity will keep energy bills down, even with a carbon fee, allowing households to substitute clean energy for dirty energy… “Through the Inflation Reduction Act and other government actions, we are investing heartily in removing carbon. This makes sense, but it’s folly to spend a lot of money removing carbon from the atmosphere while emitting carbon costs nothing… “2025 will be a big year for Congress to tackle longstanding fiscal issues and further climate policy efforts. Before this can happen, politicians need to hear timely arguments backed by up-to-date evidence to stifle any fear of being “BTUed” in the present.”