EXTRACTED: Daily News Clips 7/23/24

PIPELINE NEWS

• E&E News: Mountain Valley pipeline sold to largest US gas producer

• Inforum: Rally to oppose carbon capture pipeline set for Saturday in Bismarck

• ESG University: Landowner Details Summit Carbon Solutions’ State-Sponsored “Abusive Treatment”

• Bloomberg: Trans Mountain Pipeline Weighs Debt Deal Ahead of Potential Sale

• E&E News: Virginia lawmaker withdraws earmark for gas pipeline

• Natural Gas Intelligence: Transco Takes Final Steps to Complete REA Natural Gas Pipeline Expansion in Northeast

• Daily Commercial News: $358M Panhandle expansion project starts construction

• Bloomberg: Pipeline Use Tax Case Jumps Straight to Mississippi Top Court

• Houston Business Journal: Another Houston-based midstream company ditches MLP structure

WASHINGTON UPDATES

• E&E News: Harris VP contenders on energy, the environment

• E&E News: Manchin releases long-awaited permitting bill

• E&E News: Manchin’s last-ditch permitting bill a win for fossil fuels

• Press release: Barrasso, Manchin Release Bipartisan Energy Permitting Reform Legislation

• E&E News: Citing Chevron, 5th Circuit sends Biden ESG rule back to Texas court

• E&E News: House to hold first hearing on Chevron ruling fallout

STATE UPDATES

• E&E News: LNG in Hawaii? Governor’s push may conflict with climate deal.

• University of Colorado Boulder: Converting captured carbon to fuel: Study assesses what’s practical and what’s not

EXTRACTION

• Financial Times: UN attacks companies’ reliance on carbon credits to hit climate targets

• Calgary Herald: New report warns of glut of carbon credits in TIER market, imperilling low carbon investments in Alberta

• Canadian Press: How climate-related extreme weather puts oil and gas assets, production at risk

• Bloomberg: Canadian Competition Bureau Seeks Feedback on ‘Greenwashing’ Crackdown

• Bloomberg: Occidental Eyes $5 Billion of High-Grade Debt for CrownRock Buy

• The National: Campaigners slam Scottish Government funding for carbon capture

• Bloomberg: 2 Oil Tankers Are Ablaze After Collision Near Singapore

OPINION

• The Hill: Climate inflation is eating your paycheck — and it’s only going to get worse 
  

PIPELINE NEWS

E&E News: Mountain Valley pipeline sold to largest US gas producer
Mike Soraghan, 7/23/24

“The original lead developer of the Mountain Valley gas pipeline is again its owner, after EQT closed its acquisition of Equitrans Midstream on Monday,” E&E News reports. “EQT proposed the pipeline in 2014, before handing it over to Equitrans in a corporate spinoff in late 2018. In acquiring Equitrans, EQT has estimated that it could realize more than $425 million in savings, partly by integrating the two companies’ pipeline assets. The deal was contingent on federal approval to start moving gas through the 303-mile pipeline, which came on June 11. But the business deal came together more quickly than expected. At the time the deal was announced in March, EQT said it would close in the last three months of this year.”

Inforum: Rally to oppose carbon capture pipeline set for Saturday in Bismarck
7/22/24

“The Dakota Resource Council will hold a rally Saturday morning, July 27, urging the state Public Service Commission to reject the Summit Carbon Solutions proposal to capture, reroute and store carbon in North Dakota,” Inforum reports. “…After rejecting permits for Summit’s pipeline last year, three hearings have been conducted by the Public Service Commission since April. Additional permits are required from the North Dakota Industrial Commission for underground storage… “Speakers will include concerned landowners and a tribal representative. Dakota Resource Council, a sustainability-focused nonprofit, estimates a few dozen people will be in attendance, with a goal of 50 to 60. Participants will have an opportunity to address the group after the scheduled speakers. The rally will take place on the Capitol steps at 11 a.m. followed by a press conference at noon. “This could be the public’s last chance to be heard before the PSC makes their ruling,” Zach Cassidy, a representative of the Dakota Resource Council, told Inforum “We encourage everyone concerned about the community impacts of this pipeline to join us.”

ESG University: Landowner Details Summit Carbon Solutions’ State-Sponsored “Abusive Treatment”
7/21/24

“North Dakota native Justin Buckingham had dreams of building a life on his own property with his wife and family. This all changed once Summit Carbon Solutions sent a representative to their property,” ESG University reports. ““We purchased our property about three years ago. We’re going on our third to fourth year,” Justin told ESGU. “No sign of any pipeline coming through or anything, so we thought it was going to be a wonderful property to buy and purchase in Burleigh County here to set up a little farm operation.” Justin told ESGU he first heard about it from a “Summit stakeholder” named Dave Nearing. “We didn’t know who he was, but he came over as my neighbor,” Justin told ESGU. “And he wanted to talk to me as my neighbor, so I let him come into my house. And when he entered the door, as I closed the door, he said, ‘By the way, I’m with Summit Carbon Solutions and we’re here to put a CO2 line through your yard.’” Justin told ESGU he was taken back at the manipulative behavior of Nehring and the conversation escalated quick. “I just looked at him, and it was a heated debate,” Justin told ESGU. “Not would we like to discuss, or would we like to visit with you about, nope, it was just we’re (Summit) going to do this.” Justin told ESGU Nehring even brought up eminent domain as a means to their end too. “The eminent domain was brought up immediately,” Justin told ESGU. “We’re taking their land one way or the other.” According to multiple sources, Nearing is a former North Dakota State Representative as well. When asked when former state representative and current Summit employee disclosed that fact, Justin told ESGU it was in front of his children… “Justin then began listing examples of unprofessionalism from behavior to clerical to legal. “Our address was wrong. Our names were misspelled. I mean, it was just immediate that it was kind of thrown together,”Justin told ESGU. “And I said, well, this isn’t even signable. And so I trespassed some of it and Dave Nearing for my property for one year verbally, it’s the lowest form of trespass without calling the sheriff.” “…I said, just leave us alone, we want nothing to do with the Summit period.” Justin told ESGU. “We have different intentions on this property, we are building a shop and just getting our ranching operations going.” When asked whether Nearing deescalated the situation or ramped it up, Justin told ESGU he definitely ramped it up. “Yes, I felt actually threatened and insulted by their tactics. We dealt with oil and gas tactics before in Watford City,” Justin told ESGU. “Landmen that were local, they’re friendly, they come to your door, very honest, straight to the point, and we work together. The tactics that Summit uses are almost as if they’re terrorists.” Yet it’s the state of North Dakota endorsing and funding marketing firms and lobbyists who are publicly calling North Dakota landowners “Jihadi Terrorists” and “Eco Terrorists”.

Bloomberg: Trans Mountain Pipeline Weighs Debt Deal Ahead of Potential Sale
Chunzi Xu, 7/22/24

“Trans Mountain Corp. plans to borrow in the bond market to refinance some of its outstanding debt ahead of the Canadian government’s eventual sale of the oil pipeline operator, according to people familiar with the matter,” Bloomberg reports. “The debt deal may still be months away from coming to the market, with size and structure yet to be set, the people, who asked not to be identified discussing a private matter, told Bloomberg. The company hasn’t issued debt previously and does not currently have a credit rating.”

E&E News: Virginia lawmaker withdraws earmark for gas pipeline
Timothy Cama, 7/23/24

“Virginia Republican Rep. Jen Kiggans is withdrawing her request for a $7.4 million earmark for a natural gas pipeline in her district after questions emerged about the funding,” E&E News reports. “The money would have gone to conducting early engineering and permitting work toward building a new pipeline in rural Accomack County with an eye toward helping chicken processing plants and a private space company. Leaders on the Eastern Shore have long sought funding for the project. The money would have eventually gone to a for-profit company to carry out the work and eventually build the pipeline, and paperwork filed by Kiggans initially said Chesapeake Utilities would have been the recipient. But House Appropriations Committee rules prohibit money from going to for-profit companies. The $7.4 million instead would have gone to the Accomack County government, which would handle distributing it.”

Natural Gas Intelligence: Transco Takes Final Steps to Complete REA Natural Gas Pipeline Expansion in Northeast
Chris Newman, 7/22/24

“Transcontinental Gas Pipe Line Co. LLC (Transco) has asked FERC to start service on the last phase of its 829,400 Dth/d Regional Energy Access (REA) expansion project by the end of this month,” Natural Gas Intelligence reports. “The request came slightly ahead of schedule for the expansion, which is designed to boost supplies for Transco customers from Pennsylvania to New Jersey and Maryland. The project had been expected to be fully in-service by the end of the year.”

Daily Commercial News: $358M Panhandle expansion project starts construction
7/23/24

“Construction is officially underway on the $358 million Panhandle Regional Expansion Project by Enbridge gas,” Daily Commercial News reports. “The project will lead to the construction of approximately 19 kilometres of new pipeline that will parallel an existing pipeline and increase the capacity of Enbridge’s Panhandle Transmission System, explains a release… “The project is expected to secure approximately 7,000 jobs, enable $4.5 billion of investment opportunities and support Ontario’s expansion of cleaner energy… “The Panhandle project has a targeted in-service date of Nov. 1, with additional construction related to the project to be completed in 2025.”

Bloomberg: Pipeline Use Tax Case Jumps Straight to Mississippi Top Court
Perry Cooper, 7/22/24

“The Mississippi Department of Revenue convinced the state’s top court to allow its case over use taxes on freight charges to bypass the intermediate appeals court,” Bloomberg reports. “The department asked the high court in April to overturn a 2023 chancery court ruling freeing Tennessee Gas Pipeline Co. from use tax obligations on the shipping charges on certain goods because they were part of a separate transaction with a third party, not the seller. The state argued the freight fees were part of the taxable “purchase or sales price,” as defined by state law The company disagreed…”

Houston Business Journal: Another Houston-based midstream company ditches MLP structure
Naomi Klinge, 7/22/24

“Summit Midstream Partners LP shareholders have officially voted to transition the company from a master limited partnership to a C-corporation as the MLP trend dies off,” Houston Business Journal reports. “…Although the master limited partnership structure was popular among U.S. pipeline companies in previous years, Summit Midstream is just the latest energy company to transition or consolidate MLPs. The most noteworthy example was the $70 billion deal to consolidate the Kinder Morgan family of companies in 2014, which was seen as kicking off the trend of leaving the MLP structure behind. London-based Shell PLC also wrapped up Shell Midstream Partners LP into Shell USA in 2022 in a $1.96 billion acquisition. As of July 3, Summit was one of only 14 midstream MLPs in the gathering, processing, compression, transportation and storage subsector that are trading on U.S. exchanges, according to the Energy Infrastructure Council… “The drawback for MLPs is they must keep growing to keep paying quarterly dividends to investors.” 

WASHINGTON UPDATES

E&E News: Harris VP contenders on energy, the environment
Timothy Cama, Jennifer Yachnin, 7/22/24

“Vice President Kamala Harris’ nascent presidential campaign continued to gather steam Monday as attention turned to her potential vice presidential running mate,” E&E News reports. “While Harris is not the official Democratic nominee, President Joe Biden endorsed her shortly after he stepped aside Sunday, and no other major Democratic candidates have come forward, despite some calls for a competitive process. The vice president has gathered significant support from major Democratic figures, including Energy Secretary Jennifer Granholm and Transportation Secretary Pete Buttigieg… “A handful of names of potential vice presidential candidates started to emerge even before Biden dropped out of the race. They are mostly men who have won statewide races in swing or conservative states, factors that could complement Harris’ record as a former senator and attorney general from California. Kentucky Gov. Andy Beshear has accomplished the rare feat of winning a number of statewide races as a Democrat in a red state, once for attorney general and twice for governor, most recently last year… “North Carolina Gov. Roy Cooper also has experience winning elections as a Democrat in a conservative state, having won four terms as attorney general and two to be governor… “Sen. Mark Kelly has claimed tough victories in Arizona, winning a special election in 2020 and a full-term in 2022… “Pennsylvania Gov. Josh Shapiro has been elected both attorney general and governor in the Keystone State, a swing state that went for Trump in 2016 and Biden in 2020, and which is likely key to a Harris victory… “On Monday, a number of potential competitors against Harris for the Democratic presidential nomination took themselves out of contention. Manchin, the chair of the Energy and Natural Resources Committee, had reportedly considered late Sunday coming back to the Democratic Party to run for president. But by Monday he had decided against it. “I’m not intending to run for any political office,” Manchin said on “Morning Joe.” “…Michigan Gov. Gretchen Whitmer and Illinois Gov. JB Pritzker also bowed out and formally endorsed Harris’ candidacy. Whitmer told local media she was “not leaving Michigan” when asked about the No. 2 job.”

E&E News: Manchin releases long-awaited permitting bill
Kelsey Brugger, 7/22/24

“Energy and Natural Resources Chair Joe Manchin on Monday released draft permitting legislation he hopes will cement his legacy as a bipartisan dealmaker,” E&E News reports. “The “Energy Permitting Reform Act of 2024” includes several provisions that aim to make it easier to build renewable and conventional energy projects. The bill includes new limits on litigation and language against the Biden administration’s pause on liquefied natural gas export approvals. The text also addresses transmission cost concerns. Manchin has for months been talking with ranking member John Barrasso (R-Wyo.) about finding common ground on issues that have divided the parties. In the end, Barrasso is co-sponsoring Manchin’s bill, but it’s unclear whether it will garner broader support on either side of the political aisle. People familiar with the situation, granted anonymity to speak candidly, told E&E Manchin was hoping for a markup before August recess. An aide declined Monday to confirm that schedule. Barrasso, who is running for Republican whip, is said to be talking members of his party about the legislation. Many have not been eager to give Manchin a policy win or make it easier for developers to run power lines across their states. Democrats, for their part, may be unwilling to accept the bill’s grid provisions if they also have to support policies like tighter litigation timelines.”

E&E News: Manchin’s last-ditch permitting bill a win for fossil fuels
Kelsey Brugger, 7/23/24

“In a last-ditch attempt to fortify his legacy, retiring Energy and Natural Resources Chair Joe Manchin on Monday released permitting legislation stuffed with Republican priorities that were quickly endorsed by the oil, gas and coal lobbies,” E&E News reports. “The “Energy Permitting Reform Act,” which was cosponsored by ENR ranking member John Barrasso (R-Wyo.), seeks to ease environmental reviews for solar, wind and other renewable projects in ways that the oil and gas industry has long enjoyed. It would also mandate onshore oil and gas lease sales that the Biden administration has disregarded. And it would lift a pause on liquefied natural gas export approvals. Dan Naatz, chief operating officer at the Independent Petroleum Association of America, told E&E the bill would “improve coordination, reduce permitting wait times, remove the LNG export ban and restore certainty to the Gulf of Mexico leasing process.”

Press release: Barrasso, Manchin Release Bipartisan Energy Permitting Reform Legislation
7/22/24

“Today, U.S. Senators John Barrasso (R-WY) and Joe Manchin (I-WV), ranking member and chairman of the Senate Energy and Natural Resources Committee, released the Energy Permitting Reform Act of 2024. This bipartisan legislation will strengthen American energy security by accelerating the permitting process for critical energy and mineral projects of all types in the United States. “For far too long, Washington’s disastrous permitting system has shackled American energy production and punished families in Wyoming and across our country. Congress must step in and fix this process,” said ranking member Barrasso… “The United States of America is blessed with abundant natural resources that have powered our nation to greatness and allow us to help our friends and allies around the world. Unfortunately, today our outdated permitting system is stifling our economic growth, geopolitical strength, and ability to reduce emissions. After over a year of holding hearings in the Senate Energy and Natural Resources Committee, thoughtfully considering input from our colleagues on both sides of the aisle, and engaging in good faith negotiations, Ranking Member Barrasso and I have put together a commonsense, bipartisan piece of legislation that will speed up permitting and provide more certainty for all types of energy and mineral projects without bypassing important protections for our environment and impacted communities. The Energy Permitting Reform Act will advance American energy once again to bring down prices, create domestic jobs, and allow us to continue in our role as a global energy leader. The time to act on it is now,” said chairman Manchin.

E&E News: Citing Chevron, 5th Circuit sends Biden ESG rule back to Texas court
Lesley Clark, 7/19/24

“Citing an “upended legal landscape” in the wake of the Supreme Court’s decision to jettison Chevron, a federal appeals court has sent one of the Biden administration’s more unconventional efforts to curb climate change back to a lower court,” E&E News reports. “Judges with the 5th U.S. Circuit Court of Appeals — who last week appeared ready to reverse a ruling that upheld a Labor Department rule — instead ruled Thursday that the case should go back to the Texas judge who heard it. The case has been seen as one of the first to provide some indication of how the decision to overturn Chevron will play out in court and at federal agencies. The 40-year-old doctrine had held that judges should generally defer to agencies’ reasonable interpretations when it came to uncertainty in federal law. The lower court judge — Matthew Kacsmaryk of the U.S. District Court for the Northern District of Texas — had used Chevron as one basis for his decision in September, rejecting a conservative-led challenge to a Labor Department rule that helps retirement plan sponsors account for climate risks in investing.”

E&E News: House to hold first hearing on Chevron ruling fallout
Emma Dumain, 7/22/24

“Lawmakers this week will continue grappling with how their work could change dramatically in the aftermath of the Supreme Court decision overturning the so-called Chevron doctrine,” E&E News reports. “The House Administration Committee — chaired by Bryan Steil (R-Wis.) — on Tuesday will hold a hearing on “Congress in a Post-Chevron World,” the first such hearing since the June 28 decision was handed down. It may give lawmakers more clarity about what the decision means for them, even as congressional Republicans have cheered the ruling as ushering in a new era of legislative branch authority at the expense of the “administrative state.” The decades-old Chevron doctrine gave agencies deference when interpreting ambiguous laws, and environmental advocates depended on it to gird against legal challenges. Critics of the ruling, primarily Democrats, say the 6-3 decision gives judges more power to overrule agency experts.”

STATE UPDATES

E&E News: LNG in Hawaii? Governor’s push may conflict with climate deal.
Lesley Clark, Carlos Anchondo, 7/23/24

“Hawaii Gov. Josh Green played a major role in a landmark legal settlement that aims to curb climate-warming emissions from cars, trucks and planes across the sprawling island state. But the Democrat also has voiced support for expanding into a chilled fossil fuel: liquefied natural gas,” E&E News reports. “A month before signing the June legal agreement, Green suggested that importing LNG could serve as a “bridge” between expensive oil imports and the state’s goal of 100 percent renewable electricity. That revived a debate Hawaii environmentalists thought was settled. The dichotomy between slashing greenhouse gas emissions and mulling supercooled gas has left environmentalists and climate activists bewildered — and concerned that turning to LNG would run counter to the state’s legal obligation to slash carbon dioxide emissions.”

University of Colorado Boulder: Converting captured carbon to fuel: Study assesses what’s practical and what’s not
Yvaine Ye, 7/22/24

“…Last year, the world emitted more than 37 billion metric tons of carbon dioxide, setting a new record high. As a result, sucking CO2 out of the atmosphere has become an increasingly popular idea,” according to the University of Colorado Boulder. “…But despite more than a dozen direct air capture facilities being up and running around the globe already, the technology still faces major technological hurdles—including its own high energy use… “Once CO2 is trapped in the carbonate or bicarbonate solutions, engineers must separate it out from the liquid so the liquid can return to the chamber to capture more CO2… “But there is a catch. To release the trapped CO2, companies need to heat the carbonate and bicarbonate solution to at least 900˚C (1,652° F), a temperature solar and wind energy is unable to achieve. This step is usually powered by burning fossil-based fuels like natural gas or pure methane. “If we have to release CO2 in order to capture CO2, it defeats the whole purpose of carbon capture,” Wilson Smith, a professor in the Department of Chemical and Biological Engineering and a fellow of the Renewable and Sustainable Energy Institute at CU Boulder, told UCB… “One idea, commonly known as reactive capture, is to apply electricity to the carbonate and bicarbonate solutions, zapping the CO2 and basic liquid apart in the chamber. In theory, the recycled liquid can then capture more CO2, forming a closed-loop system… “They found that in an industrial setting, electricity would not be able to regenerate the basic liquid to re-capture more CO2 from the air. In fact, after five cycles of carbon capture and regeneration, the basic liquid could barely pull any CO2 out of the air.  The team also suggested a tweak to the reactive capture process by adding a step called electrodialysis. The process splits additional water into acidic and basic ions, helping to maintain the basic liquid’s ability to absorb more CO2. Electrodialysis can run on renewable electricity, making it a potentially sustainable way to turn captured CO2 into useful products. More importantly, electrodialysis can release CO2 gas, which engineers can use to strengthen concrete… “Imagining Earth as a bathtub, with the running water from the faucet being CO2. The bathtub is getting full and becoming unlivable. Now, we have two options. We can use a little cup to scoop out the water, cup by cup, or we can turn the faucet off,” Smith told UCB.  “Cutting emissions has to be the priority.”

EXTRACTION

Financial Times: UN attacks companies’ reliance on carbon credits to hit climate targets
Kenza Bryan, 7/23/24

“The UN has outlined its opposition to companies using credits to cancel out their carbon dioxide footprint, putting it on a collision course with big oil and technology groups,” the Financial Times reports. “A draft document seen by the Financial Times and drawn up by a task force convened by UN secretary-general António Guterres says groups should not use carbon credits to offset emissions outside of state-regulated schemes. The UN believes companies should invest in ways to curb their own emissions rather than relying on the multimillion-dollar carbon trading market. Big polluters such as Chevron and ExxonMobil as well as technology companies such as Microsoft and Apple have included carbon offsetting in their plans to fulfil climate promises made to investors. Industries that are carbon intensive in production, such as steel and cement, also rely on carbon credits in the private markets to offset their greenhouse gas emissions to meet net zero targets… “However, many schemes have been criticised because the amount of carbon removed or avoided is unverifiable or not permanent… “Industry figures expect the carbon credit market to grow… “Guterres made his opposition to the reliance on carbon credits clear in a speech last year when he said business, investors, cities and regions should focus on cutting their own emissions and on “avoiding dubious offsets or carbon credits”.

Calgary Herald: New report warns of glut of carbon credits in TIER market, imperilling low carbon investments in Alberta
Chris Varcoe, 7/23/24

“The Alberta government has ambitious plans to attract tens of billions of dollars of investment into decarbonization projects, such as carbon capture and hydrogen developments,” the Calgary Herald reports. “However, the province risks missing out if its heavy industrial emitters program — known as the Technology Innovation and Emissions Reduction (TIER) framework — is swamped by excessive carbon credits hitting the market, undercutting the economics of new developments, warns a new study. A report to be released Tuesday by Clean Prosperity, a Canadian climate policy organization, says the Alberta government should adopt several recommendations to prevent that from happening. It suggests increasing and adapting the stringency standards under TIER that large emitters have to meet, and that the provincial government participate in a program to backstop the long-term value of carbon credits and offsets — such as providing carbon contracts for difference. “If changes to the TIER program aren’t made, the carbon market in Alberta is likely to face an oversupply of carbon credits before the end of the decade,” report co-author Emma Dizon, Clean Prosperity’s program manager for Western Canada, told the Herald. “And this matters, because it will dampen the province’s ability to attract those low-carbon industries and projects like CCUS that are so important to the economy and to our emissions-reduction efforts.”

Canadian Press: How climate-related extreme weather puts oil and gas assets, production at risk
Amanda Stephenson, 7.22/24

“Suncor Energy Inc. filed a disclosure document last year laying out what would happen if extreme weather were to force a 10-day shutdown of its massive Base Plant oilsands mine in northern Alberta,” the Canadian Press reports. “The document — which Suncor filed with CDP, a global non-profit that maintains a database on corporate environmental action and climate risk — details the financial risk to the company posed by such a scenario. While the likelihood of extreme weather events remains “unknown,” Suncor said in the document that a 10-day Base Plant shutdown could cost the company $56 million per day (more than half a billion dollars in total) in the form of lost revenue due to production losses… “Oil and gas infrastructure, like everything else, has been increasingly exposed to severe weather events fuelled increasingly by climate change,” Craig Stewart, vice-president of climate change with the Insurance Bureau of Canada, told CP… “More than 40 per cent of the world’s commercially recoverable oil and gas reserves are highly exposed to the effects of climate change, according to a 2021 report by risk intelligence company Verisk Maplecroft… “Environmentalists told CP it’s ironic that the fossil fuel sector is being affected by climate change-related disasters, even as it makes plans to continue to grow oil and gas output in the future. “They’re just throwing fuel on the fire,” Keith Stewart, senior energy strategist for Greenpeace Canada, told CP.  “These companies have business plans that are going to make extreme weather even more extreme.” “…Reinsurers have reduced their exposure to the commercial market in Canada over the last five years due to the growing threat of climate-driven disaster,” Stewart told CP, adding that getting insurance in wildfire-prone areas like the boreal forest is becoming increasingly difficult for businesses.”

Bloomberg: Canadian Competition Bureau Seeks Feedback on ‘Greenwashing’ Crackdown
Aimee Look, 7/22/24

“The Competition Bureau is seeking public comments on a new law that aims to crack down on so-called greenwashing, after major players in the oil industry complained about the Trudeau government initiative,” Bloomberg reports. “The law known as Bill C-59, which passed in Parliament in late June, included an amendment that requires companies to back up claims about its environmental performance with “internationally recognized methodology.” Firms that fail to do so could be taken to a tribunal or court and face major fines. The vague amendment raised alarm in Alberta’s oil industry, prompting some groups to remove online environmental claims. One was Pathways Alliance, an umbrella organization touting the green credentials of oil sands companies, which scrubbed its online and social media content last month. The Competition Bureau’s consultation — which aims to bring transparency to how the provisions will be enacted — is a response to a “large number of requests for guidance,” the bureau said in a news release Monday.  The bureau asked for commentary regarding which environmental claims may be hard to test and foreseeable challenges for companies, it said in another note. Stakeholders have until late September to comment.”

Bloomberg: Occidental Eyes $5 Billion of High-Grade Debt for CrownRock Buy
Caleb Mutua and Olivia Raimonde, 7/22/24

“Occidental Petroleum Corp. is sounding out investors for a bond sale that is expected to total around $5 billion to help fund its takeover of Texas shale driller CrownRock LP,” Bloomberg reports. “The potential investment-grade offering could be announced as soon as Tuesday after banks held calls with investors, people familiar with the transaction, who asked not to be identified because the discussions are private, told Bloomberg… “A $10 billion bridge facility previously loaned to the company to help fund the acquisition has since been reduced to $5.3 billion, according to a filing. S&P Global Ratings puts the deal at $5 billion, according to a statement… “Occidental agreed in December to buy CrownRock for $10.8 billion, lining up about $10 billion of debt, one of the largest bridge financing deals last year. That temporary loan was led by Bank of America, and is expected to at least partly be replaced by the bond sale.”

The National: Campaigners slam Scottish Government funding for carbon capture
Ross Hunter, 7/21/24

“Climate campaigners have criticised the Scottish Government’s commitment to a carbon capture project in the north east and claimed the technology has largely failed to deliver on its promises,” The National reports. “On Monday, First Minister John Swinney visited the Acorn project in St Fergus, Aberdeenshire and announced £2 million of fresh funding for the scheme. The project is part of the Scottish Cluster, which brings together fossil fuel companies Shell and Harbour Energy with carbon capture company Storegga, oil and gas infrastructure owner North Sea Midstream Partners, and gas network operator National Gas… “Yet climate campaigners said that the technology – which seeks to trap and store carbon produced by fossil fuels in order to prevent in escaping into the atmosphere and contributing to climate change – directs money away from bolstering renewable energy infrastructure and electrifying transport systems. One of Scotland’s leading climate change campaigners and the former director of WWF Scotland, Richard Dixon, told The National that if the technology was truly a solution then oil companies wouldn’t be relying on government funding to finance the project. “Despite a billion pounds of public money being on offer in two previous government competitions, carbon capture has completely failed to get started in the UK”, he told the National. “There are few plants around the world, most are failing to deliver on their promises and many are linked to boosting oil production, so they actually make climate change worse. Carbon capture is an eye-wateringly expensive way to pretend we can keep burning fossil fuels in the future… The most obvious sign of this deception is that, if carbon capture is the great solution they claim, the oil companies would be using their huge windfall profits to make it happen, instead of expecting government handouts… “Every pound invested in carbon capture is a pound lost to the cheaper, proven and simpler solutions we actually need.”

Bloomberg: 2 Oil Tankers Are Ablaze After Collision Near Singapore
Yongchang Chin, 7/1924

“Two oil tankers have been on fire since early Friday morning after a collision to the east of Singapore, raising fresh questions over the rising risks to maritime traffic, the environment and human lives in one of the world’s busiest waterways,” Bloomberg reports. “…The two crashed early on Friday, Danish shipping firm Hafnia said in a statement, adding all 22 crew had been rescued. It wasn’t immediately clear what caused the collision, though the aging Ceres I, empty on its way back from China, underlines the challenges that come with more older, often uninsured vessels moving sanctioned crude through the Straits of Malacca. The waters to the east of the Malaysian peninsula have long been a hub of dark fleet activity.”

OPINION

The Hill: Climate inflation is eating your paycheck — and it’s only going to get worse 
William S. Becker is executive director of the Presidential Climate Action Project and a former regional director at the U.S. Department of Energy, 7/22/24

“With less than four months to go until the presidential election, the economy is delivering some good news. At this point two years ago, inflation was above 9 percent. Last month, it dipped to 3 percent, while wages continued to grow. The bad news is that a new villain has arrived on the scene. Call it “climate inflation,” William S. Becker writes for The Hill. “Over a generation, we’ve seen global climate change progress from science to a heated political debate and now to a hotter world. It’s become a kitchen table issue that threatens the financial as well as physical security of America’s families… “Last year alone, 28 big weather disasters (each causing more than $1 billion in damages) cost a total of $93 billion, the highest on record. Over the last decade, big weather disasters caused more than $1.2 trillion in reported damages. The actual damages were significantly higher because the government doesn’t count disasters where damages are less than $1 billion. However, these numbers don’t tell us how climate change affects families, including its impacts on household budgets… “According to the Center for Energy Poverty and Climate, the average price to cool a home will be $719 this summer, up 9 percent over last year. Extreme weather raises food prices too… “One of the biggest kitchen-table issues is the rising cost of home insurance as weather disasters increase. The First Street Foundation, a climate-risk research organization, says nearly 36 million homes face rising insurance costs or reduced coverage, and homes in parts of the United States are becoming uninsurable… “However, the Atlantic Council has predicted that the United States could lose an average of $100 billion annually from lost labor productivity due to extreme heat… “However, the biggest threat to the economy is the so-called climate bubble. Realtor.com says nearly 45 percent of homes in the United States, worth about $22 trillion, are at risk of severe or extreme damage from floods, high winds, wildfires or heat… “Climate inflation is a big problem; it is ongoing, growing and permanent because our weather is on track to get far more violent and costly. We have allowed global warming to become a forever crisis. Yet, Trump and Vance deny that climate change is a problem. Trump’s record and the Project 25 plan show that he will not only fail to do anything about global warming, he will also undo the progress Biden has made.”