Center for Environment, Commerce & Energy

Obama Commission on America's Nuclear Future Final Report

2012-01-28T19:50:00.005-05:00

Norris McDonald Testifying at BRC Hearing in Washington, DC

President Obama's Blue Ribbon Commission on America's Nuclear Future (BRC) has issued its final report. Fully implementing the Commission’s recommendations will require several changes to the Nuclear Waste Policy Act or other legislation:

Establishing a new facility siting process – The NWPA, as amended in 1987, now provides only for the evaluation and licensing of a single repository site at Yucca Mountain, Nevada. The Act should be amended to authorize a new consent-based process to be used for selecting and evaluating sites and licensing consolidated storage and disposal facilities in the future, similar to the process established in the expired Nuclear Waste Negotiator provisions of the Act (but under new organizational leadership, as described below).

Authorizing consolidated interim storage facilities – The NWPA allows the government to construct one consolidated storage facility with limited capacity, but only after construction of a nuclear waste repository has been licensed. One or more consolidated storage facilities should be established, independent of the schedule for opening a repository.

The Act should be modified to allow for a consent-based process to site, license, and construct multiple storage facilities with adequate capacity when needed and to clarify that nuclear waste fee payments can be used for this purpose. Broadening support to jurisdictions affected by transportation – The NWPA provides funding and technical assistance for training public safety officials to states and tribes whose jurisdictions would be traversed by shipments of spent fuel to a storage or disposal facility.

The Act should be amended to give the waste management organization the broader authorities given to DOE in the WIPP Land Withdrawal Act that supported the successful large-scale transport of transuranic waste to WIPP (including a public information program, support for the acquisition of equipment to respond to transportation incidents, and broad assistance for other waste-related transportation safety programs).

Establishing a new waste management organization – Responsibility for implementing the nation’s program for managing spent nuclear fuel and high-level radioactive wastes is currently assigned to the U.S. Department of Energy. Legislation will be needed to (1) move this responsibility to a new, independent, government-chartered corporation focused solely on carrying out that program and (2) establish the appropriate oversight mechanisms. [This is a Center recommendation]

Ensuring access to dedicated funding – Current federal budget rules and laws make it impossible for the nuclear waste program to have assured access to the fees being collected from nuclear utilities and ratepayers to finance the commercial share of the waste program’s expenses.

They have recommended a partial remedy that should be implemented promptly by the Administration, working with the relevant congressional committees and the Congressional Budget Office. A long-term remedy requires legislation to provide access to the Nuclear Waste Fund and fees independent of the annual appropriations process but subject to rigorous independent financial and managerial oversight.

Promoting international engagement to support safe and secure waste management – Congress may need to provide policy direction and new legislation to implement some measures aimed at helping other countries manage radioactive wastes in a safe, secure, and proliferationresistant manner, similar to the expired NWPA provisions for technical assistance to non-nuclear weapons states in the area of spent nuclear fuel storage and disposal. (BRC)

Conservative Black Forum

2012-01-28T16:28:00.001-05:00

Monday morning, Florida Republican Allen West brought black officials and community leaders from around the country to Capitol Hill for discussions on issues regarding unemployment in the black community, conservative values, and social disparity in urban communities.

During the event, panel members also tackled the issue of the overall negative perception of black conservatives in the black community. Rep. West urged his African-American Republican brethren to be more vocal.

Following the discussion, panelists fielded questions from audience members. Panel participants included:

• Rep. Tim Scott (R-SC)
• Rep. Jim Jordan (R-OH)
• Former Rep. J.C. Watts (R-OK)
• Rep. Emanuel Cleaver (D-MO)

Coal Export

2012-01-28T11:22:00.001-05:00

The Powder River Basin currently represents approximately 50% of the US’s total coal production and the reserves are massive. The key to accessing the Asian export market is port capacity. The US west coast currently supplies only 8Mtpa of Asia’s total thermal coal demand of 550Mtpa. Current port capacity restricts any further growth.

In 2009, coal accounted for 28% of global energy use and generated 42% of the world’s electricity. Japan is the world’s largest coal importer (182 million tons in 2009), South Korea imported 110 million tons and Taiwan imported 65 million tons. Asia’s thermal coal demand is forecast (Wood Mackenzie) to increase by 560Mtpa over the next 10 years. The US can only participate in this phenomenal growth if new port capacity comes on stream. (Ambre Energy)

Pacific Northwest Coal Export Wars Continue

2012-01-28T10:50:00.006-05:00

Environmental opponents are working to kill several proposed terminals that would facilitate the shipment of coal mined in the Rocky Mountains to countries such as China. Environmentalists who scuttled development of a coal-export terminal in Washington last year are back at it in Oregon, trying to keep two ports from becoming transit points for coal shipped to the Far East. But while many local residents share the activists' concerns about pollution, the projects' promise of jobs also resonates widely in a region suffering from declines in fishing, timber and other resource-related industries.

Last year, a coalition blocked development of a $100 million coal-export terminal at the Columbia River port of Longview, Washington by challenging the permitting process that had allowed construction to begin. This month, those same activists filed a petition to stop work on the harbor at Coos Bay on Oregon's coast, then mobilized opposition to two coal projects proposed for the Port of St. Helens, 48 miles downstream of Portland.

At a public hearing Wednesday in Clatskanie, Oregon, five port commissioners voted to greenlight the coal terminal projects at Port of St. Helens, across the Columbia from Longview. It is the first step ahead of what will be a lengthy permitting process. Both terminals would require the approval of several state and federal agencies.

One is backed by Ambre Energy Ltd. of Australia, the coal producer turned back at Longview in 2011. Longview, sited on the Columbia River where Washington and Oregon states meet, was the first coal port proposal on the table. An Ambre subsidiary, Pacific Transloading LLC, wants to lease public property to build a terminal so it can load as much as 3.5 million metric tons of coal annually onto ships that would transport it to Asia. This site has obtained shore permits from the state of Washington, but is already facing legal challenges. Arch recently bought a significant share in Ambre Energy, the Australian company developing this port project.

The project would provide dozens of high-wage jobs and millions of dollars of tax revenue, according to Pacific Transloading. On top of the tax revenue, the company promised to donate 10 cents per metric ton of coal to the school districts of Columbia and Morrow counties—$300,000 to $350,000 to each annually. The coal terminal would be in Columbia County, and trains that would transport coal to St. Helens would go through Morrow County.

A second company, Kinder Morgan Energy Partners LP of Houston, wants to build its own terminal at the Port of St. Helens, also on public property, to handle some 15 million metric tons of coal annually. Port officials projected the two projects would require hiring more than 100 people.

With unemployment topping 12% in Columbia County, both coal terminals would be welcome, providing "living-wage jobs." Environmentalists' concerns range from coal dust polluting the air to barges spoiling local fishing and tourism to cross-ocean fallout from burning the fuel in dirty Asian furnaces. "

The U.S. Environmental Protection Agency lists coal-fired plans in China and elsewhere in Asia as a leading cause of mercury emissions world-wide, a contributor to contamination in seafood. Coal exporters counter that it would be better for the environment if China were to burn U.S. coal, which has a lower sulfur content than the coal it could get from Asia and Russia.

Local "greens" are equally adamant that only strict regulation can protect jobs in new industries linked to tourism and retiree havens along Oregon's seaside, as well as traditional industries such as fishing.

The Ambre project emphasized the use of covered barges to minimize land-dwellers' exposure to coal dust for moving coal down to St. Helens each year. On an annual basis, any projects of this size could contribute over $1 million to the county in property taxes.

This month the Sierra Club joined a coalition of Native American tribes, the Seattle-based Earthjustice and Oregon's local Greenpeace office to appeal Oregon's Department of State Lands' permission to allow "dredging" at Coos Bay, which the port requested. The environmental groups said that permit, to benefit a liquefied natural gas operation, may also benefit a secretly planned future coal export terminal.

The Jordan Cove Energy group, a unit of Canada's Veresen Inc, is building an LNG terminal at Coos Bay. The entire project—a $5 billion investment including a terminal and a 230-mile pipeline—won't be operational before 2017. Opposition to the harbor work is "nowhere near critical" to the company's timetable. (WSJ, 1/28/2012, photo courtesy WSJ)

Center Supports President Obama's 'Clean Energy Standard'

2012-01-27T07:44:00.000-05:00

PRESIDENT'S CORNER

By Norris McDonald

President Obama covers all bases when it comes to energy policy. He is pro coal and pro nuclear, while being on the cutting edge in promoting a 'green energy economy.' We support President Obama's 'all of the above' energy strategy because that is what it will take to meet America's voracious energy appetite. The president stated in his 2012 State of the Union, "This country needs an all-out, all-of-the-above strategy that develops every available source of American energy – a strategy that’s cleaner, cheaper, and full of new jobs." President Obama also called for a 'Clean Energy Standard:'

"The differences in this chamber may be too deep right now to pass a comprehensive plan to fight climate change. But there’s no reason why Congress shouldn’t at least set a clean energy standard that creates a market for innovation. So far, you haven’t acted. Well tonight, I will. I’m directing my Administration to allow the development of clean energy on enough public land to power three million homes. And I’m proud to announce that the Department of Defense, the world’s largest consumer of energy, will make one of the largest commitments to clean energy in history – with the Navy purchasing enough capacity to power a quarter of a million homes a year."

In his 2011 State of the Union, President Obama proposed a Clean Energy Standard (CES) to require that 80 percent of the nation’s electricity come from clean energy technologies by 2035. That is a bold goal, particularly considering that the percentage he cites for clean energy is now held by fossil energy. According to the “Annual Energy Outlook 2012” from the U.S. Energy Information Administration (EIA), in 2010, fossil fuel represented 83 percent of U.S. energy consumption. Although total energy use grows only 10 percent between 2010 and 2035, the fossil fuel share stays high at 77 percent in 2035. The electricity sector reflects similar percentages to the total energy sector.

Since 1985, part of the Center's mission has been to promote 'practical solutions to energy and environmental problems,' and to 'promote the efficient use of natural resources.' I believe that President Obama brings a balanced approach to energy and environmental policies and it is for this reason that we support most of his proposals.

See Also:

Sens. Jeff Bingaman and Lisa Murkowski WHITE PAPER ON A CLEAN ENERGY STANDARD

Obama Wants A “Clean Energy Standard.” What Does That Mean? The Washington Post, 1/25/2012

Ener1 Car Battery Company Files Chapter 11 Bankruptcy

2012-01-27T05:35:00.000-05:00

Ener1, an electric car battery company that the Obama administration awarded a $118 million stimulus grant to expand its operations, filed for Chapter 11 bankruptcy protection Thursday after being unable to repay pressing debts.

Lithium Ion Batteries

Ener1 is the third company to seek bankruptcy protection among those the Energy Department backed as part of the president’s signature program to invest in clean energy. Solyndra, a California solar-panel maker, and Beacon Power, a Massachusetts energy-storage firm, entered bankruptcy court proceedings in the fall, after having received taxpayer-guaranteed loans of $535 million and $43 million, respectively.

In his State of the Union address Tuesday, President foreshadowed the bad news by saying that he remained proud of his administration’s $80 billion commitment to clean-energy projects and companies, despite periodic failures. The Ener1 grant, among $2.4 billion in federal awards to spur the electric car industry. (Wash Post, 1/26/2012)

USA Energy Outlook: Fossil Fuels & More CO2

2012-01-26T18:36:00.000-05:00

According to the “Annual Energy Outlook 2012” from the U.S. Energy Information Administration (EIA), in 2010, fossil fuel represented 83 percent of U.S. energy consumption. Although total energy use grows only 10 percent between 2010 and 2035, the fossil fuel share stays high at 77 percent in 2035.

The gains in efficiency and the expansion of renewables are offset by increased energy demand from a larger population (390 million in 2035, up from310million in 2010) and more homes, buildings,malls and cars. In 2035, emissions of carbon dioxide—the largest greenhouse gas—are reckoned to be 3 percent higher than in 2010. This contrasts with the declines of 50 to 80 percent that some scientists say are needed by midcentury to stabilize global temperatures.

Advances in “fracking” have opened new oil and natural gas fields. From 2007 to 2010,U.S. oil production rose from 5.1 million barrels a day (mbd) to 5.5mbd. By 2020, itwill hit 6.7 mbd.

In 2010, oil imports accounted for 49 percent of U.S. consumption, down from60 percent in 2005. By 2035, imports could decline to 36 percent, projects the EIA. (Wash Post, 1/26/2012)

ConocoPhillips Fined By Chinese Government For Oil Spill

2012-01-25T11:00:00.002-05:00

Houston-based ConocoPhillips and China National Offshore Oil Corporation have agreed to pay 1 billion Chinese yuan, or around $159 million, to settle compensation claims resulting from oil spills in Bohai Bay, off northeastern China. Center staff visited the Bohai Bay area in 2007.

The two companies had reached an agreement with China's Ministry of Agriculture related to the June 2011 incidents at the oil field, known as Peng Lai 19-3. The leaks, although tiny compared with BP PLC's 2010 Gulf of Mexico disaster, provoked a storm of media protests in China and harsh criticism by the authorities of the Bohai field operator, Conoco. The Chinese government in early September ordered a complete halt in production at the field, which produced an average 56,000 barrels a day in 2010. It is still offline.

Conoco said the compensation money would be used to "settle public and private claims of potentially affected fishermen in relevant Bohai Bay communities.

In two accidents in June, 3,343 barrels of oil and mud used in drilling leaked through the seafloor near platforms at the field, operated by Conoco and 51% owned by Cnooc's listed unit Cnooc Ltd. In November, China's State Oceanic Administration charged that "Conoco was deficient in management of the field and didn't adopt the necessary measures after the spill, all of which caused a larger oil spill because of its negligence."

In December, Conoco Chairman and Chief Executive Jim Mulva said that his company expected to pay "reasonable compensation" and that a fund it had set up "can help address the challenges of those who have been affected and promote the environmental sustainability of Bohai Bay." In its Wednesday statement, Conoco said it also is allocating approximately $16 million of that fund to improve fishery resources in the area. (WSJ, 1/25/2012)

House Bill Seeks To Resurrect Keystone XL Pipeline

2012-01-25T08:22:00.000-05:00

Lee Terry

The legislation, which Representative Lee Terry (R-Neb.) has introduced legislation in the House that, “imposes narrow time constraints and creates automatic mandates that prevent an informed decision.” Terry's legislation would put the final verdict on the pipeline into the hands of the independent Federal Energy Regulatory Commission (FERC), not the State Department. The bill instructs FERC to issue a permit and limits its discretion to reject the project.

House GOP leadership is weighing attaching the bill to upcoming legislation to extend the payroll tax cut for the rest of the year in an effort to overturn Obama’s decision last week to reject the pipeline.

Opponents of the bill, particularly the State Department, believe the legislation:

Raises serious questions about existing legal authorities,

Questions the continuing force of much of the federal and all of the state and local environmental and land use management authority over the pipeline, and

Overrides foreign policy and national security considerations implicated by a cross border permit, which are properly assessed by the State Department.

President Obama rejected the pipeline under a GOP-backed provision in a two-month extension of the payroll tax cut that mandated a decision within 60 days. (Politico, 1/25/2012)

President Obama State of the Union - Energy

2012-01-24T21:49:00.001-05:00

THE WHITE HOUSE

Remarks of President Barack Obama – As Prepared for Delivery

State of the Union Address

“An America Built to Last”

Tuesday, January 24th, 2012

Washington, DC

Excerpts - Energy

Nowhere is the promise of innovation greater than in American-made energy. Over the last three years, we’ve opened millions of new acres for oil and gas exploration, and tonight, I’m directing my Administration to open more than 75 percent of our potential offshore oil and gas resources. Right now, American oil production is the highest that it’s been in eight years. That’s right – eight years. Not only that – last year, we relied less on foreign oil than in any of the past sixteen years.

But with only 2 percent of the world’s oil reserves, oil isn’t enough. This country needs an all-out, all-of-the-above strategy that develops every available source of American energy – a strategy that’s cleaner, cheaper, and full of new jobs.

We have a supply of natural gas that can last America nearly one hundred years, and my Administration will take every possible action to safely develop this energy. Experts believe this will support more than 600,000 jobs by the end of the decade. And I’m requiring all companies that drill for gas on public lands to disclose the chemicals they use. America will develop this resource without putting the health and safety of our citizens at risk.

The development of natural gas will create jobs and power trucks and factories that are cleaner and cheaper, proving that we don’t have to choose between our environment and our economy. And by the way, it was public research dollars, over the course of thirty years, that helped develop the technologies to extract all this natural gas out of shale rock – reminding us that Government support is critical in helping businesses get new energy ideas off the ground.

What’s true for natural gas is true for clean energy. In three years, our partnership with the private sector has already positioned America to be the world’s leading manufacturer of high-tech batteries. Because of federal investments, renewable energy use has nearly doubled. And thousands of Americans have jobs because of it.

When Bryan Ritterby was laid off from his job making furniture, he said he worried that at 55, no one would give him a second chance. But he found work at Energetx, a wind turbine manufacturer in Michigan. Before the recession, the factory only made luxury yachts. Today, it’s hiring workers like Bryan, who said, “I’m proud to be working in the industry of the future.”

Our experience with shale gas shows us that the payoffs on these public investments don’t always come right away. Some technologies don’t pan out; some companies fail. But I will not walk away from the promise of clean energy. I will not walk away from workers like Bryan. I will not cede the wind or solar or battery industry to China or Germany because we refuse to make the same commitment here. We have subsidized oil companies for a century. That’s long enough. It’s time to end the taxpayer giveaways to an industry that’s rarely been more profitable, and double-down on a clean energy industry that’s never been more promising. Pass clean energy tax credits and create these jobs.

We can also spur energy innovation with new incentives. The differences in this chamber may be too deep right now to pass a comprehensive plan to fight climate change. But there’s no reason why Congress shouldn’t at least set a clean energy standard that creates a market for innovation. So far, you haven’t acted. Well tonight, I will. I’m directing my Administration to allow the development of clean energy on enough public land to power three million homes. And I’m proud to announce that the Department of Defense, the world’s largest consumer of energy, will make one of the largest commitments to clean energy in history – with the Navy purchasing enough capacity to power a quarter of a million homes a year.

Of course, the easiest way to save money is to waste less energy. So here’s another proposal: Help manufacturers eliminate energy waste in their factories and give businesses incentives to upgrade their buildings. Their energy bills will be $100 billion lower over the next decade, and America will have less pollution, more manufacturing, and more jobs for construction workers who need them. Send me a bill that creates these jobs.

Building this new energy future should be just one part of a broader agenda to repair America’s infrastructure. So much of America needs to be rebuilt. We’ve got crumbling roads and bridges. A power grid that wastes too much energy. An incomplete high-speed broadband network that prevents a small business owner in rural America from selling her products all over the world. (The White House)

CORPORATIZATION OF NATIONAL PARKS

2012-01-24T11:19:00.000-05:00

Summit Promoting a Billion Dollar Private Endowment for Parks

As the National Park System prepares for its centennial in 2016 it is turning toward corporate funding for support, according to Public Employees for Environmental Responsibility (PEER). A core strategy announced by National Park Service (NPS) leaders in August 2011 is creating a billion dollar corporate-financed endowment outside the federal appropriation process.

Today through January 26th, an invitation-only summit in Washington, DC focuses on how to build support for the NPS agenda, called a Call to Action. While not hosted by the NPS, the summit is being staged by the National Park Foundation, the congressionally-chartered fundraising arm for NPS, and the network representing park vendors and concessionaires. “America’s Summit on National Parks” does, however, feature NPS and Interior Department officials from both the Obama and Bush administrations.

One of the main financial sponsors of the summit is Coca Cola, which recently leveraged its substantial contributions channeled through the National Park Foundation to temporarily block a ban on disposable plastic water bottle sales at Grand Canyon National Park. Coca Cola is a major water bottler whose products would have been affected. Five weeks after the company’s role was exposed in November 2011, NPS backed off its veto of Grand Canyon’s plans.

“Our national parks do not need a super PAC to flourish in the 21st century,” stated PEER Executive Director Jeff Ruch, pointing out that a big private “slush fund” raises issues of accountability and transparency not addressed in agency plans. “Corporate money comes with strings attached, which inevitably means special treatment for special interests at the expense of our national commons.”

PEER points to the $2.5 million “Proud Partner” agreement Coca Cola entered into with NPS and its Foundation as an example of “creeping corporatization” of national parks. Under the 5-year arrangement which runs through 2012, Coca Cola gets exclusive use of park logos for cause marketing campaigns (to the exclusion of all other beverage companies). In addition, the company obtains –

• “Special visitation opportunities, e.g., for executives and key customer hospitality, in the Parks”;

• “Marketing Support” including a “promotional media commitment.” The agreement specifically mentions that Coca Cola will “develop executions around the parks that are part of the African American Experience Fund under the system multicultural marketing platform”; and

• A variety of “in-park activities including tours, events and interpretation” as well as unspecified “additional mutually beneficial program enhancements.” The company will also receive discounted National Park Passes for its employees and approved “promotional purposes.”

Coca Cola’s contributions to the National Park Foundation are completely tax deductible. The only explicit limit on cross-marketing is that NPS does not explicitly endorse the company’s products.

“Taxpayers are underwriting commercial marketing campaigns courtesy of the National Park Foundation,” added Ruch, noting that NPS will need 400 agreements similar to the Coca Cola Proud Partner deal to reach its billion dollar goal. “Any summit on the centennial of our nation’s park system should ponder how to preserve the integrity of America’s best idea from the seduction of material pressures – a topic apparently not on this week’s agenda.”

PEER obtained the Coca Cola agreement after filing a Freedom of Information Act lawsuit against the National Park Foundation. PEER is calling for all of these fundraising deals to be on the public record.

(Public Employees For Environmental Responsibility, 1/24/2012)

See how corporate contributions confer access and influence

Look at the Coca Cola Proud Partner agreement

Revisit Coke role in blocking plastic bottle ban

View Coke sponsorship of the summit

New Pennsylvania Law Identifies Fracking Wells & Pipelines

2012-01-24T10:15:00.000-05:00

Tom Corbett

Pennsylvania Governor Tom Corbett will sign legislation passed by the Pennsylvania State Legislature that will help emergency officials locate shale gas wells. That legislation, from Senator Lisa Baker, a Luzerne County Republican, requires drillers to inform state and local officials of well pad locations and access roads. They also must submit an emergency response plan to those officials, and post GPS coordinates at the entrance to each well site. The provisions will ensure that those responding to a well site accident have properly information.

The measure's approval puts it among just a handful of bills related to Marcellus Shale drilling activity that have cleared the legislative process this session.

The state Public Utility Commission (PUC) is working to implement the provisions of another of those bills, involving oversight of the state's growing miles of gathering pipelines. The legislation, approved in December, requires the PUC to inspect those pipelines, respond to complaints and issue fines for any violations. The PUC released a proposed set of guidelines for pipeline operators. Companies would be required to submit a $250 registration fee, along with information on how many miles of gathering lines they manage.

The PUC is hiring seven new inspectors, whose salaries were advertised between $51,000 and $66,000. Their placement throughout the state will be determined once officials have analyzed which areas have the most gathering lines. These gathering lines are not registered anywhere at this point in time. The state does not know with any certainty how many miles of pipeline there are.

The state will receive some federal funding for the program, estimated to cost $1.4 million in the coming year. Operators also will be charged an assessment based on their pipeline mileage. (Pittsburg Post-Gazette, 1/19/2012)

Maryland Governor O'Malley's Complicated Wind Power Subsidy

2012-01-23T23:31:00.003-05:00

Maryland Governor Martin O’Malley has a new plan to promote offshore wind electricity generation that seeks to guarantee that a subsidy would not increase residents’ rates by more than $2 per month and 2.5 percent for the state’s largest commercial and industrial businesses. The plan would also require state regulators to hire an independent analyst to assess whether the costs to ratepayers, which would probably be added to monthly bills beginning in 2017 and continue for 20 years. Governor O'Malley believes the expenses would be outweighed by the potential benefits: 1,800 new construction jobs, increased electricity production and reduced air pollution.

Although O’Malley’s bill would mandate that the cost be no more than $2 per month, that per household price would have to be estimated up front on a 20-year prediction of future energy prices — a term twice as long as the state’s Public Service Commission typically forecasts.

The model is one that Republican Gov. Chris Christie has backed in New Jersey, but Maryland’s version would come with an explicit requirement that the cost of the credits add no more than the $2 a month to residents’ bills. Although the arrangement is highly complicated, Maryland lawmakers are familiar and more comfortable with it. The state has a similar renewable energy credit requirement that subsidizes solar power generation, albeit at a much smaller cost to ratepayers.

This plan might be complicated, but ultimately it is trying to figure out how to add a subsidy of 21 cents per kilowatt hour to the bills of Marylanders for the offshore wind project(s). That was the plan last year. A subsidy is a subsidy. It appears that the governor is trying to sneak it in under some sort of guarantee that residents can't be charged over $2 per month. This is how states botched utility deregulation. The Center supports reasonable subsidies for Maryland offshore wind power. (Wash Post, 1/23/2012)

Oil Prices Rising As Natural Gas Prices Are Falling

2012-01-23T16:57:00.001-05:00

Light, sweet crude oil for March delivery on the New York Mercantile Exchange settled 1.3%, or $1.25 higher, at $99.58 a barrel. ICE North Sea Brent crude settled up 72 cents at $110.58 a barrel. Heating oil for February delivery settled up 2.14 cents, at $3.0098 a gallon, while reformulated gasoline blendstock was 0.65 lower, at $2.7779 a gallon. Conversely, gasoline futures have fallen 4.75 cents over the past three days, as demand recently hit 11-year lows.

U.S. natural-gas inventories stand at 3.29 trillion cubic feet, according to the U.S. Energy Information Administration, a record for this time of year. Last week, gas prices fell as low as $2.322 per million BTUs, the lowest settlement price in 10 years. (WSJ, 1/23/2012, WSJ, 1/23/2012))

President Obama Wants To Move NOAA To Dept of the Interior

2012-01-23T11:04:00.002-05:00

The National Oceanic and Atmospheric Administration (NOAA) is being targeted by the Obama administration to be moved from the Department of Commerce to the Department of the Interior. The reorganization is part of a larger plan by the Obama administration to streamline government. Such a reorganization requires approval by Congress.

NOAA was placed in the Commerce Department by the Nixon administration. NOAA’s $4.9 billion budget is about 60 percent of Commerce’s overall funding. NOAA has more than 12,000 employees.

Its functions include:

SATELLITES

National Environmental Satellite, Data, and Information Service

Operates satellites that gather information on weather and topography and other environmental and climatological data.

Full Time Employees: 831

Budget: $1.4 billion

WEATHER

National Weather Service

Monitors, analyzes and forecasts weather and issues alerts for imminent storms, floods and other emergencies.

Full Time Employees: 4,644

Budget: $1 billion

FISHERIES

National Marine Fisheries Service

Assesses and protects fisheries, including the Chesapeake Bay and finds ways to restore overfished species and their habitats.

Full Time Employees: 2,823

Budget: $1 billion

OCEANS AND COASTS

National Ocean Service

Monitors coastal areas for ecological threats, creates nautical charts and leads restoration efforts after disasters such as oil spills.

Full Time Employees: 1,246

Budget: $578 million

SCIENTIFIC RESEARCH

Office of Oceanic and Atmospheric Research

Conducts research investigating deep sea vents and analyzing changes in the ozone layer.

Full Time Employees: 744

Budget: $449 million

(Wash Post, 1/23/2012, NOAA)

"As California Drives, So Drives The Nation"

2012-01-23T09:14:00.001-05:00

William K. Reilly

By William K. Reilly

Op Ed: San Francisco Chronicle, 1/23/2012)

These days, people seem surprised when government works the way it was intended. This week, in San Francisco and in Los Angeles, we have the satisfaction of witnessing firsthand government working exactly as it is supposed to. A state agency is working in concert with not one, but two federal agencies, supported by many local ones. Businesses are pleased with the outcome of a government regulation, consumers will save money, and they will be healthier as a result. I was fortunate to have been there when the achievements we will observe this week were but a vision.

A cross-country series of hearings focusing on the next round of national standards for cleaner, more fuel-efficient cars will wrap up in San Francisco this week. That's appropriate. California has long played a leading role in ensuring cleaner, more efficient cars for all Americans - not just Californians.

The hearings, hosted by the U.S. Environmental Protection Agency and the National Highway Traffic Safety Administration, will gather public comments on a proposal to require automakers to hit a fleet average of 54.5 miles per gallon by the year 2025. It is an ambitious goal, yet a doable one - and it is the right step for consumers, for automakers, for the environment, and for our economy overall.

Raising the bar for autos helps to protect the health - and the wallets - of America's families. It also drives innovation and investment, as automakers look for ways to make vehicles that run more cleanly and more efficiently. The drive toward innovation will help create jobs and an American automobile industry that is more competitive in the international marketplace.

A goal of 54.5 mpg would have seemed all but impossible when I was EPA administrator for President George H. W. Bush. Back then, average mileage hovered around 20 mpg. For years afterward, the United States made little progress on gas mileage, as the rest of the world passed us by.

After decades of stagnation, President George W. Bush got the ball rolling again, ratcheting mileage standards upward. When President Obama announced the 54.5-mpg goal last year, executives at the major automakers stood by his side in a show of support.

Make no mistake: We would not be where we are today if California had not kept up the pressure for cleaner cars.

Later this week, the California Air Resources Board will hold a hearing on the state's Advanced Clean Car Program. Had California never introduced its groundbreaking clean-cars standards in 2002, we would not be where we are today as a nation - cruising toward 54.5 mpg and growing healthy markets for hybrid vehicles, plug-in hybrids, clean diesels, electrics and other innovative technologies.

California's tailpipe emissions standard for carbon is set at the same level as the federal standard. Automakers will have a single, clear target that they have said publicly they can meet. Meanwhile, the air board will continue to press for improvements in California.

This is the kind of leadership California must continue to demonstrate if we, as a nation, hope to create a vehicle fleet that is cleaner, more efficient, safe and innovative to compete in the 21st century global vehicle market.

William K. Reilly is a former Environmental Protection Agency administrator and is currently a San Francisco-based adviser to TPG Capital.

Costa Concordia Poses Pollution Threat To Italian Waters

2012-01-21T18:32:00.001-05:00

Costa Concordia

Italy declared a state of emergency in the area around the shipwrecked Costa Concordia on Friday. Officials from Dutch marine contractor Smit Salvage have also been examining it. Fast winds and rough waters could further damage the Concordia and rupture the fuel tanks. Because any spill would be close to shore, there would be little time for the diesel to break down and degrade.

The ship also was stocked with foodstuffs, paints, metals and solvents. The shipwreck is the equivalent to dumping a self-contained "city" into Giglio's crystalline waters. The state of emergency declared Friday is intended to ease operations around an accident area by allowing state funds to be disbursed more easily to local authorities.

‪Workers from Smit Salvage signed a contract with Concordia's operator Costa Crociere, a unit of Carnival Corporation, to pump fuel from the ship's 17 tanks. In addition to the heavy fuel, some 200 tons of lighter diesel will also have to be removed. Pumping is expected to take around four weeks.

‪Giglio, the island, is a popular holiday spot for Italians and foreigners. Most of its 500-odd residents make their living from tourism. (WSJ, 1/21/2012)

Oppose SOPA and PIPA

2012-01-19T10:50:00.002-05:00

The Center opposes the Stop Online Piracy Act (SOPA) and the Protect IP Act (PIPA) because, although the intent of the bills now in Congress are meant to protect content creators from theft in the form of piracy, the bill gives content creators the power to force ISPs, search engines or payment services to shut down access to a Web site that the owner believes violated its copyright. On its face, the bill is designed to stop access to foreign Web sites that are profiting off of stolen content. (U.S.-based business can simply be dragged into court.) In reality, it’s much more insidious than that. Washington Post reporter Joshua Topolsky provides a succinct description of the problem:

Say a French company just started a social networking site in which users can upload videos of themselves singing. Now let’s say some kids upload a video of themselves singing their favorite Britney Spears song, not even playing back the original recording but simply singing along innocently to a song they like.

In the eyes of Spears’s record label or any number of parties associated with her continued cash flow, that might very well look like an instance of piracy — and indeed, major labels have had content pulled off YouTube for similar “violations.” All the label has to do is send a letter to someone such as your ISP and request that the service stop routing traffic to the offending site, and, boom, no more French-sharing site for U.S. Internet users. And what’s really scary is that U.S. Internet service providers have immunity when it comes to what they can pull from their networks, so that French site might not even have a clear path to resolving the issue.

Now take that concept and begin to apply it across all the places you could potentially find “infringing” material. Sites about art, sites about movies, sites that let users generate content of all types — some of that content containing pieces of other work that should be considered fair use by any modern standard. Suddenly, a lot of destinations on the Internet will begin to look like island vacation spots — that is, they’re really hard to get to. And the impact won’t just be cultural or legal; the technical workings of the Internet itself will be dramatically affected.

The SOPA and PIPA bills are being driven through our government by lobbyists who have been given a mandate to protect private companies and their profits by any means necessary. The laws are too far-reaching and too simplistic to accurately police real piracy online, and they have been created by people who either don’t fully understand the Internet or can’t appreciate its value. (Wash Post, 1/18/2012, Joshua Topolsky is the founding editor in chief of the Verge, a technology news Web site.)

Center Seeks Ownership of Nuclear Power Plant

2012-01-19T10:28:00.000-05:00

PRESIDENT'S CORNER

By Norris McDonald

The Center was the first environmental organization in the United States to support nuclear power in 2000. The Center remains the only environmental organization in the United States that supports nuclear power. We support nuclear power because it creates no greenhouse gases, produces no smog forming gases, spent fuel can be recycled and nuclear warheads can be converted to be used as fuel to produce emission free electricity in nuclear power plants. In short, there is no contest when it comes to producing environmentally friendly baseload electrical power for millions of homes and businesses.

It is for these reasons that the Center is seeking an ownership stake in a nuclear power plant. We are seeking this ownership in the form of a donation of 1% of the value of a power plant. Any nuclear company or utility can step forward and make this donation. We believe the Center has earned this distinction and we look forward to becoming a partial owner of one of the 104 reactors currently operating in the USA.

President Obama Rejects Keystone XL Pipeline

2012-01-18T15:41:00.000-05:00

The State Department rejected the Keystone XL pipeline today, rejecting the imposition of an “arbitrary” 60-day deadline imposed by Congress for the State Department to review the project by Feb. 21. The State Department is in charge of the review. President Obama favors oil and gas drilling as part of an “all of the above” energy strategy — as long as it can be done safely and responsibly. Although the permit has been rejected, pipeline company TransCanada is still allowed to continue to work on and pitch an alternative route through Nebraska. (Politico, 1/18/2012)

54.5 mpg Fuel Economy Standard Hearings

2012-01-18T10:49:00.002-05:00

A panel of federal officials from the Environmental Protection Agency and National Highway Traffic Safety Administration held a public hearing Tuesday in Detroit to address the proposed new standards for automakers to increase the average, fuel-economy rating of their vehicles to 54.5 miles per gallon by 2025, up from about 27 miles per gallon today. The hearing included about 100 people who spoke and generally agreed that the stricter fuel economy requirements would create jobs, reduce oil consumption, create cleaner air and save drivers money, all while helping automakers increase their profits. Because of the way testing is done, the 2025 requirement correlates to a window-sticker rating of about 36 miles per gallon.

The National Automobile Dealers Association (NADA), however, did speak out against the idea of setting requirements for vehicles made more than a decade from now until more is known about the strength of consumer demand for more fuel-efficient vehicles. They are worried that vehicles would become too expensive for some consumers to afford. “

Additional hearings on the standards will take place Thursday in Philadelphia and Jan. 24 in San Francisco. The Obama administration this month extended the public comment period for the proposal by two weeks, to Feb. 13, and expects to finalize the regulations this summer.

The administration says the higher standards will cause vehicle prices to increase about $2,000 but that owners will save an average of $6,600 over the life of the vehicle by using less fuel. The rules also will create 484,000 jobs and cut oil consumption in the United States by 1.5 million barrels a day by 2030, according to the Go60mpg coalition, an association of environmental advocacy groups that support the proposal.

NADA believes the government’s analysis greatly underestimates how much the rules will cause vehicle prices to rise. He said the actual increase could be up to $5,000, causing an average buyer’s monthly payments to go up by $60 or $70 and potentially locking out shoppers who would not be able to obtain financing for the higher price, regardless of their fuel savings later on.

G.M., the Ford Motor Company, Chrysler, and other automakers agreed last summer to support the framework of the higher standards.

The Alliance of Automobile Manufacturers, a trade group, said all of its members supported the standards through 2016, when they would be required to achieve 36 miles per gallon. The German carmakers Volkswagen and Daimler have not endorsed the requirements past that point.

The United Automobile Workers supports increasing the fuel economy of vehicles because it would create jobs and better protect the jobs of current workers by helping the industry thrive. (New York Times, 1/17/2012)

Seth Oster Goes to KPMG

2012-01-18T09:26:00.000-05:00

Seth Oster, EPA's Director of External Affairs, left EPA in December to take a top communications job at KPMG LLP, one of the world’s largest tax, audit and advisory firms. According to Politico, “Oster will be moving to New York and starts his new gig in January.” Oster's automatic email states: "I am no longer at the EPA. I am out of the office until 03/01/2012." So his official date must be March 1, 2012.

EPA Administrator Lisa Jackson wrote an all-staff note regarding Oster's departure, writing that “Seth has transformed the way EPA talks about our work protecting the environment and people’s health and I am deeply grateful for his service to the agency.” (Politico, 12/14/2011)

President Obama Touts Fracking Jobs?

2012-01-17T10:51:00.005-05:00

"Investing In America: Building An Economy That Lasts"

Last week the White House issued its latest report on jobs and it includes a section on "America's Natural Resource Boom," which states that a few years ago there were widespread "fears of a looming natural gas shortage," but that:

"the discovery of new natural gas reserves, such as the Marcellus Shale, and the development of hydraulic fracturing techniques to extract natural gas from these reserves has led to rapidly growing domestic production and relatively low domestic prices for households and downstream industrial users."

This is probably the first time the White House has favorably mentioned the Marcellus Shale, the natural gas reservoir below Pennsylvania, West Virginia and other Northeastern states. The administration appears to be taking credit for this soaring production. As the White House report puts it:

"Of the major fossil fuels, natural gas is the cleanest and least carbon‐intensive for electric power generation. By keeping domestic energy costs relatively low, this resource also supports energy intensive manufacturing in the United States. In fact, companies like Dow Chemical and Westlake Chemical have announced intentions to make major investments in new facilities over the next several years.In addition, firms that provide equipment for shale gas production have announced major investments in the U.S., including Vallourec's $650 million plant for steel pipes in Ohio. An abundant local supply will translate into relatively low costs for the industries that use natural gas as an input. Expansion in these industries, including industrial chemicals and fertilizers, will boost investment and exports in the coming years, generating new jobs."

The report does add the obligatory disclaimer about hydraulic fracturing that:

"appropriate care must to be taken to ensure that America's natural resources are extracted in a safe and environmentally responsible manner" with safeguards "to protect public health and safety."

The endorsement appears to run against energy policies pursued by the Obama Administration for three years. The Institute for Energy Research reports that royalties from oil and gas drilling have fallen more than 90% since 2008 because of Interior Department permitting delays and rejections. The EPA recently issued a report on groundwater contamination that could shut down the fracking process the President is now touting as a jobs producer. EPA's political goal is to grab power to supercede state drilling regulation. The industry regards new EPA authority as a real threat to its future. The Securities and Exchange Commission has imposed extensive new reporting requirements on oil and gas fracking companies.

Smart politics or a one-year wonder? And if he wins President Obama might revert to form in 2013.(WSJ, 1/17/2012)

Center Hydraulic Fracturing Evaluation Criteria

New York Assembly Hearing on Indian Point Energy Center

2012-01-14T19:32:00.005-05:00

Norris McDonald Statement

The New York State Assembly Standing Committee on Energy and Standing Committee on Corporations, Authorities and Commissions held a hearing on the Potential Closure of Indian Point Energy Center (IPEC) on January 12, 2012 in New York City. The hearing examined alternatives to IPEC, including new generation facilities and upgrades to the state's electric transmission system that would prevent power supply disruptions and adequately address the electricity needs of New Yorkers.

Norris McDonald Interviewed by Channel 1

Indian Point Energy Center, located in Buchanan, Westchester County, New York, has two active nuclear reactors with a combined rated capacity of 2,000 megawatts. In 2012 and 2015 respectively, the Nuclear Regulatory Commission (NRC) operational licenses for both reactors will expire. Entergy Corporation, which operates both reactors, has petitioned the NRC to operate the reactors for an additional 20 years.

The hearing was held in New York City in the Assembly Hearing Room at 250 Broadway on the 19th floor in room 1923.

Center President Norris McDonald was interviewed Channel 1, The New York Times (see article at link) and quoted in Your News Now.

Obama Asks Congress To Consolidate Federal Agencies

2012-01-14T09:15:00.001-05:00

President Obama has asked Congress for the authority to consolidate the roles of several federal agencies, which he said would lead to streamlined services and a smaller government workforce. The new department would combine the trade and commerce functions of the:

Commerce Department,

Small Business Administration,

Office of the U.S. Trade Representative,

Export-Import Bank,

Overseas Private Investment Corp. and the

Trade and Development Agency.

The Census Bureau, the Bureau of Economic Analysis and the Bureau of Labor Statistics would also be included to focus on government statistical data. But the National Oceanic and Atmospheric Administration — now the largest part of Commerce’s budget — would be moved to the Interior Department.

The new department would be led by a Cabinet secretary; the U.S. trade representative would remain a member of the Cabinet.

Congress would be able to vote on each specific proposed merger. (Wash Post, 1/13/2012)

President Obama Visits EPA

2012-01-10T19:17:00.002-05:00

President Obama joined EPA Administrator Lisa Jackson for an employee town hall to praise the agency's work on protecting the environment and public health. This was his first visit to EPA, however early in his administration, First Lady Michele Obama visited the agency. He expressed his support for Administrator Jackson and for the work of EPA.

Barack Obama is defending the work of the Environmental Protection Agency, saying it performs a vital role protecting the environment and moving the country toward energy independence. Obama spoke Tuesday during his visit to the EPA, seeking to boost morale at an agency that has been a target for Republicans. Several GOP presidential candidates have questioned the science of global warming and said they'd overturn EPA regulations that harm the economy.

The president said that improving the environment and improving the economy shouldn't be contradictory goals, and he questioned those who say regulations are not needed. He said environmental regulations are responsible for cleaning up badly polluted sites, and he said the EPA should be commended for making vehicles more fuel efficient and promoting clean air and water. (Associated Press, 1/10/2012)

Court of Appeals Dismisses Fly-Ash Petition

2012-01-10T14:08:00.001-05:00

The Court of Appeals has changed its mind about getting involved in a dispute over a fly-ash storage facility in southern Maryland. The top court, which heard argument on Friday, decided Monday that it should never have agreed to review the matter. The one-page per curiam order says simply that the petition for a writ of certiorari is “dismissed with costs, the petition having been improvidently granted.”

The case began in 2008, when the Environmental Integrity Project, Potomac Riverkeeper and five individuals who live along the Potomac or Wicomico rivers notified the state that they intended to file suit in federal court over the operation of the Faulkner Fly Ash Storage Facility.

The Maryland Department of the Environment filed its own action against the facility’s operators, Mirant Maryland Ash Management LLC and Mirant Mid-Atlantic LLC, in Charles County Circuit Court. MDE sought injunctive relief and penalties under state law.

The environmental groups and the individuals, who lived within 15 miles of the facility, filed a motion to intervene. The circuit court found they lacked standing, and the Court of Special Appeals affirmed in December 2010.

Monday’s action leaves that decision in place.

The case is Environmental Integrity Project et al. v. Mirant Ash Management LLC et al., Court of Appeals No. 70, Sept. Term 2011. (Daily Record, 1/9/2012)

U.S. Refineries & Blenders Produced Record Amounts of Distillate Fuels

2012-01-09T18:38:00.002-05:00

U.S. refiners produced historically high volumes of distillate fuels (a category that includes both diesel fuel and heating oil) and motor gasoline in 2011. By fine-tuning their production mix, refineries consistently set record levels of distillate production, most recently topping 5 million barrels per day (bbl/d) for the weeks ending December 2 and December 16, 2011.

In 2011, weekly distillate production was above the five-year historical range 25 times, and ranked second highest an additional 19 times. Finished motor gasoline production was robust over the same period, but was slightly more in line with production volumes at comparable times of year since 2006.

Because of its chemical composition, crude oil run through a refinery typically yields roughly twice as much motor gasoline as distillate fuels. Therefore, regardless of economic or other incentives, refiners cannot completely stop making some finished petroleum products in favor of others. However, by adjusting downstream processes and the types of crude oil used, refineries can optimize production to fine-tune the balance of their finished products output. For much of 2011, refiners saw favorable margins and robust global demand for distillate fuels. In order to benefit from these trends, refineries:

• Increased crude runs to maximize overall output. This explains why both motor gasoline and distillate fuels production levels are high relative to the five-year historical ranges.

• Shifted production mix. This explains why the distillate fuels production levels exceeded historical ranges in more weeks than motor gasoline production did.

Since early October, the spot price for ultra-low-sulfur distillate fuel oil rose, while the spot price for motor gasoline (as measured by New York RBOB spot prices in the chart below) declined, widening the spread between these two petroleum product prices. On November 14, 2011, the spot price for ultra-low-sulfur distillate was nearly 65 cents per gallon higher than the spot price for RBOB. The spread between these product prices had not been more than 60 cents per gallon since November 2008.

Along with high domestic prices, strong international markets for distillate fuel oils have spurred increased production. In the United States, refineries have typically optimized production for finished motor gasoline to meet high U.S. demand. European refineries, on the other hand, tend to produce higher percentages of distillate fuel oils, as diesel is used more broadly there for transportation. Robust global distillate demand has led to a significant inventory draw, despite heightened U.S. production. From the end of September to the end of December, U.S. distillate inventories fell by more than 13 million barrels. (DOE-EIA)

Triad Mining Fined By EPA Agrees To Restore Waterways

2012-01-09T13:21:00.004-05:00

Triad Mining Resolves Clean Water Act Violations To Restore Affected Waterways in Indiana

The U.S. Environmental Protection Agency (EPA) and U.S. Department of Justice (DOJ) announced that Triad Mining Inc., the owner and operator of 31 surface mines in Appalachia and Indiana, has agreed to pay a penalty and restore affected waterways for failing to obtain the required Clean Water Act (CWA) permit for stream impacts caused by its surface mining operation in Indiana. Since 2002, Triad's mining operation has resulted in the unpermitted excavation and filling of more than 53,000 feet of streams that flow into the White River.

With this settlement, Triad will achieve compliance with the nation’s Clean Water Act and be held accountable for its unpermitted discharges into streams of the White River watershed. Triad must also undertake restoration efforts and mitigate impacts from its mining activities by enhancing stream beds and creating buffer areas that will benefit aquatic life and recreational resources for the people of Indiana.

Triad, a subsidiary of James River Coal Company, obtained the required Surface Mining Control and Reclamation Act permits from the state of Indiana for its mining operations, but never obtained the required CWA permit for the site, despite the fact that its surface mining operation involved excavating coal seams located directly below stream beds.

On March 24, 2008, the Army Corps of Engineers issued a cease and desist order requiring Triad to stop its unauthorized stream-filling activities. Triad continued its mining practices until the Army Corps of Engineers sent a second order on June 24, 2009, which Triad complied with. Since the second order was issued, Triad has continued mining, but has avoided additional impacts to streams.

Under the settlement, Triad must restore 34,906 linear feet of streams and enhance 4,330 linear feet of stream bed to address and mitigate impacts to stream beds caused by its mining activities. Triad will also create and maintain 66 acres of forested buffer areas and nine acres of forested wetland to protect the restored streams. Triad will also pay a $810,171 civil penalty.

The proposed settlement, lodged in the U.S. District Court for the Southern District of Indiana, is subject to a 30-day comment period and final court approval. (EPA)

More information on the settlement

Mining Ban Near Grand Canyon Extended By Dept of Interior

2012-01-09T11:14:00.002-05:00

The Interior Department is moving forward with a plan to ban new mining claims on 1 million acres near the Grand Canyon, which is known to contain high-grade uranium ore. Interior Secretary Ken Salazar is expected to finalize a 20-year ban on new mining claims on public land surrounding the Grand Canyon at an event Monday in Washington.

The Center supports the ban because of the threat to the Colorado River. The Colorado River, which runs through the Grand Canyon, is the source of drinking water for 26 million Americans.

The mining industry and some Republican members of Congress called the ban detrimental to Arizona’s economy and the nation’s energy independence. Rep. Jeff Flake (RAriz.) and other GOP lawmakers are backing legislation to prevent Salazar from moving forward with the 20-year ban.

The ban would not affect more than 3,000 mining claims already staked in the area near the Grand Canyon. The Bush administration had opened up the land to new mining claims. Salazar reversed the Bush policy in 2009 and called for a two-year moratorium on new mining claims around the canyon. He followed up with a six-month extension last year. (AP, Wash Post, 1/9/2012)

Beijing To Use PM 2.5 Air Quality Monitoring Level

2012-01-07T22:33:00.000-05:00

Beijing will be the first Chinese city to publicize hourly air quality data based on the so-called PM2.5 standard, which measures particles smaller than 2.5 microns that cause the most serious health problems because they get deep inside the lungs. Chinese authorities now publish data that measure larger air particles of up to 10 microns in diameter. The decision represents one of the most significant examples yet of Chinese authorities yielding to public pressure exerted principally over the Internet via microblogs, which are similar to Twitter and have become hugely popular over the last few years.

The Beijing Municipal Environmental Protection Bureau said late Thursday that it would start PM2.5 readings every hour on its website by the start of the Lunar New Year on Jan. 23, and in real time by the end of 2012. The national government had previously said PM2.5 readings were only for internal use and did not have to be made public until 2016.

Beijing is ranked as one of the world's most polluted cities by the World Health Organization and is regularly shrouded in choking smog that grounds flights, forces parents to keep children indoors, and causes widespread respiratory problems. Beijing was the fifth worst with average annual levels of 121 micrograms per cubic meter of air, compared with a global average of 71 and a recommended level of 20.

The most polluted city in the U.S. based on PM10 was Bakersfield, Calif., with an average of 38 micrograms, according to the WHO report. (WSJ, 1/7/2012)

BP, Halliburton & Transocean Contest Federal Spill Charges

2012-01-07T18:50:00.001-05:00

BP, Halliburton and Transocean Ltd are contesting charges that were issued by U.S. regulators in response to the explosion at the Deepwater Horizon drilling rig in 2010 and the ensuing oil spill. The Interior Department last year issued citations saying all the firms violated federal rules, leading to the worst offshore spill in U.S. history.

Charges were expected for BP, but the "incidents of noncompliance" given to Halliburton and Transocean surprised the oil industry. Contractors hired by a well's owner typically escape liability in such situations.

The citations will likely serve as the foundation for future fines from U.S. officials. Their significance, however, lies in the fact that they could be used in lawsuits that seek to assign blame for the oil spill. The appeals will be reviewed by a panel of administrative judges known as the Interior Board of Land Appeals. (WSJ, 1/6/2012)

EPA Releases 2010 Toxics Release Inventory National Analysis

2012-01-06T08:58:00.001-05:00

The U.S. Environmental Protection Agency (EPA) is releasing its annual national analysis of the Toxics Release Inventory (TRI), providing all Americans with vital information about their communities. The TRI program publishes information on toxic chemical disposals and other releases into the air, land and water, as well as information on waste management and pollution prevention activities in neighborhoods across the country. Total releases including disposals for the latest reporting year, 2010, are higher than the previous two years but lower than 2007 and prior year totals. Many of the releases from TRI facilities are regulated under various EPA programs and requirements designed to limit human and environmental harm.

Citizens have a right to know what toxic chemicals are being released into their communities. Over the past 25 years, the TRI program has helped citizens, emergency planners, public health officials, and others protect human health and the environment by providing them with toxic chemical release and other waste management data they need to make decisions that affect the safety and welfare of their communities.

The 2010 TRI data show that 3.93 billion pounds of toxic chemicals were released into the environment nationwide, a 16 percent increase from 2009. The increase is mainly due to changes in the metal mining sector, which typically involves large facilities handling large volumes of material. In this sector, even a small change in the chemical composition of the ore being mined -- which EPA understands is one of the reasons for the increase in total reported releases -- may lead to big changes in the amount of toxic chemicals reported nationally. Several other sectors also reported increases in toxic releases in 2010, including the chemical and primary metals industries.

Total air releases decreased 6 percent since 2009, continuing a trend seen over the past several years. Releases into surface water increased 9 percent and releases into land increased 28 percent since 2009, again due primarily to the metal mining sector.

EPA has improved this year’s TRI national analysis report by adding new information on facility efforts to reduce pollution and by considering whether economic factors could have affected the TRI data. With this report and EPA’s Web-based TRI tools, citizens can access information about the toxic chemical releases into the air, water, and land that occur locally. Finally, EPA’s first mobile application for accessing TRI data, myRTK, is now available in Spanish, as are expanded Spanish translations of national analysis documents and Web pages.

TRI data is submitted annually to EPA and states by multiple industry sectors including manufacturing, metal mining, electric utilities, and commercial hazardous waste facilities. Facilities must report their toxic chemical releases to EPA under the federal Emergency Planning and Community Right-to-Know Act (EPCRA) by July 1st of each year. The Pollution Prevention Act of 1990 also requires information on waste management activities related to TRI chemicals. (EPA)

More on the 2010 TRI analysis and TRI Web-based tools

More on myRTK

3rd Merger Attempt For Duke Energy & Progress Energy

2012-01-06T08:13:00.000-05:00

Duke Energy and Progress Energy are submitting a new proposal for their corporate merger this month as the North Carolina power companies make a third attempt to appease federal monopoly concerns. According to Progress CEO Bill Johnson, who would run the combined Duke Energy out of Charlotte, the challenge will be to preserve the $650 million in savings promised to regulators in the Carolinas while also selling off a sizable chunk of electricity into wholesale markets to appease federal regulators. Part of the modeling process is: What would you sell and at what price, and who would buy it?

Federal regulators have not questioned the merits of the proposed merger, which would create the nation's largest electric utility. Duke and Progress believe the efficiencies achieved through the merger would make it easier to pay for building new power plants, comply with costly environmental regulations and upgrade the aging power grid.

Executives at Duke and Progress had expected to have the merger completed in December, but they ran into snags when the Federal Energy Regulatory Commission (FERC) twice rejected their proposals. The federal commission said the companies must address concerns that the combined Duke would become so large it could manipulate wholesale electricity prices. FERC said they could sell off wholesale power, sell off stakes in their power plants or build more transmission lines. (Winston-Salem Journal, 1/5/2012)

National Radon Action Month

2012-01-04T11:36:00.006-05:00

EPA Recognizes Nat'l Radon Action Month: Test for Radon Gas to Protect Health

The U.S. Environmental Protection Agency (EPA) is encouraging Americans this January, as part of National Radon Action Month, to take simple and affordable steps to test their homes for harmful levels of radon gas. Radon, a colorless odorless gas, is the leading cause of lung cancer among non-smokers. Radon can seep into a home from underground and if left to accumulate, high levels of radon can cause lung cancer. Improving indoor air quality by increasing awareness of environmental health risks, such as radon gas, supports healthier homes and communities.

Approximately 21,000 people die from radon related lung cancer each year in the United States, yet elevated levels of this health hazard can be prevented through these simple steps:

EPA and the U.S. Surgeon General recommend that all homes, both with and without basements, be tested for radon. Affordable Do-It-Yourself radon test kits are available at home improvement and hardware stores and online or a qualified radon tester can be hired.

EPA recommends taking action to fix radon levels above 4 Picocuries per Liter (pCi/L). Addressing high radon levels often costs the same as other minor home repairs.

By testing and fixing for elevated levels of radon in your home, you can help prevent lung cancer while creating a healthier home and community.

Radon is a natural, radioactive gas that comes from the breakdown of uranium in soil, rock and water. It can enter homes through cracks in the foundation or other openings such as holes or pipes. In addition to testing for radon, there now are

In 2011, EPA announced the Federal Radon Action Plan, along with General Services Administration and the Departments of Agriculture; Defense; Energy; Health and Human Services; Housing and Urban Development; Interior; and Veterans Affairs. This action plan will demonstrate the importance of radon risk reduction, address finance and incentive issues to drive testing and mitigation, and build demand for services from industry professionals.

More information on how to Test, Fix, Save a Life, obtain a text kit, or contact your state radon office: or call 1-800-SOS-RADON

More information on the Federal Radon Action Plan

Solar Energy Industries Association Merges with Solar Alliance

2012-01-04T07:45:00.002-05:00

The Solar Energy Industries Association (SEIA), which represents 1,100 solar companies around the country has merged with the Solar Alliance in order to focus more on state-level policy issues. The focus on state-level policy will allow SEIA to speak in energy markets across the country and communicate that solar is cost competitive in all 50 states. As part of the merger, SEIA is establishing a department for state affairs, which will include staff from the Solar Alliance.

The Solar Alliance, which counts about three-dozen solar companies as members, works with state officials and policymakers to advocate for solar energy. The merger comes at a time when the solar industry faces a number of challenges, including an uncertain regulatory environment and competition from countries such as China, which has invested billions in renewable energy. (The Hill, 1/2/2012)

American Water Infrastructure Funding, Repair & Replacement

2012-01-03T08:06:00.006-05:00

At a Senate hearing last month, it was estimated that, on average, 25 percent of drinking water leaks from water system pipes before reaching the faucet. The same committee was told it will take $335 billion to resurrect water systems and $300 billion to fix sewer systems.

About $9.4 billion more per year is needed for water and sewer work between now and 2020, according to a study released last month by the American Society of Civil Engineers. Without that, many Americans should prepare for regular disruption of water service and a jump in contamination caused by sewage bacteria, the study said.

Nationwide, an estimated 1.7 trillion gallons of water leaks from pipes each year before it can be put to use. About 900 billion gallons of raw sewage flows into waterways.

The District of Columbia's water system servers as a good example of the needs in other cities:

The average D.C. water pipe is 77 years old with many being installed in the 19th century. Sewers are even older. Most should have been replaced decades ago. Emergency crews rush from site to site to tackle an average of 450 breaks a year. Raw sewage flows into the Potomac, the Anacostia and Rock Creek whenever it rains hard — hundreds of times a year — an annual flush of about 3 billion gallons, according to D.C. Water. Firefighters are equipped with computerized cue sheets to tell them which of the 9,157 hydrants in the District have enough water pressure to put out a fire.

The average water and sewer bill has gone up about 50 percent in just four years, to $65 a month for single-family homes. Unless there is federal regulatory relief, it may climb to $100 a month by the end of the decade. The decrepit system has 1,300 miles of water pipe and 1,800 miles of sewers. The water pipes are being replaced at an average of 11 miles a year. At that rate, replacing them all will take more than 100 years.

(Wash Post, 1/2/2012)

Center Special Projects Chairman Builds Water Wells in Senegal

2012-01-02T20:02:00.002-05:00

Doc Sloan Works Water Resources in Africa

Dr. Sloan started a fresh drinking water campaign in Senegal more than 20 years ago that has led to the location and construction of 158 wells in Africa. Doc worked to elevate the capabilities to include state-of-the-art, real time water quality monitoring with passive filtering techniques that can be utilized without the need for large power requirements, complicated maintenance or technical skills that are frequently not available in locations where the capability is needed most.

Dr. Sloan Inspects Fresh Water Well in Senegal

Dr. Sloan works with many organizations to help fund these programs. There are numerous studies on the topic, but it is generally accepted worldwide that the provision of clean, fresh drinking water to the general population could have profound and lasting benefits of good health by virtue of the significant reduction in the transmission of infectious disease.

Doc Sloan and his son Dr. Erik Sloan inspect fishing fleet in Africa
as part of a Sustainable Resource Revenue opportunity for local communties

Dr. Sloan can provide further information about the programs and donations can be made directly to the Center for these critical efforts at DocSloan@cfece.org or contact us at cfece@msn.com , or by phone at the main office at 443-569-5102.

[More]

DC Water Breaks Ground on $2.6 Billion Clean Rivers Project

2012-01-02T12:56:00.001-05:00

Largest Construction Project in DC Since Building of Metro

Anacostia River projects overview and tunnel alignment.

The District of Columbia Water and Sewer Authority (DC Water) broke ground in October 2011 on its largest construction project ever, and the District’s largest since Metro was built. The $2.6 billion Clean Rivers Project aims to nearly eliminate combined sewer overflows to the Anacostia and Potomac rivers and Rock Creek, also improving the health of the Chesapeake Bay.

Massive machinery like this will be used to tunnel along, and under, the Anacostia River.

As in many older cities, about one-third of the District has a combined sewer system. A combined sewer overflow (or CSO) occurs during heavy rain when the mixture of sewage and stormwater cannot fit in the sewer pipes and overflows to the nearest water body. CSOs direct about 2.5 billion gallons of combined sewage into the Anacostia and Potomac rivers and Rock Creek in an average year. CSOs contain bacteria and trash that can be harmful to the environment.

The 23-foot diameter tunnels that will store combined sewer overflows will be similar to this one.

The Clean Rivers Project consists of massive underground tunnels to store the combined sewage during rain events, releasing it to the Blue Plains Advanced Wastewater Treatment Plant after the storms subside.

Blue Plains Advanced Wastewater Treatment Plant is the largest advanced wastewater treatment plant in the world.

The first tunnel system, and the largest, will serve the Anacostia River. The first part of that system, named the Blue Plains Tunnel, is 23 feet in diameter and runs more than 100 feet deep. It will extend from Blue Plains in Southwest DC, roughly along the east bank of the Potomac, crossing under the Anacostia and extending along the west bank to about RFK Stadium.

DC Water, Officials Break Ground on $2.6 Billion Clean Rivers Project

Since the early 1900s, only sewer systems with separate pipes (for sewage and stormwater) have been installed in the District. The Clean Rivers Project is the result of a 2005 federal consent decree. DC Water is beginning discussions with the parties on reopening the agreement. The goal would be to explore green-development technologies that could reduce or eliminate future pieces of the project, create jobs, green the District and reduce rate increases for customers. (DC Water)

Natural Gas At Lowest Price In A Decade: Below $3

2012-01-02T09:28:00.001-05:00

U.S. natural gas prices fell to their lowest point in more than two years ($2.989 per million British thermal units-BTUs), as new drilling techniques unlocked vast new stores of natural gas from shale formations and other so-called unconventional reservoirs. Unusually mild temperatures across much of the U.S. have also reduced demand for gas to heat homes and offices. Natural gas for February delivery settled Friday at the lowest closing price for the commodity since September 2009. It closed below $3 in the winter for the first time in nearly a decade.

The sub-$3 levels for gas prices in the winter really point to the incredible amount of nonconventional gas that has come onto the market the last two years. Production levels, a mild winter and the gas in storage have combined to crush natural gas prices this month.

Natural gas traded as high as $13 per million British thermal units in July 2008. But in recent years, domestic production boomed, with horizontal drilling techniques and hydraulic fracturing, or "fracking," helping producers unleash a flood of gas from shale formations in Pennsylvania, Arkansas and elsewhere.

Natural gas production in the lower 48 states hit a record 71.3 billion cubic feet a day in October, according to the U.S. Department of Energy.

Cheap gas hurts energy company profits. Chesapeake Energy Corporation is the second-largest U.S. producer of natural gas after Exxon Mobil Corporation.

The Environmental Protection Agency recently ordered power plants to cut emissions of pollutants by 2016. Gas producers envision plants ditching coal for cleaner-burning gas. If the U.S. is going to make a very large move on its greenhouse gas reductions, natural gas will be a big part of that. (WSJ, 12/31/2011)

Department of the Interior Accelerating Solar Projects

2012-01-02T09:01:00.000-05:00

The U.S. Department of the Interior says it has now pushed through 27 renewable-energy projects totaling 6,500 megawatts since 2009, compared with about 1,800 megawatts in all prior years, the result of more staff working on a fast-tracked permitting process. As Interior has devoted more resources to clean energy, the oil and gas industry has accused it of slow-walking drilling permits and not opening enough federal lands and waters for exploration.

Energy projects must get federal permits if they are built on public land or if their transmission lines pass through a federal right of way. Most wind projects aren't located on public land, but some big U.S. solar and geothermal power plants are being built on public lands in the West.

Before 2010, the U.S. had never approved a utility-scale solar farm on public land. Interior has now approved 16 solar projects totaling about 5,600 megawatts. It is projected that the department would surpass the goal of permitting 10,000 megawatts of renewable energy on public land next year, three years ahead of a schedule Congress laid out in 2005. (WSJ, 1/2/2012)

Venezuela To Pay Exxon Mobil $908 Million Instead of $7 Billion

2012-01-02T08:48:00.001-05:00

An international arbitration panel awarded U.S. oil major Exxon Mobil Corp. about $908 million in a verdict over oil assets nationalized by Venezuelan President Hugo Chavez in 2007. The payout is substantially lower than the $7 billion that Exxon was seeking in restitution. Venezuelan state oil company Petroleos de Venezuela SA (PdVSA) got off lightly, to put it mildly. Both parties are still awaiting a decision on the suit filed by Exxon's local subsidiary, Mobil Cerro Negro Ltd., against Venezuela in front of the World Bank's International Centre for Settlement of Investment Disputes, or ICSID, where the Chavez administration is facing around 20 pending cases. With billions in potential payouts looming, the number of cases has been the source of constant concern for holders of Venezuelan sovereign bonds.

Hugo Chavez

The verdict comes four years after Exxon, the world's largest publicly traded oil company, left Venezuela in a spat with the country's government, which decreed that the state oil monopoly would have the majority stake in joint ventures with foreign partners. By law, PdVSA now holds at least 60% of all oil projects.

Exxon has said that it invested around $750 million into the Cerro Negro facility. The company reduced its claim to $7 billion from an initial claim of $12 billion.

PdVSA posted a net profit of $4 billion during the first six months of 2011. The Venezuelan oil monopoly has faced declining oil production and cash flow problems in recent years as Chavez diverts large portions of revenue toward social projects, which critics say has resulted in insufficient investments into maintenance. (WSJ, 1/2/2012)

Court Delays Enforcement of EPA Cross State Air Pollution Rule

2011-12-31T09:47:00.002-05:00

A federal appeals court in Washington ruled Friday that the U.S. Environmental Protection Agency must delay enforcement of a regulation aimed at reducing power plant pollution in 27 states. The rule was to go into effect Monday, January 1, 2012, but the court granted a delay sought by more than a dozen electric power companies, municipal power plant operators and states.

The EPA, in a statement, said it was confident that the rule would ultimately be upheld on its merits. But the agency said it was “disappointing” the regulation’s health benefits would be delayed, even if temporarily.

Republicans in Congress had unsuccessfully attempted to block the rule through legislation, saying it would shutter some older, coal-fired power plants and kill jobs. While the Republican-controlled House passed legislation to block the rules, the Senate — with the help of six Republicans — rejected an attempt to stay the regulation.

And theWhite House had threatened to veto it. The rule, finalized by the Environmental Protection Agency in July, replaces a 2005 Bush administration proposal that was rejected by a federal court. In the first two years, the EPA estimates that the regulation and some other steps would have slashed sulfur dioxide emissions by 73 percent from 2005 levels and nitrogen oxides bymore than half.

Sulfur dioxide and nitrogen oxide pollution from power plant smokestacks can be carried long distances by the wind and weather. As they drift, the pollutants react with other substances in the atmosphere to form smog and soot, which have been linked to various illnesses.

Six states — Texas, Nebraska, Florida, Kansas, Louisiana and Ohio — had asked the court for the delay. All would have had to reduce pollution from their power plants under the regulation. They were joined by local power plant operators and power generating companies, including Entergy, Luminant Generation and GenOn Energy. (Wash Post, 12/31/2011)

Federal Judge Puts Hold On Portion of California CO2 Reg

2011-12-30T08:05:00.002-05:00

Federal Judge Lawrence J. O'Neill, of the U.S. District Court for the Eastern District of California in Fresno, rejected the state's greenhouse-gas emissions regulations, finding that California's effort to control fuel imports infringed on Congress's constitutional authority over interstate commerce. It is a victory for refiners and ethanol producers because the ruling says the regulations would have discriminated against crude oil and ethanol imported into the state. The ruling means that refiners and ethanol producers won't have to buy credits when importing oil and ethanol into California, as the regulations would have required in certain cases.

The decision puts on hold a major portion of California's effort to cut greenhouse-gas emissions, at a time when the most-populous state's stance has taken on extra importance nationwide because of a stalemate in Washington over greenhouse-gas legislation.

Refiners and ethanol producers filed a lawsuit over the issue two years ago, arguing the rules penalize suppliers that use crude oil or ethanol from outside the state and would lead to higher costs for consumers.
Judge O'Neill hasn't issued a final decision on the case, but on Thursday he barred California from enforcing the rules while the lawsuit continues.

In setting out the rules, the California Air Resources Board calculated a "carbon intensity" score for different types of fuel, favoring biofuels over carbon-heavy crude, and also assigning imported fuels a higher "carbon intensity" score. To comply with the rules, companies could in some cases be forced to buy credits for fuel scoring high on the carbon intensity scale.

California said the rules on importing were justified because suppliers burn fuel and emit carbon when they transport fuels into the state.

The California Air Resources Board, which put the rules in place in 2010, said it would appeal the ruling and ask the court to "stay its preliminary injunction order in the shortest time possible."

The low-carbon rules on transportation fuels were approved by the California Air Resources Board as part of a sweeping initiative to limit greenhouse-gas emissions, signed in 2006 by then-Gov. Arnold Schwarzenegger. The Republican governor had allied himself with Democratic lawmakers in Sacramento in seeking to make California a world leader in the fight against carbon emissions.

Under the legislation, the state aims to cut its total emissions by 174 million metric tons by 2020, with most of the reduction intended to come from a cap-and-trade program on carbon credits. About 15 million metric tons, or 9% of the total, would come from the low-carbon fuel requirements such as mandating more use of ethanol and biodiesel in vehicles.

The rules have come under broad attack, legally and politically. A ballot measure in 2010 known as Proposition 23 would have kept provisions of the legislation from going into effect until California's unemployment rate dropped by more than half. That measure was defeated by voters, but Judge O'Neill's order adds new uncertainty. (WSJ, 12/30/2011)

EPA Finalizes 2012 Renewable Fuel Standards

2011-12-30T07:51:00.000-05:00

The U.S. Environmental Protection Agency (EPA) today finalized the 2012 percentage standards for four fuel categories that are part of the agency’s Renewable Fuel Standard program (RFS2). EPA continues to support greater use of renewable fuels within the transportation sector every year through the RFS2 program, which encourages innovation, strengthens American energy security, and decreases greenhouse
gas pollution.

The Energy Independence and Security Act of 2007 (EISA) established the RFS2 program and the annual renewable fuel volume targets, which steadily increase to an overall level of 36 billion gallons in 2022. To achieve these volumes, EPA calculates a percentage-based standard for the following year. Based on the standard, each refiner and importer determines the minimum volume of renewable fuel that it must ensure is
used in its transportation fuel.

The final 2012 overall volumes and standards are:

Biomass-based diesel (1.0 billion gallons; 0.91 percent)

Advanced biofuels (2.0 billion gallons; 1.21 percent)

Cellulosic biofuels (8.65 million gallons; 0.006 percent)

Total renewable fuels (15.2 billion gallons; 9.23 percent)

Last spring EPA had proposed a volume requirement of 1.28 billion gallons for biomass-based diesel for 2013. EISA specifies a one billion gallon minimum volume requirement for that category for 2013 and beyond, but enables EPA to increase the volume requirement after consideration of a variety of environmental, market, and energy-related factors. EPA is continuing to evaluate the many comments from stakeholders on the proposed biomass based diesel volume for 2013 and will take final action next year.

Overall, EPA’s RFS2 program encourages greater use of renewable fuels, including advanced biofuels. For 2012, the program is implementing EISA’s requirement to blend more than 1.25 billion gallons of renewable fuels over the amount mandated for 2011. (EPA)

More information on the standards and regulations

More information on renewable fuels

2011-12-29T09:09:00.001-05:00

Oklahoma based Chesapeake Energy Corporation will sell $865 million worth of Pennsylvania pipelines to a spun-off subsidiary as part of the oil and gas explorer's broader push to trim debt and close a projected funding gap. Chesapeake formed Chesapeake Midstream, a master limited partnership, or MLP, with private investment fund Global Infrastructure Partners. Shares were sold publicly last year with Chesapeake retaining about a 35% stake. Chesapeake Midstream Partners LP will gain a 47% interest in about 200 miles of pipelines and other gas-gathering assets in Pennsylvania's Marcellus Shale formation.

Chesapeake, the second largest natural gas producer in the U.S., has become the oil patch's predominant deal maker, relying increasingly on asset sales and partnerships to fund drilling and acquisitions of new production fields. The company says it plans to raise $7 billion in 2012 through joint ventures in oil and gas fields, divesting its stakes in oil producer Chaparral Energy Inc. and oilfield service company FTS International Inc., and selling public shares of its own oilfield service company. By comparison, it expects operating cash flow to amount to $6 billion next year.

Wednesday's deal is Chesapeake's second with its spin-off. A year ago it sold its network of Louisiana pipelines for $500 million. Acquiring the Pennsylvania assets, which handle more than a billion cubic feet of gas per day, will make Chesapeake Midstream the largest gathering and processing master limited partnership as measured by throughput volume. (WSJ, 12/29/2011)

James Connaughton Gets It Right With Cap & Trade

2011-12-26T19:50:00.000-05:00

James Connaughton

Former White House Council On Environmental Quality (CEQ) Chairman James Connaughton is remaining true to the cap and trade philosophy that was developed by his former boss's father. Republicans and Democrats have switched sides on emissions trading, but Jim is sticking with an approach that the Center agrees is the best way to mitigate emissions.

Connaughton states:

The more market-based approach [cap-and-trade regulatory system] creates opportunities to optimize your pollution control of both [smog-forming compounds] and air toxics. Performance-based [regulations] set the target, usually based on benefit/cost, and then let the private sector sort out the most cost-effective way to get there. And there’s no better example of that than the acid rain trading program. Its main purpose was to deal with the acidification associated with power plant emissions. And no program has been more successful at lower costs, with lower bureaucracy, with virtually no litigation.

If you have a really effective and stringent market-based approach to air pollution, you’re going to get rid of a lot of your air toxics. Now, are you still left with peaks and valleys from one region to another? Yes. But are the peaks and valleys a lot smaller than they were before you did the market-based regulation? Absolutely. The “hot spot” becomes a less and less applicable concept as we get dramatic pollution reductions. You’re always going to have an unequal distribution of emissions of some sort, but pollution is so low now that, relatively speaking, the highs are just not that far away from the lows. Before, there used to be big differences.

(More-The Center for Public Integrity Interview, 12/22/2011))

China Coal Company Buys Into Australia Coal Mining

2011-12-26T12:25:00.000-05:00

Yanzhou Coal Mining Company will become the largest standalone coal miner on the Australian stock exchange after Gloucester Coal Ltd. announced that its largest shareholder, Noble Group Ltd. will accept a $2.2 billion reverse takeover. Gloucester’s directors urged shareholders to accept the offer, which is conditional on the successful completion of due diligence and an independent expert’s report finding that the offer is fair and reasonable. Singapore’s Noble Group owns 64.5% of Gloucester, and confirmed in a statement that it intends to accept the offer in the absence of a superior proposal. Singapore-listed Noble Group said that it expects book a gain of about $200 million from its divestment.

Gloucester said the merged entity will be 23% owned by its shareholders and 77% by Yanzhou, which will contribute about $2.7 billion of debt immediately after the deal is completed.

Diversified mining houses BHP Billiton Ltd. and Rio Tinto Ltd. are the biggest coal miners listed in Australia, the world’s biggest exporter of coal.

Rio Tintoand partner Mitsubishi Corp. recently bought the remaining shares they didn’t hold in Coal & Allied Industries Ltd. in a deal that valued the target at A$10.8 billion.

U.S. coal miner Peabody Energy Corp. in November gained control of Macarthur Coal Ltd. with a A$4.9 billion bid, and Whitehaven Coal Ltd. this month agreed to buy smaller Aston Resources Ltd. for almost A$2.3 billion.

By buying foreign assets outright, China is filling projected supply gaps as well as reducing its exposure to fluctuations in coal prices. (WSJ, 12/23/2011)

E.U. Emissions Trading System Takes Effect January 1, 2012

2011-12-22T20:45:00.004-05:00

The Court of Justice of the European Union in Luxembourg ruled in a lawsuit brought by the Air Transport Association of America, American Airlines and United Continental that aviation can be included in the E.U.'s emissions trading system (ETS). The decision cannot be appealed. The European Court of Justice earlier ruled that the EU could, from next year, include all carriers in a carbon trading system targeting polluters as part of the EU's efforts against climate change. The court said the plan "infringes neither the principles of customary international law at issue nor the Open Skies Agreement" covering transatlantic flights.

The US Department of Transportation said it opposed a court ruling which told US airlines to get ready to obey emissions rules in the same way EU companies do. US and Canadian carriers argued the decision was discriminatory and amounted to a backdoor tax. US Secretary of State Hillary Clinton had warned of reprisals ahead of the ruling.

Airlines landing or taking off in Europe will have to join the ETS on Jan. 1, 2012, getting 85 percent of their emissions certificates for free and buying the rest at auction. Even flights conducted by the U.S. Navy will be included.

U.S. air carriers said they would "comply under protest" when the law takes effect but would also press their argument in British court and in international forums.

Environmental groups welcomed the ruling as a necessary nudge for the U.S.

The aviation sector's burden in the ETS for 2012 is expected to be close to €500 million, based on current price forecasts for 2012, when the sector will face a shortfall of around 60 million tons. The cost rises to €9 billion total by the end of 2020.

The CO2 emissions of aircraft operators will be capped at 97 percent of their average 2004-2006 levels next year and 95 percent from 2013 forward. Airlines that do not use all their allowances can sell the excess, while those that are short will have to buy more. Airlines will need to start counting fuel consumption and emissions in 2012, and bills are expected to go out in early 2013, unless they can stop this measure.

Airlines initially would only be required to pay for 15% of the carbon they emit and would be allocated free allowances to cover the other 85%. Depending on decisions by airlines on how much to pass on to customers, the European commission has calculated that costs per passenger could rise between €2 and €12, much less than the €100 per allowance penalty it would impose on airlines that do not comply.

Several countries including Canada, the U.S., China and Russia have opposed these rules, and the airlines are hoping the fight moves to the political realm where countries can negotiate new rules through the Montreal-based International Civil Aviation Organization. (AFP, E&E Publishing, 12/21/2011, The Guardian, 12/21/2011)

Coal Plants Without Scrubbers Account for a Majority of U.S. SO2 Emissions

2011-12-22T14:49:00.000-05:00

Source: U.S. Energy Information Administration, based on Form EIA-860,
EPA Continuous Emissions Monitoring System, Ventyx Energy Velocity.
Note: Circles denotes plants with capacity greater than 25 megawatts.
Red circles are unscrubbed coal plants, green circles indicate coal plants
with scrubbers, and blue circles indicate coal plants that plan to add scrubbers.

Coal-fired electric power plants make up the largest source of national sulfur dioxide (SO2) emissions. The Cross-State Air Pollution Rule (CSAPR) calls for a 53% reduction in SO2 emissions from the electric power sector by 2014. To meet this goal, plant owners can implement one of or a combination of three main strategies: use lower sulfur coal in their boilers, retire plants without emissions controls, or install emissions control equipment—primarily flue gas desulfurization (FGD) scrubbers. Plants with FGD equipment generated 58% of the total electricity generated from coal in 2010, while producing only 27% of total SO2 emissions.

SO2 is formed during the combustion of coal. The amount of SO2 produced depends on the sulfur content of the coal burned in a boiler. FGD scrubbers remove the SO2 from a boiler's post-combustion exhaust (flue gas) by passing it through an alkaline solution. This process is also effective in removing acid gases, such as hydrochloric acid. Acid gases are expected to be regulated under EPA's Air Toxics Rule.

Source: U.S. Energy Information Administration,
based on EPA CEMS 2010 data. Note: Graph includes generation
and emissions from plants with capacity greater than 25 megawatts.

FGD scrubber SO2 removal rates vary based on characteristics such as the specific equipment type, age, and the sulfur content of the coal. New systems have the potential for removal efficiencies of up to 98% according to EPA estimates.

The sulfur content of coal varies by rank. Generally, bituminous coal and lignite coal have higher sulfur content than subbituminous coal, but this can vary by region. Bituminous coal is concentrated in the eastern half of the U.S, while subbituminous coal can be found in the west. Lignite production is concentrated in Texas, Louisiana, and North Dakota.

Subbituminous coal has the lowest sulfur content of the three main coal types, so plants that burn subbituminous coals have been less likely to add scrubbers. Of the plants without scrubbers, the ones burning subbituminous coal generated 69% of the electricity while only emitting 48% of the associated emissions in 2010 (see chart). Even though lignite-burning plants accounted for 16% of SO₂ emissions from scrubbed plants in 2010, they generated only 8% of the electricity from scrubbed plants. (DOE-EIA)

Mercury Utility MACT Rule Closes Old Plants & Creates Jobs

2011-12-22T12:53:00.000-05:00

PRESIDENT'S CORNER

By Norris McDonald

President George W. Bush issued the first mercury rules, but they were shot down in court. Now the Obama administration has issued mercury regulations (including other contanimants) that will probably close the oldest, dirtiest coal-fired power plants. Some utilities claim this will lead to job losses, but EPA Administrator Lisa P. Jackson counters that scrubber installations will create more jobs than will be lost via plant closure. I guess we will just have to wait and see. One thing is sure, scrubbers are now as large and complicated as the power plants they serve. They can cost just about as much as the power plants too. So signficant jobs should be created by their installation.

According to EPA:

It will cost about $9.6 billion annually to implement but will provide substantially more in health benefits each year. The EPA estimates the new regulation’s safeguards — which are slated to fully take effect in three years will prevent as many as 11,000 premature deaths a year by 2016 .

The EPA said some 60% of the 1,400 affected coal- and oil-fired generating units already complied with the rule. Many power companies, including Exelon Corp. and Calpine Corp., support the rules because they rely less on coal-burning generation.

Jackson estimated that only 4.7 gigawatts of the nation’s 1,000 gigawattsof electricity capacity,or less than one-half of 1 percent of the nation’s plants, would have to shut down as a result of the new standards.

Of course, critics complain that some of the health stats have been aggregated with other air laws and claim the numbers are inflated. Yet one thing is clear, mercury is a neurotoxin that can harm the nervous system.

As usual, the litigation has begun, but this rule should withstand lawsuits. The entire air regulation area frustrates me because it includes, in my opinion, a merry-go-round of legislation, regulation, litigation and it all starts over again. However, our standards for visible air pollution are stricter than EPA's standards: if you can see the air, it is not healthy to breathe. So therer would be many more nonattainment days for criteria pollutants than are designated under the EPA system.

We applaud EPA's rule and believe the utility sector will comply to the maximum extent possible.

Natural Gas Exports Could Raise Price of Domestic Supply

2011-12-22T11:45:00.002-05:00

Just a few years ago, the Center was working on the LNG import issue. Now the script has flipped and America is becoming an exporter of LNG due to the boom in domestic shale gas production via hydraulic fracturing. Of course, this flipping of the import/export issue is brewing a fight between companies that want to export some of America's fast-growing supply of natural gas and big manufacturers that oppose the exports because they rely on cheap domestic gas. Exporting natural gas could cause U.S. prices to increase and could pit manufacturers such as Dow Chemical Co. against energy producers like ConocoPhillips.

Companies are setting their sights on selling liquefied natural gas (LNG) to markets in Europe and Asia where natural gas sells for three to four times the price in the U.S. According to Platt's, natural gas in Japan and South Korea sells for more than $16 per million British thermal units, compared with a benchmark price of a little more than $3 per million BTUs in the U.S. The companies are looking to spend billions of dollars on new terminals that could ship out about 17% of U.S. daily production, or about 11 billion cubic feet per day, according to the Energy Department. But Dow Chemical and others say allowing exports will crimp the supply available to U.S. users and drive up prices here.

To send natural gas across the oceans, companies must supercool the fuel to minus 260 degrees and convert it to liquid form so it can be loaded onto tankers. Building massive coastal facilities to make liquefied natural gas requires multiple permits from Washington and states.

The Energy Department is looking at whether exports will drain U.S. supplies and inflate domestic prices. The Energy Information Administration, part of the department, is expected to deliver its analysis in a few weeks. If the department finds export terminals will raise the domestic price of natural gas and fail to serve the country's best interests, it could block applicants from exporting to most nations except those with free-trade agreements with the U.S. That could doom the projects.

Chemical companies would take a hti becuase they use natural gas as a raw material in car parts, bottles, cleaners, mattresses and other products. Dow Chemical, one of the most outspoken critics of the export proposals, says the U.S. would be better off using its cheap natural gas for domestic manufacturing instead of exports.

Energy companies say there is plenty of natural gas in the U.S. to meet domestic demand and support exports at the same time. They say building the giant export facilities would create construction jobs and boost long-term employment by encouraging a faster rise in U.S. natural-gas output.

While concern over price increases "gets the most airplay," the Energy Department is also examining potential benefits of exports, such as creating jobs and offsetting the large U.S. trade deficit.

Cheniere, which wants to start construction in 2012 on an export facility in Louisiana, is the only company to have cleared the Energy Department hurdle on exports. It got approval to export to most nations in May, before opponents had fully geared up to resist such plans. Cheniere has already signed long-term contracts to supply natural gas to the U.K.'s BG Group PLC, Spain's Gas Natural Fenosa and GAIL (India) Ltd.

Many companies that are seeking permission to export natural gas had planned to import it just a few years ago. Then U.S. production rose 18% between 2005 and 2010, with the bulk of the increase coming from gas trapped in rock formations known as shale. Import terminals are now gathering dust. Earlier this year, a terminal owned by Dominion Resources Inc. south of Baltimore had to buy a shipment of natural gas from overseas just to keep its equipment running.

With natural gas prices in the U.S. at multiyear lows, power companies can generate electricity more cheaply and pass the savings to consumers. (WSJ, 12/22/2011)

Justice Department Clears Exelon / Constellation Merger

2011-12-22T10:52:00.000-05:00

The Justice Department on Wednesday gave antitrust clearance to the merger of Exelon Corp. and Constellation Energy Group Inc. but said the companies must divest three electricity-generating plants in Maryland in order to proceed with the deal. The department said the transaction as originally proposed would have lessened competition for wholesale electricity and increased prices for consumers in the Mid-Atlantic region. The companies agreed to sell the plants as part of a proposed settlement that was filed in a Washington federal court.

The stock-for-stock transaction, announced in April, has been valued at nearly $8 billion.

The companies still need the approval of the Maryland and New York public-service commissions, as well as the Federal Energy Regulatory Commission and the Nuclear Regulatory Commission.

Constellation Chairman and Chief Executive Mayo Shattuck and Exelon President and Chief Operating Officer Christopher Crane will proceed with the merger proposal in 2012. (WSJ, 12/22/2011)

Maryland Public Service Commission Fines Pepco $1 Million

2011-12-22T09:42:00.003-05:00

The Maryland Public Service Commission (PSC) has fined the Potomac Electric Power Company (PEPCO) $1 million for tree-trimming failures that have led to dramatically higher outage durations. The PSC has also threatened to disallow future rate increases unless it improved its performance. And just when we were impressed with PEPCO's tree trimming action. They must have know this was coming because they have been out tree trimming like crazy in Prince George's County, Maryland.

Although each day of outages costs businesses and consumers tens of millions of dollars, we have felt that PEPCO has done a pretty good job of restoring power. We have to admit that they have fallen down a bit on the tree trimming though. Appears they are trying to make up for it now. But do not forget that the legislator and regulators REALLY BURNED PEPCO WITH BOTCHED DEREGULATION. The order said that tree-trimming failures led to dramatically higher outage durations and frequencies in 2010.

The commission order said:

“Pepco’s history of inconsistent and sometimes contradictory tree trimming practices between 1999 and 2010 imposed more costs and outages on customers than otherwise would have been the case had the company adhered to one coherent strategy. Pepco’s reliability problems were amplified by the utility’s refusal to increase the frequency of its tree trimming from once every four years to every two years. Those lapses contributed to poor performance in national reliability studies and increased the power system’s vulnerability to storms "

The commission also concluded that Pepco failed to conduct periodic inspections of its distribution lines and did not conduct after-storm inspections or patrols. Interestingly, PEPCO is replacing distribution lines along with the more aggressive tree trimming. The commission was especially critical of Pepco’s inability to accurately estimate how long it would take to restore service after major storms.

The order noted that Pepco had already initiated a five-year, $300 million program to improve reliability and planned to pass the cost along along to consumers. The commission cautioned that if the program did not reduce outages, the utility might have to pay those costs itself.

A Washington Post analysis found that the average Pepco customer experienced 70 percent more outages than customers of other big-city utilities and that the lights on average stayed out more than twice as long. Accoring to The Post, Pepco’s reliability began declining five years ago, but company officials failed to immediately mobilize to counteract the decline. (Wash Post, 12/22/2011)

National Academy of Sciences Report on Virginia Uranium

2011-12-20T10:13:00.004-05:00

The National Academy of Sciences (NAS) and National Academy of Engineering have completed a 22-month review of the proposed Virginia Uranium proposal to mine element in that state. The 302-page report says uranium could be mined, but the company would have to protect workers, the public and the environment in Virginia. The report said that “steep hurdles” need to be surmounted before Virginia’s longtime ban on uranium mining could be lifted.

Virginia has a decades old ban on uranium mining and many in Richmond expected the study to provide conclusions supportive of lawmakers seeking to lift the ban. Instead struck more of a cautionary tone.

The state’s Coal and Energy Commission, which ordered the study, will review the findings and recommend to the General Assembly in the next few weeks whether Virginia should lift the ban. The study did not recommend whether the site should be mined. Critics argue that the study is tainted because the company, Virginia Uranium, paid the $1.42 million cost for the report. This sort of arrangement is not unusual for such reports and is often the case in the preparation of environmental impact statements.

It is being reported that Virginia Uranium has aggressively lobbied lawmakersand has spoken to 100 of 140 legislators and flew more than a dozen of them to France and Canada to visit uranium mines. It is also being reported that Virginia Uranium has donated more than $150,000 to candidates in Virginia and retained five of Richmond’s most influential lobbying and public relations firms.

The 20-member Coal and Energy Commission asked the National Academy of Sciences in 2008 to conduct the study, despite objections from the General Assembly. Several studies have been released.

Thirty-two governmental organizations in Virginia and North Carolina have passed resolutions to keep the ban.

Uranium would be mined underground. (Wash Post, 12/20/2011)

The NAS Report

"Uranium Mining in Virginia: Scientific, Technical, Environmental, Human Health and Safety, and Regulatory Aspects of Uranium Mining and Processing in Virginia (2011)"

Report in Brief

A range of health and environmental issues and related risks are important considerations as Virginia deliberates on whether to rescind its almost 30-year moratorium on mining uranium. Although there are internationally accepted best practices to mitigate most of these risks, there are still steep hurdles to be surmounted before mining and processing could take place within a regulatory setting that appropriately protects workers, the public, and the environment.

Key Findings

• Of the sites in Virginia explored so far, only the Coles Hill uranium deposit appears to have the potential to be economically viable. Extensive site-specific tests would be required to determine the most appropriate mining and processing methods for each uranium deposit. Geological exploration carried out to date indicates that underground mining or open-pit mining are the probable methods of extraction for uranium deposits in Virginia.

• Protracted exposure of workers in uranium mining and processing facilities to radon decay products generally would be expected to represent the greatest radiation-related health risk. Exposure to radon is associated with lung cancer, a link that has been most clearly established in uranium miners exposed to radon. Cigarette smoking increases the risk.

• Other potential health risks for mine workers apply to any type of hard rock mining or other large-scale industrial or construction activity. The inhalation of silica dust and diesel exhaust, to which miners in general can be exposed, increases the risk of lung cancer and silicosis.

• Off-site releases of radionuclides could present some risk of radiation exposure to the general public, depending on how the release occurred and the density of the nearby population.

• Uranium tailings, the solid or semi-solid waste left after processing, present potential sources of radioactive contamination for thousands of years. Modern tailings management facilities are designed to prevent the release of radioactive contaminants for at least 200 years, but longer-term monitoring results from modern tailings facilities are not yet available.

• Virginia is susceptible to extreme natural events, including heavy precipitation and earthquakes, and any uranium mining and/or processing facility would need to take the possibility of such events into consideration during planning.

• Three over-arching best practices should be guiding principles if uranium mining were to be permitted: the need to plan at the outset of the project for the complete life cycle of mining, processing, and reclamation; the need to engage and retain qualified experts familiar with internationally accepted best practices for all aspects of a project; and the need to encourage meaningful and timely public participation throughout the life cycle of a project, beginning at the earliest stages.

• At a more specific level, there are numerous internationally accepted best practices that would contribute to operational and regulatory planning for uranium mining in Virginia. These cover the health, environmental, and regulatory impacts of uranium mining.

Additional Studies:

TECHNICAL REPORT ON THE COLES HILL URANIUM PROPERTY PITTSYLVANIA COUNTY, VIRGINIA, 2007

“Uranium Mining in Virginia," 2009

Proposed Coles Hill Virginia Uranium Mine and Mill: An Assessment of Possible Socioeconomic Impacts, RTI International, December 2011.

Origin of Uranium Mineralization at Coles Hill Virginia (USA) and its Natural Attenuation within an Oxidizing Rock-Soil-Ground Water System, 2001.

Fracking Creates Lucractive Market For Gas Liquids

2011-12-19T10:24:00.001-05:00

U.S. shale-oil and natural-gas boom opens another lucrative market—gas liquids used to make plastics

The hydraulic fracturing (fracking) method used to unlock vast amounts of crude and natural gas from previously unproductive shale formations across the U.S. is also are reaping large stores of ethane, propane and butane, known as natural-gas liquids. This is resuscitating the U.S. petrochemical industry, which just a few years ago was being strangled by the high costs of the raw materials.

Methane is the main component of natural gas, usually accounting for 70%–90% of the total volume produced. If gas contains more than 95% methane, it is sometimes termed dry or lean gas, and it will produce few, if any, liquids when brought to the surface. Gas containing less than 95% methane and more than 5% of heavier hydrocarbon molecules (ethane, propane, and butane) is sometimes called rich gas or wet gas. This gas usually produces hydrocarbon liquids during production.

Natural gas liquids include propane, butane, pentane, hexane and heptane, but not methane and ethane, since these hydrocarbons need refrigeration to be liquefied. The term is commonly abbreviated as NGL.

Processing ethane into chemicals is 50% cheaper than using crude oil-derived naptha and its availability has made U.S. petrochemical companies the envy of overseas competitors. It also brings the prospect of lower prices for auto parts, Styrofoam and other products.

The boom has turned into a potential profit center for oil-and-gas producers, as well as for the pipeline companies that transport the fuel. Demand for ethane grew to about 933,000 barrels a day during the first half of 2011, up from 812,000 barrels a day in 2009, according to Bentek Energy. But like the other fuels extracted from remote shale deposits, the biggest problem is how to get it to facilities that can process it.

A dearth of pipelines created a bottleneck that drove the price that petrochemical companies pay for ethane to 95 cents per gallon in the third quarter, from 60 cents at the start of the year, according to Dow Chemical Company. But even with that price spike, chemical companies prefer ethane over other chemicals. Ethane is still by far the preferred feed here in the United States and is much more cost-competitive than all of its equivalents.

To free up the flow of natural-gas liquids, about 12,000 miles of pipeline needs to be built by 2035, costing $14.5 billion, according to data from the Interstate Natural Gas Association of America, a trade association. Until those pipelines are built, higher production will make the market volatile as short-term fixes such as rail transport are used.

Some pipeline operators are working to expand their reach into oil- and gas-producing shale formations. Enterprise Products Partners LP is spending $7 billion on projects. That includes a 280,000 barrel-a-day pipeline joint venture with Anadarko Petroleum Corp. and Enbridge Energy Partners LP and a wholly owned 125,000-barrel-a-day pipeline, both of which will transport natural-gas liquids from the shale formations in the Northeast and mid-continent areas to the U.S. Gulf Coast, where the bulk of the petrochemical companies are located. DCP Midstream Partners LLC is also expanding its natural-gas liquids business, building two pipelines with a combined capacity of 350,000 barrels a day from the mid-continent and Texas to the Gulf Coast. (WSJ, 12/19/2011, NatgasInfo, Schlumberger)

Asplundh Tree Expert Company

2011-12-19T09:02:00.002-05:00

Since 1928 the Asplundh Tree Expert Company has been dedicated to safe, efficient and innovative line clearance services to the utility industry. Reliable, uninterrupted power is an important service provided by the world's electrical utilities and Asplundh has the expertise to help keep the power flowing. Diversification over the years has opened up vegetation management services to other specialized markets such as railroads, pipelines, municipalities and departments of transportation.

Their Mission Statement

At Asplundh, their mission is to be the recognized world leader in providing professional, safe, cost-effective and environmentally sustainable vegetation management and other utility-related services.

Who They Are and What They Do

A family-owned and operated corporation headquartered near Philadelphia, Pennsylvania, Asplundh has grown to employ over 26,000 service professionals throughout the U.S., Canada, New Zealand and Australia.

As a full-service utility contractor Asplundh performs tree pruning and removals, right-of-way clearing and maintenance, vegetation management with herbicides and emergency storm work and logistical support. Asplundh is the parent company of UtiliCon Solutions, Ltd. whose subsidiaries provide overhead and underground line construction, meter reading and installation, infrared inspection, utility pole maintenance, and street lighting/traffic signal services. (Asplundh)

[Note: PEPCO has contracted with Asplundh for tree trimming services in the Washington, DC region.]

EPA Releases Draft Findings on Pavillion, Wyoming Fracking

2011-12-19T08:37:00.003-05:00

Ground Water Investigation for Public Comment and Independent Scientific Review

Rebuttal

The U.S. Environmental Protection Agency (EPA) today (Dec 8) released a draft analysis of data from its Pavillion, Wyoming ground water investigation. At the request of Pavillion residents, EPA began investigating water quality concerns in private drinking water wells three years ago. Since that time, in conjunction with the state of Wyoming, the local community, and the owner of the gas field, Encana, EPA has been working to assess ground water quality and identify potential sources of contamination.

EPA constructed two deep monitoring wells to sample water in the aquifer. The draft report indicates that ground water in the aquifer contains compounds likely associated with gas production practices, including hydraulic fracturing. EPA also re-tested private and public drinking water wells in the community. The samples were consistent with chemicals identified in earlier EPA results released in 2010 and are generally below established health and safety standards. To ensure a transparent and rigorous analysis, EPA is releasing these findings for public comment and will submit them to an independent scientific review panel. The draft findings announced today are specific to Pavillion, where the fracturing is taking place in and below the drinking water aquifer and in close proximity to drinking water wells – production conditions different from those in many other areas of the country.

Natural gas plays a key role in our nation’s clean energy future and the Obama Administration is committed to ensuring that the development of this vital resource occurs safely and responsibly. At the direction of Congress, and separate from this ground water investigation, EPA has begun a national study on the potential impacts of hydraulic fracturing on drinking water resources.

Findings in the Two Deep Water Monitoring Wells:

EPA’s analysis of samples taken from the Agency’s deep monitoring wells in the aquifer indicates detection of synthetic chemicals, like glycols and alcohols consistent with gas production and hydraulic fracturing fluids, benzene concentrations well above Safe Drinking Water Act standards and high methane levels. Given the area’s complex geology and the proximity of drinking water wells to ground water contamination, EPA is concerned about the movement of contaminants within the aquifer and the safety of drinking water wells over time.

Findings in the Private and Public Drinking Water Wells:

EPA also updated its sampling of Pavillion area drinking water wells. Chemicals detected in the most recent samples are consistent with those identified in earlier EPA samples and include methane, other petroleum hydrocarbons and other chemical compounds. The presence of these compounds is consistent with migration from areas of gas production. Detections in drinking water wells are generally below established health and safety standards. In the fall of 2010, the U.S. Department of Health and Human Services’ Agency for Toxic Substances and Disease Registry reviewed EPA’s data and recommended that affected well owners take several precautionary steps, including using alternate sources of water for drinking and cooking, and ventilation when showering. Those recommendations remain in place and Encana has been funding the provision of alternate water supplies.

Before issuing the draft report, EPA shared preliminary data with, and obtained feedback from, Wyoming state officials, Encana, Tribes and Pavillion residents. The draft report is available for a 45 day public comment period and a 30 day peer-review process led by a panel of independent scientists. (EPA)

For more information on EPA's Pavillion groundwater investigation

Virginia Uraniuim Wants To Mine Uranium In Virginia

2011-12-17T12:07:00.002-05:00

Virginia Uranium wants to mine uranium in Southside, Virginia. A state-ordered study , conducted by RTI International for the Danville Regional Foundation, released last week predicted the creation of jobs (up to 1,000) and an economic boost to the beleaguered Southside economy ($70 million to $220 million). But, it also says, that “even if the mine and mill meet or exceed regulatory standards, detectable concentrations of uranium and other constituents would be released from the facility into the surrounding environment.” Another study by the National Academy of Sciences is expected to be released next week. Environmentalist oppose the project.

Virginia Uranium hopes to persuade the General Assembly to repeal the nearly three-decade moratorium on uranium mining at its session in January.

Two uranium deposits were found three decades ago in Coles Hill, near Chatham, a small town in Pittsylvania. They begin at the ground’s surface, under land used to raise cattle, hay and timber, and run about 1,500 feet deep. Virginia Uranium tests indicate 119 million pounds of uranium - worth as much as $10 billion - are below the surface. That would be enough to supply all the country’s nuclear power plants for about two years or all of Virginia’s demands for 75 years. (Wash Post, 12/16/2011)

EPA Finalizes Mercury & Air Toxics Standards (MATS)

2011-12-17T09:40:00.005-05:00

Final MATS to be issued by December 16, 2011

Utility Maximum Achievable Control Technology (MACT) Rule

EPA proposed the Mercury and Air Toxics Standards on March 16, 2011. The EPA issued the final standards on December 16, 2011. Since proposing this rule, EPA updated some of the mercury emissions data used to develop the proposed standards. The rules will prevent 91 percent of the mercury in coal from entering the air and much of the soot as well: According to EPA estimates, they will prevent 11,000 heart attacks and 120,000 asthma attacks annually by 2016.

The new rules will cost utilities $10.6 billion by 2016 for the installation of control equipment known as scrubbers, according to EPA estimates. But the EPA said those costs would be far offset by health benefits. The agency estimates that as of 2016, lowering emissions would save $59 billion to $140 billion in annual health costs, preventing 17,000 premature deaths a year along with illnesses and lost workdays. (EPA, Wash Post, 12/16/2011)

Background:

What is the Utility MACT (National Emissions Standards for Hazardous Air Pollutants [NESHAP] for Coal- and Oil- Fueled Electricity Generating Units)?

The Clean Air Act requires the Environmental Protection Agency (EPA) to regulate hazardous air pollutants, through the National Emissions Standards for Hazardous Air Pollutants program established in Sec. 112 of the Act. EPA must identify sources of the 188 hazardous air pollutants (HAPs) listed in section 112(b), including acid gases, asbestos, dioxin, benzene, chlorine, lead compounds, mercury, phosphorus, various metals and others. Major sources of these pollutants are those that emit 10 tons per year of a single HAP or 25 tons per year or more combined of several HAPs.

EPA promulgates technology-based standards for reducing HAP emissions using maximum achievable control technology (MACT) for both new and existing sources. Determination of the MACT considers a number of factors, including cost, energy requirements, and non-air quality health and environmental impacts.

As with some other Act programs, the Federal government establishes and state air quality programs implement NESHAP programs.

Who are the covered entities?

Starting with the mandate of the Clean Air Act Amendments of 1990 and then revised every eight years, EPA determines a list of categories and subcategories of sources of HAPs. After Congressionally-mandated EPA studies indicated that other rules were not substantially reducing HAP emissions from coal- and oil-fueled power plants, these plants were determined to be source categories of HAPs in 2000. Mercury is the most significant HAP emitted from coal- and oil-fueled power plants. These power plants are also significant emitters of other carcinogenic HAP metals, such as arsenic, nickel, cadmium, and chromium; HAP metals with potentially serious non-cancer health effect such as lead and selenium; and other toxic air pollutants such as the acid gases hydrogen chloride and hydrogen fluoride. There are 1,325 units at 525 power plants around the United States that will need to comply with the recently announced rule. Some of those power plants are more than fifty years old, and complying with the new regulations will be significantly more challenging and expensive than for newer facilities. Some of these older plants may be retired rather than incur the costs of installing new pollution control equipment.

What is the status of regulation?

After coal- and oil-fueled power plants were determined to be a source category in 2000 and therefore subject to regulation, EPA undertook to regulate mercury from these sources. This Bush Administration rule was known as the Clean Air Mercury Rule (CAMR) and would have instituted a cap-and-trade program for mercury emissions. A court ruled that EPA must regulate HAPs under section 112 and not under another section as proposed in CAMR. It vacated the 2005 rulemaking. EPA’s new utility MACT rule was proposed in March 2011, and scheduled to be finalized in November 2011. EPA delayed the final rule for a month, until December 16, 2011.

In September 2011, the House of Representatives passed H.R. 2401, the Transparency in Regulatory Analysis of Impacts on the Nation (TRAIN) Act, that would, among other regulations, delay implementation of the Utility MACT rule pending completion of additional economic studies (other than those EPA and the Office of Management and Budget have already conducted). This bill is unlikely to advance in the Senate. (Center for Climate and Energy Solutions)

Keystone XL Pipeline Legislation Will Not Speed Construction

2011-12-17T08:54:00.002-05:00

Legislation Could Inadvertently Force President Obama to Kill The Project

Senate leaders announced Friday evening a deal to extend the payroll tax holiday and unemployment benefits for two months. The deal includes House-passed language to expedite construction of the Keystone XL oil sands pipeline. But Democratic aides said this concession would have the effect of killing the project because the Obama administration has said it would not grant approval on a truncated timeline. Boehner and Senate Republican Leader Mitch McConnell (Ky.) said they would not accept even a temporary extension of the payroll tax holiday without the Keystone language.

The Obama administration delaying a decision on the pipeline project until 2013. The pipeline would deliver oil sands crude from Canada to Texas, but Republicans have sought to force the president to make a decision sooner.

President Obama will not accept an attempt by Congress to mandate construction of the pipeline before there is an adequate review of health, safety and environmental regulations. The State Department has already said that if the review was shortened to 60 days as it is in this bill, it won't be able to conduct the necessary review. So the pipeline will almost certainly not be approved, the official said, proving the entire process moot. They killed the Keystone XL pipeline because they forced the president to make a decision before he can make it so he’s not going to move forward with it.

The House-passed Keystone language merely speeds up the decision process but does not determine whether the project would be approved. Officials at the State Department, which has authority over approving the project, said they would not be able to conduct the necessary review if given only 60 days, the timeline set by House Republicans. (The Hill, 12/16/2011, The Hill, 12/16/2011)

TEPCO: Owner of the Fukushima Daiichi Nuclear Power Facility

2011-12-16T16:17:00.009-05:00

The Tokyo Electric Power Company (TEPCO) is the Japanese conglomerate at the center of the nuclear radiation emergency at Fukushima, Japan. TEPCO is the fourth largest power company in the world, and the biggest in Asia, operating 17 nuclear reactors and supplying one-third of Japan’s electricity. TEPCO was established in May 1, 1951.

TEPCO's first nuclear power facility, the Fukushima Daiichi Nuclear Power Station's No. 1 reactor (460 MW) began operation on March 26, 1971.

TEPCO's headquarters office is located at 1-1-3 Uchisaiwai-cho, Chiyoda-ku, Tokyo, JAPAN. Its Washington Office is located at Suite 720,1901 L Street, N.W.,Washington, D.C. 20036, U.S.A. Tel: +1-202-457-0790. TEPCO's London Office is located at Wing 7, Fourth Floor, Berkeley Square House,Berkeley Square London W1J 6BR, U.K. Tel: +44-20-7629-5271

TEPCO holds equity capital of 900.9 billion yen ($11.5 billion)

TEPCO has 38, 671 employees and 28.73 million customers.

TEPCO has electricity sales of 293,386 GWh (FY2010)

(TEPCO)

Maryland Governor Offers Deal on Exelon-Constellation Merger

2011-12-16T09:05:00.001-05:00

Martin O'Malley

Maryland Governor Martin O’Malley has offered his blessing to the merger of Exelon and Constellation Energy in exchange for commitments for funding of a new gas power plant, a potential doubling of the state’s output of solar energy and seed money to begin developing offshore wind power. This sounds a bit too good to be true. But O’Malley believes his deal to support the takeover of Maryland’s largest utility would net the state $1 billion in investment and potentially 6,000 saved or created jobs.
Chicago-based Exelon, which runs utility Commonwealth Edison, would receive final approval next month from state regulators for its proposed $7.9 billion takeover of Constellation Energy and subsidiary Baltimore Gas & Electric.

Under the deal, Maryland’s PSC will retain authority to spin off BGE, mostly in the event of catastrophes, such as a nuclear accident at Constellation-owned Calvert Cliffs or an Exelon bankruptcy,
but also in the event of repeated violationsof state orders. The deal calls for Exelon to build 120 megawatts of naturalgas generation and 125 megawatts of renewable energy generation. If the latter is done with landbased windmills, the state’s onshore generation of wind power energy would double.

The arrangement also requires 30 megawatts of new solar generation, which would nearly double Maryland’s output. The solar facility is expected to be built near Baltimore, and the power plant will be required to be built east of Frederick, near the state’s greatest area of energy demand. Half of the power must be online by the end of 2015, and the other half within 10 years. This is wildly optimistic.

Without the deal, Maryland lacked incentives to make significant progress toward its goal of
producing 20 percent of its energy from renewable sources within 10 years. But even with the help, the state will require a major infusion of renewable power from offshore wind or some other means to meet that mark.

Exelon also has promised to provide $30 million for an offshore wind development fund. (Wash Post, 12/16/2011)

Shenango Inc Coke Plant Upsetting Community Over Emissions

2011-12-15T20:58:00.001-05:00

The Allegheny County Pennsylvania Health Department monitors emissions near the Shenango Inc coke plant and has levied more than 150 citations for violations at the plant this year, including about 40 since August. DTE Energy, the Detroit-based company that owns the plant, is appealing 114 violations and $114,000 in fines it received through July.

Dr. George Sloan

Local groups want to discuss the reasons the violations occurred, whether the problem will be fixed, why the company appealed its fine and what it plans to do to improve the region's air quality. DTE, which bought the Shenango plant in 2008, has regularly participated in meetings of the Neville Island Community Advisory Panel. The health department is working with company officials on an agreement to create control measures to reduce harmful emissions when production increases.

Emissions are released when hot coke -- a fuel used in steelmaking that is produced by baking coal -- is moved from an oven to a quenching station. Shenango has 56 ovens inside its battery. Smoke from the plant can contain particulates and pollutants that can cause cancer and respiratory problems, according to the health department.

Dr. George Sloan, Chairman of Center Special Projects, intends to assist the community groups in monitoring and mitigating the emissions from the plant. (Pittsburgh Trib Live, 12/15/2011)

South Allegheny School District Needs School Air Filters

2011-12-15T16:30:00.001-05:00

The South Allegheny School District, located downwind from U.S. Steel's Clairton Coke Works, has asked the Allegheny County Board of Health to help fund the installation of air filtration systems at two of the district's schools in Liberty. According to documents submitted with the funding request, the district's schoolchildren have asthma rates 300 percent to 400 percent higher than national rates. The facility is located about 20 miles south of Pittsburgh in Clairton, Pennsylvania.

School officials asked the health board to appropriate money from the county's Clean Air Fund, which has a balance of about $10 million that has been collected from companies as a result of air pollution violations. The air filtration systems for 650 students and 200 faculty at the combination high school/middle school and at an Early Childhood Center attended by 80 students in pre-kindergarten through first grade would cost a total of $9.2 million, school district officials said.

In addition to the increased asthma rates among students, recent tests by the U.S. Environmental Protection Agency showed that elevated concentrations of benzene, a known carcinogen, were present in the schools.

South Allegheny is located in the county's hot spot for air pollution. The Health Department's air pollution monitor for the Liberty-Clairton area is located on the roof of South Allegheny High School and regularly registers the highest airborne particle readings in the county.

A $1 billion reconstruction and equipment upgrade at U.S. Steel's Clairton Coke Works is under way and is expected to result in significant air pollution reductions, but not until 2013 or 2014. The school district can't wait and has contacted area foundations, including the Heinz Foundation, for help in funding the new air filtration systems.

A similar air filtration system was installed at the district's elementary school. It cost about $10 million and was funded through a bond issue.

The Health Department has indicated that while there is enough money in the Clean Air Fund to finance the filtration systems, the money also is needed for other projects and programs. (Pittsburgh Post Gazette, 12/14/2011)

FERC Denies, Delays Duke Energy - Progress Energy Merger

2011-12-15T15:32:00.001-05:00

The Federal Energy Regulatory Commission (FERC) again rejected the proposed merger between Duke Energy and Progress Energy, assuring the $26 billion deal will not get done this year, and raising questions whether it can get done at all. FERC said the merger raises serious concerns about giving the companies too much monopoly power in North Carolina. Announced in January, the merger would create the nation's largest electric utility to be based in Charlotte. It would also result in the elimination of 1,860 positions, mostly in North Carolina.

Charlotte-based Duke and Raleigh-based Progress had argued the merger would result in hundreds of millions of dollars in savings for customers, and would hold down rising electricity costs. The deal had won support from the state's consumer advocate, known as the Public Staff, as well as from environmental advocacy groups.

Today's ruling was the second time the FERC said the merger was unacceptable. After the first such ruling in September, Duke and Progress said they'd cap their profit at 10 percent of some wholesale power sales, but the FERC said that wasn't good enough.

The agency said the companies' proposals to address monopoly concerns are vague, lack support, are riddled with flaws, and would not work. The feds said Duke and Progress still have the option of coming up with more alternatives to fix the problem.

The merger also requires approval by the N.C. Utilities Commission, but the commission had been waiting for the federal ruling before signing off on the deal. (News Observer, 12/14/2011)

Kenneth W. Cornew New President of Constellation Biz Unit

2011-12-14T21:32:00.001-05:00

Kenneth W. Cornew, president of the Exelon Power Team of Kennett Square, Pa., will be president of the Constellation business unit of Exelon Corp. after the $7.9 billion acquisition of Constellation Energy Group by Exelon is approved by federal and state regulators, Chicago-based Exelon said Wednesday.

Other appointments announced are Mark Huston, currently head of retail energy at Baltimore-based Constellation, to senior vice president, retail of the combined company; Joseph Nigro, currently senior vice president of portfolio management and strategy at Exelon, tosenior vice president, portfolio strategy; and Max Duckworth and Edward Quinn, currently co-heads of commodities at Constellation, to senior vice president, proprietary trading and fuels; and senior vice president, wholesale trading and origination, respectively.

All four will report to Cornew. (The Daily Record)

American Electricity Map - Electricity Tends To Flow South

2011-12-13T17:44:00.001-05:00

The map above shows that electricity tends to flow south in North America. The numbers on the map reflect average net power flows—metered hourly—between electric systems aggregated by regions for the year 2010. Most electric power demand is served by local generators. Net interregional trade accounted for less than 1% of delivered power in 2010. However, excess, low-cost power—primarily from hydroelectric generators in the Pacific Northwest, Manitoba, and Quebec—supplied higher-cost markets to the south. The numbers next to the arrows represent annual net flows of electricity between regions measured in millions of megawatt-hours.

Electricity tends to flow south in North America. Electricity flows south from the Northwest to California and the Southwest. It flows south from Manitoba to the Midwest and from there to the Central region (the Southwest Power Pool) and the Tennessee Valley Authority (TVA). Electricity also flows south from TVA to the Southern region (Southern Company) and from the Southern region into Florida. It flows south from eastern Canada into New England, New York, and the Midwest.

There is also a circular flow pattern from the Midwest region through the Central, Gulf, TVA, Southern and Carolinas regions into the Mid-Atlantic region (PJM Interconnection) and on to New York (New York ISO). Surprisingly, the data show that, on net, power flows from the Mid-Atlantic region to the Midwest. The flow of low-cost, coal-fired power from the Midwest to the east during on-peak hours may be offset by the flow of nuclear generation from Exelon's Commonwealth Edison service area in and around Chicago (part of the Mid-Atlantic region) to the surrounding Midwest region during off-peak hours.

California is the largest net importer of electricity, consuming power produced in the Northwest and Southwest. These two regions provide about 25% of California's electricity supply.

While the map shows annual data, some flows are distinctly seasonal. For instance, the hydro capacity in the Pacific Northwest generates large amounts of electricity in excess of the region's need (and, therefore, large transfers to other regions) when river flows are typically highest in spring and early summer. (DOE-EIA)

Canada Pulls Out of Kyoto Protocol

2011-12-13T10:11:00.000-05:00

Canada pulled out of the Kyoto Protocol on climate change Monday, saying the accord will not help solve the crisis of globalwarming. Canada invoked its legal right to withdraw and noted that Kyoto does not represent the way forward for Canada or the world. Canada, joined by Japan and Russia, said last year that it will not accept new Kyoto commitments.

The United States never ratified the treaty, initially adopted in Kyoto, Japan, in 1997.

Canada’s previous Liberal government signed the accord but did little to implement it. Prime Minister
Stephen Harper’s Conservative government never embraced it. George W. Bush rejected Kyoto during his presidency and president's Clinton and Obama never sent the treat to the U.S. Senate for a ratification vote.

The Kyoto Protocol does not cover the world’s largest two emitters, United States and China, and
therefore cannot work. (AP, Wash Post, 12/13/2011)

EPA Regulations in 2012

2011-12-13T01:52:00.000-05:00

The Environmental Protection Agency will be busy proposing, finalizing, implementing and defending one rule after another in 2012. Of course, Election Day makes a big difference in the implementation of rules.

• In the remaining weeks of 2011, the agency will finalize rules regulating emissions for boilers and solid waste incinerators and to curb mercury and toxic emissions from power plants. The EPA also will move forward with automakers and the Department of Transportation to set new miles-per-gallon standards for automobiles and lower the amount of sulfur in gasoline.

• On Jan. 1, the agency’s rule governing air pollution that blows across state lines will take effect, amid a flurry of paperwork in a massive lawsuit driven by 45 petitioners. The lawsuit was brought by states beholden to more stringent requirements and utilities that will have to implement them. The EPA is joined in the case by downwind cities and states that will benefit from the new air pollution limits, along with environmentalists and some other utilities.

• April 3, the EPA will finalize air standards for wells that use hydraulic fracturing to access natural gas and for oil and natural gas processing plants.

• The EPA will set greenhouse gas emission standards for fossil-fueled power plants and petroleum refineries.

• Under review at the White House Office of Management and Budget are rules to reconsider air emission standards at chemical manufacturing plants, and a review of risk and technology for emission standards for shipbuilding and ship repair.

• The EPA plans to decide during the summer how to regulate coal ash — the byproduct that is often reused in housing products but has been the subject of national attention after some dangerous spills from huge retention ponds.

• In July, the agency also will finalize a rule for water discharge permits for cooling towers that keep power plants and manufacturing facilities from overheating. Such towers pull water from rivers and streams, posing dangers to fish and fish eggs that become caught in intake screens. The issue prompted a Supreme Court ruling that says the EPA may consider costs and benefits in its regulations because the Clean Water Act does not explicitly forbid it. (More)

• The EPA has agreed to judicially mandated deadlines for acting on plans to cut haze-causing pollution from coal-fired power plants in 45 states. The deadlines run from this December to November 2012.

• Meanwhile, several rules are caught up in an ongoing lawsuit over EPA’s climate “endangerment finding” in which the agency determined that carbon dioxide emissions threaten public health and the environment. The finding became an underpinning of EPA climate regulations. The U.S. Court of Appeals for the District of Columbia Circuit will hear oral arguments for that case Feb. 28-29, and many expect that the case will be decided in the summer.

(Politico, 11/13/2011)

EPA's Cooling Tower Rule: Clean Water Act Section 316(b)

2011-12-13T01:00:00.000-05:00

On March 28, 2011, the U.S. Environmental Protection Agency (EPA) signed the proposal for the last of its Clean Water Act Section 316(b) rules for cooling water intake structures – this one for " existing" facilities and new units at existing facilities. Comments on the proposed rule were due in July 2011 – 90 days after publication in the Federal Register. EPA is required to finalize the rule by July 27, 2012.

Section 316(b) of the Clean Water Act requires that National Pollutant Discharge Elimination System (NPDES) permits for facilities with cooling water intake structures ensure that the location, design, construction, and capacity of the structures reflect the best technology available (BTA) to minimize harmful impacts on the environment.

According to EPA, the rule covers roughly 1,260 existing facilities that each withdraw at least 2 million gallons per day of cooling water. EPA estimates that approximately 590 of these facilities are manufacturers, and the other 670 are power plants, including electric cooperatives.

The proposed rule does not require existing power plants with once-through cooling to retrofit cooling towers where they do not make economic sense when other less-expensive alternatives exist. EPA is not presuming that cooling towers are BTA; however, the proposed rule appears to allow for site-specific analysis and for permitting agencies to consider costs when making BTA determinations. (National Rural Electric Cooperative Association, 4/1/2011)

More information on EPA’s proposed Clean Water Act Section 316(b) rule

Electricity Storage

2011-12-12T17:43:00.002-05:00

Edwin F. Feo spoke about energy storage with Jeff Postelwait {Postelwait responses are below}

Storage can assist with renewables by smoothing the effect of variable energy output—typical for wind and solar—providing capacity firming such that a renewable resource can be seen as an almost constant source of energy, and with frequency regulation support for the transmission grid. Without storage, the grid needs to be able to deal with the effects of intermittent energy, and that can be done with other generation sources providing firming services. The issue historically with storage has been the cost.

Traditional generation can benefit from storage to the extent that storage technologies can provide cheaper and or faster-reacting support services. Flywheels and lithium-ion batteries, for example, can respond quickly and are typically used for frequency regulation.

The main technologies are: pumped-hydro storage; compressed-air storage below or above ground; batteries—sodium sulfur, vanadium redox, lead acid, nickel cadmium and lithium ion; molten salt; thermal peak shaving, aka ice storage; and flywheels. Of global installed storage capacity of about 125,000 MW, over 123,000 is pumped hydro. Other technologies lag by comparison: molten salt, 142 MW; compressed air, 440 MW; batteries, 451 MW; and flywheels, 95 MW. The different technologies have different applications. Pumped hydro has been used for centralized, utility-scale projects—being able to handle load with quick response.

Compressed-air projects are also being aimed at large utility applications, but there are also small above-ground, compressed-air assets, which can be teamed with a specific generation asset. Certain batteries—sodium sulfur, vanadium—have long duration and are better oriented to back up applications. Other batteries—e.g., lithium-ion—have faster response and are best used for renewable integration and frequency regulation, typically at the generation project level. Flywheels are used for frequency regulation and are being developed as stand-alone projects.

The more that the electric service model migrates from the central station generation-dumb meter consumer model—where it is today—to more of a distributed generation-smart meter consumer model, the greater the role for storage to play in smoothing of energy delivery, integration and regulation.

Pumped Hydro

The primary issue is cost. Pumped-hydro projects have tended to be large—1,000 MW—and significant civil works projects. The newer technologies are more geared to smaller applications, so the capital cost per unit is less, but the issue is the cost on a kilowatt-hour basis. These costs are headed down as technology improves. A somewhat related issue is reliability. Given the relatively modest and recent deployment of some of the storage technologies, there is an issue as to evidence of long-term reliability. The more that units are deployed, of course, the more there should be evidence of reliability, and the lower the cost, as well.

First Wind is using Xtreme Power batteries in wind farms in Hawaii. Energy storage makes a lot of sense in an island application where the load may not be large and the day and night demand may differ widely. In the case of the wind projects in Hawaii, First Wind would be facing the potential of curtailment at night when the wind still blows, given the reduced demand for energy. So a battery can be charged with off-hours electricity and discharged during peak demand during the day.

AES Energy Storage is developing storage systems using A123 Systems’ lithium-ion batteries to provide ancillary services. Primus Power is proposing to build a 25-MW battery storage project for the Modesto Irrigation District (MID). This is known as the Wind Firming EnergyFarm and is intended to replace a fossil fuel plant as the means of firming energy provided to the MID from wind power sources. Southern California Edison is building an 8-MW lithium-ion battery storage project to improve grid performance and to aid in integration of wind energy resources located in the Tehachapi area. Another example is a 20-MW flywheel project built by Beacon Power in Massachusetts. That project is a stand-alone project that will deliver frequency regulation services to the grid.

The Department of Energy launched a program to support energy storage technology in 2009. DOE is providing about $185 million to support over $775 million of energy storage projects; these aggregate about 537 MW of new storage.

Storage presents an interesting regulatory challenge. Depending on its use and the point of view of a regulatory agency, it may be considered transmission or generation, and as either a wholesale or a retail service. Those characterizations affect by which agency it is regulated—federal or state—and how an investment in storage can be recovered. Choice of a regulatory regime affects planning. Who approves? Ownership: Who can own, and by whom are they regulated, among other issues.

Pumped Hydro

Certain storage projects can be delivering both transmission and generation support services and therefore technically regulated by both regulatory regimes. The regulatory complexities of storage are addressed but not completely resolved by FERC in a Request for Comments Regarding Rates, Accounting and Financial Reporting for New Electric Storage Technologies (Docket No AD 11-7-000) and a Notice of Proposed Rulemaking—Frequency Regulation Compensation in the Organized Wholesale Power Markets (Docket No. RM 11-7-000).

As a broad concept, electric vehicles can be used as energy sinks in the sense that they can charge at night while other electric demand is low. Of course, that doesn’t mean the vehicles are available as storage to be applied during the peak of the next day. I think electric vehicles ultimately will be another variable in the electric supply-demand mix that can’t be controlled other than in the broadest terms and so may present as many problems as they do solutions for grid operations.

A number of utilities are pursuing demonstration projects. The most interest seems to be in areas where there is significant penetration by renewables. Ultimately, the deployment of more storage technologies at the distribution level means that demand management can be more flexible because storage can be used to meet peak demands as opposed to relying on reduction of demand to trim peaks.

The principal benefits will be reliability of the grid, backup power when applied locally and lower costs because high on-peak prices can be mitigated with stored energy. (Electric Light & Power, Oct 2011)

Calif Makes It Easier To Use Out-of-State Renewable Energy

2011-12-12T13:35:00.003-05:00

The California Renewable Energy Resources Act (SB X 1-2), obligates all California electricity providers to obtain at least 33% of their energy from renewable resources by the year 2020. This requirement constitutes the most aggressive renewable portfolio standard in the country. (More)

The law makes it easier to use out-of-state sources of renewable energy to satisfy California’s renewable portfolio standard (RPS). More than 30 states have some form of RPS.
Before the new law, California had a statutory delivery requirement. The delivery requirement can be understood in the context of California’s energy debacle during 2000 and 2001. In response to that debacle, California policymakers wanted to assure that, to the extent out-of-state energy sources were going to be used to meet the state’s RPS, the physical electricity generated by those sources was delivered into the state to meet its burgeoning needs.

Most states allow their RPSs to be satisfied by the actual consumption of renewable electricity in the state or by the surrendering of so-called renewable energy credits. These credits represent the environmental benefits—chiefly the greenhouse gas emissions avoided—of renewable energy.

Most states allow these credits to be stripped from the underlying energy that created them, referred to as unbundling. This means an entity that must demonstrate compliance with the RPS can do so by surrendering credits to the regulators as opposed to demonstrating the actual consumption of renewable energy within the state. There are rules that each credit must be counted only once.

The reason for allowing credits to be used to demonstrate compliance goes back to the environmental problem that renewable energy addresses: emission of greenhouse gases. Greenhouse gases do not cause a problem locally; they cause a problem in the upper atmosphere. For that reason, it does not matter where geographically their production is stopped. The benefit remains regardless.

Until the recent changes in the law, California did not allow use of entirely unbundled renewable energy credits from out-of-state renewable energy resources. Under a strict reading of prior law, for California utilities to use wind resources in Oregon, for instance, the electricity from the Oregon wind farm had to be consumed in California to be counted for compliance with the California RPS.

Yet, the California Energy Commission recognized that to meet even the state’s previous 20 percent renewable energy goal, it would have to accommodate more flexibility from out-of-state supplies. So the commission relaxed the statutory delivery requirement. After an initial purchase with the associated energy, the commission allowed the use of renewable energy credits stripped (unbundled) from the associated renewable electricity to satisfy the RPS.

Because of the delivery requirement, those wanting to use the credits originating from out-of-state sources had to match those credits with other electricity (referred to as firming and shaping). Prior law allowed firming and shaping to account for the variability of certain renewable resources. The commission, however, took this limited authorization and turned it into a mechanism allowing unbundled renewable energy credits.

The new law eliminates the statutory delivery requirement and with it any need for an initially bundled purchase of credits with their associated electricity. (Electric Light & Power, Sep/Oct/2011)

T. Boone Pickens versus the Koch Brothers

2011-12-12T13:03:00.000-05:00

NATGAS Act Would Provide Subsidies For Cars on Natural Gas

The New Alternative Transportation to Give Americans Solutions Act of 2011 (NATGAS Act) would subsidize cars running on natural gas. Introduced by Senate Majority Leader Harry Reid, the prime beneficiary of the legislation would be T. Boone Pickens, left. He owns 41 percen of Clean Energy Fuels, which as the largest natural gas truck fueling station in the world and plans to set up a series of similar fueling stations around the country--if it can get the subsidies.

Pickens gain would be at the expense of everyone who uses natural gas, which will spike in price if demand increases. Primary among natural gas users is the fertilizer industry. One of the world's largest fertilizer sellers is Koch Fertilizer, a subsidiary of Koch Industries. Charles and David Koch, above right, have led the resistance to the NATGAS Act.

According to Clean Energy Fuels:

"Our business plan and the ability of our business to successfully grow depends in part on the extension of the federal fuel excise tax credit for natural gas vehicle fuel, the reinstatement and extension of the federal income tax credit for the purchase of natural gas vehicles and the passage of legislation providing for additional incentives for the sale and use of natural gas vehicles."

All of the above provisions are in the NAGAS Act.

Pickens owns options to buy 15 million shares of Clean Energy Fuels at $10 per shared, according to SEC filings. Those options expire Dec 28. If Congress couls pass the NATGAS ACt this month, shares of Clean Energy would skyrocket. If the bill does not pass this moth, those options might become worthless, or at least risky. (Washington Examiner, 12/10/2011)

Kyoto Protocol Dies In Durban: Countries Punt to 2015

2011-12-12T10:13:00.001-05:00

The final text of the United Nations COP17 Climate Change Conference will force all major emitters
to sign on to a legally binding agreement of some form by 2015. This punts the global warming ball down the road for four years. International economic woes will prevent nations from ever reducing total greenhouse gas emissions. Economic develop trumps climate disaster. Adaptation will have to be the mantra in the fight to maintain our existence in a global warming world.

International Convention Centre & Durban Exhibition Centre

The 1997 Kyoto Protocol did not require developing nations to reduce emissions. The Durban Platform starts a new process whose goal is to complete, by 2015, a global climate pact with legal force, applying to all nations. Developed nations countries do not want to cut the use of fossil fuels because they work in powering their economies. China, India and other emerging economies do not want to cut the use of fossil fuels because they want the same sort of economic development as developed countries and they want to bring millions of people out of poverty. This is why America, China and India will never agree to real emissions cuts. This is also why Bill Clinton {and Al Gore}, President Bush and President Obama never pushed for Senate passage of the treaty. [See Developing Nations]

Durban

The United Nations Climate Change Conference was held in Durban, South Africa from November 28 - December 9, 2011 [extended by 2 days]. It brought together 200 representatives of the world's governments, along with international organizations. The discussions sought to advance, in a balanced fashion, the implementation of the United Nations Framework Convention on Climate Change and the Kyoto Protocol, as well as the Bali Action Plan, agreed at COP 13 in 2007, and the Cancun Agreements, reached at COP 16 last December. [United Nations Framework Convention on Climate Change]

U.S. Fish & Wildlife Service Guidelines on Bats & Wind Farms

2011-12-10T21:43:00.000-05:00

In January, the U.S. Fish and Wildlife Service (FWS) is set to publish new guidelines telling wind-farm operators how to measure the danger to wildlife at new sites and how to monitor existing sites. The guidelines are voluntary, but those who don't follow them are more likely to face fines or penalties if their turbines kill an animal protected by federal law.

The FWS issued Interim Guidance on Avoiding and Minimizing Wildlife Impacts From Wind Turbines in 2003.

The FWS also made recommendations on wind farms and bats in February 2011. The Recommendations and U.S. Fish and Wildlife Service's "Draft Guidelines for Land-based Wind Energy Development" are founded upon a “tiered approach” for assessing potential adverse effects to fish and wildlife and their habitats. The tiered approach is an iterative decision making process for collecting information in increasing detail; quantifying the possible risks of proposed wind energy projects to fish, wildlife, and habitats; and evaluating those risks to make siting, construction, and operation decisions. Subsequent tiers refine and build upon issues raised and efforts undertaken in previous tiers. At each tier, a set of questions is provided to help the developer evaluate the potential risk associated with developing a project at the given location. The tiered approach guides a developer‟s decision process as to whether or not the selected location is appropriate for wind development. This decision is related to site-specific conditions regarding potential species and habitat effects.

Briefly, the tiers address:

 Tier 1 – Preliminary evaluation or screening of potential sites (landscape-scale screening of possible project sites)

 Tier 2 – Site characterization (broad characterization of one or more potential project sites)

 Tier 3 – Pre-Construction monitoring and assessments (site-specific assessments at the proposed project site)

 Tier 4 – Post-construction monitoring of effects (to evaluate fatalities and other effects)

 Tier 5 – Research (to further evaluate direct and indirect effects, and assess how they may be addressed)

This framework allows the developer to determine whether sufficient information exists, whether and how to proceed with development of a project, or whether additional information gathered at a subsequent tier is necessary to make those decisions. (FWS, WSF, 12/10/2011)

NRC Chairman Gregory Jaczko Should Be Fired

2011-12-10T21:07:00.005-05:00

Center Joins With Other NRC Commissioners In Opposing NRC Chairman Jaczko

The Center's main reason for calling for the firing of Nuclear Regulator Commission (NRC) Chairman Gregory Jaczko is because of his tactics to sabotage Yucca Mountain as the national repository for nuclear waste. We support the other commissioners in their additional criticisms of the chairman. His sociopathic behavior is clearly radioactive and is underming the NRC.

Gregory Jaczko

Four of the five members of the U.S. Nuclear Regulatory Commission wrote a letter to White House Chief of Staff William Daley on October 13 denouncing the commission's chairman, Gregory Jaczko, saying his "actions and behavior are causing serious damage to this institution" and are threatening the agency's safety mission. Althought they did not explicitly ask for President Barack Obama to remove Jaczko, the four commissioners outlined a list of grievances including an allegation that Mr. Jaczko:

"intimidated and bullied senior career staff to the degree that he has created a high level of fear and anxiety resulting in a chilled work environment."

They also said Mr. Jaczko had ordered staff to withhold information from other commissioners and had tried to intimidate scientists who advised the agency in an effort to prevent them from reviewing certain aspects of the agency's response to the Japanese nuclear crisis earlier this year.

NRC commissioners Kristine L. Svinicki, George Apostolakis, William D. Magwood IV and William C. Ostendorff say in the letter they were concerned Mr. Jaczko's conduct would:

"adversely affect the NRC's essential mission to protect the health, safety and security of the American people."

NRC Commissioners are nominated by the president and confirmed by the Senate for five-year terms, but the president selects a chairman from among the five members and could choose another chairman before Mr. Jaczko's term expires in 2013. Mr. Obama tapped Mr. Jaczko as chief in 2009.

The NRC is the principal agency charged with overseeing the safety of commercial nuclear reactors in the U.S. The five-member commission consists of the chairman and four other commissioners. The four other commissioners are William Ostendorff and Kristine Svinicki, both Republicans, and George Apostolakis and William Magwood, both Democrats. Jaczko is a Democrat. (WSJ, 12/9/2012)

FDA To Determine Safety of Bisphenol A in Plastics

2011-12-08T10:15:00.002-05:00

According to a court settlement reached Wednesday between the Food and Drug Administration (FDA) and the Natural Resources Defense Council (NRDC), the FDA must come up with a decision by March 31 on whether to ban bisphenol A, or BPA. NRDC cited a growing body of research that suggests exposure to the chemical might pose serious health risks. BPA is a chemical that is widely used in plastics and the metal linings of food containers.

The NRDC filed a petition in 2008 asking the agency to ban the chemical. When the FDA failed to respond within the time frame required by law, the NRDC sued the agency. The settlement forces the FDA to take a position on a chemical that’s been used for more than four decades to make everything from the cans for liquid infant formula to the coating on grocery store receipts.

For years, the government has maintained that low doses of BPA are safe. In January, however, the FDA shifted positions and acknowledged that advances in science have raised “some concern” about the chemical’s health risks. The government is now investing $30 million to conduct research on the topic.

In its petition, NRDC cited research that links BPA to reproductive problems, certain cancers and behavioral issues in children. In October, a government-funded study published in the journal Pediatrics suggested that BPA exposure in the womb could lead to behavioral problems in girls, including anxiety and depression.

The American Chemistry Council (ACC), which represents the chemical industry, dismissed Wednesday’s settlement as a “non-event.”The group maintains that BPA is safe and complains that various state actions to restrict BPA use have confused people over the health risks. For instance, consumer fears prompted manufacturers of baby bottles and sippy cups to stop using the chemical in these products several years ago. According to ACC, the consensus of government regulatory bodies around the world, including theU.S. FDA and the European Food Safety Authority, is that BPA is safe for use in food-contact materials.

Representative Edward J. Markey (D-Mass.) is introducing legislation that would rid BPA from all food and beverage containers. (Wash Post, 12/8/2011)

Alpha Natural Resources To Pay $209 Million For Coal Disaster

2011-12-06T17:57:00.001-05:00

Alpha Natural Resources (ANR), which bought out Massey Energy in June, which owned the Upper Big Branch coal mine in West Virginia where 29 men died in an explosion last year, has agreed to pay $209 million in civil and criminal penalties because of the accident. ANR also promised to make major safety improvements to its mine. It is the largest settlement in a criminal investigation of a mine disaster in U.S. history, the U.S. attorney’s office said.

Alpha has agreed to pay $46.5 million in restitution to the families of those who died — plus two co-workers who survived the accident — $1.5 million per family. The company will spend $80 million to boost safety in all of its underground mines and set up a $48 million fund for mining-safety and health research. Alpha Natural Resources also agreed to pay $34.8 million in fines and fees that Massey Energy owed to the Mine Safety and Health Administration.

Before Tuesday, the largest penalty ever paid by a mining company had come in 2008, when Massey Energy agreed to pay $4.2 million in fines for a fire at the Aracoma Alma mine in West Virginia that trapped 12 miners and killed two. The company had admitted to knowingly violating mandatory safety standards in that accident.

As part of the safety measures, Alpha has pledged to install monitoring equipment at its underground mines to ensure that they are free of explosive methane gas and combustible coal dust. The company will also build a training facility and create a new safety curriculum for all of its miners.

Later on Tuesday, the Mine Safety and Health Administration is expected to announce the results of its investigation into the Upper Big Branch disaster. (Wash Post, 12/6/2011)

Cleaner Coal Rules Will Create Green Jobs

2011-12-05T12:17:00.002-05:00

Stricter federal emissions rules, intended to make exhaust from the nation's smokestacks cleaner will be a boon to providers of pollution-reduction technology for coal-fired power plants. Companies that make systems for filtering out pollutants such as mercury, sulfur dioxide and nitrogen oxide will see a surge in demand for their equipment as new standards proposed by the Environmental Protection Agency earlier this year are being phased in as early as January 2012. The new Mercury and Air Toxics Standards rule proposed in March is set to be finalized on December 16.

The proposed rules include a requirement that power plants using coal reduce emissions of mercury by as much as 90% over the next three years, with the goal of preventing tens of thousands of premature deaths from pollution. As utilities rush to comply with the stricter standards and keep their older plants online longer, the market for pollution control and monitoring technology could more than double, to $10 billion in 2014 from $4 billion now, according to the Institute of Clean Air Companies, a trade group.

Fuel Tech Inc. of Warrenville, Illinois, which sells technology for reducing nitrogen-oxide emissions, had $21 million in new orders in the third quarter, up from $8.8 million in the year-earlier quarter. ADA Environmental Solutions, of Littleton, Colo., predicts the creation of a $700 million market for mercury-reduction technologies over the next three years as a result of the new Mercury and Air Toxics Standards rule proposed in March and set to be finalized on Dec. 16.

The main driver: the Cross-State Air Pollution Rule, which the EPA finalized in July. The rule requires 27 states in the eastern half of the U.S. to reduce power-plant emissions that contribute to ozone, including nitrogen oxide. The reductions must begin in January 2012 with targets achieved by 2014.

Analysts say emissions-control technologies like those sold by ADA and Fuel Tech could be vital for utilities by enabling them to keep older plants operating longer, as well as for the coal industry, which faces growing competition from cleaner-burning natural gas being unearthed from deep shale deposits.
(WSJ, 12/5/2011)

Is Bigger and Bigger and Bigger Government The Solution?

2011-12-05T10:35:00.000-05:00

China is demonstrating that big government can partner with the private sector to foster dynamic economic growth. But can government become too big and tip the balance?

In 1870, all government spending was 7.3 percent of national income in the United States, 9.4 percent in Britain, 10 percent in Germany and 12.6 percent in France. By 2007, the figures were 36.6 percent for the United States, 44.6 percent for Britain, 43.9 percent for Germany and 52.6 percent for France.

As deficits or taxes rise, the risk is that economic instability will increase, growth will decline, or both. Paying promised benefits becomes harder. Or austerity becomes unavoidable. The paradox is that the welfare state, designed to improve security and dampen social conflict, now looms as an engine for insecurity, conflict and disappointment. (Wash Post, 12/5/2011)

Obama Promotes Performanced-Based Energy Retrofits

2011-12-02T18:32:00.004-05:00

President Obama and former President Bill Clinton a $4 billion effort to improve energy efficiency in buildings across the country. President Obama also signed a Presidential Memorandum directing all Federal agencies to maximize existing authorities to utilize performance-based contracting for undertaking energy retrofits on Federal buildings.

Center President Norris McDonald cowrote the first federal shared energy savings law with the National Association of Energy Services Companies (NAESCO), which was signed by President Reagan in 1986.

President Obama directed all Federal agencies to make at least $2 billion worth of energy efficiency upgrades over the next two months. Additionally, 60 private companies, hospitals, cities, states, colleges, and universities, among others, have collectively committed another $2 billion in energy efficiency retrofits to 1.6 billion square feet of property—roughly the equivalent of 500 Empire State Buildings.

The investments announced today are part of President Obama’s Better Buildings Initiative, which set a goal of improving energy efficiency in commercial buildings by 20 percent by 2020. The initiative will reduce energy bills for businesses by $40 billion per year, and one report found it could create up to 114,000 jobs.

On February 3rd, 2011, President Obama announced the Better Buildings Initiative as part of his Administration’s vision for winning the future by catalyzing a homegrown, clean energy economy in the United States. The Better Buildings Initiative set a national target of improving energy efficiency in commercial buildings by 20 percent by 2020. Achieving the President’s goal will reduce energy bills for American businesses by approximately $40 billion per year.

Private Sector Commitments -- The Better Buildings Challenge

The Better Buildings Challenge is the public-private partnership component of President Obama’s Better Buildings Initiative. The Challenge seeks to catalyze private sector investment and has attracted business and community leaders who are committed to supporting innovative ideas with action, sharing their successes, and creating solutions for others to follow. In June, at the Clinton Global Initiative (CGI) America, former President Clinton, Secretary Chu and Laura Tyson from the President’s Jobs Council announced an initial set of commitments totaling 300+ million square feet and $500+ million in financing support.

This includes:

Commitments from 60 Major CEOs, Universities, Mayors, Labor Leaders and Others. Today’s announcement includes commitments from nearly 60 property owners, corporations, hospitals, financial institutions, cities and states, colleges and universities.

Commitment to Upgrade Approximately 1.6 Billion Square Feet of Commercial and Industrial Property. Every type of commercial building can benefit from cost effective energy upgrades. The companies and other institutions committing to the Better Buildings Challenge are leaders in their respective industries and are pioneering new approaches to create jobs and save money through building upgrades.

Executive Action – Presidential Commitment to $2 billion in Federal Building Energy Upgrades

The Presidential Memorandum directs Federal agencies to enter into a minimum of $2 billion in performance-based contracts over the next 2 years. Performance-based contracting is an innovative approach to financing building upgrade projects that uses long-term energy savings to pay for up-front costs, resulting in no cost to taxpayers. The approach leverages Energy Savings Performance Contracts (ESPCs) wherein Energy Service Companies (ESCOs) and utility companies conduct energy upgrades of federal buildings and guarantee savings from the improvements. The U.S. Chamber of Commerce has recognized that full implementation of this existing federal authority to utilize Energy Savings Performance Contracts (ESPCs) as critical to job creation. The Chamber has specifically noted that tens of thousands of new jobs can be created through ESPC programs across the Federal government and that the President’s Better Buildings Initiative was the ideal platform for maximizing this opportunity. Data from the Department of Energy reveals a tremendous potential for efficiency investment opportunities in Federal buildings with less than 10-year paybacks.

Improvements to Existing Tax Incentives

The President continues to seek ways to reform and modernize our tax code in a manner that optimizes outcomes for both businesses and individuals. The Internal Revenue Code currently provides a deduction for the cost of qualifying energy efficient commercial building property, commonly referred to as the section 179D tax deduction. The Treasury Department, in consultation with the Department of Energy, previously issued guidance that provides the energy savings targets that must be met for this deduction to be available.

(The White House)

EPA Proposes Changes To Standards for Boilers and Incinerators

2011-12-02T13:33:00.004-05:00

Reconsidered standards would set emission limits for less than one percent of boilers, achieve public health benefits while increasing flexibility and responding to public input

The U.S. Environmental Protection Agency (EPA) is proposing changes to Clean Air Act standards for boilers and certain incinerators based on extensive analysis, review and consideration of data and input from states, environmental groups, industry, lawmakers and the public. The proposed reconsideration would achieve extensive public health protections through significant reductions in toxic air pollutants, including mercury and soot, while increasing the rule’s flexibility and addressing compliance concerns raised by industry and labor groups. The changes also cut the cost of implementation by nearly 50 percent from the original 2010 proposed rule while maintaining health benefits. These standards meet important requirements laid out in the 1990 Clean Air Act Amendments.

Soot and other harmful pollutants released by boilers and incinerators can lead to adverse health effects including cancer, heart disease, aggravated asthma and premature death. In addition, toxic pollutants such as mercury and lead that will be reduced by this proposal are linked to developmental disabilities in children. These standards will avoid up to 8,100 premature deaths, prevent 5,100 heart attacks and avert 52,000 asthma attacks per year in 2015.

More than 99 percent of boilers in the country are either clean enough that they are not covered by these standards or will only need to conduct maintenance and tune-ups to comply. Today’s proposals focus on the less than one percent of boilers that emit the majority of pollution from this sector. For these high emitting boilers, typically operating at refineries, chemical plants and other industrial facilities, EPA is proposing more targeted emissions limits that protect Americans’ health and provide industry with practical, cost-effective options to meet the standards – informed by data from these stakeholders. These limits are based on currently available technologies that are in use by sources across the country.

As a result of further information gathered through the reconsideration process, including significant dialog and meetings with stakeholders, the proposal maintains the dramatic cuts in the cost of implementation that were achieved in the final rules issued in March while continuing to deliver significant public health benefits. As a result, EPA estimates that for every dollar spent to cut these pollutants, the public will see $12 to $30 in health benefits, including fewer premature deaths.

Using a wide variety of fuels, including coal, natural gas, oil and biomass, boilers are used to power heavy machinery, provide heat for industrial and manufacturing processes in addition to a number of other uses, or heat large buildings. EPA’s proposal recognizes the diverse and complex range of uses and fuels and tailors standards to reflect the real-world operating conditions of specific types of boilers.

Some of the key changes EPA is proposing include:

Boilers at large sources of air toxics emissions: The major source proposal covers approximately 14,000 boilers – less than one percent of all boilers in the United States – located at large sources of air pollutants, including refineries, chemical plants, and other industrial facilities. EPA is proposing to create additional subcategories and revise emissions limits. EPA is also proposing to provide more flexible compliance options for meeting the particle pollution and carbon monoxide limits, replace numeric emissions limits with work practice standards for certain pollutants, allow more flexibility for units burning clean gases to qualify for work practice standards and reduce some monitoring requirements. EPA estimates that the cost of implementing these standards remains about $1.5 billion less than the April 2010 proposed standards. Health benefits to children and the public associated with reduced exposure to fine particles and ozone from these large source boilers have increased by almost 25 percent and are estimated to be $27 billion to $67 billion in 2015.

Boilers located at small sources of air toxics emissions: The proposal also covers about 187,000 boilers located at small sources of air pollutants, including commercial buildings, universities, hospitals and hotels. However, due to how little these boilers emit, 98 percent of area source boilers would simply be required to perform maintenance and routine tune-ups to comply with these standards. Only 2 percent of area source boilers may need to take additional steps to comply with the rule. To increase flexibility for most of these sources, EPA is proposing to require initial compliance tune-ups after two years instead after the first year.

Solid waste incinerators and revisions to the list of non-hazardous secondary materials: There are 95 solid waste incinerators that burn waste at a commercial or an industrial facility, including cement manufacturing facilities. EPA is proposing to adjust emissions limits for waste-burning cement kilns and for energy recovery units.

EPA is also proposing revisions to its final rule which identified the types of non-hazardous secondary materials that can be burned in boilers or solid waste incinerators. Following the release of that final rule, stakeholders expressed concerns regarding the regulatory criteria for a non-hazardous secondary material to be considered a legitimate, non-waste fuel, and how to demonstrate compliance with those criteria. To address these concerns, EPA’s proposed revisions provide clarity on what types of secondary materials are considered non-waste fuels, and greater flexibility.

The proposed revisions also classify a number of secondary materials as non-wastes when used as a fuel and allow for a boiler or solid waste operator to request that EPA identify specific materials as a non-waste fuel.

Following the April 2010 proposals, the agency received more than 4,800 comments from businesses, communities and other key stakeholders. As part of the reconsideration process, EPA also received additional feedback after the agency issued the final standards in March 2011. EPA will accept public comment on these standards for 60 days following publication in the Federal Register. EPA intends to finalize the reconsideration by spring 2012.

More information

Senate Republicans Introduce Keystone XL Pipeline Legislation

2011-12-01T20:27:00.001-05:00

Senator Dick Lugar (R-Ind.), backed by GOP leadership and dozens of other Republicans, introduced legislation Wednesday that requires a permit for TransCanada Corp.’s Alberta-to-Texas pipeline within 60 days unless President Obama determines that it’s not in the national interest. Republicans hope to speed up approval of the project. The bill’s 36 other current sponsors are all Republicans. Lugar, the top Republican on the Foreign Relations Committee, has 36 other current sponsors for the bill, all Republicans.

The legislation comes roughly two weeks after the Obama administration delayed a final decision on the pipeline until after the 2012 elections by requiring a new route analysis. The bill faces huge hurdles in the Democratically-controlled Senate, but regardless of the bill’s prospects, Republicans backing the pipeline hope to exact a political toll on Obama for punting the issue past the election.

The pipeline delay was a victory for environmentalists that had said approval would sap their energy to mobilize on Obama’s behalf in next year's election. But several unions, including the Laborers' International Union of North America and three other unions, another key part of Obama’s political base, back the project. Business groups like the U.S. Chamber of Commerce and the American Petroleum Institute are lobbying in favor of the pipeline, arguing it’s a vital way to boost energy security by expanding supplies from a friendly neighbor while creating jobs.

Senator Dick Lugar (R-Ind.)

But environmentalists, who have held high-profile demonstrations outside the White House, oppose the project due to greenhouse gas emissions, potential spills and other issues.

The State Department currently plans to complete an analysis in 2013 of new routes that would steer the pipeline away from the ecologically sensitive Sand Hills region of Nebraska. But pipeline backers say an agreement this month between TransCanada and Nebraska politicians to avoid the area should allow a faster approval. Lugar’s panel has jurisdiction over the new bill because the State Department is leading the federal review of the proposed $7 billion project. (The Hill, 11/30/2011)

Chinese Pebble-Bed High Temperature Reactor

2011-11-29T22:05:00.001-05:00

The Rongcheng Shidaowan Nuclear Power Plant is China's first high temperature gas-cooled pebble bed reactor power plant. The expected project construction period from pouring the first tank of concrete to generating electricity for the grid is scheduled to be 50 months. The current plan aims for feeding electricity to the national power grid in 2013.

The HTR-PM plant will consist of two nuclear steam supply system (NSSS), so called modules, each one comprising of a single zone 250MWth pebble-bed modular reactor and a steam generator. The two NSSS modules feed one steam turbine and generate an electric power of 210MW. A pilot fuel production line will be built to fabricate 300,000 pebble fuel elements per year. This line is closely based on the technology of the HTR-10 fuel production line. The reactor site has been evaluated and approved; the procurement of long-lead components has already been started.

The spherical fuel element with a diameter of 60mm contains a multitude of ceramic coated particles. The coated fuel particles are uniformly embedded in a graphite matrix of 50mm in diameter; while an outer fuel-free zone of pure graphite surrounds the spherical fuel zone for reasons of mechanical and chemical protection. Each spherical fuel element contains about 12,000 coated fuel particles.
Main technical goals of the HTR-PM project

The HTR-PM should achieve the following technical goals:

(1) Demonstration of inherent safety features: the inherent safety features of modular HTGR power plants guarantees and requires that under all conceivable accident scenarios the maximum fuel element temperatures will never surpass its design limit temperature without employing any dedicated and special emergency systems (e.g. core cooling systems or special shutdown systems, etc.).

(2) Demonstration of economic competitiveness: the first HTR-PM demonstration power plant will be supported by the Chinese government, so that the owner can always maintain the plant operation and obtain investment recovery. However, this government supported demonstration plant has to prove that a cost overrun during the construction period will be avoided and that the predicted smooth operation and performance will be kept. Hence, the demonstration plant must clearly demonstrate that follow-on HTR-PM plants will be competitive to LWR plants without any government support.

(3) Confirmation of proven technologies: in order to minimize the technical risks the successful experiences gained fromthe HTR-10 and from other international HTGR plants will be fully utilized in the HTR-PM project. The HTR-PM reactor design is very similar to the HTR-10. The turbine plant design will use the mature technology of super-heated steam turbines which is widely used in other thermal power plants. Besides, the manufacture of fuel elements will be based on the technology verified and proven during the HTR-10 project.

(4) Standardization and modularization: the HTR-PM demonstration plant, consisting of two pebble-bed module reactors of combined 2×250MWth power, adopts the operation mode of two modules connected to only one steam turbine/generator set. This design allows to demonstrate the advantages and key benefits of employing and implementing a design of standardization and modularization. If the construction and operation of the HTR-PM demonstration plant proves to be successful, larger scale HTR-PM plants – using multiple-modules feeding one steam turbine only – will become a reality.

Fourth Generation Reactor Next

The HTR-PM project will establish the technical foundations to be able to realize Generation-IV nuclear energy system goals in the next stage, such as:

(1) Largely enhanced safety features: a successful HTR-PM will have already proven this technical target of Generation-IV nuclear energy systems.

(2) Achieving outlet temperatures beyond 1000 ◦C [very high temperature gas-cooled reactor (VHTR)]: the reactor of current design and using current fuel element technologies has already the potential of realizing a gas outlet temperature of 950 ◦C. A further improvement of the fuel element performance is already foreseeable which will allow reaching this goal of attaining an outlet-temperature of 1000 ◦C.

(3) Hydrogen production, use of helium turbine or supercritical steam turbine: the current reactor design, verified by the HTR-PM, can readily be applied for the helium turbine or super-critical steam turbine or for the generation of large-scale production of hydrogen by nuclear energy.

HTGR plants can achieve a thermal efficiency of 42% by even employing subcritical superheated steam turbines or reaching ∼45% when supercritical steam turbines are installed. The efficiency could be improved even further when adopting direct helium gas turbines with recuperators or when choosing a combined cycle.

Conclusions

On the basis of the HTR-10, the ongoing Chinese HTR-PM project is considered to be a decisive new step for the development of Chinese HTGR technology. Its main target is to finish building a pebble-bed HTR-PM demonstration plant of 210MWe around 2014-205. Through the mutual efforts of all relevant scientific research organizations nd industrial enterprises, and having the strong support of the Chinese government, the HTR-PM project will certainly play an important role in the world-wide development of Generation-IV nuclear energy technologies.

(Next Big Future, March 23, 2011)

Healthy Kids Outdoors Act

2011-11-29T10:05:00.000-05:00

Purpose: The proposed Healthy Kids Outdoors Act (S. 1802) will improve our children’s health, support economic growth and strengthen the future of conservation in America by reconnecting our children, youth and families with the natural world through innovative state strategies that connect communities with green spaces, provide opportunities for outdoor recreation, and engage the health community in educating parents and caregivers about the benefits of active time outdoors.

Legislative Content: The proposed Healthy Kids Outdoors Act of 2011 would:

• Provide state-level incentives to develop 5-year state strategies to connect children, youth and families with the natural world. State strategies are developed by agencies and partners in public health, parks and recreation, transportation, and other sectors to create innovative solutions and fund initiatives at the local level;

• Direct the President to develop a similar strategy at the federal level by bringing together federal agencies and national partners to create a national action plan; and

• Support research documenting the health, conservation, and other benefits of active time spent outdoors in the natural world.

Reconnecting with Nature to Strengthen America

• Our children’s lives are out of balance. Children today spend less time outdoors than any generation in human history, devoting just four to seven minutes a day on average in unstructured outdoor play while spending an average of seven and a half hours every day in front of electronic media.

• Our children’s health is declining. Obesity and attention deficit disorders are on the rise in America, especially among children. Obesity is the cause of many major health issues, decreasing the quality of life for Americans and straining our nation’s economy. Attention deficit disorders are impacting America’s competitiveness and readiness to learn in the classroom.

• Our economy is struggling. In addition to the negative economic impact of childhood obesity, the outdoor retail industry, many local tourist destinations or “gateway communities,” and state fish and wildlife agencies rely on revenue generated when Americans spend time outdoors.

• Our conservation legacy is at risk. Those who do not spend time in nature are less likely to protect it, leaving the future of conservation, our nation’s immense natural resources and America’s hunting and angling legacy at risk.

• Our military readiness is declining. Nearly one in four applicants to the military is rejected for being overweight or obese – it's the most common reason for medical disqualification

Seth Oster Leaving EPA

2011-11-28T22:05:00.001-05:00

Seth Oster

Seth Oster, Associate Administrator for the Office of External Affairs and Environmental Education, will be departing EPA at the end of the year to pursue a new opportunity in the private sector.

And Other Changes at the Agency

Jose Lozano, our Director of Operations, has been appointed as the new Deputy Chief of Staff.

Steve Owens is leaving EPA on November 30.

Jim Jones, the current Deputy Assistant Administrator for the Office of Air and Radiation, will be designated to serve as our new Acting Assistant Administrator for the Office of Chemical Safety and
Pollution Prevention. Jim will start in his role on December 1. Jim has been with EPA for over two decades and his experience includes serving four years as Principal Deputy Assistant Administrator for OCSPP and six months as acting Assistant Administrator for OCSPP.

Shalini Vajjhala, who has served as Deputy Assistant Administrator in the Office of International
and Tribal Affairs (OITA), will transition out of OITA and serve as Special Representative. She has been working exclusively on the US-Brazil Joint Initiative on Urban Sustainability (JIUS), announced by President Obama in March 2011. (EPA)

Mars Rover Curiosity Is Nuclear Powered

2011-11-24T03:59:00.004-05:00

Some environmentalists protested the launch of the nuclear powered Cassini space probe destined for Saturn some years ago. There isn't as much attention being given to the launch of the plutonium-powered Curiosity Mars rover.

Radioactive plutonium, which is used to power the new rover is in a layered, protective module that NASA and others have built to contain the plutonium fuel. The plutonium fuel includes four large pellets, which are clad in iridium, the second densest element known to man. Iridium is both strong and pliable. It bends but does not break. The iridium cladding, which has a melting point greater than 2,000 degrees Celsius (3,632 Fahrenheit), protects the radioactive fuel from impact and heat damage.

The iridium-clad pellets are divided into two pairs, and then the pairs are placed into enclosures called graphite impact shells, or GIS. The GIS are “about the size of a salt shaker” and provide impact resistance. Further heat protection is provided by wrapping the two GIS in insulating sleeves made of a thin fiber called carbon bonded carbon. The shells go together into a hardy, monolithic block called an aeroshell.

The plutonium dioxide fuel is very similar to ceramic. Despite the apparent low radiation risk from the mission launch, NASA, the State of Florida and other federal and local agencies around Kennedy Space Center are making preparations to respond to any launch accident. These precautionary measures will include alerts to direct people to shelters if necessary.

The public supports the concept of Star Trek's enterprise using nuclear powered matter/antimatter 'engines,' but such 'engines' would have ultimately involved lifting radioactive elements into Earth orbit for assembly. NASA's pursuit of proving spontaneous generation of life will probably once again end in proving just the opposite. (Space .com, 11/23/2011)

Industry Groups Will Probably Sue Re California Cap-and-Trade

2011-11-22T16:17:00.003-05:00

"Previewing Legal Challenges to Cap-and-Trade"

By Robert Lawrence, Dustin Till and Svend Brandt-Erichsen

California’s greenhouse gas (GHG) cap-and-trade program is due to be finalized within a few weeks, over widespread opposition and concern about its effects on California’s economy. Looking forward, California business and citizens groups are considering how and when to challenge the regulations in court. Final regulations in California are subject to judicial review, and may be challenged as being unconstitutional or inconsistent with the statute that authorized their development, or for conflicting with other federal or state statutes. In the case of the Air Resource Board’s (ARB) cap-and-trade program, all of these objections are likely. A successful appeal can invalidate all or part of a new program, and sometimes requires an agency to start a new rulemaking process entirely.

Constitutionality

The most obvious challenge, and one that ARB prepared for, is that the cap-and-trade regulations violate the commerce clause of the federal Constitution. There are at least two ways to frame this argument. The first is that the program discriminates against out-of-state goods or services. The second is that the regulation impermissibly burdens or inhibits interstate commerce.

Consistency with AB32

There also are likely to be a large number of objections to ARB’s program arising from AB32 itself based on provisions limiting ARB’s authority. Among these requirements, the programs adopted by ARB must be “feasible,” “cost-effective” and “equitable.” These terms provide ample room for argument as to whether the costs imposed by the program are justified by the benefits, and whether the program could have been designed differently.

Consistency with other Federal and State Laws

There is a question of whether California’s regulations conflict with (or complement) federal actions to combat climate change. New and modified power plants and large industrial sources are subject to recently-implemented EPA regulations under the Clean Air Act (CAA). EPA has identified additional regulations that would address GHG emissions under the CAA. These federal regulations apply or would apply in California to some of the same entities that are subject to the cap-and-trade program, raising the potential for inconsistencies. [More at Marten Law, 11.22.2011]

Particulate Matter

2011-11-22T15:20:00.001-05:00

The first standards for PM were established by the U.S. Environmental Protection Agency (EPA) in 1971 under the Clean Air Act. The EPA's Maximum Achievable Control Technology (MACT) rules, which were released Feb. 23, introduced additional, more stringent requirements to new and existing boiler PM and other emission limits and requirements. Utility MACT specifically limits Hazardous Air Pollutants (HAPs).

One might not think of PM being a driver initially for Utility MACT, but it is. That's because PM is not a type of HAP, but it is a surrogate pollutant for controlling HAPs. The surrogate comes into play for the 10 metallic HAPs the EPA has identified to control under Utility MACT.

Another regulatory program aimed at controlling PM emissions stems from the National Ambient Air Quality Standards (NAAQS). NAAQS define the concentration of a pollutant in ambient air that EPA deems to be protective of human health and the environment.

EPA revised the PM NAAQS in 1987 to regulate particles smaller than 10 micrometers in diameter (PM10). In 1997, EPA revised the NAAQS to also regulate particles smaller than 2.5 microns in diameter (PM2.5). In 2006, EPA reduced the PM2.5 NAAQS from the 1997 level of 65 µg/m3 to 35 µg/m3. At this point, the PM NAAQS are so low that stationary sources may require installation of more efficient baghouses or control the PM that forms as gases condense after emission from a stack.

Many parts of the United States have current ambient air quality that does not meet the new PM2.5 NAAQS. To address this situation, EPA promulgated the Clean Air Transport Rule (CATR) to reduce the level of PM2.5 pollution across large regions.

PM2.5 is a rather unique pollutant in the sense that it can be emitted directly from a source, but can also be formed miles away when pollutants like SO₂ and NO_x chemically interact in the atmosphere. EPA created the CATR to force utilities to limit their PM2.5 precursor emissions (that is, SO₂ and NO_x) to reduce the downwind secondary formation of PM2.5. This is designed to help many parts of the country, primarily in the eastern U.S., achieve air quality that meets the NAAQS.

Two main drivers influence the amount of PM emitted from coal-fired boilers in power generation: the ash content in the coal and the type of boiler used.

As far as control technologies go, the two main offerings targeting PM are electrostatic precipitators (ESP) and fabric filters, or baghouses.

An ESP uses high-voltage fields to apply electrical charges to particles moving through the field. This causes the charged particles to move toward an oppositely charged collection surface where they accumulate. ESPs are available in both dry and wet options. Most ESPs are dry, but special circumstances can require wet ESP installations. More than 70 percent of existing coal-fired power plants have installed ESPs, according to a report by Environmental Health and Engineering. According to the EPA, an ESP can capture more than 99 percent of total PM and 80 to 95 percent of PM2.5.

Fabric filters can drive down PM levels more than dry ESP because the technology is not as affected by particulate characteristics. A fabric filter typically has a lower capital cost than an ESP, but a higher maintenance cost. You trade initial capital investment cost for maintenance costs. A fabric filter collects PM on the surfaces of fabric bags. Most of the particles are captured on already collected particles that have formed a dust layer. According to EPA, a fabric filter on a coal-fired power plant can capture up to 99.9 percent of total particulate emissions and 99.0 to 99.8 percent of PM2.5. Thirty-five percent of coal-fired power plants in the U.S. have already installed fabric filters, according to Environmental Health and Engineering. (Power Engineering, August 2011)

The Intercounty Connector (Mostly) Opens Today

2011-11-22T08:22:00.004-05:00

Center Was The Only Environmental Group in the United States to Support the ICC

Along With Support For National Harbor & Woodrow Wilson Bridge Replacement

Most of the $2.5 billion, 18.8-mile Intercounty Connector opened today. Financing for the six-lane toll road linking Interstate 270 in Montgomery County with Interstate 95 in Prince George’s County leveraged the Maryland Transportation Authority’s statewide toll collections. The toll is $4 each way, or up to $24 for tractor-trailers with an E-ZPass, to travel the entire route.

The ICC provides a vital east-west link long missing from Maryland’s highway network. The ICC directly connects Montgomery’s job-rich I-270 corridor with more affordable places to live, such as Howard and northern Prince George’s counties, while opening up jobs around Baltimore-Washington International Marshall Airport, Fort Meade and Laurel to more Montgomery residents.

The Center believes the investment was well worth it in several key measures: how many vehicles the ICC absorbs from local roads, time saved by motorists who use it, job growth from companies that rely on it to attract workers, and the impact it has on local streams and air pollution. We believe that local roads will get relief as will the Capital Beltway, families will reunite sooner in the evenings, jobs will be created, there will be very little impact on streams and air pollution will be reduced due to faster trips with less congestion.

The ICC will attract and keep companies in Montgomery that can use the road to reach BWI. State officials say the drive between Gaithersburg and the airport will drop from 71 minutes on local roads to 37 minutes on the ICC. (Wash Post, 12/22/2011, Graphic courtesy Wash Post)

Greenhouse Gas Rule For Refineries Delayed By EPA

2011-11-22T07:55:00.000-05:00

The Environmental Protection Agency will not meet a mid-December deadline to propose first-time standards for greenhouse gas emissions from oil refineries. Draft rules had been slated to surface in the middle of next month under a settlement with environmentalists and other parties, but EPA says it needs more time. According to EPA:

“EPA expects to need more time to complete work on greenhouse gas pollution standards for oil refineries, and is working with the litigants to develop a new schedule to replace the current date of mid-December for a rule proposal.”

EPA has already missed deadlines earlier this year to propose greenhouse gas standards for power plants. EPA Administrator Lisa Jackson told the program "energyNow!" in an interview broadcast over the weekend that the power plant rules should be proposed early next year. EPA agency is scheduled to finalize standards for power plant emissions of mercury and other air toxics in mid-December. EPA will still release the "Maximum Achievable Control Technology" standards for power plants on Dec. 16. (The Hill, 11/21/2011)

State Department's Bureau of Oceans, Environment and Science

2011-11-19T01:44:00.000-05:00

The State Department's Bureau of Oceans and International Environmental and Scientific Affairs, often referred to as “Oceans, Environment and Science” or “OES,” was created in 1974 by Congress and is responsible for negotiating international treaties that involve natural resources. More specifically, OES works to advance U.S. foreign policy goals in such critical areas as climate change, renewable energy, resource scarcity, polar issues, oceans policy, infectious diseases, science and technology, and space policy, to name a few.

OES is overseeing the controversial Keystone XL Pipeline Project Environmental Impact Statement (EIS).

Final EIS Fact Sheet

The Nature Conservancy: LEAF Program

2011-11-18T14:24:00.001-05:00

The Leaders in Environmental Action for the Future (LEAF) program provides paid summer internships for high school students and helps educators from environmental high schools share best practices and scientific resources. The long-term goal of LEAF is to support more than 30 environmental high schools across the country, ultimately serving over 20,000 students.

LEAF is an ambitious effort to empower the next generation of conservation leaders and equip them with the skills and knowledge to address our world’s most pressing environmental challenges.

With the support of the Toyota USA Foundation in 2011, LEAF will expand a nationally-recognized partnership model with environmental high schools to combine classroom lessons with real-world conservation work experience for urban youth.

The program works with a select group of environmental high schools, and provides paid summer internships for students in natural areas across the nation and helps educators from environmental high schools share best practices and scientific resources during the academic year.

The LEAF model:

• helps urban youth gain critical life, school and workplace skills;

• provides sustained exposure to nature; and

• supports students pursuing higher education opportunities and career paths in environmental fields.

The program marries The Nature Conservancy’s scientific expertise and access to natural areas with the lessons learned in environmental high schools to provide students with the web of mentors, alumni, and peers that is fundamental to successful youth development programs.

Supplementing classroom lessons on ecology and conservation with the real world experience of applying those lessons in the field has a tremendous impact on students’ lives — opening their eyes to career possibilities, building self confidence, independence, work skills, conservation literacy and a love of the outdoors.

For more information on LEAF, or to sponsor a student, please contact leaf@tnc.org

A Moment With Occupy Wall Street in the New York Subway

2011-11-18T08:29:00.001-05:00

PRESIDENT'S CORNER

By Norris McDonald

I was in New York City on Thursday when the Occupy Wall Streeters were occupying the subway. They were doing the 'speak together' thing and the media was also in the railcar. Occupy Wall Street isn't camped out at Zuccotti Park anymore, but they were spreading out around the city. Lower Manhattan was swarming with Occupy demonstrators and police. Unfortunately, there was a lunatic in the railcar and he was clearly intoxicated and screaming at the protesters. After the Occupy protesters got off the train the lunatic screamed that horrible racial epithet at them. Even though there were no Blacks in this particular crowd. Of course, there was a Black policeman standing nearby and he inquired as to how the lunatic wanted this subway ride to end. The lunatic got off at the next stop.

I'm just sharing some of that extra unique New York City environment. For your enjoyment, my walk through early morning Zuccotti Park before they were kicked out.

The New York Times Deconstructs Obama Ozone Decision

2011-11-16T21:49:00.000-05:00

"Behind Shift on Smog and Re-election Calculus"

WASHINGTON — The summons from the president came without warning the Thursday before Labor Day. As she was driven the four blocks to the White House, Lisa P. Jackson, the administrator of the Environmental Protection Agency, suspected that the news would not be good. What she did not see coming was a rare public rebuke the president was about to deliver by rejecting her proposal to tighten the national standard for smog. (More) (NYTimes, 11/16/2011)