EXTRACTED: Daily News Clips 4/15/24

PIPELINE NEWS

• Bloomberg: America’s Corn Belt Bristles at $8 Billion Lifeline

• Ward 6 Firefighters: Ward 6 Firefighters have had a busy afternoon 

• The Fence Post: NeFU supports historic ‘Community Benefits Agreement’

• Pipeline Technology Journal: UK Gov. Approves Pipeline to Capture and Store Industrial CO2 Offshore

• E&E News: Tribes push Michigan court to overturn oil pipeline permit

• Soo Leader: Sierra Club Canada supports challenge to Enbridge’s Line 5 Pipeline

• WPLN: ‘Misleading’: EPA lambasts TVA analysis for Kingston methane project

• Bloomberg: Pipeline Company Seeks Win After $70 Million Deal in Spill Row

• Midland Reporter-Telegram: Double E Pipeline announces open season

• Federalist Society: Jurisdiction Stripping: Fact & Fiction Flowing Through the Mountain Valley Pipeline Case

WASHINGTON UPDATES

• Associated Press: Environmentalists protest as Biden administration approves huge oil export terminal off Texas coast

• New York Times: Biden Administration Raises Costs to Drill and Mine on Public Lands

• E&E News: Why Interior could get stuck with the tab for cleaning up oil platforms

STATE UPDATES

• E&E News: Louisiana sued over LNG project permits

• Chicago Sun Times: Chicago climate lawsuit against Big Oil moved to federal court — for now

• Star Tribune: Xcel, UND say Midwest hydrogen ‘hub’ at risk from tax credit rules

• Chicago Tribune: US Steel’s Gary Works participating in carbon capture project

• Reuters: Texas earthquake could further restrict oil companies’ saltwater disposal options

• West Side Rag: Oil Leak From UWS Con Ed Steam Plant Reaches Hudson River

CLIMATE FINANCE

• Asian Business Review: Credit agencies set new green standards for oil and gas companies

OPINION

• Globe Gazette: CO2 pipeline not worth big-picture cost

• Bloomberg: Rethink Carbon Capture’s Role in Tax Policy

• Taxpayers for Common Sense: Carbon Capture and Storage (CCS)

• Future Hope: Take That, Joe Manchin

• NOLA.com: In Cameron Parish, we love the environment and LNG

• Michigan Daily: Keep Michigan pure and shut down Line 5
  

PIPELINE NEWS

Bloomberg: America’s Corn Belt Bristles at $8 Billion Lifeline
Kim Chipman, 4/13/24

“When executives in 2021 announced plans to build the largest carbon capture-and-storage project in the world beneath the heart of the US grain belt, they thought the pitch was a compelling one,” Bloomberg reports. “…It hasn’t gone as planned. After regulator pushback and vocal opposition from farmers who don’t want to be anywhere near a project they claim tramples on landowner rights, Summit Carbon Solutions has gone back to the drawing board to revise the pipeline’s path 6,300 times. The project’s expected start has been delayed until early 2026, two years later than initial projections, with the estimated cost nearly doubling to about $8 billion… “If needed, it could move ahead without Nebraska and Minnesota, Summit told Bloomberg, but approvals from North Dakota, South Dakota and Iowa are all necessary to keep the project alive. Regulators in Iowa and North Dakota are deliberating the project’s fate now, with Iowa — the country’s top corn state — expected to release its permit decision any day now. Even if they all give the green light, the company must then raise billions of dollars and add an additional 500 miles to the pipeline’s proposed route to accommodate new customers — an expensive undertaking since the company says costs have gone up about 30% in the years that it has been trying to get the project off the ground. And that’s only if it can fend off opposition from the very group the project pledges to benefit: the US corn farmer… “But some corn farmers who are usually quite supportive of the ethanol industry aren’t convinced the company’s solution is the right one, especially after its initial approach toward landowners was viewed by some as too adversarial, or even bullying… “Farmer Carol Kapperman and her husband in South Dakota’s Minnehaha County are among those who don’t welcome the planned pipeline… “The price offered is nowhere near the value of our land and kind of a slap in the face,” she told Bloomberg. “But I don’t care if they offer a million dollars — I don’t want it.” Joy Hohn, a neighbor of Kapperman who also grows corn, has been against the pipeline from the start, citing safety worries. The heavy-handed push by Summit didn’t help. “We definitely support ethanol, but this has made us start to think maybe we don’t want to continue to do so if the industry backs these types of projects,” Hohn, a Republican, who says the fight against Summit has motivated her to run for a position in the state Senate, told Bloomberg. “There are other ways to get these lower carbon intensity scores instead of putting a hazardous pipeline underground against the will of landowners.” 

Ward 6 Firefighters: Ward 6 Firefighters have had a busy afternoon 
4/3/24

“…At 6:05 pm Ward 6 was dispatched to the 300 blk of Bankens Road to investigate a possible leak at a pipeline pumping station. Upon arrival a high pressure leak of Carbon Dioxide was discovered at the pumping station. The pipeline owner was notified and firefighters closed Bankens Rd,” according to Ward 6 Firefighters. “…Calcasieu OHSEP was notified and a command requested a shelter in place for 1/4 mile in all directions around the site. La. State Police Haz Mat and LA DEQ were also notified of the incident. HOUSTON RIVER FIRE DEPARTMENT was requested with an Engine company and manpower. Pipeline representatives arrived on scene at approx. 7:40pm. A Pipeline crew utilizing SCBAs entered the area to recon the leak at 8:20pm. A team of Firefighters was staged as the rapid intervention crew. Crews were able to secure the leak and exited the hazard area at 8:29pm. Continuous air monitoring was conducted throughout the incident and the shelter in place was lofted at 9:15pm when all reading were showing normal. All emergency response crews cleared the incident scene at approx 9:30pm.”

The Fence Post: NeFU supports historic ‘Community Benefits Agreement’
4/12/24

“The Nebraska Farmers Union board of directors announced they voted to support an historic “Community Benefits Agreement” between Bold Nebraska and Trailblazer CO2 Pipeline, LLC,” The Fence Post reports. “…NeFU’s board of directors applauds the groundbreaking efforts of both Bold Nebraska and Trailblazer CO2 Pipeline for coming to the table, negotiating in good faith, and developing an innovative approach that provides substantial new benefits to landowners, first responders and communities impacted by the pipeline,” said NeFU President John Hansen. “Hopefully, this Community Benefits Agreement will substantially raise the bar for all carbon pipeline companies.” NeFU believes the Nebraska Legislature and the Public Service Commission have both failed to properly address the new additional health risks posed by carbon pipelines… “Hansen and Jantzen noted the NeFU board appreciated Trailblazer’s willingness to accept the management responsibilities if there is a leak or incident. Hansen said, “This Community Benefits Agreement provides a more clear and transparent process for the use of eminent domain than currently exists. Hopefully, this process should reduce the threat of the use of eminent domain authority as a way to leverage landowners into signing easements, and also reduce the overall use of eminent domain… “Jantzen said, “Thanks to this Community Benefits Agreement, there will be substantial amounts of additional financial support for the purchase of first responder equipment and training, community foundations and income for landowners. The process for the use of eminent domain is improved. Bold Nebraska and Trailblazer Pipeline deserve credit for raising the bar for carbon pipelines, and bringing new additional financial resources to the table.”

Pipeline Technology Journal: UK Gov. Approves Pipeline to Capture and Store Industrial CO2 Offshore
4/15/24

“The UK government has approved plans for a 60-kilometer pipeline that will capture industrial carbon dioxide (CO2) emissions and store them offshore in depleted gas reservoirs,” Pipeline Technology Journal reports. “The pipeline will collect CO2 from industrial plants in Ince and Stanlow, Cheshire, and transport it to the Point of Ayr terminal at Talacre, Flintshire. There, the CO2 will be injected into underground storage owned by Italian energy company Eni. The project will utilize both new construction and repurposed natural gas pipelines. Approximately 36.4 kilometers will be newly built, with a significant portion (32 kilometers) running between Stanlow and Flint.  The Point of Ayr terminal, which currently processes natural gas from the Liverpool Bay, will be repurposed to handle CO2 instead. The scheme is expected to capture and store around 4.5 million metric tonnes of CO2 annually, with the potential to reach 10 million tonnes per year by 2030.”

E&E News: Tribes push Michigan court to overturn oil pipeline permit
Carlos Anchondo, 4/15/24

“Four Great Lakes tribes are urging a Michigan court to overturn a state permit that allows Enbridge to build a pipeline tunnel under the Straits of Mackinac,” E&E News reports. “In a brief filed last week in the Michigan Court of Appeals, the tribes assert that state regulators blocked the submission of key evidence on the future spill risk of the Line 5 oil pipeline. They ask the court to reverse the Michigan Public Service Commission’s (MPSC) December decision, which granted Enbridge’s request to replace two existing pipeline segments with a larger pipeline housed in a concrete tunnel under the waterway that divides lakes Michigan and Huron. Under the order, Enbridge must first obtain the “required governmental permits and approvals,” including from the Army Corps of Engineers, and submit a risk management plan to the state. The filing comes nearly four months after the tribes announced their plans to appeal the commission’s decision. Earthjustice and the Native American Rights Fund filed the brief on behalf of four tribal nations: the Bay Mills Indian Community, Little Traverse Bay Bands of Odawa Indians, Grand Traverse Band of Ottawa and Chippewa Indians, and Nottawaseppi Huron Band of the Potawatomi.”

Soo Leader: Sierra Club Canada supports challenge to Enbridge’s Line 5 Pipeline
4/12/24

“Sierra Club Canada stands in solidarity with the Bad River Band’s challenge to Enbridge’s Line 5 pipeline in the wake of news that the US Department of Justice (DOJ) has weighed in on a legal challenge brought by the Wisconsin-based Tribal Nation against Enbridge, a Canadian corporation,” the Soo Leader reports. “Enbridge’s dangerous and outdated Line 5 oil pipeline has been trespassing on the reservation of the Bad River Band of Lake Superior Chippewa for more than a decade. “The Sierra Club Canada Ontario Chapter stands in solidarity with Bad River Band as they lead the fight to defend their home. Their actions reverberate into the future, and embolden us to care for the Great Lakes as a cross-border and international initiative,” says Jessica Murray, Sierra Club Canada Ontario Director. “If the Government of Canada thinks Canadians will not join the fight for the largest freshwater body on the planet, at the heart of Turtle Island, they are sorely mistaken. The triple win for the planet, the people, and the economy is to retract and decommission both the pipeline and the use of the 1977 Treaty.”

WPLN: ‘Misleading’: EPA lambasts TVA analysis for Kingston methane project
CAROLINE EGGERS, 4/11/24

“The Tennessee Valley Authority announced last Tuesday that it intends to build a methane gas plant in Kingston, requiring a 122-mile pipeline in six counties between Nashville and Knoxville,” WPLN reports. “The decision comes just a week after the Environmental Protection Agency warned TVA that the environmental review for the project was inadequate — and that their concerns about costs and climate are “substantial.” “TVA is considering those Environmental Protection Agency comments and will address them as appropriate as TVA continues its decision-making process,” TVA spokesperson Scott Brooks said in an emailed statement on April 1, the day before TVA issued the decision… “Last week, EPA suggested in a letter that the environmental review was not complete. The agency requested that TVA prepare an additional environmental review to address “the lack of transparency.” “Their decision is therefore going to be legally vulnerable,” Amanda Garcia, senior attorney at the Southern Environmental Law Center, told WPLN. “I have never seen an EPA letter so strongly criticizing one of TVA’s projects.” “…Lawmakers and officials have criticized the Kingston project. At least 10 members of Congress have publicly spoken out against TVA’s gas plans. Last month, Rep. Steve Cohen, D-Memphis, and Sen. Edward J. Markey, D-Mass., sent a letter to TVA that echoed EPA’s critiques.”

Bloomberg: Pipeline Company Seeks Win After $70 Million Deal in Spill Row
Shayna Greene, 4/12/24

“California property owners affected by an oil spill from 2015 are facing mixed realities from pipeline companies involved in the incident after part of the case was settled for $70 million,” Bloomberg reports. “The owners said that a crude oil pipeline built in the late 1980s wasn’t properly maintained, resulting in hundreds of thousands of gallons of oil being released onto their properties, public recreation areas and beaches, and into the Pacific Ocean. Defendants Plains All American Pipeline LP and its subsidiary Plains Pipeline LP on Thursday asked a federal court for a quick win on several claims stemming from the spill.”

Midland Reporter-Telegram: Double E Pipeline announces open season
Mella McEwen, 4/13/24

“Unsubscribed capacity has prompted Double E Pipeline to launch a non-binding open season for firm transportation on its system,” according to the Midland Reporter-Telegram. “The open season will end April 29. Double E officials tell the Reporter-Telegram there is currently 500 million cubic feet per day of unsubscribed capacity. That excludes any additional capacity that will be created through a centralized compression project. The company has not undertaken any expansion projects.”

Federalist Society: Jurisdiction Stripping: Fact & Fiction Flowing Through the Mountain Valley Pipeline Case
4/15/24

“Generally, when Congress strips courts of jurisdiction, it does so by implementing broad, forward-looking, statutory bars that insulate agency decisions or foreclose appeal. In response to the protracted litigation surrounding construction and operation of the Mountain Valley Pipeline, Congress passed a unique statutory provision which (1) granted all required approvals for the pipeline to proceed and (2) stripped every court’s jurisdiction to review the pipeline’s permit approvals,” according to the Federalist Society. “Simultaneously, the amendment granted the United States Court of Appeals for the D.C. Circuit exclusive jurisdiction over all constitutional challenges to the jurisdiction stripping provision. The case-specific impact of this legislation prompted much public concern and Supreme Court review. Petitioners unsuccessfully argued that Congress exceeded its constitutional authority by intervening to effect a specific outcome in a specific case Respondents prevailed on the counterargument that Congress merely made new underlying law without directing any decision of an Article III court. In this panel, academic commentators and amici from the case will discuss the careful distinctions between amendments to substantive law and case-specific jurisdiction stripping, sharing insights on the separation-of-powers questions both behaviors raise.”

WASHINGTON UPDATES

Associated Press: Environmentalists protest as Biden administration approves huge oil export terminal off Texas coast
4/11/24

“In a move that environmentalists called a betrayal, the Biden administration has approved construction of a deepwater oil export terminal off the Texas coast that would be the largest of its kind in the United States,” the Associated Press reports. “The Sea Port Oil Terminal being developed off Freeport, Texas, will be able to load two supertankers at once, with an export capacity of 2 million barrels of crude oil per day. The $1.8 billion project by Houston-based Enterprise Products Partners received a deepwater port license from the Department of Transportation’s Maritime Administration this week, the final step in a five-year federal review. Environmentalists denounced the license approval, saying it contradicted President Joe Biden’s climate agenda and would lead to “disastrous” planet-warming greenhouse gas emissions, equivalent to nearly 90 coal-fired power plants. The action could jeopardize Biden’s support from environmental allies and young voters already disenchanted by the Democratic administration’s approval last year of the massive Willow oil project in Alaska. “Nothing about this project is in alignment with President Biden’s climate and environmental justice goals,” Kelsey Crane, senior policy advocate at Earthworks, an environmental group that has long opposed the export terminal, told AP.  “The communities that will be impacted by (the oil terminal) have once again been ignored and will be forced to live with the threat of more oil spills, explosions and pollution,” Crane told AP. “The best way to protect the public and the climate from the harms of oil is to keep it in the ground.” “…The Biden administration must stop flip-flopping on fossil fuels,” Cassidy DiPaola of Fossil Free Media, a nonprofit group that opposes the use of fossil fuels such as oil, coal and natural gas, told AP. “Approving the Sea Port Oil Terminal after pausing LNG exports is not just bad news for our climate, it’s incoherent politics,” DiPaola told AP. Biden “can’t claim to be a climate leader one day and then turn around and grant a massive handout to the oil industry the next. It’s time for President Biden to listen to the overwhelming majority of voters who want to see a shift away from fossil fuels, not a doubling down on dirty and deadly energy projects.” “…The license approval followed a ruling by the Fifth Circuit Court of Appeals last week dismissing claims by environmental groups that federal agencies had failed to uphold federal environmental laws in their review of the project.”

New York Times: Biden Administration Raises Costs to Drill and Mine on Public Lands
Coral Davenport, 4/12/24

“The Biden administration on Friday made it more expensive for fossil fuel companies to pull oil, gas and coal from public lands, raising royalty rates for the first time in 100 years in a bid to end bargain basement fees enjoyed by one of the country’s most profitable industries,” the New York Times reports. “The government also increased more than tenfold the amount of the bonds that companies must secure before they start drilling. The new rules are among a series of environmental regulations that are being pushed out as President Biden, in the last year of his term in the White House, seeks to cement policies designed to protect public lands, lower fossil fuel emissions and expand renewable energy. While the oil and gas industry is strongly opposed to higher rates, the increase is not expected to significantly discourage drilling. The federal rate had been much lower than what many states and private landowners charge for drilling leases on state or private property. “These are the most significant reforms to the federal oil and gas leasing program in decades, and they will cut wasteful speculation, increase returns for the public, and protect taxpayers from being saddled with the costs of environmental cleanups,” Interior Secretary Deb Haaland said. The government estimates that the new rules, which would also raise various other rates and fees for drilling on public lands, would increase costs for fossil fuel companies by about $1.5 billion between now and 2032. After that, the minimum royalty rate could increase again. About half of that money would go to states, approximately a third would be used to fund water projects in the West, and the rest would be split between the Treasury Department and Interior.”

E&E News: Why Interior could get stuck with the tab for cleaning up oil platforms
Heather Richards, 4/12/24

“Two hulking platforms have sucked oil out of the ocean floor off this sunny local beach for nearly five decades. The Hogan and Houchin platforms are now rusting monuments to California’s once-powerful fossil fuel industry. Abandoned by their last owner, they should have been torn down years ago,” E&E News reports. “But a series of companies tied to the platforms say it’s not their job — and now, they want the federal government to take on the multimillion-dollar responsibility… “Interior could soon find itself on the hook for the millions of dollars required to safely remove the two California platforms. That’s because the companies that once owned a stake in Hogan and Houchin — ConocoPhillips, Occidental Petroleum and Devon Energy — are appealing an order to take the platforms down, testing a federal regulation that requires former owners to ensure cleanup. The stakes are high for Interior. Experts tell E&E its rule may not withstand opposition if oil majors take it to court, with uncertain consequences for a potentially enormous backlog of oil and gas wells, platforms and pipelines that are past their prime and owned by midsize companies more likely to go into financial distress… “Without proper decommissioning, we can’t really move away from our dependency on fossil fuels,” Ava Ibanez Amador, an attorney with Earthjustice, told E&E. “We are just advocating for the government to actually enforce what it’s supposed to enforce and to create stronger regulations so that we can protect our oceans.”

STATE UPDATES

E&E News: Louisiana sued over LNG project permits
NIINA H. FARAH, CARLOS ANCHONDO, 4/12/24

“Community and environmental groups are suing Louisiana to block approvals for a massive liquefied natural gas export project,” E&E News reports. “In a petition filed Thursday in state court, Healthy Gulf and other groups claimed the Louisiana Department of Energy and Natural Resources violated its “constitutional, statutory and regulatory duties” when it approved coastal use permits for the Calcasieu Pass 2 LNG project, or CP2, as well as a more than 80-mile gas pipeline associated with the facility. The groups asked the court to toss out approvals for the CP2 proposal, which would export 20 million metric tons of gas overseas per year from Cameron Parish in Southwest Louisiana. The region “is home to some of Louisiana’s most important coastal resources, like protective wetlands and chenier habitats, and it is already saturated with oil and gas development,” said Elizabeth Calderon, a senior attorney at Earthjustice representing CP2’s challengers. Louisiana DNR’s Office of Coastal Management issued the approvals last month without considering the environmental effects on Cameron Parish or the Bayou State’s coastal zone, the groups alleged in two nearly identical court filings.”

Chicago Sun Times: Chicago climate lawsuit against Big Oil moved to federal court — for now
Brett Chase, 4/11/24

“A City Hall lawsuit blaming five oil industry giants for climate change damage and then covering it up has been moved from state to federal court at the request of the companies,” the Chicago Sun Times reports. “…A legal expert, however, believes the case will land back in Cook County Circuit Court where it was initially filed. The reason: Chicago’s lawsuit against five of the world’s largest oil and gas companies follows a pattern of similar complaints filed by other U.S. cities. In each of those cases, the companies argue that the case must be heard in federal rather than state courts but, on appeal, they have all been moved back to the local venues. “This is dead on arrival in federal court,” Pat Parenteau, professor of law emeritus at Vermont Law and Graduate School who has tracked the climate lawsuits against Big Oil, told the Sun Times. The city is in for a long, hard-fought battle with the deep-pocketed companies, Parenteau added. It’s unclear whether any of these cases will be successful, especially facing such large, powerful global corporations, but lawyers representing cities have pointed to the success states had suing tobacco companies in the 1990s over claims that the companies lied about the health threats from smoking cigarettes.”

Star Tribune: Xcel, UND say Midwest hydrogen ‘hub’ at risk from tax credit rules
Walker Orenstein, 4/11/24

“Xcel Energy might have to scale back or cancel plans for a major hydrogen production hub in Minnesota if preliminary rules for a federal tax credit don’t change,” the Star Tribune reports. “That stance has put the Minneapolis-based company at odds with some environmental groups who have defended parts of the regulations as critical to avoiding carbon emissions. One major point of contention is whether Xcel could qualify for the credits by tapping into unused wind power and one of its two Minnesota nuclear plants to create carbon-free hydrogen, which are central to company plans. “This proposal would significantly impair the development of a hydrogen economy,” Xcel wrote in a late February letter to the U.S. Treasury Department… “But Xcel and other Heartland Hub organizers were among a wave of industry voices who said the potential limits on the separate 10-year tax credits from the 2022 Inflation Reduction Act could be a deal breaker because the grant money alone would not be enough to make its hydrogen projects competitive, Xcel said. Charles Gorecki, CEO of a University of North Dakota environmental center leading the initiative, said in a letter to the Treasury that its rules would “significantly limit, if not outright preclude,” the production of hydrogen, forcing partners to re-evaluate their commitment to the Heartland Hub and undermine the purpose of the tax credit… “The Sierra Club and Earthjustice argue when energy companies detail carbon-free power to produce hydrogen, it could drive a need for fossil fuels to fill in the gap for electricity.”

Chicago Tribune: US Steel’s Gary Works participating in carbon capture project
TIM ZORN, 4/14/24

“U.S. Steel and a Texas company recently announced an innovative project to cut up to 50,000 tons a year of planet-warming carbon dioxide from U.S. Steel’s Gary Works plant,” the Chicago Tribune reports. “The project will be the first commercial-scale carbon capture utilization plant at a steel plant in North America,” a news release from the companies said. Two environmentalists familiar with the Gary plant are skeptical about the project’s benefit, however… “We want to know more about it,” Dorreen Carey, president of Gary Advocates for Responsible Development, told the Tribune. “What is their plan? We’d love to hear them make a presentation on what they’re going to do.” She added: “If this is just a plan for continuing to use coal over time, that’s not really getting us to a point where they’re not using fossil fuels. U.S. Steel needs to upgrade and modernize their operations to reduce their carbon and other emissions.” “…We’re very skeptical of this project being able to meaningfully reduce the carbon impact of this steel mill,” Ben Inskeep, program director of Indianapolis-based Citizens Action Coalition, told the Tribune. “We’re really concerned this means that they’re sort of locking in decades of more pollution. Even if the technology works great and works according to plan, it’s not going to reduce the other types of pollution coming from this plant.”

Reuters: Texas earthquake could further restrict oil companies’ saltwater disposal options
Georgina Mccartney, 4/12/24

“A 4.4 magnitude earthquake that shook the largest U.S. shale field on Wednesday could lead to further restrictions on how operators there can dispose of saltwater associated with their oil and gas production, analysts told Reuters. The quake was the largest yet in the Stanton Seismic Response Area (SRA), a swath of the Permian basin near Midland, Texas, where regulators were already monitoring seismic activity linked to disposal of saltwater, a natural byproduct of oil and gas production. The Railroad Commission of Texas(RRC), which regulates the state’s oil and natural gas industry, in 2022 developed a plan that aimed to prevent earthquakes measuring over magnitude 3.5 in that area by mid-May of this year. Some deep-water disposal wells in the Stanton area were already shut as part of that plan… “It is unclear whether the RRC will enforce additional restrictions in Stanton after Wednesday’s earthquake, Laura Capper, chief executive of EnergyMakers Advisory Group, a water management and risk mitigation consultancy, told Reuters.

West Side Rag: Oil Leak From UWS Con Ed Steam Plant Reaches Hudson River
Daniel Katzive, 4/11/24

“Con Edison has experienced an oil leak into the Hudson River from the utility’s West 59th Street steam plant,” West Side Rag reports. “A reader reached out to West Side Rag to report signs of cleanup activity at Pier 98, which is connected to the steam plant, on Wednesday. A containment boom had been deployed and workers were removing material from the water. The tipster also said they saw signs of a sheen on the water. In response to a query from WSR, Con Ed provided the following statement: “On April 7, Con Edison discovered the presence of oil in the Hudson River within the permanent containment boom surrounding Pier 98. We immediately installed an additional containment boom, as well as an absorbent boom. The oil likely originated from the Con Edison Steam Generating Plant on 59th Street, as the plant experienced an internal leak on April 6 that was initially contained within the plant. The U.S. Coast Guard, NYC Department of Environmental Protection, and NYS Department of Environmental Conservation have been notified and continue to oversee the cleanup operations.”

CLIMATE FINANCE

Asian Business Review: Credit agencies set new green standards for oil and gas companies
4/12/24

“Moody’s, S&P, and Fitch introduce new carbon transition measures, challenging industries to meet higher climate accountability standards,” Asian Business Review reports. “Major credit rating agencies are now holding businesses to higher standards for environmental responsibility, which is tough for sectors like oil and gas, but shows promise for others. Tom Sanzillo, Director of Financial Analysis for the Institute for Energy Economics and Financial Analysis (IEEFA), provides insight into the evolving landscape of corporate environmental accountability and the critical role of credit agencies in this transition. Sanzillo explained, “The business community worldwide is deeply involved in how companies are addressing carbon transition issues.”  He highlighted that Moody’s, Standard and Poor’s (S&P), and Fitch have developed new tools and measures to help investors understand the environmental plans of companies better. This shift is not merely a trend but a response to the growing concern over climate change. A telling example of this shift is Moody’s evolving perspective on coal plants. Previously considered credit positive, these are now viewed as credit negative due to market and policy changes… “The need for such standards is underscored by recent actions by the U.S. Securities and Exchange Commission, which exempted a class of carbon emissions from disclosure mandates. In contrast, Moody’s and Fitch are examining the entire lifecycle of carbon emissions, aiming for a comprehensive and professional approach devoid of political interference.” 

OPINION

Globe Gazette: CO2 pipeline not worth big-picture cost
Rosemary Yokoi, Mason City, Apr 13, 2024 

“The recent letter from Mitchell Co. landowner Debra B. Freeman opposing the CO2 pipeline moved me,” Rosemary Yokoi writes for the Globe Gazette. “Pipeline proponents don’t like to admit the danger of asphyxiation due to the pipeline. If you cannot breathe, you die. However, in the event of a leak/break/explosion anywhere in the pipeline, dense CO2 gas will pour out covering the ground. CO2 gas is heavy and will choke out all the oxygen that people and cattle need to breathe. and emergency vehicles and personnel will need to operate. Look at the proposed pipeline map. You will see it comes close to schools, nursing homes, farms, and homes. In the event of a rupture, all near it will be at risk. The area one mile from the break is called the “kill zone”. Imagine the suffering of the emergency workers as they watch helplessly, unable to get to those who need precious oxygen. Many of the emergency workers in our rural areas are volunteers and we don’t have budgets and personnel to manage such a situation. Please look at where your elected representatives stand on this issue. If they don’t actively oppose the pipeline, vote them out. I am voting for Doug Campbell on June 4 to replace Waylon Brown, who refused to allow the pipeline to be debated in the last two sessions.”

Bloomberg: Rethink Carbon Capture’s Role in Tax Policy
Andrew Leahey, 4/12/24

“From electric vehicle tax credits for consumers to clean energy credits for manufacturers, tax dollars are being injected into the economy to reduce our reliance on non-renewable resources,” Andrew Leahey writes for Bloomberg. “But not every dollar may be pulling in the same direction. Tax credits for carbon capture projects, often owned by oil and gas companies, may inadvertently prolong the extraction and use of fossil fuels. Carbon capture is a useful weapon in the arsenal against climate change—but not if emissions continue to outstrip capture. Think of atmospheric carbon as household debt. We have accrued debt and are spending (or emitting) more than we are earning (or capturing), and our debt is increasing. Carbon capture projects are a bit like picking up a part-time job—we may be slowing our descent into indebtedness, but we aren’t reversing course. The situation is exacerbated if our additional income from the part-time job causes some members of the household to spend more. The net result is that we aren’t removing carbon from the atmosphere quickly enough. Worse, misguided carbon capture tax credit policies may encourage the proliferation of a fossil fuel industry that leads to an overall increase in atmospheric carbon. While carbon capture technologies may help the transition to a low-carbon economy, prioritizing them over renewable energy investments risks extending the viability of the fossil fuel industry. Instead of just believing tax policies do what they say, we must critically examine where tax dollars are going and what they incentivize when they get there.”

Taxpayers for Common Sense: Carbon Capture and Storage (CCS)
4/12/24

“Carbon Capture and Storage has a history of waste, fraud, and abuse and has not achieved results for the climate or taxpayers,” according to Taxpayers for Common Sense. “…Yet, despite billions in taxpayer subsidies research and development, plus a tax credit known as 45Q, CCS is far from a realistic part of the climate solution. Taxpayers for Common Sense (TCS) has long warned about this costly and unproven technology. Constructing and operating CCS is prohibitively expensive. The annual sequestration of billions of tons of CO2 could inadvertently contaminate groundwater and burden taxpayers with long-term environmental liabilities. A mountain of evidence suggests CCS is neither economically viable nor a solution to our environmental problems: A September 2022 GAO report highlighted the long deployment time and high costs as obstacles to widespread adoption of carbon capture technologies. The Intergovernmental Panel on Climate Change’s 2022 report ranked CCS among the costliest and least effective options for reducing greenhouse gas emissions. The Congressional Budget Office observed that 13 of the 15 existing CCS projects in the U.S. are used to assist in extracting more oil, a trend that is likely to continue. A recent extension of the CCS tax credit is estimated to cost taxpayers close to $5 billion dollars in the next five years despite the tax credit’s problematic history… “Moreover, this expansion failed to address the fact that the 45Q tax credit program has also been marred by fraudulent claims in the past. The IRS originally required companies to submit approved carbon capture plans consistent with EPA guidelines to qualify for the credit. But because the IRS and EPA did not coordinate effectively, companies were able to claim credits without the required documentation. The Treasury Inspector General for Tax Administration later found that, from 2010 to 2019, companies claiming $894 million in credits had ignored the guidelines, and the IRS ultimately rescinded $531 million of these credits. This figure could increase, as the IRS has not finished reviewing the noncompliant claims. Without implementing oversight mechanisms, Congress is exposing taxpayers to more risks by continuing to fund CCS projects and giving out the 45Q credit.”

Future Hope: Take That, Joe Manchin
Ted Glick and Jane Califf, 4/14/24

“We are a married couple of 45 years. We are taking action together as elders deeply concerned about the future facing our 3-year-old grandson, all children, and all life on earth. That is why we have joined with many others to stop the destructive and abusive Mountain Valley Pipeline, as well as any new fossil fuel infrastructure,” Ted Glick and Jane Califf write for Future Hope. “…This is the statement that we wrote explaining why on April 10 we locked ourselves into a “trojan possum” wooden structure blocking the only access road to a major MVP construction site on Poor Mountain in Virginia. For seven hours, with the support of others, we were able to prevent work being done at this site. After extraction and arrest, we were each charged with three misdemeanors in Roanoke County, Va. Many other people have taken actions like this going back to 2018. Indeed, an historic and heroic tree sit of 932 straight days between 2018 and 2021 in Elliston, Virginia, along the planned route of the pipeline, was a major reason why, six years later, the MVP has not been finished and is not yet operational. Joe Manchin can’t be very happy about this situation… “Within a couple months of this Congressional action, young people connected to Appalachians Against Pipelines had begun engaging in nonviolent direct action to slow pipeline construction work. Hundreds of people in the last six months have risked arrest in these actions… “The two of us have been active in movements for positive social change going back to the Black Freedom and Anti-Vietnam War movements 60 years ago. One of us is 83 and the other is 74… “Can we overcome the criminal fossil fuel industry and create truly justice-based and nature-connected human societies? We don’t know, but we do know based on our decades of experience that taking part in the struggle for all of these things, despite all of the hardships and ups and downs, is without question a better way to live.”

NOLA.com: In Cameron Parish, we love the environment and LNG
Kim Montie, director, Cameron Parish Port, 4/10/24

“Cameron Parish is the largest parish in terms of land mass in the state of Louisiana and the most bountiful in natural resources. The residents here foster a profound connection to the region’s pristine landscapes,” Kim Montie writes for NOLA.com. “…Cameron Parish residents are also the frontline to the LNG industry, and we exhibit what we feel is a commendable ability to balance our environment with the proximity of the LNG industry, recognizing the significance of our natural surroundings and collaborating with the LNG industry to implement sustainable initiatives. From marshland conservation to responsible hunting and fishing practices, the community works hand-in-hand with industry to minimize ecological impact. Simultaneously, the LNG industry invests in technologies and processes that prioritize environmental stewardship, ensuring that its operations align with the communities’ commitments to preserve the pristine landscapes. This coexistence reflects a shared understanding between residents and the industry, showcasing the possibility of economic development while maintaining the integrity of Cameron Parish’s unique environment.”

Michigan Daily: Keep Michigan pure and shut down Line 5
Ethan Bittner, 4/14/24

“Almost every Michigan license plate displays the slogan “Pure Michigan.” It is part of an advertising campaign started by the state of Michigan in 2006 to market the state as a tourist destination. The existence of Line 5, a pipeline owned by Canadian energy company Enbridge, undermines this identity, endangering the state’s beautiful landscapes and ecosystems,” Ethan Bittner writes for Michigan Daily. ”…The Michigan government — or even the Biden administration — needs to take action in order to prevent future environmental damage and shut the line down… “Barring further action from Gov. Whitmer, closing Line 5 will require involvement from the Biden administration, which promised to conduct a thorough analysis of Line 5’s environmental impacts in 2021. Biden has since taken no initiative to shut down the pipeline. An executive order to stop oil transport through Line 5 may be a way for Biden to gain popularity among young voters… “Enbridge warns that thousands of workers in Michigan will be without work if Line 5 closes. This is as unreliable and misleading as its claims about oil prices… “With a Line 5 shutdown, Michiganders can keep Michigan pure and protect the Great Lakes, while avoiding adverse effects on oil prices and employment. An executive order to shut down the pipeline would be mutually beneficial for the state of Michigan and the Biden administration, and is necessary after Whitmer’s failed attempt. Solutions to the Line 5 problem exist, and it is time to enact them.”